Share-based Compensation (Tables)

6 Months Ended

Jun. 30, 2016

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of stock option activity

The following is a summary of stock option activity for the six month period ended June 30, 2016, and the status of stock options outstanding at June 30, 2016:

	Six Month Period Ended
	June 30, 2016
			Wtd. Avg.
			Exercise
	Options		Price
Outstanding at beginning of year		2,555,263	$	1.80
Granted		704,000	$	1.80
Exercised		(96,166)	$	1.24
Forfeited		(372,458)	$	2.14
Expired		(59,026)	$	1.95
Outstanding at June 30, 2016		2,731,613	$	1.77
Stock options exercisable at June 30, 2016		1,355,954	$	1.57

Weighted average assumptions of share based payment

The fair value of share-based payments made with stock options to employees and non-employee directors was estimated on the measurement date using the Black-Scholes model using the following weighted average assumptions.

	Three Month Period Ended						Six Month Period Ended
	June 30,						June 30,
	2016			2015			2016			2015
Risk free interest rate		1.45	%		1.77	%		1.52	%		1.77	%
Dividend yield		0.0	%		0.0	%		0.0	%		0.0	%
Expected term (in years)		7			7			7			7
Volatility		75	%		105	%		75	%		105	%

Share-based Compensation, Restricted Stock and Restricted Stock Units Activity

The following is a summary of restricted stock activity for the six month period ended June 30, 2016, and the status of unvested restricted stock outstanding at June 30, 2016:

	Six Month Period Ended
	June 30, 2016
	Number of Restricted Shares		Grant-Date Fair Value
Outstanding at beginning of year		—	$	N/A
Granted		200,000	$	1.90
Vested		(62,498)	$	1.90
Outstanding at June 30, 2016		137,502	$	1.90

Stock compensation expense

We recorded stock compensation expense for the three and six month periods ended June 30, 2016 and 2015, as follows:

	Three Month Period Ended				Six Month Period Ended
	June 30,				June 30,
	2016		2015		2016		2015
Research and development costs	$	47,366	$	19,414	$	84,835	$	26,358
Sales and marketing costs		54,748		19,270		118,247		25,025
General and administrative costs		142,367		57,677		219,878		65,450
Cost of product sales		11,754		28,501		(20,197)		41,538
Total	$	256,235	$	124,862	$	402,763	$	158,371