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5. Stockholders' Equity
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6 Months Ended |
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Sep. 30, 2013
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| Stockholders' Equity | |
| 5. Stockholders' Equity |
Common Stock Issued to Non-Employees For Services
On April 24, 2009, the Company entered into an agreement with Advocos LLC, a contract sales organization that serves as part of the Company’s sales force, for the sale of the Company’s wound care products in the United States. Pursuant to the agreement, the Company agreed to pay the contract sales organization a monthly fee and potential bonuses that will be based on achievement of certain levels of sales. The Company agreed to issue the contract sales organization cash or shares of common stock as compensation for its services. During the three months ended September 30, 2013 and 2012, the Company issued 8,139 and 3,728 shares of common stock, respectively, in connection with this agreement. During the six months ended September 30, 2013 and 2012, the Company issued 38,447 and 14,392 shares of common stock, respectively, in connection with this agreement. The Company has determined that the fair value of the common stock, which was calculated as shares were issued, was more readily determinable than the fair value of the services rendered. Accordingly, the Company recorded the fair value of the stock as compensation expense. During the three months ended September 30, 2013 and 2012, the Company recorded $22,000 and $20,000 of expense related to this agreement, respectively. During the six months ended September 30, 2013 and 2012, the Company recorded $134,000 and $112,000 of expense related to this agreement, respectively. The expense was recorded as selling, general and administrative expense in the accompanying condensed consolidated statements of comprehensive loss.
On December 17, 2009, the Company entered into an agreement with Windsor Corporation. Windsor Corporation provides financial advisory services to the Company. Pursuant to the agreement, the Company agreed to pay Windsor Corporation, on a quarterly basis, cash or common stock as compensation for services provided. The Company determined that the fair value of the common stock was more readily determinable than the fair value of the services rendered. Accordingly, the Company recorded the fair value of the stock as compensation expense. During the six months ended September 30, 2013, the Company issued 12,097 shares of common stock. During the six months ended September 30, 2013, the Company recorded $49,000 of stock compensation expense related to this agreement. Additionally, during the three months ended September 30, 2013, the Company accrued $30,000 of expense for services provided which was settled with shares of common stock on October 2, 2013 (See Note 10). The expense was recorded as selling, general and administrative expense in the accompanying condensed consolidated statements of comprehensive loss. |