Stockholders' Deficit

12 Months Ended

Jan. 31, 2019

Equity [Abstract]

Stockholders' Deficit

Note 10 - Stockholders’ Deficit

Common Stock

On July 27, 2017, (the effective date), 23,400 shares of the Company’s Series A Preferred Stock were automatically converted into approximately 3,466,667 shares of the Company’s Common Stock. Pursuant to the terms of the Certificate of Designation, the automatic conversion occurred on June 27, 2017 following the volume weighted average price of the Common Stock during any ten consecutive trading days remaining at least $1.0125. The conversion became effective on July 27, 2017.

During the year ended January 31, 2018, the Company issued 90,717 shares of its common stock to the holders of the Series A Preferred stockholders for the dividends in arrears totaling $91,565.

During the year ended January 31, 2018, the Company issued 225,882 shares of its common stock to employees and consultants for services rendered of $255,500.

(C) Options

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

	Options			Weighted  Average Exercise Price
Outstanding – January 31, 2017		881,404		$	0.78
Exercisable – January 31, 2017		799,404		$	0.78
Granted		239,000		$	1.21
Exercised		-		$	-
Forfeited/Cancelled		(254,404	)	$	1.05
Outstanding – January 31, 2018		866,000		$	0.87
Exercisable – January 31, 2018		699,000		$	0.78
Granted		130,000		$	0.89
Exercised		(40,000	)	$	1.00
Forfeited/Cancelled		(307,000	)	$	0.98
Outstanding – January 31, 2019		649,000		$	0.77
Exercisable – January 31, 2019		521,500		$	0.71

		Options Outstanding					Options Exercisable
Exercise Price		Number  Outstanding		Weighted  Average Remaining  Contractual  Life (in years)	Weighted  Average  Exercise Price		Number Exercisable	Weighted  Average  Exercise Price
$	0.39 – 2.97		649,000	2.84 years	$	0.77	521,500	$	0.71

At January 31, 2019 the total intrinsic value of options outstanding and exercisable was $109,120 and $109,120, respectively.

During the year ended January 31, 2019, 40,000 options were exercised by the option holders. The Company issued 40,000 shares of common stock as a result of this exercise and received proceeds of $40,000.

For the years ended January 31, 2019 and 2018, the Company recognized share-based compensation related to options of an aggregate of $162,494 and $172,740, respectively. At January 31, 2019, unrecognized share-based compensation was $40,778.

(D) Warrants

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

	Warrants			Weighted Average Exercise Price
Outstanding – January 31, 2017		7,425,865		$	1.06
Exercisable – January 31, 2017		7,425,865		$	1.06
Granted		-		$	-
Exercised		(364,466	)	$	-
Forfeited/Cancelled		-		$	-
Outstanding – January 31, 2018		7,061,399		$	1.06
Exercisable – January 31, 2018		7,061,399		$	1.06
Granted		-		$	-
Exercised		(482,734	)	$	1.00
Forfeited/Cancelled		(333,334	)	$	1.50
Outstanding – January 31, 2019		6,245,331		$	1.04
Exercisable – January 31, 2019		6,245,331		$	1.04

Warrants Outstanding						Warrants Exercisable
Exercise Price		Number Outstanding		Weighted Average Remaining Contractual Life (in years)		Weighted Average Exercise Price		Number Exercisable		Weighted Average Exercise Price
$	0.68 – 2.50		6,245,331		1.83 years	$	1.04		6,245,331	$	1.04

At January 31, 2019, the total intrinsic value of warrants outstanding and exercisable was $433,333 and $433,333, respectively.

During the year ended January 31, 2019, 482,734 warrants were exercised by the warrant holders on a cashless basis. The Company issued 72,804 shares of common stock as a result of this exercise.

During the year ended January 31, 2018, 364,466 warrants were exercised by the warrant holders on a cashless basis. The Company issued 159,454 shares of common stock as a result of this exercise.