Derivative Liability (Tables)

3 Months Ended

Mar. 31, 2016

Derivative liability [Abstract]

Fair value assumptions used in valuation techniques

The Company used a Monte Carlo simulation to value the conversion feature with the following assumptions:

	As of March 31, 2016
Common Stock price	$ 2.81
Convertible debt principal amount	$ 1,268,000
Term (years)	0.08 to 0.40
Expected volatility	111%
Convertible debt interest rate	24%
Trials (each trial equals 150,000 iterations)	10
Discount to IPO/next round	30%

Changes in the market value of the Level 3 derivative liability

Changes in the fair value of the level 3 derivative liability for the three month period ended March 31, 2016 are as follows:

	Derivative Liability
Balance at January 1, 2016	$ 330
Gain on derivative liability	(25)
Balance at March 31, 2016	$ 305