Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

v3.21.2
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Aug. 31, 2021
Summary of Significant Accounting Policies.  
Schedule of Disaggregation of Revenue

Revenue (in millions):

    

2021

    

2020

HCM1

 

$

8.2

 

$

8.6

Staffing

 

 

15.2

 

 

 —

 

 

$

23.4

 

$

8.6

1 HCM revenue is presented net, $63.8 million gross less worksite employees payroll cost of 55.6 million for Fiscal 2021 and $65.5 million gross less worksite employees payroll cost of $56.9 million in Fiscal 2020.

Schedule of geographical regions represented total revenue

 

 

 

 

 

 

Region:

    

2021

    

2020

 

California

 

70.3

%  

78.2

%

Washington

 

10.8

%  

11.6

%

 

Schedule of estimated useful lives of property and equipment

 

 

 

 

 

Equipment:

    

5 years

Furnitures & Fixtures:

 

5 - 7 years

Leasehold improvements - shorter of the useful life or the remaining lease term, typically 5 years

 

 

 

Schedule of fair value of the Company's derivative liabilities

 

 

 

 

 

 

 

 

 

 

 

    

March 2020

    

March 2020

    

 

 

 

 

Conversion 

 

Warrant

 

 

 

 

 

Feature

 

Liability

 

Total

Balance at August 31, 2019

 

$

2,852,000

 

$

904,000

 

$

3,756,000

Reclassification to APIC due to note settlements, exchanges or conversions

 

 

(1,784,000)

 

 

(195,000)

 

 

(1,979,000)

Change in fair value

 

 

(1,068,000)

 

 

(709,000)

 

 

(1,777,000)

Balance at August 31, 2020

 

$

 —

 

$

 —

 

$

 —

 

 

 

 

 

 

 

 

 

 

 

March 2020

 

March 2020

 

 

 

Conversion

 

Warrant

 

 

 

Feature

 

 

 Liability

 

Risk free rate

    

 

0.08-0.17

 

 

1.6

%

Market price per share

 

$

6.68

 

$

6.68

 

Life of instrument in years

 

 

0.47-1.15

 

 

4.0

 

Volatility

 

 

117-139

 

 

102

%

Dividend yield

 

 

 0

%  

 

 0

%

 

Schedule of weighted average dilutive common shares

 

 

 

 

 

 

    

For the

    

For the

 

 

Year

 

Year

 

 

Ended 

 

Ended 

 

 

August 31, 

 

August 31, 

 

 

2021

 

2020

Options

 

1,776,115

 

1,398,740

Warrants

 

9,592,086

 

1,896,209

Total potentially dilutive shares

 

11,368,201

 

3,294,949