Equity Incentive Plans and Warrants

3 Months Ended

Mar. 31, 2025

Equity Incentive Plans and Warrants [Abstract]

(10) Equity Incentive Plans and Warrants

Stock-Based Awards

(a) Stock Option Plans

Activity under the Company’s stock option plans for the three months ended March 31, 2025 was as follows:


	Number of options			Weighted average exercise price		Aggregate Intrinsic Value
Outstanding at December 31, 2024		2,974,219		$	1.60
Granted		1,466,515			1.09
Forfeited		(52,675	)		1.04
Outstanding at March 31, 2025		4,388,059		$	1.44		1,372,802

Vested and exercisable at March 31, 2025		1,737,825		$	2.03		669,709

The intrinsic value represents the amount by which the market price of the underlying stock at March 31, 2025 exceeds the exercise price of an option.

Options granted under the 2021 Stock Option Plan for the three months ended March 31, 2025 to employees were 1,466,515, and the weighted average exercise prices were $1.09. The weighted-average fair values of the options granted to employees was $0.84 and were estimated using the following Black-Scholes assumptions:


	Employees
Expected term (in years)		6.05
Risk‑free interest rate		4.38%
Dividend yield		—
Expected volatility		91.20%

No options were exercised for the three months ended March 31, 2025 under our stock option plans.

As of March 31, 2025, the total number of shares of common stock reserved for future awards under the 2021 Stock Option Plan was 144,058.

(b) Inducement Grants

Since 2023, the Company has granted 250,000 inducement grants, a stock option grant to certain employees for the right to purchase shares, which were approved by the Compensation Committee. The inducement grants vest in equal installments over four years provided the employee remains employed by the Company on the vesting date. In the first quarter of 2025, there were forfeitures of 100,000 options.

The inducement grants are summarized as follows:


				Weighted		Weighted
				average		average
	Number of			exercise		remaining
	options			price		life years
Outstanding at December 31, 2024		250,000		$	1.89		8.07
Forfeited		(100,000	)		1.10		—
Outstanding at March 31, 2025		150,000		$	2.42		7.12

Vested and exercisable at March 31, 2025		100,000		$	2.56		7.07

The following table shows the share-based compensation expense related to vested stock option grants to employees and nonemployees by financial statement line item on the accompanying condensed statement of comprehensive loss:

	Three Months Ended March 31,
	2025			2024
Research and development	$	136,924			30,327
Sales and marketing		(10,431	)		6,199
General and administrative		240,744			41,059
Total share-based compensation expense	$	367,237			77,585

As of March 31, 2025, the remaining share-based compensation expense that is expected to be recognized in future periods for employees and nonemployees is $2,034,357, which includes $155,222 of compensation expense to be recognized upon achieving certain performance conditions. For service-based awards, the $1,879,135 of unrecognized expense is expected to be recognized over a weighted average period of 3.1 years.

(d) Employee Stock Purchase Plan (ESPP)

For the three months ended March 31, 2025, no shares of common stock were issued under the Company’s ESPP Plan. As of March 31, 2025, the total number of shares of common stock reserved for future awards under the ESPP Plan was 768,915.