Note 13 – Subsequent Events

The Company has evaluated all events that occurred after the balance sheet date of June 30, 2020, through October 6, 2020, the date when condensed financial statements were issued to determine if they must be reported.

Common Stock

On September 11, 2020, the Company, entered into a Securities Purchase Agreement with certain institutional and accredited investors (each, a "Purchaser" and collectively, the "Purchasers") to sell to the Purchasers an aggregate of 1,390,000 unregistered shares of the Company's common stock, par value $0.0001 per share and 695,000 warrants to purchase common stock in a private placement transaction, for gross proceeds of approximately $1.7 million. The shares were issued at a price of $1.25 per share. The Warrants have a five year term, and an exercise price of $1.50 per share, subject to customary adjustments as set forth in the Warrant. The Company is not required to issue common stock upon exercise of any portion of a Warrant if doing so results in the holder thereof beneficially owning more than 4.99% of the outstanding common stock after giving effect to such exercise.

Stock Options

On September 16, 2020, the Company granted 2,233,932 options to purchase shares of its common stock to its chief financial officer. The options fully vest thirty days from the grant date and have a fair value of approximately $1.0 million.

Subsequent to June 30, 2020, the Company granted 200,000 options to purchase shares of its common stock with a fair value of approximately $0.1 million for consulting services.