On August 7, 2017, the Company adopted an equity incentive plan (the “Plan”). Under the Plan, directors, officers, employees, consultants, and advisors of the Company can be paid incentive compensation measured by the value of the Company’s common shares through grants of stock options, stock appreciation rights, or restricted stock.

In connection with the Company’s IPO, the board of directors adopted, and its stockholders approved, the 2020 Incentive Award Plan (the “2020 Plan”), in order to facilitate the grant of cash and equity incentives to directors, employees (including the Company’s named executive officers) and consultants of the Company and its subsidiaries. Upon the effectiveness of the 2020 Plan, no further grants will be made under the Equity Incentive Plan. However, the Equity Incentive Plan will continue to govern the terms and conditions of outstanding awards granted under it. The 2020 Plan provides for the grant of stock options, including ISOs and NSOs, SARs, restricted stock, dividend equivalents, RSUs and other stock or cash based awards.

Stock options under the Plan and the 2020 Plan have a 10-year contractual term and vest over the vesting period specified in the applicable award agreement (generally five years from the date of grant), at achievement of a performance requirement, or upon change of control (as defined in the applicable plan).

Changes in awards granted under the Plan as of September 30, 2020 and December 31, 2019, are as follows:

	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Term
Awards outstanding—December 31, 2019		2,375,218		$	8.22		8.33
Awards issued		2,812,135		$	23.01
Awards exercised		(36,003	)	$	8.22
Awards forfeited		(99,885	)	$	11.07
Awards outstanding—September 30, 2020		5,051,465		$	16.40		8.82

As of September 30, 2020 and December 31, 2019, stock awards issued under the Plan of 751,136 and 573,098 common shares, respectively, were vested. The Company has elected early adoption of ASU No. 2016-09 to recognize forfeitures as they occur. As a result of the adoption, for the nine months ended September 30, 2020, the Company reversed $2 out of stock-based compensation previously recorded, compared to $4 for the nine months ended September 30, 2019.

The Company has valued awards for each of the plans included herein using the Black-Scholes option-pricing model. The Company historically has been a private company and lacks company-specific historical and implied volatility information. Therefore, the Company estimates its expected stock volatility based on historical volatility of peer companies and expects to continue to do so until such time as it has adequate historical data regarding the volatility of its own traded stock price. For options with service-based vesting conditions, the expected term of the Company’s stock options has been determined utilizing the “simplified” method for awards that qualify as “plain-vanilla” options. The risk-free interest rate is determined by reference to the U.S. Treasury yield curve in effect at the time of grant of the award for the time periods approximately equal to the expected term of the award. Expected dividend yield is based on the fact that the Company has never paid cash dividends and does not expect to pay any cash dividends in the foreseeable future.

	As of
	September 30, 2020			December 31, 2019
Dividend yield		0.00	%		0.00	%
Expected volatility	55.00 - 95.80		%	95.30 - 99.30		%
Risk-free interest rate	0.32 - 0.51		%	1.60 - 2.59		%
Lack of marketability discount	0.00 - 20.48		%	26.00 - 31.00		%
Expected term (years)	5.4 - 6.5				6.5

The weighted average per share fair value of awards issued under the Plan was $9.39 and $3.38 in 2020 and 2019, respectively.

Stock-based compensation expense was $1,330 and $2,266 for the three and nine months ended September 30, 2020, compared to $407 and $1,104 for the three and nine months ended September 30, 2019, and was recorded in the unaudited condensed consolidated statements of operations and comprehensive income (loss) in the following line items:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Research and development expense	$	141	$	75	$	310	$	208
Sales and marketing expense		159		112		378		241
General and administrative expense		1,030		220		1,578		655
	$	1,330	$	407	$	2,266	$	1,104

Options issued under the Plan are reflected as a component of equity in these unaudited condensed consolidated financial statements. Stock appreciation rights are reflected as other non-current liability. The Company will recognize compensation expense for these awards as summarized in the following table.

Years Ending December 31,	Stock Compensation Expense
2020	$	4,687
2021		9,645
2022		9,514
2023		8,541
2024		7,809
2025		5,001