Stockholders' Equity

3 Months Ended

Apr. 30, 2014

Equity [Abstract]

Stockholders' Equity

Note 8- Stockholders’ Equity

(A) Common Stock Transactions

During January 2014, the Company sold 300,000 shares of common stock to investors in exchange for $450,000 in proceeds in connection with the private placement of the Company’s stock. The shares were issued in March 2014.

In connection with the private placement the Company incurred fees of $102,166 consisting of $58,500 in cash and 30,000 warrants with a fair value of $43,666.

Common Stock Subscribed

During March 2014, the Company sold 236,667 shares of common stock to investors in exchange for $355,000 in proceeds in connection with the private placement of the Company’s stock. The shares were not issued as of April 30, 2014.

In connection with the private placement the Company incurred fees of $80,536 consisting of $46,150 in cash and 23,667 warrants with a fair value of $34,386.

During April 2014, the Company sold 416,668 shares of common stock to investors in exchange for $625,001 in proceeds in connection with the private placement of the Company’s stock. The shares were not issued as of April 30, 2014.

In connection with the private placement the Company incurred fees of $141,791 consisting of $81,250 in cash and 41,667 warrants with a fair value of $60,541.

(B) Options

The following is a summary of the Company’s option activity:

	Options		Weighted Average Exercise Price
Outstanding – January 1, 2013		223,404	$	1.00
Exercisable – January 1, 2013		-	$	-
Granted		318,000	$	1.00
Exercised		-	$	-
Forfeited/Cancelled		-	$	-
Outstanding – December 31, 2013		541,404	$	1.00
Exercisable – December 31, 2013		428,845	$	1.00
Granted		-	$	-
Exercised		-	$	-
Forfeited/Cancelled		-	$	-
Outstanding – January 31, 2014		541,404	$	1.00
Exercisable – January 31, 2014		434,177	$	1.00
Granted		-	$	1.00
Exercised		-	$	-
Forfeited/Cancelled		-	$	-
Outstanding – April 30, 2014		541,404	$	1.00
Exercisable – April 30, 2014		444,288	$	1.00

Options Outstanding							Options Exercisable
Range of Exercise Price		Number Outstanding		Weighted Average Remaining Contractual Life (in years)	Weighted Average Exercise Price		Number Exercisable	Weighted Average Exercise Price
$	1.00		541,404	3.52 years	$	1.00	444,288	$	1.00

At April 30, 2014 and January 31, 2014, the total intrinsic value of options outstanding and exercisable was $1,061,152 and $1,082,808, respectively.

As of April 30, 2014, the Company has $4,172 in stock-based compensation related to stock options that is yet to be vested. The weighted average expensing period of the unvested options is .47 years.

(C) Warrants

The following is a summary of the Company’s warrant activity:

	Warrants		Weighted Average Exercise Price
Outstanding – January 1, 2013		505,400	$	1.00
Exercisable – January 1, 2013		-	$	-
Granted		386,667	$	1.50
Exercised		-	$	-
Forfeited/Cancelled		-	$	-
Outstanding – December 31, 2013		892,067	$	1.22
Exercisable – December 31, 2013		892,067	$	1.22
Granted		30,000	$	1.50
Exercised		-	$	-
Forfeited/Cancelled		-	$	-
Outstanding – January 31, 2014		922,067	$	1.22
Exercisable – January 31, 2014		922,067	$	1.22
Granted		65,334	$	1.50
Exercised		-	$	-
Forfeited/Cancelled		-	$	-
Outstanding – April 30, 2014		987,401	$	1.24
Exercisable – April 30, 2014		987,401	$	1.24

Warrants Outstanding						Warrants Exercisable
Range of Exercise Price	Number Outstanding		Weighted Average Remaining Contractual Life (in years)	Weighted Average Exercise Price		Number Exercisable	Weighted Average Exercise Price
$1.00-$1.50		987,401	3.81 years	$	1.24	987,401	$	1.24

At April 30, 2014 and January 31, 2014, the total intrinsic value of warrants outstanding and exercisable was $1,694,305 and $1,635,801, respectively.