Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Sep. 30, 2016 | Nov. 04, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Amerityre Corp | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --06-30 | |
Entity Common Stock, Shares Outstanding | 42,325,287 | |
Amendment Flag | false | |
Entity Central Index Key | 945,828 | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Filer Category | Smaller Reporting Company | |
Entity Well-known Seasoned Issuer | No | |
Document Period End Date | Sep. 30, 2016 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 |
Balance Sheets
Balance Sheets - USD ($) | Sep. 30, 2016 | Jun. 30, 2016 |
CURRENT ASSETS | ||
Cash | $ 201,470 | $ 267,302 |
Accounts receivable - net | 372,492 | 293,358 |
Inventory - net | 625,072 | 614,895 |
Prepaid and other current assets | 74,475 | 103,803 |
Total Current Assets | 1,273,509 | 1,279,358 |
PROPERTY AND EQUIPMENT | ||
Leasehold improvements | 196,223 | 153,543 |
Molds and models | 577,549 | 577,549 |
Equipment | 2,988,844 | 2,960,246 |
Furniture and fixtures | 74,921 | 74,921 |
Construction in progress | 39,593 | 10,198 |
Software | 305,924 | 305,924 |
Less - accumulated depreciation | (3,869,113) | (3,849,937) |
Total Property and Equipment | 313,941 | 232,444 |
OTHER ASSETS | ||
Patents and trademarks - net | 168,555 | 175,379 |
Non-current inventory | 185,260 | 180,050 |
Deposits | 11,000 | 11,000 |
Total Other Assets | 364,815 | 366,429 |
TOTAL ASSETS | 1,952,265 | 1,878,231 |
CURRENT LIABILITIES | ||
Accounts payable and accrued expenses | 439,600 | 348,499 |
Current portion of long-term debt | 18,656 | 20,518 |
Current portion of lease liability | 6,578 | 6,249 |
Total Current Liabilities | 464,834 | 375,266 |
LONG-TERM LIABILITIES | ||
Long-term debt | 138,139 | 100,142 |
Long-term lease liability | 6,621 | 8,394 |
Total Long Term Liability | 144,760 | 108,536 |
Total Liabilities | 609,594 | 483,802 |
STOCKHOLDERS’ EQUITY | ||
Preferred stock: 5,000,000 shares authorized of $0.001 par value, 2,000,000 shares issued and outstanding, respectively | 2,000 | 2,000 |
Common Stock: 75,000,000 shares authorized of $0.001 par value, 42,325,287 and 42,175,287 shares issued and outstanding, respectively | 42,325 | 42,175 |
Additional paid-in capital | 62,591,976 | 62,579,558 |
Stock payable | 0 | 4,500 |
Accumulated deficit | (61,293,630) | (61,233,804) |
Total Stockholders’ Equity | 1,342,671 | 1,394,429 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 1,952,265 | $ 1,878,231 |
Balance Sheets (Parentheticals)
Balance Sheets (Parentheticals) - $ / shares | Sep. 30, 2016 | Jun. 30, 2016 |
Preferred stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 2,000,000 | 2,000,000 |
Preferred stock, shares outstanding | 2,000,000 | 2,000,000 |
Common stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 75,000,000 | 75,000,000 |
Common stock, shares issued | 42,325,287 | 42,175,287 |
Common stock, shares outstanding | 42,325,287 | 42,175,287 |
Statements of Operations (Unaud
Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
NET SALES | $ 836,153 | $ 1,013,933 |
COST OF REVENUES | 555,452 | 766,776 |
GROSS PROFIT | 280,701 | 247,157 |
EXPENSES | ||
Research and development | 52,859 | 53,605 |
Sales and marketing | 67,230 | 97,664 |
General and administrative | 192,306 | 224,840 |
Total Expenses | 312,395 | 376,109 |
LOSS FROM OPERATIONS | (31,694) | (128,952) |
OTHER (EXPENSE)/INCOME | ||
Interest income | 53 | 73 |
Interest expense | (3,185) | (599) |
Total Other (Expense)/Income | (3,132) | (526) |
NET LOSS | (34,826) | (129,478) |
Preferred Stock Dividend | (25,000) | (25,000) |
NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS | $ (59,826) | $ (154,478) |
BASIC AND DILUTED LOSS PER SHARE (in Dollars per share) | $ 0 | $ 0 |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING (in Shares) | 42,302,461 | 41,631,157 |
Statements of Cash Flows (Unaud
Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (34,826) | $ (129,478) |
Adjustments to reconcile net loss to net cash used by operating activities: | ||
Depreciation and amortization expense | 26,000 | 39,508 |
Change in allowance for bad debt expense (recovery) | (289) | |
Stock based compensation | 8,068 | 10,768 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (79,134) | (185,831) |
Prepaid and other current assets | (28,665) | (36,091) |
Inventory and any change in inventory reserve | (15,387) | (5,094) |
Accounts payable and accrued expenses | 66,101 | (2,627) |
Net Cash Used by Operating Activities | (57,843) | (309,134) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of property and equipment | (5,048) | 0 |
Net Cash Used by Investing Activities | (5,048) | 0 |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Payment on lease liability | (1,444) | (778) |
Payments on notes payable | (1,497) | (560) |
Preferred stock dividends | 0 | (25,000) |
Net Cash Used by Financing Activities | (2,941) | (26,338) |
NET DECREASE IN CASH | (65,832) | (335,472) |
CASH AT BEGINNING OF PERIOD | 267,302 | 455,717 |
CASH AT END OF PERIOD | 201,470 | 120,245 |
NON-CASH FINANCING ACTIVITIES | ||
Interest paid | 3,185 | 599 |
Income taxes paid | 0 | 0 |
SUPPLEMENTAL SCHEDULE OF CASH FLOW ACTIVITIES | ||
Capitalized lease | 0 | 19,337 |
Write off of previous reserved forklift tires | 81,224 | 0 |
Purchase of fixed assets through debt | 95,625 | 0 |
Accrued preferred stock dividends | 25,000 | 0 |
Issuance of stock for stock payable | $ 4,500 | $ 0 |
NOTE 1 - BASIS OF FINANCIAL STA
NOTE 1 - BASIS OF FINANCIAL STATEMENT PRESENTATION | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure Text Block [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1 - BASIS OF FINANCIAL STATEMENT PRESENTATION The accompanying unaudited condensed financial statements have been prepared by us pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted in accordance with such rules and regulations. The information furnished in the interim condensed financial statements includes normal recurring adjustments and reflects all adjustments, which, in the opinion of management, are necessary for a fair presentation of such financial statements. We believe the disclosures and information presented are adequate to make the information not misleading. These interim condensed financial statements should be read in conjunction with our most recent audited financial statements and notes thereto included in our June 30, 2016 Annual Report on Form 10-K. Operating results for the quarter ended September 30, 2016 are not necessarily indicative of the results that may be expected for the current fiscal year ending June 30, 2016. |
NOTE 2 - SUMMARY OF SIGNIFICANT
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Significant accounting policies disclosed therein have not changed since our audited financial statements and notes thereto included in our June 30, 2016 Annual Report on Form 10-K, except as noted below. Reclassifications Certain reclassifications, which have no effect on net loss, have been made in the prior period financial statements to conform to the current presentation, specifically the separation of “store” inventory as part of other current assets at September 30, 2015. Basic and Fully Diluted Net Loss Per Share Basic and Fully Diluted net loss per share is computed using the weighted-average number of common shares outstanding during the period. Our outstanding stock options and warrants and shares issuable upon conversion of outstanding convertible notes have been excluded from the basic and fully diluted net loss per share calculation. We excluded 3,800,000 and 3,370,000 common stock equivalents for the quarters ended September 30, 2016 and 2015, respectively, because they are anti-dilutive. Recent Accounting Pronouncements Recently Adopted and Recently Issued Accounting Guidance Issued In August, the FASB issued ASU No. 2016-15, “ Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (consensus of Emerging Issues Task Force) |
NOTE 3 - INVENTORY
NOTE 3 - INVENTORY | 3 Months Ended |
Sep. 30, 2016 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | NOTE 3 - INVENTORY Inventory is stated at the lower of cost (computed on a first-in, first-out basis) or market. The inventory consists primarily of chemicals, finished goods produced in our plant and products purchased for resale. September 30, 2016 June 30, 2016 (Unaudited) Raw Materials $ 228,232 $ 257,260 Finished Goods 628,957 663,666 Inventory reserve (46,856 ) (125,981 ) Inventory – net (current and long term) $ 810,333 $ 794,945 Our inventory reserve reflects items that were deemed to be defective or obsolete based on an analysis of all inventories on hand. In fiscal years 2017 and 2016, the Company critically reviewed all slow moving inventory to determine if defective or obsolete. If not defective or obsolete we presented these items as non-current inventory, although all inventory is ready and available for sale at any moment. For those items that are spare maintenance materials or parts kept on hand as backup components of major production lines, or “store inventories”, the Company capitalizes the amount if above our capitalization policy for property and equipment. In the past we have included these items as part of our raw materials inventory. As of September 30, 2015 these items, amounting to $10,815, have been reclassified into other current assets. |
NOTE 4 - DEBT
NOTE 4 - DEBT | 3 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | NOTE 4 – DEBT A former board member, Silas O. Kines, who passed away on January 11, 2012, was also the principal owner of Forklift Tire of Florida and K-2 Industrial Tire, Inc. In accordance with the Commission Agreement with Forklift Tire of Florida, dated February 2, 2011, between Amerityre Corporation and K-2 Industrial Tire, Inc., K-2 is due a five percent (5%) commission on all forklift tire sales. In exchange for the forklift models transferred to Amerityre under that agreement, the first $96,000 in commission payments will be used to extinguish the long term liability recorded on the transaction. As of September 30, 2016, $2,000 and $63,425 (June 30, 2016, $11,752 and $53,840) were recorded for the current and long-term portion, respectively, of the related liability. In June 2016, the Company executed a term note with U.S. Bank to finance critical manufacturing equipment and operating enhancements. Manufacturing equipment of approximately $29,000 was place in service in July 2016. The remaining operating enhancements are expected to be in service at the end of the second quarter of fiscal 2017. Total amount financed was $55,068, at 5.59% interest, with payments of $1,059 due for 60 months starting July 2016. In July 2016, the Company executed a term note with U.S. Bank to finance critical plant facility equipment which was placed into service in July 2017. The total amount financed was $37,666 at 5.59% interest, with payments of $720 due for 60 months starting October 2016. Payments due by period Total Less than 1 year 1 to 3 years 3 to 5 years After 5 years Bank debt (both US Bank facilities above) $ 91,384 $ 16,656 $ 59,726 $ 15,001 $ - Total cash obligations $ 91,384 $ 16,656 $ 59,726 $ 15,001 $ - |
NOTE 5 - CAPITAL LEASE
NOTE 5 - CAPITAL LEASE | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure Text Block Supplement [Abstract] | |
Debt and Capital Leases Disclosures [Text Block] | NOTE 5 - CAPITAL LEASE In July 2015 the Company entered into a capital lease for research and development equipment for $19,337 (which has accumulated depreciation of $4,673). The following is a schedule by years of future minimum lease payments under capital leases together with present value of the net minimum lease payments as of September 30, 2016: 2017 $ 6,523 2018 8,697 2019 725 2020 - 2021 - Total minimum lease payments 15,945 Less: executory costs - Net minimum lease payments 15,945 Less: amount representing interest 2,761 Present value of net minimum payments $ 13,184 |
NOTE 6 - STOCK OPTIONS AND WARR
NOTE 6 - STOCK OPTIONS AND WARRANTS | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure Text Block Supplement [Abstract] | |
Shareholders' Equity and Share-based Payments [Text Block] | NOTE 6 - STOCK OPTIONS AND WARRANTS Prior Issuances of options On December 1, 2015, 480,000 options were granted to the Company’s Chief Executive Officer (then our Chief Operating Officer) as part of his employment offer. The options have a strike price of $0.10, vest December 1, 2016 and expire December 1, 2020. On January 19, 2016, the Board granted all non-executive Board members 100,000 options, with the audit committee chair receiving an additional 50,000 options, for Board services rendered for the Board term ending December 2016. The options have a strike price of $0.10, vest at the end of the Board term in December 2016 and expire December 2019. On January 19, 2016, 50,000 options were granted to the Company’s Chief Financial Officer as part of renewal of her employment agreement. The options have a strike price of $0.10, vest ratably January 21, 2016 to December 1, 2016 and expire December 1, 2019. In addition to the option renewal $550 a month in health insurance reimbursement was included in the renewal. All other terms remain the same. Year to date expense related to these options is $8,068 as of September 30, 2016. A summary of the status of our outstanding stock options as of September 30, 2016 and June 30, 2016 and changes during the periods then ended is presented below: The following table summarizes the range of outstanding and exercisable options as of September 30, 2016: September 30, 2016 June 30, 2016 Weight Average Intrinsic Weight Average Intrinsic Shares Exercise Price Value Shares Exercise Price Value Outstanding beginning of period 3,800,000 $ 0.13 2,270,000 $ 0.14 Granted - $ 0.00 1,530,000 $ 0.10 Expired/Cancelled - $ 0.00 - $ 0.00 Exercised - $ 0.00 - $ 0.00 Outstanding end of period 3,800,000 $ 0.13 $ - 3,800,000 $ 0.13 $ - Exercisable 3,195,000 $ 0.13 $ - 3,070 ,000 $ 0.13 $ - Outstanding Exercisable Range of Exercise Prices Number Outstanding at September 30, 2016 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at September 30, 2016 Weighted Average Remaining Contractual Life $ 0.08 150,000 5.17 $ 0.08 150,000 5.17 $ 0.10 2,200,000 2.59 $ 0.10 1,595,000 2.59 $ 0.17 1,450,000 4.17 $ 0.17 1,450,000 4.17 3,800,000 3,195,000 General Warrant Information In September 2013, the Company obtained an extension on the remaining $100,000 secured convertible promissory note that was issued in the private placement that closed in September 2010. This note was paid off as of June 30, 2015. In exchange for the extension, the note holder received 500,000 common stock warrants and $6,500 in accrued interest and fees. The common stock warrants expire three years from the date of issuance, are exercisable at $0.13 per share, and vest on the next date the value of Amerityre common stock reaches $0.25 per share. As of September 30, 2016 the warrants expired. |
NOTE 7 - LIQUIDITY
NOTE 7 - LIQUIDITY | 3 Months Ended |
Sep. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Substantial Doubt about Going Concern [Text Block] | NOTE 7 - LIQUIDITY Our principal sources of liquidity consist of cash and payments received from our customers. We do not have any significant revolving credit arrangements. Historically, our expenses have exceeded our sales, resulting in operating losses. From time to time, we have obtained additional liquidity to fund our operations through the sale of shares of our common stock and the placement of short-term debt instruments. At the end of 2016 and early 2017, we were able to obtain term bank debt financing to finance critical manufacturing and facility equipment and operating enhancements which will be placed in service in fiscal year 2017. Management continues to evaluate financing options but is choosing to delay financing at terms that will subject the Company to high costs of debt and are reluctant to raise money through stock sales at what we believe are highly dilutive share prices. Additionally, management has notified our preferred shareholder that we will be suspending future payments of their preferred cash dividend payments, so the Company can increase its working capital levels. We have been working during the past year to improve our liquidity and access to capital resources. In order to execute the strategic business plan discussed during our shareholder meeting in December 2015, we require more capital resources. We will continue to pursue potential opportunities to secure short-term loans, long-term bank financing, revolving lines of credit with banking institutions and equity based transactions with interested financial firms and strategic industry partners in our effort to improve the Company’s financial position and enhance shareholder value. Over the past year, we have been working on various proposals to secure short-term loans as well as long-term bank financing and equity based investments. The Company currently does not have an existing revolving credit facility. In June and July 2016, in two separate bank promissory notes, we financed critical manufacturing and facility equipment and operating enhancements which will be placed in service in fiscal year 2017. Over the past year, we have worked with our vendors to obtain extended credit terms and increase credit lines where needed. Additionally, we continue to focus on adherence to established collection policies and proactive communication with repeat customers, including adjusting credit limits to allow for increased sales volume where warranted. We are intent on focusing on the sale and distribution of profitable product lines. Management continues to look for further financing facilities at affordable terms that will allow the Company to maintain sufficient raw material and finished goods inventory to capitalize on sales growth opportunities. We are limiting our capital expenditures to that required to maintain current manufacturing capability or support business initiatives identified in our strategic sales plan. We continue to work to reduce our overall costs wherever possible. To help address our cash resources which at times may be limited, we are in discussions with various third parties about potential opportunities to license our technology which we believe will bring in additional cash flows. We are in discussions with banks and other lenders regarding establishing a line of credit for short term cash needs, however at this time we have not succeeded in establishing such a line of credit. Lastly, we have entered into a short term receivable factoring agreement with a third party to sell our receivable invoices. This agreement enables us to sell individual customer invoices for faster cash flow to the Company as we deem needed. Management continues to execute its strategic plan focusing on “Profitability as a Mindset”. The Company’s emphasis on proper product pricing and new marketing campaigns has driven more profitable sales. Improvement in results has continued and the Company has been successful in reducing its required breakeven sales level. We believe our program to establish “Profitability as a Mindset” is a success and we are committed to continuing these efforts. In assessing our liquidity, management reviews and analyzes our current cash, accounts receivable, accounts payable, capital expenditure commitments and other obligations. In connection with the preparation of our financial statements for the period ended September 30, 2016, we have analyzed our cash needs for the next twelve months. We have concluded that our available cash and accounts receivables are sufficient to meet our current minimum working capital, capital expenditure and other cash requirements for this period. However, to expand manufacturing and sales operations beyond the current level, additional capital may be required. The Company has, on occasion, instituted initiatives to incentivize sales of slower moving inventory through promotional pricing. These programs will continue to be selectively utilized in the upcoming quarters to monetize inventory and improve our cash flow. As of November 4, 2016 the Company has approximately 7,488,713 shares authorized and available for issuance. Although we are reluctant to raise money through stock sales at what we believe are dilutive share prices, these authorized but unissued and unreserved shares of our common stock can be utilized if necessary to fund the expansion of our manufacturing operations or to obtain additional working capital. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 3 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Reclassification, Policy [Policy Text Block] | Reclassifications Certain reclassifications, which have no effect on net loss, have been made in the prior period financial statements to conform to the current presentation, specifically the separation of “store” inventory as part of other current assets at September 30, 2015. |
Earnings Per Share, Policy [Policy Text Block] | Basic and Fully Diluted Net Loss Per Share Basic and Fully Diluted net loss per share is computed using the weighted-average number of common shares outstanding during the period. Our outstanding stock options and warrants and shares issuable upon conversion of outstanding convertible notes have been excluded from the basic and fully diluted net loss per share calculation. We excluded 3,800,000 and 3,370,000 common stock equivalents for the quarters ended September 30, 2016 and 2015, respectively, because they are anti-dilutive. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements Recently Adopted and Recently Issued Accounting Guidance Issued In August, the FASB issued ASU No. 2016-15, “ Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (consensus of Emerging Issues Task Force) |
NOTE 3 - INVENTORY (Tables)
NOTE 3 - INVENTORY (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory [Table Text Block] | Inventory is stated at the lower of cost (computed on a first-in, first-out basis) or market. The inventory consists primarily of chemicals, finished goods produced in our plant and products purchased for resale. September 30, 2016 June 30, 2016 (Unaudited) Raw Materials $ 228,232 $ 257,260 Finished Goods 628,957 663,666 Inventory reserve (46,856 ) (125,981 ) Inventory – net (current and long term) $ 810,333 $ 794,945 |
NOTE 4 - DEBT (Tables)
NOTE 4 - DEBT (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | Payments due by period Total Less than 1 year 1 to 3 years 3 to 5 years After 5 years Bank debt (both US Bank facilities above) $ 91,384 $ 16,656 $ 59,726 $ 15,001 $ - Total cash obligations $ 91,384 $ 16,656 $ 59,726 $ 15,001 $ - |
NOTE 5 - CAPITAL LEASE (Tables)
NOTE 5 - CAPITAL LEASE (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure Text Block Supplement [Abstract] | |
Schedule of Capital Leased Assets [Table Text Block] | The following is a schedule by years of future minimum lease payments under capital leases together with present value of the net minimum lease payments as of September 30, 2016: 2017 $ 6,523 2018 8,697 2019 725 2020 - 2021 - Total minimum lease payments 15,945 Less: executory costs - Net minimum lease payments 15,945 Less: amount representing interest 2,761 Present value of net minimum payments $ 13,184 |
NOTE 6 - STOCK OPTIONS AND WA17
NOTE 6 - STOCK OPTIONS AND WARRANTS (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure Text Block Supplement [Abstract] | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | The following table summarizes the range of outstanding and exercisable options as of September 30, 2016: September 30, 2016 June 30, 2016 Weight Average Intrinsic Weight Average Intrinsic Shares Exercise Price Value Shares Exercise Price Value Outstanding beginning of period 3,800,000 $ 0.13 2,270,000 $ 0.14 Granted - $ 0.00 1,530,000 $ 0.10 Expired/Cancelled - $ 0.00 - $ 0.00 Exercised - $ 0.00 - $ 0.00 Outstanding end of period 3,800,000 $ 0.13 $ - 3,800,000 $ 0.13 $ - Exercisable 3,195,000 $ 0.13 $ - 3,070 ,000 $ 0.13 $ - |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | The following table summarizes the range of outstanding and exercisable options as of September 30, 2016: Outstanding Exercisable Range of Exercise Prices Number Outstanding at September 30, 2016 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at September 30, 2016 Weighted Average Remaining Contractual Life $ 0.08 150,000 5.17 $ 0.08 150,000 5.17 $ 0.10 2,200,000 2.59 $ 0.10 1,595,000 2.59 $ 0.17 1,450,000 4.17 $ 0.17 1,450,000 4.17 3,800,000 3,195,000 |
NOTE 2 - SUMMARY OF SIGNIFICA18
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - shares | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Accounting Policies [Abstract] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 3,800,000 | 3,370,000 |
NOTE 3 - INVENTORY (Details)
NOTE 3 - INVENTORY (Details) | 3 Months Ended |
Sep. 30, 2016USD ($) | |
Inventory Disclosure [Abstract] | |
Prior Period Reclassification Adjustment | $ 10,815 |
NOTE 3 - INVENTORY (Details) -
NOTE 3 - INVENTORY (Details) - Schedule of Inventory - USD ($) | Sep. 30, 2016 | Jun. 30, 2016 |
Schedule of Inventory [Abstract] | ||
Raw Materials | $ 228,232 | $ 257,260 |
Finished Goods | 628,957 | 663,666 |
Inventory reserve | (46,856) | (125,981) |
Inventory – net (current and long term) | $ 810,333 | $ 794,945 |
NOTE 4 - DEBT (Details)
NOTE 4 - DEBT (Details) - USD ($) | 1 Months Ended | 3 Months Ended | |
Jul. 31, 2016 | Jun. 30, 2016 | Sep. 30, 2016 | |
NOTE 4 - DEBT (Details) [Line Items] | |||
Long-term Debt, Current Maturities | $ 20,518 | $ 18,656 | |
Long-term Debt, Excluding Current Maturities | 100,142 | $ 138,139 | |
Property, Plant and Equipment, Transfers and Changes | $ 29,000 | ||
Notes Payable, Other Payables [Member] | |||
NOTE 4 - DEBT (Details) [Line Items] | |||
Sales Commission, Percentage | 5.00% | ||
Debt Instrument, Face Amount | $ 96,000 | ||
Long-term Debt, Current Maturities | 11,752 | 2,000 | |
Long-term Debt, Excluding Current Maturities | 53,840 | $ 63,425 | |
Notes Payable to Banks [Member] | |||
NOTE 4 - DEBT (Details) [Line Items] | |||
Debt Instrument, Face Amount | $ 37,666 | $ 55,068 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.59% | 5.59% | |
Debt Instrument, Periodic Payment | $ 720 | $ 1,059 | |
Debt Instrument, Term | 60 months | 60 months |
NOTE 4 - DEBT (Details) - Sched
NOTE 4 - DEBT (Details) - Schedule of Maturities of Long-term Debt | Sep. 30, 2016USD ($) |
NOTE 4 - DEBT (Details) - Schedule of Maturities of Long-term Debt [Line Items] | |
Total | $ 91,384 |
Less than 1 year | 16,656 |
1 to 3 years | 59,726 |
3 to 5 years | 15,001 |
After 5 years | 0 |
Notes Payable to Banks [Member] | |
NOTE 4 - DEBT (Details) - Schedule of Maturities of Long-term Debt [Line Items] | |
Total | 91,384 |
Less than 1 year | 16,656 |
1 to 3 years | 59,726 |
3 to 5 years | 15,001 |
After 5 years | $ 0 |
NOTE 5 - CAPITAL LEASE (Details
NOTE 5 - CAPITAL LEASE (Details) - USD ($) | Sep. 30, 2016 | Jul. 31, 2015 |
Disclosure Text Block Supplement [Abstract] | ||
Capital Leases, Future Minimum Payments Due | $ 15,945 | $ 19,337 |
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Accumulated Depreciation | $ 4,673 |
NOTE 5 - CAPITAL LEASE (Detai24
NOTE 5 - CAPITAL LEASE (Details) - Schedule of Capital Leased Assets - USD ($) | Sep. 30, 2016 | Jul. 31, 2015 |
Schedule of Capital Leased Assets [Abstract] | ||
2,017 | $ 6,523 | |
2,018 | 8,697 | |
2,019 | 725 | |
2,020 | 0 | |
2,021 | 0 | |
Total minimum lease payments | 15,945 | $ 19,337 |
Less: executory costs | 0 | |
Net minimum lease payments | 15,945 | |
Less: amount representing interest | 2,761 | |
Present value of net minimum payments | $ 13,184 |
NOTE 6 - STOCK OPTIONS AND WA25
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) - USD ($) | Jan. 19, 2016 | Dec. 01, 2015 | Oct. 31, 2015 | Sep. 30, 2013 | Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 |
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 0 | 1,530,000 | |||||
Interest Paid | $ 3,185 | $ 599 | |||||
Convertible Debt [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Convertible Notes Payable, Current | $ 100,000 | ||||||
Class of Warrant or Rights, Granted | 500,000 | ||||||
Interest Paid | $ 6,500 | ||||||
Warrants, Term of Warrants | 3 years | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.13 | ||||||
Share Price | $ 0.25 | ||||||
Chief Executive Officer [Member] | Options Granted December 1, 2015 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 480,000 | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Option Exercise Price | $ 0.10 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | Dec. 1, 2016 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Dec. 1, 2020 | ||||||
Board member [Member] | Options Granted January 19, 2016 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 100,000 | ||||||
Audit Committee Chair [Member] | Options Granted January 19, 2016 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 50,000 | ||||||
Board Members and Audito Committe Chair [Member] | Options Granted January 19, 2016 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Option Exercise Price | $ 0.10 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | December 2,016 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | December 2,019 | ||||||
Board Members and Audito Committe Chair [Member] | Options Granted October 2015 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | December 2,016 | ||||||
Chief Financial Officer [Member] | Options Granted January 19, 2016 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 50,000 | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Option Exercise Price | $ 0.10 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Dec. 1, 2019 | ||||||
Monthly Health Insurance Reimbursement | $ 550 | ||||||
Allocated Share-based Compensation Expense | $ 8,068 | ||||||
Minimum [Member] | Chief Financial Officer [Member] | Options Granted January 19, 2016 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | Jan. 21, 2016 | ||||||
Maximum [Member] | Chief Financial Officer [Member] | Options Granted January 19, 2016 [Member] | |||||||
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting Date | Dec. 1, 2016 |
NOTE 6 - STOCK OPTIONS AND WA26
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) - Schedule of Share-based Compensation, Stock Options, Activity - USD ($) | 3 Months Ended | 12 Months Ended |
Sep. 30, 2016 | Jun. 30, 2016 | |
Schedule of Share-based Compensation, Stock Options, Activity [Abstract] | ||
Outstanding beginning of period | 3,800,000 | 2,270,000 |
Outstanding beginning of period | $ 0.13 | $ 0.14 |
Granted | 0 | 1,530,000 |
Granted | $ 0 | $ 0.10 |
Expired/Cancelled | 0 | 0 |
Expired/Cancelled | $ 0 | $ 0 |
Exercised | 0 | 0 |
Exercised | $ 0 | $ 0 |
Outstanding end of period | 3,800,000 | 3,800,000 |
Outstanding end of period | $ 0.13 | $ 0.13 |
Outstanding end of period | $ 0 | $ 0 |
Exercisable | 3,195,000 | 3,070,000 |
Exercisable | $ 0.13 | $ 0.13 |
Exercisable | $ 0 | $ 0 |
NOTE 6 - STOCK OPTIONS AND WA27
NOTE 6 - STOCK OPTIONS AND WARRANTS (Details) - Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range - $ / shares | 3 Months Ended | ||
Sep. 30, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Number of Options Outstanding | 3,800,000 | 3,800,000 | 2,270,000 |
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.13 | $ 0.13 | $ 0.14 |
Number of Exercisable Options | 3,195,000 | 3,070,000 | |
Options at $0.08 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Exercise Price of Options (in Dollars per share) | $ 0.08 | ||
Number of Options Outstanding | 150,000 | ||
Weighted Average Remaining Contractual Life of Outstanding Options | 5 years 2 months 1 day | ||
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.08 | ||
Number of Exercisable Options | 150,000 | ||
Weighted Average Remaining Contractual Life of Exercisable Options | 5 years 2 months 1 day | ||
Options at $0.10 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Exercise Price of Options (in Dollars per share) | $ 0.10 | ||
Number of Options Outstanding | 2,200,000 | ||
Weighted Average Remaining Contractual Life of Outstanding Options | 2 years 7 months 2 days | ||
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.10 | ||
Number of Exercisable Options | 1,595,000 | ||
Weighted Average Remaining Contractual Life of Exercisable Options | 2 years 7 months 2 days | ||
Options at $0.17 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Exercise Price of Options (in Dollars per share) | $ 0.17 | ||
Number of Options Outstanding | 1,450,000 | ||
Weighted Average Remaining Contractual Life of Outstanding Options | 4 years 2 months 1 day | ||
Weighted Average Exercise Price of Outstanding Options (in Dollars per share) | $ 0.17 | ||
Number of Exercisable Options | 1,450,000 | ||
Weighted Average Remaining Contractual Life of Exercisable Options | 4 years 2 months 1 day |
NOTE 7 - LIQUIDITY (Details)
NOTE 7 - LIQUIDITY (Details) | 3 Months Ended |
Sep. 30, 2016shares | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Shares Available for Issuance | 7,488,713 |