Issuance of Common Stock

Subsequent to September 30, 2020, the Company issued 30,000 shares of Common Stock to vendors for services rendered with a fair value of $33,000. These shares of Common Stock were valued based on the market value of the Company’s stock price at the issuance date or the date the Company entered into the agreement related to the issuance.

Grant of Stock Options

Subsequent to September 30, 2020, the Company granted stock options to an employee to purchase a total of 914,171 shares of Common Stock for services rendered. The options have an average exercise price of $1.33 per share, expire in five years, and vest over a period of 0.5 to 4 years from grant date. The total fair value of these options at the grant date was $1,016,000 using the Black-Scholes option pricing model.

Restricted Stock Awards

Subsequent to September 30, 2020, the Company issued a 60,000 Restricted Stock Awards to an advisory board member that cliff vest quarterly over one year from grant date with an aggregate fair value of $68,000.

Registration of Common Stock, Options of Common Stock, and Shares of Common Stock Underlying Warrants

On October 20, 2020, the Company filed a registration statement on Form S-3 with the SEC. The prospectus contained in the registration statement to the proposed resale by the selling security holders named in the prospectus or their permitted assigns of an aggregate of up to 8,393,387 shares of our Common Stock held by the selling security holders, which amount consists of (i) 5,087,326 shares of Common Stock outstanding as of the date of the registration statement, (ii) an aggregate of 416,199 shares of Common Stock issuable upon exercise of Common Stock purchase warrants issued to a non-U.S. consultant in connection with a private placement of Common Stock to certain of the Company’s selling security holders, (iii) 247,703 restricted stock units granted pursuant to a Restricted Stock Award Agreement, and (iv) an aggregate of 2,642,159 shares of Common Stock which will be issued in the future from time to time to those of the Company’s selling security holders that are holders of Class B Units of Verb Acquisition under an exchange agreement among the holders of Class B Units pursuant to which the holders of Class B Units may exchange their Class B Units for shares of the Company’s Common Stock on a one-for-one basis.

Payment of Note Payable

In October 2020, the Company paid in full the note payable of $1,885,000 issued in September 2020 for the acquisition of SoloFire (see Note 3 and 8).