Capital Stock

3 Months Ended

Mar. 31, 2015

Capital Stock

Capital Stock

13 — Capital Stock

Reincorporation

Effective April 14, 2014, we reincorporated as a Delaware corporation. As part of this reincorporation, we converted all previously outstanding shares of our Class A Common Stock and Class B Common Stock into a single class of common stock on a 1.75:1 conversion ratio and all previously outstanding shares of our Series A Preferred Stock were split on a 1.75:1 conversion ratio into new Series A Preferred Stock. This recapitalization was accounted for as a stock split as the intent was to provide for wider distribution of our common stock. In accordance with our Certificate of Incorporation, upon the sale of shares pursuant to an initial public offering, which was completed in July 2014, all of our Series A Preferred Stock was automatically converted into common stock on a 1:1 conversion ratio.

The table below summarizes the effect of the stock split and conversion on our capital stock that was previously outstanding prior to our initial public offering:

Series A Preferred Stock outstanding — Pre recapitalization	800,000
Stock split ratio	1.75:1
Series A Preferred Stock outstanding — Post recapitalization	1,400,000
Common stock outstanding — Pre recapitalization
Class A Common Stock	400,000
Class B Common Stock	3,600,000
Total	4,000,000
Stock split ratio	1.75:1
Common stock outstanding — Post recapitalization	7,000,000

As of the effective date of the reincorporation, we are now authorized to issue 90,000,000 shares of Common Stock with a par value of $0.0001 per share and 10,000,000 shares of Preferred Stock with a par value of $0.0001.

The effect of this stock split has been retroactively applied to per-share computations, share and option amounts for all periods presented within these condensed financial statements and accompanying notes.