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6. COMMON STOCK
3 Months Ended
Sep. 30, 2013
Text Block [Abstract]  
6. COMMON STOCK

The Company has authorized 100,000,000 shares of $0.001 par value per share Common Stock, of which 55,952,494 were issued outstanding as of September 30, 2013.  The activity surrounding the issuances of the Common Stock is as follows: 

 

For the Three Months Ended September 30, 2013

The Company issued 2,920,000 common shares for net cash proceeds of 276,065.  The Company paid as offering costs $15,935 in cash offering costs. Offering costs have been recorded as reductions to additional paid-in capital from common stock proceeds and an increase in professional fees. Attached to the Common Shares, the Company issued 196,804 warrants to purchase shares of the Company’s Common Stock. The Company recognized $47,469 in employee stock option expense and for the amortization of warrants issued in prior periods.

 

The Company also issued 122,500 shares of Common Stock as incentive to notes valued at $32,425 to extend terms on two convertible notes payable and  recorded $126,000 in beneficial conversion features related to new issuances of debt.

 

The Company issued 211,318 shares of Common Stock as payment for services and rent valued at $54,346 and issued 100.000 shares in advance for services valued at $28,000.

 

As share-based compensation to employees and non-employees, the Company issued 622,563 shares of common stock valued at $167,139, based on the market price of the stock on the date of issuance.   As interest expense on outstanding notes payable, the Company issued 731,871 shares of common stock valued at $201,265 based on the market price on the date of issuance.

 

For the Three Months Ended September 30, 2012

The Company issued 450,800 common shares for net cash proceeds of $106,700.  The Company paid as offering costs $3,300 in cash offering costs. Offering costs have been recorded as reductions to additional paid-in capital from common stock proceeds.

 

As share-based compensation to employees and non-employees, the Company issued 1,275,000 shares of common stock valued at $391,398, based on the market price of the stock on the date of issuance.   As interest expense on outstanding notes payable, the Company issued 396,806 shares of common stock valued at $133,677 based on the market price on the date of issuance.