2. GOING CONCERN AND MANAGEMENT’S PLANS

As of March 31, 2020, the Company had cash, marketable securities, working capital and an accumulated deficit of $1,343,978, $1,952,510, $2,158,590, and $172,466,081, respectively. During the three months ended March 31, 2020, the Company incurred a net loss of $2,961,100. During the three months ended March 31, 2020, the Company used cash in operating activities of $3,413,141. These conditions raise substantial doubt about the Company’s ability to continue as a going concern within a year after the issuance date of these financial statements. The Company is currently funding its operations on a month-to-month basis. Since April 17, 2020 and through May 12, 2020, the Company sold 87,505 shares of common stock under an “at-the-market” equity offering program for aggregate gross proceeds of approximately $150,000 and received loan proceeds under the Paycheck Protection Program of approximately $856,000. See Note 12 – Subsequent Events for details.

Since inception, the Company’s operations have primarily been funded through proceeds received in equity and debt financings. Although management believes that the Company generally has access to capital resources, the Company continues to evaluate financing opportunities. There is no assurance that the Company will be able to obtain funds due to current economic uncertainty or on commercially acceptable terms. There is also no assurance that the amount of funds the Company might raise will enable the Company to complete its development initiatives or attain profitable operations. If the Company is unable to obtain additional financing on a timely basis, it may have to curtail its development, marketing and promotional activities, which would have a material adverse effect on the Company’s business, financial condition and results of operations, and ultimately the Company could be forced to discontinue its operations.

The Company’s operating needs include the planned costs to operate its business, including amounts required to fund working capital and capital expenditures. The Company’s future capital requirements and the adequacy of its available funds will depend on many factors, including the Company’s ability to successfully commercialize its products and services, competing technological and market developments, and the need to enter into collaborations with other companies or acquire other companies or technologies to enhance or complement its product and service offerings.

The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. GAAP, which contemplate continuation of the Company as a going concern and the realization of assets and satisfaction of liabilities in the normal course of business. The condensed consolidated financial statements do not include any adjustment that might become necessary should the Company be unable to continue as a going concern.