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Common Stock Issuances
6 Months Ended
Jun. 30, 2017
Equity [Abstract]  
Common Stock Issuances

Note 10. Common stock issuances

 

Sale of common stock

 

During February and March 2017, the Company sold 1,625,000 shares of its common stock to accredited investors at a purchase price of $0.40 per Share for aggregate proceeds received of $650. In addition, for every Share purchased, the Investors received detachable warrants, as follows: (i) one Series A Warrant; (ii) one Series B Warrant; and (iii) one Series C Warrant.

 

During May 2017, the Company sold 1,250,000 shares of its common stock at $0.40 per share for total proceeds of $500. In addition, for every Share purchased, the Investors received detachable warrants, as follows: (i) one Series A Warrant; (ii) one Series B Warrant; and (iii) one Series C Warrant.

 

Each Series A Warrant is exercisable for one share of common stock, for a period of three years at a price of $0.50 per share. Each Series B Warrant is exercisable for one share of common stock, for a period of three years at a price of $0.75 per share, and each Series C Warrant is exercisable is exercisable for one share of common stock, for a period of three years at a price of $1.00 per share.

 

Management evaluated the terms of the warrants and determined that each were considered “fixed for fixed” and that they were properly classified as equity instruments.

 

During the three months ended June 30, 2017, the Company issued 1,010,000 shares of its common stock to consultants in exchange for services. The Company charged $969 to stock based compensation, which is a component of selling, general and administrative expenses in the Company’s Statements of Operations and Comprehensive Loss.