Net Loss Per Share of Common Stock

6 Months Ended

Jun. 30, 2014

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

8. NET LOSS PER SHARE OF COMMON STOCK

Basic net loss per share is computed using the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed using the weighted average number of common shares and potential common shares outstanding during the period, so long as the inclusion of potential common shares does not result in a lower net loss per share. Potential common shares consist of restricted stock units (using the treasury stock method), the incremental common shares issuable upon the exercise of stock options (using the treasury stock method), and the conversion of the Company’s convertible preferred stock (using the if-converted method). For the three months ended June 30, 2014 and 2013, approximately 6.0 million and 4.3 million unvested restricted stock units and vested and unvested options to purchase Common Stock, respectively, were excluded from the calculation, as their effect would result in a lower net loss per share. For the six months ended June 30, 2014 and 2013, approximately 5.9 million and 4.0 million unvested restricted stock units and vested and unvested options to purchase Common Stock, respectively, were excluded from the calculation, as their effect would result in a lower net loss per share.

The following table reconciles the numerator and denominator for the calculation.

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Basic and diluted net loss per share:
Numerator:
Net loss	$	(641,487	)	$	(1,076,409	)	$	(1,767,612	)	$	(2,819,093	)
Preferred stock cash dividends		96,424			—			192,848			—
Numerator for basic and diluted earnings per share
Net loss available to common stockholders	$	(737,911	)	$	(1,076,409	)	$	(1,960,460	)	$	(2,819,093	)
Denominator:
Weighted average basic and diluted shares outstanding		34,367,669			33,784,114			34,287,410			33,532,692
Basic and diluted net loss per share:
Net loss	$	(0.02	)	$	(0.03	)	$	(0.05	)	$	(0.08	)
Preferred stock cash dividends		(0.00	)		—			(0.01	)		—
Net loss available to common stockholders	$	(0.02	)	$	(0.03	)	$	(0.06	)	$	(0.08	)