|6 Months Ended|
Jun. 30, 2021
|Stockholders' Equity Note [Abstract]|
Note 7. Stockholders’ Equity
The Company has 45,000,000 Common shares and 900,000 Series A convertible preferred shares authorized with a par value of $0.001 per share.
Issuance of Shares Pursuant to Conversion of Series A Preferred Stock
During February 2021, the Company issued 52,632 shares of common stock to a holder of its Series A Convertible Preferred Stock upon the conversion of 20,000 of such shares of Series A Convertible Preferred Stock.
Issuance of Shares for Equity Financing
On January 6, 2021, The Company issued 72,369 shares of common stock and 90,461 5 year warrants to purchase shares of common stock at $4.00 per share pursuant to the prior receipt of $275,000 in equity financing.
Issuance of Shares for Vested Restricted Stock Units
Between January 25, 2021 and June 10, 2021, the company issued a total of 272,164 shares of common stock to holders of fully vested restricted stock units.
Issuance of Shares Pursuant to Settlement of Accounts Payable
On June 1, 2021, the Company issued 96,757 shares of common stock in full settlement of $132,557 of accounts payable. The shares had a fair value of $1.37 per share.
During May 2020, the Company received $515,000 of a committed $565,000 from the sale of 135,527 shares of common stock (at a price of $3.80 per share) and warrants to purchase 169,409 shares of common stock, at an exercise price of $4.00 per share. As of June 30, 2021, the full amount has not been received and only $415,000 worth of the shares and warrants have been issued. The remaining $125,000 is included in equity financing within current liabilities on the consolidated balance sheet.
Stock Incentive Plan
The number of shares of the Company’s common stock that are issuable pursuant to warrant and stock option grants with time-based vesting as of and for the six months ended June 30, 2021 were:
The Company has classified the warrant as having Level 2 inputs, and has used the Black-Scholes option-pricing model to value the warrant. The fair value at the issuance dates for the above warrant was based upon the following management assumptions:
The Company’s outstanding warrants and options at June 30, 2021 are as follows:
As of June 30, 2021 and December 31, 2020, the total unrecognized expense for unvested stock options and restricted stock awards was approximately $1.9 million and $2.5 million, respectively, to be recognized over a one to three year period from the grant dates.
Stock-based compensation expense for the three and six months ended June 30, 2021 and 2020 was as follows:
Stock-based compensation expense categorized by the equity components for the three and six months ended June 30, 2021 and 2020 was as follows:
The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef