Note 18 - Subsequent Events

Common Stock

Subsequent to September 30, 2015 the Company issued 20,000 shares of common stock pursuant to the Company’s equity incentive plan under the terms of director services agreements which were fully vested upon the date of grant. The Company recorded an expense of $20,000 for the value of those shares.

Subsequent to September 30, 2015 the Company issued 143,000 shares of common stock for services which were fully vested upon the date of grant. The Company recorded an expense of $143,000 for the value of those shares.

Options

Subsequent to September 30, 2015 the Company granted options for the purchase of 250,000 shares of common stock to an employee of the Company. These options vest at the rate of 25% at each anniversary of the grant date and have a life of 10 years and an exercise price of $0.99 per share. The Company valued the stock options using the Black-Scholes option valuation model. The fair value of the award was determined to be $131,000.

Subsequent to September 30, 2015 the Company granted options for the purchase of 20,000 shares of common stock to consultants of the Company. These options were 100% vested upon grant, have a life of 10 years and an exercise price of $0.93 per share. The Company valued the stock options using the Black Scholes valuation model. The fair value of the award was determined to be $9,800.

Subsequent to September 30, 2015 the Company granted options for the purchase of 101,500 shares of common stock to employees and consultants of the Company. These options vest pro-rata over 48 months have a life of 10 years and an exercise price of $0.70 to $0.82 per share. The Company valued the stock options using the Black Scholes valuation model. The fair value of the award was determined to be $40,600.