Stockholder's Deficit (Tables)

3 Months Ended

Mar. 31, 2017

Schedule of Balance of Stockholder's Equity

	Convertible Series A															Total
	Preferred Stock						Common Stock				Paid-in		Accumulated			Stockholders’
	Shares			Amount			Shares		Amount		Capital		Deficit			Deficit
Balance, December 31, 2016		300			245,838			7,627,512		764		13,699,275		(12,813,044	)		1,132,833
Issuance of common stock		-			-			45,000		4		58,496					58,500
Issuance of common stock, net of issuance costs of $6,033, with detachable warrants		-			-			576,923		57		743,910					743,967
Issuance of common stock from warrant exercise for cash		-			-			122,500		12		159,238					159,250
Issuance of common stock for services by third parties		-			-			59,385		6		83,794					83,800
Issuance of common stock for services by employees		-			-			1,724		-		2,517					2,517
Stock-based compensation		-			-			-		-		158,658					158,658
Issuance of common stock for acquisition of MotherLode, net of issuance costs of $5,580		-			-			260,000		26		371,394					371,420
Shares issued for payoff of long-term notes		-			-			67,308		7		87,493					87,500
Cumulative dividend on Series A preferred		-			5,037			-		-		-		(5,037	)		-
Common shares issued for preferred conversion		(250	)		(201,449	)		250,000		25		201,424					-
Net loss		-			-			-		-		-		(901,818	)		(901,818	)
Balance, March 31, 2017		50			49,426			9,010,352		901		15,566,199		(13,719,899	)		1,896,627

Schedule of Issuance of Convertible Preferred Stock

	Shares		Shares Issued and		Net		Conversion		Number of shares of common stock		Liquidation		Liquidation
	Authorized		Outstanding		Proceeds		Price/Share		Equivalents		Preference		Value/Share
Series A		3,000		50	$	49,426	$	1.50		33,333	$	125,000	$	2,500

Summary of Stock Option Activity

A summary of all stock option activity at and for the three months ended March 31, 2017 is presented below:

	# of Options			Weighted- Average Exercise Price
Outstanding at December 31, 2016		521,250		$	3.08
Options granted		335,000	(1)		1.57
Options exercised		-			-
Options canceled		-			-
Outstanding at March 31, 2017		856,250		$	2.49
Exercisable at March 31, 2017		258,854		$	3.93

(1) options granted under 2016 Stock Incentive Plan;

Schedule of Weighted-average Assumptions Used in Black-Scholes Valuation Method

The following weighted-average assumptions were used in the Black-Scholes valuation model for options granted during the three months ended March 31, 2017:

Risk-free interest rate	1.60	%
Expected term (in years)	7.25
Dividend yield	-
Expected volatility	75	%

Warrant [Member]

Schedule of Weighted-average Assumptions Used in Black-Scholes Valuation Method

Black-Scholes option-pricing model using the weighted-average assumptions below:

Volatility		75	%
Risk-free interest rate		1.50	%
Expected term (in years)		3.0
Expected dividend yield		-
Fair value of common stock	$	1.46

Summary of Warrant Activity

A summary of activity in warrants is as follows:

	Warrants			Weighted Average Remaining Life		Weighted Average Exercise Price		Aggregate Intrinsic Value
Outstanding at December 31, 2016		2,540,295			2.77 years	$	2.16	$	—
Three months ended March 31, 2017:
Granted		576,923			3.00 years	$	2.50	$	0
Exercised		(122,500	)		2.00 years	$	1.30
Forfeited and cancelled		-			-		-		-
Outstanding at March 31, 2017		2,994,718			2.61 years	$	2.25	$	0