Stock Option Plan

12 Months Ended

Dec. 31, 2022

Stock Option Plan [Abstract]

Stock Option Plan

Note 6 – Stock Option Plan

The Company’s 2014 Equity Incentive Plan (the “2014 Plan”) permits the grant of options for its common stock and shares of common stock to its employees, board members and consultants for up to 3,500,000 shares.

As of December 31, 2022, there were 1,496,081 shares available for future issuance under the Plan. Generally, option awards are granted with an exercise price equal to the fair value of the Company’s stock at the date of grant and vest over a period of four years. No option may have a term in excess of ten years from the option grant date. Share awards generally vest over a period of four years. Certain option and share awards provide for accelerated vesting if there is a change in control (as defined by the 2014 Plan). The weighted average grant date fair value of options granted in 2022 and 2021 were $0.89 and $1.15, respectively, per share.

The stock option activity for the year ended December 31, 2022 is as follows:

	Number of Options		Weighted- Average Exercise Price per Share		Weighted Average Remaining Contractual Term (in Years)
Outstanding as of December 31, 2021		918,919	$	2.09		5.79
Granted		1,085,000	$	1.71		10.00
Outstanding of December 31, 2022		2,003,919	$	1.88		7.09
Exercisable at December 31, 2022		919,764	$	2.09		4.79

During the years ended December 31, 2022 and 2021, the Company recorded $256,900 and $333,978 of stock-based compensation associated with granted and vested stock options, respectively. As of December 31, 2022, there was $710,812 of unrecognized compensation expense related to unvested share-based compensation awards, which will be recognized over approximately 1.5 years.