0001564590-20-054499 | 10-Q | XBRL Viewer

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2020	Nov. 09, 2020
Cover [Abstract]
Entity Registrant Name	Spruce Biosciences, Inc.
Entity Central Index Key	0001683553
Document Type	10-Q
Document Period End Date	Sep. 30, 2020
Trading Symbol	SPRB
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		23,214,041
Entity Shell Company	false
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Small Business	true
Entity File Number	001-39594
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	81-2154263
Entity Address, Address Line One	2001 Junipero Serra Boulevard
Entity Address, Address Line Two	Suite 640
Entity Address, City or Town	Daly City
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94014
City Area Code	415
Local Phone Number	655-4168
Document Quarterly Report	true
Document Transition Report	false
Title of 12(b) Security	Common Stock, par value $0.0001 per share
Security Exchange Name	NASDAQ

CONDENSED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 72,158	$ 3,924
Prepaid expenses	1,233	215
Other current assets	209	513
Total current assets	73,600	4,652
Restricted cash	216
Right-of-use assets	1,869
Deferred offering costs	2,347
Other assets	453	40
Total assets	78,485	4,692
Current liabilities:
Accounts payable	4,002	1,878
Term loan, current portion	1,908	1,252
Accrued expenses and other current liabilities	3,469	265
Accrued compensation and benefits	707	908
Total current liabilities	10,086	4,303
Term loan, net of current portion	2,561	3,193
Lease liability, net of current portion	1,738
Other liabilities	95	20
Total liabilities	14,480	7,516
Commitments and contingencies (Note 8)
Redeemable convertible preferred stock	115,446
Stockholders’ equity (deficit):
Common stock, $0.0001 par value, 130,518,922 and 41,000,000 shares authorized as of September 30, 2020 and December 31, 2019, respectively; 822,022 and 764,408 shares issued and outstanding as of September 30, 2020 and December 31, 2019, respectively	1	1
Additional paid-in capital	1,061	664
Accumulated deficit	(52,503)	(31,302)
Total stockholders’ equity (deficit)	(51,441)	(30,637)
Total liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit)	78,485	4,692
Series A Redeemable Convertible Preferred Stock
Current liabilities:
Redeemable convertible preferred stock	27,813	$ 27,813
Series B Redeemable Convertible Preferred Stock
Current liabilities:
Redeemable convertible preferred stock	$ 87,633

CONDENSED BALANCE SHEETS (unaudited) (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Redeemable convertible preferred stock, shares authorized	101,333,330
Redeemable convertible preferred stock, shares issued	101,333,330
Redeemable convertible preferred stock, liquidation preference	$ 116,000
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	130,518,922	41,000,000
Common stock, shares issued	822,022	764,408
Common stock, shares outstanding	822,022	764,408
Series A Redeemable Convertible Preferred Stock
Redeemable convertible preferred stock, par value	$ 0.0001	$ 0.0001
Redeemable convertible preferred stock, shares authorized	28,000,000	28,000,000
Redeemable convertible preferred stock, shares issued	28,000,000	28,000,000
Redeemable convertible preferred stock, shares outstanding	28,000,000	28,000,000
Redeemable convertible preferred stock, liquidation preference	$ 28,000	$ 28,000
Series B Redeemable Convertible Preferred Stock
Redeemable convertible preferred stock, par value	$ 0.0001	$ 0.0001
Redeemable convertible preferred stock, shares authorized	73,333,330	0
Redeemable convertible preferred stock, shares issued	73,333,330	0
Redeemable convertible preferred stock, shares outstanding	73,333,330	0
Redeemable convertible preferred stock, liquidation preference	$ 88,000	$ 0

CONDENSED STATEMENTS OF OPERATIONS (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Operating expenses:
Research and development	$ 7,769	$ 2,107	$ 18,040	$ 7,969
General and administrative	1,790	457	3,041	2,004
Total operating expenses	9,559	2,564	21,081	9,973
Loss from operations	(9,559)	(2,564)	(21,081)	(9,973)
Interest expense	(79)	(5)	(245)	(5)
Other income, net	51	18	125	72
Net loss	$ (9,587)	$ (2,551)	$ (21,201)	$ (9,906)
Net loss per share, basic and diluted	$ (12.35)	$ (3.34)	$ (27.54)	$ (12.96)
Weighted-average shares of common stock outstanding, basic and diluted	776,159	764,408	769,766	764,408

CONDENSED STATEMENTS OF REDEEMABLE CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIT) - USD ($) $ in Thousands	Total	Series A Redeemable Convertible Preferred Stock	Series B Redeemable Convertible Preferred Stock	Common Stock	Additional Paid-In Capital	Accumulated Deficit
Balance at Dec. 31, 2018	$ (17,802)			$ 1	$ 411	$ (18,214)
Balance, Shares at Dec. 31, 2018				764,408
Balance at Dec. 31, 2018		$ 19,872
Balance, Shares at Dec. 31, 2018		20,000,000
Issuance of redeemable convertible preferred stock, net of issuance costs		$ 7,941
Issuance of redeemable convertible preferred stock, net of issuance costs, Shares		8,000,000
Stock-based compensation	15				15
Net loss	(4,119)					(4,119)
Balance at Mar. 31, 2019	(21,906)			$ 1	426	(22,333)
Balance, Shares at Mar. 31, 2019		28,000,000
Balance at Mar. 31, 2019		$ 27,813
Balance, Shares at Mar. 31, 2019				764,408
Balance at Dec. 31, 2018	(17,802)			$ 1	411	(18,214)
Balance, Shares at Dec. 31, 2018				764,408
Balance at Dec. 31, 2018		$ 19,872
Balance, Shares at Dec. 31, 2018		20,000,000
Net loss	(9,906)
Balance at Sep. 30, 2019	(27,517)			$ 1	602	(28,120)
Balance, Shares at Sep. 30, 2019		28,000,000
Balance at Sep. 30, 2019		$ 27,813
Balance, Shares at Sep. 30, 2019				764,408
Balance at Mar. 31, 2019	(21,906)			$ 1	426	(22,333)
Balance, Shares at Mar. 31, 2019				764,408
Balance at Mar. 31, 2019		$ 27,813
Balance, Shares at Mar. 31, 2019		28,000,000
Stock-based compensation	77				77
Net loss	(3,236)					(3,236)
Balance at Jun. 30, 2019	(25,065)			$ 1	503	(25,569)
Balance, Shares at Jun. 30, 2019		28,000,000
Balance at Jun. 30, 2019		$ 27,813
Balance, Shares at Jun. 30, 2019				764,408
Stock-based compensation	62				62
Issuance of warrant to purchase common stock	37				37
Net loss	(2,551)					(2,551)
Balance at Sep. 30, 2019	(27,517)			$ 1	602	(28,120)
Balance, Shares at Sep. 30, 2019		28,000,000
Balance at Sep. 30, 2019		$ 27,813
Balance, Shares at Sep. 30, 2019				764,408
Balance at Dec. 31, 2019	$ (30,637)			$ 1	664	(31,302)
Balance, Shares at Dec. 31, 2019	764,408			764,408
Balance at Dec. 31, 2019		$ 27,813
Balance, Shares at Dec. 31, 2019		28,000,000	0
Issuance of redeemable convertible preferred stock, net of issuance costs			$ 43,648
Issuance of redeemable convertible preferred stock, net of issuance costs, Shares			36,666,665
Stock-based compensation	$ 32				32
Net loss	(5,168)					(5,168)
Balance at Mar. 31, 2020	(35,773)			$ 1	696	(36,470)
Balance, Shares at Mar. 31, 2020		28,000,000	36,666,665
Balance at Mar. 31, 2020		$ 27,813	$ 43,648
Balance, Shares at Mar. 31, 2020				764,408
Balance at Dec. 31, 2019	$ (30,637)			$ 1	664	(31,302)
Balance, Shares at Dec. 31, 2019	764,408			764,408
Balance at Dec. 31, 2019		$ 27,813
Balance, Shares at Dec. 31, 2019		28,000,000	0
Net loss	$ (21,201)
Balance at Sep. 30, 2020	(51,441)			$ 1	1,061	(52,503)
Balance, Shares at Sep. 30, 2020		28,000,000	73,333,330
Balance at Sep. 30, 2020	$ 115,446	$ 27,813	$ 87,633
Balance, Shares at Sep. 30, 2020	822,022			822,022
Balance at Mar. 31, 2020	$ (35,773)			$ 1	696	(36,470)
Balance, Shares at Mar. 31, 2020				764,408
Balance at Mar. 31, 2020		$ 27,813	$ 43,648
Balance, Shares at Mar. 31, 2020		28,000,000	36,666,665
Exercise of stock options	8				8
Exercise of stock options, Shares				7,166
Stock-based compensation	96				96
Net loss	(6,446)					(6,446)
Balance at Jun. 30, 2020	(42,115)			$ 1	800	(42,916)
Balance, Shares at Jun. 30, 2020		28,000,000	36,666,665
Balance at Jun. 30, 2020		$ 27,813	$ 43,648
Balance, Shares at Jun. 30, 2020				771,574
Issuance of redeemable convertible preferred stock, net of issuance costs			$ 43,985
Issuance of redeemable convertible preferred stock, net of issuance costs, Shares			36,666,665
Exercise of stock options	43				43
Exercise of stock options, Shares				50,448
Stock-based compensation	218				218
Net loss	(9,587)					(9,587)
Balance at Sep. 30, 2020	(51,441)			$ 1	$ 1,061	$ (52,503)
Balance, Shares at Sep. 30, 2020		28,000,000	73,333,330
Balance at Sep. 30, 2020	$ 115,446	$ 27,813	$ 87,633
Balance, Shares at Sep. 30, 2020	822,022			822,022

CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities
Net loss	$ (21,201)	$ (9,906)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation expense	346	154
Depreciation and amortization	26	3
Non-cash lease expense	26
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	(905)	49
Accounts payable and accrued expenses	3,731	(137)
Accrued compensation and benefits	(201)	124
Other assets	(161)
Other liabilities	86	3
Net cash used in operating activities	(18,253)	(9,710)
Cash flows from investing activities
Purchases of property and equipment	(50)	(3)
Net cash used in investing activities	(50)	(3)
Cash flows from financing activities
Payment of deferred offering costs	(931)
Proceeds from exercise of stock options	51
Proceeds from issuance of term loan, net of issuance costs		2,492
Net cash provided by financing activities	86,753	10,433
Net increase in cash, cash equivalents and restricted cash	68,450	720
Cash, cash equivalents, and restricted cash at beginning of period	3,924	4,112
Cash, cash equivalents, and restricted cash at end of period	72,374	4,832
Supplemental cash flow data:
Cash paid for interest	144
Supplemental disclosure of non-cash investing and financing activities:
Right-of-use assets recognized in exchange for lease liabilities	1,894
Deferred offering costs included in accounts payable and accrued expenses	1,416
Property and equipment included in accounts payable	14
Fair value of warrant issued in connection with term loan		37
Series A Redeemable Convertible Preferred Stock
Cash flows from financing activities
Proceeds from issuance of redeemable convertible preferred stock, net of issuance costs		$ 7,941
Series B Redeemable Convertible Preferred Stock
Cash flows from financing activities
Proceeds from issuance of redeemable convertible preferred stock, net of issuance costs	$ 87,633

Summary of Significant Accounting Policies

9 Months Ended

Sep. 30, 2020

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

2. Summary of Significant Accounting Policies

Interim Condensed Financial Statements

The financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) and applicable rules and regulations of the U.S. Securities and Exchange Commission (SEC) for interim reporting. As permitted under those rules and regulations, certain footnotes or other financial information normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The condensed balance sheet as of September 30, 2020, the condensed statements of operations for the three and nine months ended September 30, 2020 and 2019, the condensed statements of redeemable convertible preferred stock and stockholders’ equity (deficit) for the three and nine months ended September 30, 2020 and 2019, and the condensed statement of cash flows for the nine months ended September 30, 2020 and 2019 are unaudited. The interim condensed financial statements have been prepared on the same basis as the annual financial statements and, in the opinion of management, reflect all adjustments, which include only normal, recurring adjustments that are necessary to present fairly the Company’s results for the interim periods presented. The condensed balance sheet as of December 31, 2019, is derived from the Company’s audited financial statements. The results of operations for the three and nine months ended September 30, 2020, are not necessarily indicative of the results to be expected for the year ending December 31, 2020, or for any other future annual or interim period.

These interim condensed financial statements should be read in conjunction with the Company’s audited financial statements and the related notes thereto for the year ended December 31, 2019, which are included in the Company’s prospectus, dated October 8, 2020 that forms a part of the Company’s Registration Statement on Form S-1 (File. Nos. 333-248924 and 333-249397) as filed with the SEC pursuant to Rule 424(b) under the Securities Act of 1933, as amended, on October 9, 2020.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and expenses as well as related disclosure of contingent assets and liabilities. Significant estimates and assumptions reflected in these financial statements include, but are not limited to, accrued research and development expenses, valuation of common stock and stock-based compensation, valuation of warrants and income tax and uncertain tax positions. The Company bases its estimates on its historical experience and on assumptions that it believes are reasonable; however, actual results could significantly differ from those estimates.

Risks and Uncertainties

Any product candidates developed by the Company will require approvals from the U.S. Food and Drug Administration (FDA) or foreign regulatory agencies prior to commercial sales. There can be no assurance that the Company’s current and future product candidates will meet desired efficacy and safety requirements to obtain the necessary approvals. If approval is denied or delayed, it may have a material adverse impact on the Company’s business and its financial statements.

The Company is subject to a number of risks similar to other late-stage biopharmaceutical companies including, but not limited to, dependency on the clinical and commercial success of the Company’s product candidate, tildacerfont, ability to obtain regulatory approval of tildacerfont, the need for substantial additional financing to achieve its goals, uncertainty of broad adoption of its approved products, if any, by physicians and consumers, significant competition and untested manufacturing capabilities, and dependence on key individuals and sole source suppliers.

The Company’s business has been and could continue to be adversely affected by the evolving COVID-19 pandemic. For example, the COVID-19 pandemic has resulted in and could result in delays to the Company’s clinical trials for numerous reasons including additional delays or difficulties in enrolling patients, diversion of healthcare resources away from the conduct of clinical trials, interruption or delays in the operations of the FDA or other regulatory authorities, and delays in clinical sites receiving the supplies and materials to conduct our clinical trials. At this time, the extent to which the COVID-19 pandemic impacts the Company’s business will depend on future developments, which are highly uncertain and cannot be predicted. The Company will continue to evaluate the impact that these events could have on its operations, financial position, and results of operations and cash flows during fiscal year 2020 and beyond.

Cash and Cash Equivalents

The Company considers all highly liquid investments with remaining maturities at the date of purchase of three months or less to be cash equivalents. Cash equivalents consist of amounts invested in money market funds.

Restricted Cash

The Company has cash in a collateral account related to a letter of credit issued on behalf of the Company for the security deposit on the non-cancelable operating lease for an office facility. The collateralized cash in connection with the letter of credit was classified as restricted cash on the balance sheet as of September 30, 2020 based on the terms of the lease agreement, which expires in 2025, unless extended.

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed statements of cash flows (in thousands):

	September 30,
	2020		2019
Cash and cash equivalents	$	72,158	$	4,832
Restricted cash		216		—
Total cash, cash equivalents and restricted cash	$	72,374	$	4,832

Fair Value of Financial Instruments

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability, or an exit price, in the principal or most advantageous market for that asset or liability in an orderly transaction between market participants on the measurement date. Fair value measurement establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs, where available, and minimize the use of unobservable inputs when measuring fair value.

The Company determined the fair value of financial assets and liabilities using the fair value hierarchy that describes three levels of inputs that may be used to measure fair value, as follows:

▪

Level 1—Quoted prices in active markets for identical assets and liabilities;

▪

Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and

▪

Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The Company’s financial instruments primarily consist of cash and cash equivalents, prepaid expenses, accounts payable, term loan, and accrued expenses. The carrying value of cash and cash equivalents, prepaid expenses, accounts payable, and accrued expenses are generally considered to be representative of their respective fair values because of the short-term nature of those instruments. The estimated fair value of the term loan is based on estimated interest rates currently available to the Company for debt with similar terms.

Concentration of Credit Risk

Financial instruments, which potentially subject the Company to significant concentration of credit risk, consist primarily of cash and cash equivalents. The Company maintains deposits in federally insured financial institutions in excess of federally insured limits. The Company is exposed to credit risk in the event of default by the financial institutions holding its cash and cash equivalents to the extent recorded in the balance sheet. The Company has not experienced any losses in such accounts and management believes that the Company is not exposed to significant credit risk due to the financial position of the depository institutions in which those deposits are held.

Deferred Offering Costs

The Company capitalizes within other assets certain legal, accounting, and other third-party fees that are directly related to the Company’s in-process equity financings, including the IPO, until such financings are consummated. After consummation of the equity financing, these costs are recorded in stockholders’ equity (deficit) as a reduction of the proceeds received from the offering. As of September 30, 2020, $2.3 million of deferred offering costs were capitalized and recorded on the condensed balance sheet. The deferred offering costs were reclassified to additional paid-in-capital upon the consummation of the IPO in October 2020. See Note 11 to these condensed financial statements for additional details.

Leases

The Company adopted Accounting Standards Update (ASU), No. 2016-02, Leases (Topic 842) effective January 1, 2020.

The Company determines if an arrangement includes a lease at inception. Right-of-use assets and lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at the commencement date. The right-of-use asset includes any lease payments made and excludes lease incentives. The incremental borrowing rate is used in determining the present value of future payments. The Company utilizes its incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. The lease terms may include options to extend or terminate the lease. Lease expense for minimum lease payments is recognized on a straight-line basis over the non-cancelable lease term. The Company has elected not to recognize a right-of-use asset and lease liability for short-term leases. A short-term lease is a lease with an expected lease term of 12 months or less and which does not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise. The Company also elected the package of practical expedients under the transition guidance that will retain the historical lease classification and initial direct costs for any leases that exist prior to adoption of the new guidance and the practical expedient to not separate lease and non-lease components. Prior period amounts have not been adjusted and continue to be reported in accordance with the Company’s historical accounting under previous lease guidance, Accounting Standards Codification (ASC) 840, Leases (Topic 840). See Note 8 to these condensed financial statements for additional detail.

During 2019, leases were accounted for under ASC 840, Leases, and classified as operating leases. The Company’s operating lease agreements include scheduled rent escalations over the lease term. During 2019, rent expense was charged ratably on a straight-line basis over the life of the lease from the date the Company obtains the legal right to use and control the leased space.

Redeemable Convertible Preferred Stock

The Company records redeemable convertible preferred stock at fair value on the dates of issuance, net of issuance costs. Upon the occurrence of certain events that are outside the Company’s control, including a deemed liquidation event such as a merger, acquisition and sale of all or substantially all of the Company’s assets, holders of the redeemable convertible preferred stock can cause redemption for cash. Therefore, redeemable convertible preferred stock is classified as temporary equity (mezzanine) on the balance sheet as events triggering the liquidation preferences are not solely within the Company’s control. The carrying values of the redeemable convertible preferred stock are adjusted to their liquidation preferences if and when it becomes probable that such a liquidation event will occur. Upon the consummation of the IPO in October 2020, all shares of redeemable convertible preferred stock outstanding were automatically converted into 15,492,019 shares of common stock. See Note 11 to these condensed financial statements for additional details.

Research and Development Expenses

Research and development costs are expensed as incurred. Research and development expenses include, but are not limited to, personnel costs, fees paid to external entities that conduct certain nonclinical and clinical development activities on our behalf, manufacturing costs, outside service and consulting costs, and allocated overhead, including rent. Assets acquired that are utilized in research and development that have no alternative future use are also expensed as incurred.

Accrued Research and Development Expenses

Clinical trial costs are charged to research and development expense as incurred. The Company accrues for expenses resulting from contracts with clinical research organizations (CROs), consultants, and clinical site agreements in connection with conducting clinical trials. The financial terms of these contracts are subject to negotiations, which vary from contract to contract and may result in payment flows that do not match the periods over which materials or services are provided to us under such contracts. The Company’s policy is to reflect the appropriate expense in the financial statements by matching the appropriate expenses with the period in which services and efforts are expended.

The CRO contracts generally include pass-through fees including, but not limited to, regulatory expenses, investigator fees, laboratory fees and other miscellaneous costs. The Company determines accrual estimates through reports from and discussion with clinical personnel and outside services providers as to the progress or state of completion of trials, or the services completed. The Company estimates accrued expenses as of each balance sheet date based on the facts and circumstances known at that time. The clinical trial accrual is dependent, in part, upon the receipt of timely and accurate reporting from the CROs and other third-party vendors.

If the actual timing of the performance of services or the level of effort varies from the original estimates, the Company will adjust the accrual accordingly. Payments associated with licensing agreements to acquire exclusive licenses to develop, use, manufacture and commercialize products that have not reached technological feasibility and do not have alternate commercial use are expensed as incurred. Payments made to third parties under these arrangements in advance of the performance of the related services by the third parties are recorded as prepaid expenses until the services are rendered.

Patent Costs

Costs related to filing and pursuing patent applications are expensed as incurred, as recoverability of such expenditures is uncertain. These costs are included in general and administrative expenses and were immaterial for each of the periods presented.

Stock-Based Compensation

The Company has an equity incentive plan under which various types of equity-based awards including, but not limited to, incentive stock options, non-qualified stock options, and restricted stock awards, may be granted to employees, non-employee directors, and non-employee consultants.

For equity awards granted to employees and directors, the Company recognizes compensation expense based on the estimated grant-date fair values. The fair value of stock options is determined using the Black-Scholes option pricing model. The Company recognizes compensation expense for stock option awards on a straight-line basis over the requisite service period of the award, generally four years. Forfeitures are recorded as they occur.

Stock-based compensation expense related to stock options granted to nonemployees is recognized based on the fair value of the stock options, determined using the Black-Scholes option pricing model, as they are earned. The awards generally vest over the period the Company expects to receive services from the nonemployee. Non-employee stock-based compensation expense was not material in any period presented.

The Company’s determination of the fair value of stock options with time-based vesting on the date of grant utilizes the Black-Scholes option-pricing model, and is impacted by its common stock price as well as other variables including, but not limited to, expected term that options will remain outstanding, expected common stock price volatility over the term of the option awards, risk-free interest rates and expected dividends. The fair value of a stock-based award is recognized over the period during which an optionee is required to provide services in exchange for the option award, known as the requisite service period (usually the vesting period) on a straight-line basis. Stock-based compensation expense is recognized based on the fair value determined on the date of grant and is reduced for forfeitures as they occur.

Segment Reporting

The Company operates and manages its business as one operating segment, which is the business of designing and developing novel therapies for rare endocrine disorders. The Company’s chief executive officer, who is the chief operating decision maker, reviews financial information on an aggregate basis for allocating and evaluating financial performance. All long-lived assets are maintained in the United States of America.

Net Loss per Share

Basic net loss per share attributable to common stockholders is calculated by dividing the net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period, without consideration for potentially dilutive securities. Diluted net loss per share attributable to common stockholders is computed by dividing the net loss attributable to common stockholders by the weighted-average number of common stock and potentially dilutive securities outstanding for the period. For purposes of the diluted net loss per share calculation, redeemable convertible preferred stock, stock options, and common stock warrants are considered to be potentially dilutive securities. Basic and diluted net loss attributable to common stockholders per share is presented in conformity with the two-class method required for participating securities as the redeemable convertible preferred stock is considered a participating security because it participates in dividends with common stock. The holders of all series of redeemable convertible preferred stock do not have a contractual obligation to share in the Company’s losses. As such, the net loss was attributed entirely to common stockholders. Because the Company has reported a net loss for all periods presented, diluted net loss per share is the same as basic net loss per share for those periods.

Emerging Growth Company Status

The Company is an emerging growth company (EGC) as defined in the Jumpstart Our Business Startups Act of 2012 (JOBS Act) and may take advantage of reduced reporting requirements that are otherwise applicable to public companies. Section 107 of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies are required to comply with those standards. The Company has elected to use the extended transition period for complying with new or revised accounting standards.

Recent Accounting Pronouncements Not Yet Adopted

In June 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments (Topic 326): Measurement of Credit Losses on Financial Instruments (ASU 2016-13). ASU 2016-13 requires companies to measure credit losses utilizing a methodology that reflects expected credit losses and requires a consideration of a broader range of reasonable and supportable information to inform credit loss estimates. ASU 2016-13 is effective for non-EGC’s electing to use the extended transition period for complying with new or revised accounting standards for fiscal years beginning after December 15, 2019, and for EGC’s for fiscal years beginning after December 15, 2022, with early adoption permitted. The Company expects to adopt this ASU on January 1, 2023. The Company is currently assessing the impact of adopting this standard, but based on a preliminary assessment, does not expect the adoption of this guidance to have a material impact on its financial statements.

In December 2019, the FASB issued Accounting Standards Update (ASU) 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. The amendments in ASU 2019-12 are intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. ASU 2019-12 is effective for public business entities for fiscal years beginning after December 15, 2020 and the Company will adopt on January 1, 2021. The Company is currently evaluating the effect this standard will have on its financial statements and disclosures.

Recently Adopted Accounting Pronouncements

In February 2016, the FASB issued ASU 2016-02, Leases. ASU 2016-02 requires a lessee to recognize right of use asset and lease liability for all leases with lease terms of more than 12 months, along with additional qualitative and quantitative disclosures. ASU 2016-02 is effective for the Company beginning January 1, 2022, with early adoption permitted. The Company elected the modified retrospective approach and adopted ASC 842 on January 1, 2020. The Company also elected the package of practical expedients under the transition guidance that will retain the historical lease classification and initial direct costs for any leases that exist prior to adoption of the new guidance and the practical expedient to not separate lease and non-lease components. As of the date of adoption, the Company did not have any leases subject to capitalization under ASC 842, and as such, there was no impact to the financial statements. Since adoption, the Company entered into a new lease and recorded a $1.9 million right-of-use asset and $1.9 million lease liability upon commencement of the lease in September 2020. See Note 8 for further disclosure.

In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820). This new guidance removes, modifies and adds to certain disclosure requirements on fair value measurements in Topic 820. This new guidance became effective for all entities for fiscal years beginning after December 15, 2019. Accordingly, the Company adopted ASU 2018-13 as of January 1, 2020. The adoption did not have any impact on the Company’s financial statements as of and for the periods ended September 30, 2020.

Term Loan

9 Months Ended

Sep. 30, 2020

Debt Disclosure [Abstract]

Term Loan

4. Term Loan

In September 2019, the Company entered into a Loan and Security Agreement (the Loan Agreement) with Silicon Valley Bank (SVB) providing for a term loan (the Term Loan). In April 2020, the Company and SVB entered into an agreement (the Deferral Agreement) whereby the parties agreed to extend the Interest-Only Period (defined below), repayment dates of all monthly payments of principal due and the maturity date with respect to the Term Loan by six months. All other terms of the Term Loan remained unchanged. The Deferral Agreement was determined to be a debt modification, resulting in a prospective yield adjustment based on the revised terms.

Pursuant to the Loan Agreement, the Company had the ability to request up to $4.5 million of borrowings in two tranches of term loans. In September 2019, the Company requested $2.5 million from the first tranche (the First Tranche) in connection with the entry into the Loan Agreement. The Loan Agreement provided the option to request an additional $2.0 million (the Second Tranche), after the Company reached certain borrowing conditions as stipulated in the Loan Agreement. The Company satisfied these conditions and drew the Second Tranche of $2.0 million in December 2019. Pursuant to the Deferral Agreement, principal payments shall commence in January 2021 and the Term Loan will mature in September 2022.

Outstanding principal balances under the Term Loan bear interest at a floating per annum rate equal to the greatest of: (i) 1% below the prime rate, (ii) 4.25%, or (iii) 1% below the prime rate as of September 23, 2019. Under the Term Loan, as amended by the Deferral Agreement, the Company is required to make monthly payments of interest only commencing on the first day of the month following the funding date of each respective tranche and continuing thereafter through December 31, 2020 (the Interest-Only Period). Following the Interest-Only Period, the outstanding Term Loan balance will be payable in (i) 21 consecutive equal monthly payments of principal beginning on the first day of the calendar month after the end of the Interest-Only Period and continuing on the same day of each month thereafter, in amounts that would fully amortize such note balance, as of January 1, 2021, over the repayment period, plus (ii) monthly payments of accrued but unpaid interest. The final payment due on the maturity date shall include all outstanding principal and all accrued unpaid interest and an End of Term Payment totaling 6% of the combined principal amount of the First and Second Tranches, or $0.3 million. The End of Term Payment is being accrued through interest expense using the effective interest method.

The Company may prepay amounts outstanding under the Term Loan at any time provided certain notification conditions are met, in which case, all outstanding principal plus accrued and unpaid interest, the End of Term Payment, a prepayment fee between 1% and 3% of the principal amount of the First and Second Tranches, and any bank expenses become due and payable.

In connection with the First and Second Tranches under the Loan Agreement, the Company issued a warrant to purchase up to an aggregate of 49,609 shares of common stock at $1.44 per share. The Company determined the initial fair value of the warrant to be $0.1 million using the Black-Scholes option-pricing model. The fair value of the warrant was recorded to equity and as a debt discount, which is being amortized to interest expense using the effective interest method over the term of the Term Loan. See Note 11 to these condensed financial statements for additional details.

The Company incurred $8 thousand of debt issuance costs in connection with the Term Loan, which is being amortized using the effective interest method over the life of the Term Loan. The unamortized debt issuance costs and debt discount balance was $31 thousand as of September 30, 2020.

The Term Loan and unamortized discount and debt issuance costs balances as of September 30, 2020 are shown below (in thousands):

	September 30, 2020
Total Term Loan debt	$	4,500
Less: unamortized discount and debt issuance costs		(31	)
Total Term Loan, net		4,469
Less: Term Loan, current portion		(1,908	)
Term loan, net of current portion	$	2,561

The Company is subject to customary affirmative and restrictive covenants under the Loan Agreement. The Company’s obligations under the Loan Agreement are secured by a first priority security interest in substantially all of its current and future assets, other than intellectual property. The Company also agreed not to encumber its intellectual property assets, except as permitted by the Loan Agreement.

The Loan Agreement also contains customary indemnification obligations and customary events of default, including, among other things, the Company’s failure to fulfill certain obligations under the Loan Agreement and the occurrence of a material adverse change in its business, operations, or condition (financial or otherwise), a material impairment of the prospect of repayment of any portion of the loan, or a material impairment in the perfection or priority of lender’s lien in the collateral or in the value of such collateral. In the event of default by the Company under the Loan Agreement, the lender would be entitled to exercise their remedies thereunder, including the right to accelerate the debt, upon which the Company may be required to repay all amounts then outstanding under the Loan Agreement. As of September 30, 2020, management believes that the Company was in compliance with all financial covenants under the Loan Agreement and there had been no material adverse change.

As of September 30, 2020, future principal payments per year under the Term Loan were as follows (in thousands):

Remainder of 2020	$	—
2021		2,571
2022		1,929
Total	$	4,500

The Company made interest payments on the Term Loan of $49 thousand and $0.1 million during the three and nine months ended September 30, 2020, respectively.

Capital Structure

9 Months Ended

Sep. 30, 2020

Equity [Abstract]

Capital Structure

5. Capital Structure

Common Stock

As of September 30, 2020 and December 31, 2019, the Company was authorized to issue 130,518,922 and 41,000,000 shares of $0.0001 par value common stock, respectively. Holders of the Company’s common stock are entitled to dividends if and when declared by the Board of Directors of the Company (Board of Directors) and after any redeemable convertible preferred share dividends are fully paid. The holder of each share of common stock is entitled to one vote. As of September 30, 2020, no dividends were declared.

Shares reserved for future issuance

Common stock reserved for future issuance, on an as converted basis, consisted of the following:

	September 30, 2020		December 31, 2019
Series A redeemable convertible preferred stock		4,280,690		4,280,690
Series B redeemable convertible preferred stock		11,211,329		—
Stock options outstanding		2,402,539		859,322
Common stock warrant		49,609		49,609
Total shares reserved		17,944,167		5,189,621

Redeemable Convertible Preferred Stock

Issued and outstanding redeemable convertible preferred stock as of September 30, 2020, and its principal terms during the year then ended were as follows (in thousands, except share and per share amounts):

			As of September 30, 2020
Series	Shares Authorized		Shares Issued and Outstanding		Original Issue Price Per Share		Aggregate Liquidation Amount		Net Carrying Value
Series A redeemable convertible preferred stock		28,000,000		28,000,000	$	1.0000	$	28,000	$	27,813
Series B redeemable convertible preferred stock		73,333,330		73,333,330	$	1.2000		88,000		87,633
Total		101,333,330		101,333,330			$	116,000	$	115,446

Issued and outstanding redeemable convertible preferred stock as of December 31, 2019, and its principal terms during the year then ended were as follows (in thousands, except share and per share amounts):

As of December 31, 2019

Series

Authorized

Issued and

Outstanding

Original

Issue Price

Per Share

Aggregate

Liquidation

Amount

Net

Carrying

Value

Series A redeemable convertible preferred stock

28,000,000

1.0000

28,000

27,813

Equity Incentive Plan and Stock-Based Compensation Expense

9 Months Ended

Sep. 30, 2020

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Equity Incentive Plan and Stock-Based Compensation Expense

6. Equity Incentive Plan and Stock-Based Compensation Expense

Equity Incentive Plan

In October 2020, the Company adopted the 2020 Equity Incentive Plan (the 2020 Plan), which is a successor to and continuation of the Company’s Amended and Restated 2016 Equity Incentive Plan (the 2016 Plan). Total shares reserved under the 2020 Plan was 2,647,684, inclusive of the shares that remained available for issuance under the 2016 Plan at the time the 2020 Plan became effective. Following the effectiveness of the 2020 Plan, no further grants will be made under the 2016 Plan; however, shares subject to awards granted under the 2016 Plan will continue to be governed by the 2016 Plan. Any shares subject to outstanding stock options or other stock awards that were granted under the 2016 Plan that terminate or expire prior to exercise or settlement; are settled in cash; are forfeited or repurchased because of the failure to vest; or are reacquired or withheld to satisfy a tax withholding obligation or the purchase or exercise price in accordance with the terms of the 2016 Plan will also be reserved for issuance under the 2020 Plan. See Note 11 to these condensed financial statements for additional details.

Under the 2020 Plan and the 2016 Plan, individuals can be granted the ability to early exercise their options. There were no shares, related to the early exercise of options, subject to repurchase by the Company as of September 30, 2020.

A summary of the Company’s stock option activity and related information is as follows (in thousands, except share and per share amounts):

	Outstanding Stock Options			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life (Years)		Aggregate Intrinsic Value
Balance as of December 31, 2019		859,322		$	1.20		7.9	$	209
Granted		1,765,200			3.18		—		—
Exercised		(57,614	)		0.89		—		—
Forfeited/Cancelled		(164,369	)		1.59		—		—
Balance as of September 30, 2020		2,402,539		$	2.64		9.0	$	11,738
Vested and expected to vest as of September 30, 2020		2,256,494		$	2.60		8.9	$	11,096
Vested and exercisable as of September 30, 2020		545,011		$	1.18		5.7	$	3,073

Stock options vested and expected to vest differs from total stock options outstanding as it excludes performance-based stock options for which the performance criteria has not been achieved and achievement is not expected as of September 30, 2020. In October 2020, the performance criteria for 127,042 of the performance-based stock options was achieved and vesting commenced upon the completion of the IPO.

The aggregate intrinsic values of options outstanding and exercisable were calculated as the difference between the exercise price of the options and the estimated fair value of the Company’s common stock as determined by the Board of Directors as of September 30, 2020 and December 31, 2019. The total intrinsic value of options exercised was $0.3 million for both the three and nine months ended September 30, 2020.

Total shares authorized for issuance as of September 30, 2020 was 2,697,738 shares and 237,585 shares remained available for issuance under the 2016 Plan, which were incorporated into the 2020 Plan that became effective immediately prior to the execution of the underwriting agreement for the Company’s IPO.

For the three and nine months ended September 30, 2020, the weighted-average fair value of options granted was $5.01 and $3.45 per share, respectively.

Stock-Based Compensation Expense

The following table summarizes the components of stock-based compensation expense recognized in the Company’s statement of operations and comprehensive loss during the three and nine months ended September 30, 2020 and 2019 (in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Research and development	$	89	$	38	$	138	$	89
General and administrative		129		24		208		65
Total stock-based compensation expense	$	218	$	62	$	346	$	154

Unrecognized stock-based compensation expense as of September 30, 2020 was approximately $5.5 million, which is expected to be recognized over a weighted-average vesting term of 3.7 years.

Commitments and Contingencies

9 Months Ended

Sep. 30, 2020

Commitments And Contingencies Disclosure [Abstract]

Commitments and Contingencies

8. Commitments and Contingencies

From time to time, the Company may have certain contingent liabilities that arise in the ordinary course of business. The Company evaluates the likelihood of an unfavorable outcome in legal or regulatory proceedings to which it is a party and records a loss contingency on an undiscounted basis when it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These judgments are subjective and based on the status of such legal proceedings, the merits of the Company’s defenses, and consultation with legal counsel. Actual outcomes of these legal proceedings may differ materially from the Company’s estimates.

Leases

The Company leases space under non-cancelable operating leases which require the Company to pay base rent, real estate taxes, insurance, general repairs, and maintenance. The Company does not have finance leases. As described in Note 2, the Company adopted ASC Topic 842 as of January 1, 2020.

In February 2020, the Company entered into a non-cancelable operating lease for office space with a commencement date of September 2020. The monthly payments escalate over the 63-month term with total gross commitments of $2.3 million. The lease includes an option to renew the lease term for an additional period of 60 months. The renewal option is not included in the lease term or minimum lease payments disclosures below as the Company is not reasonably certain to exercise the option. Lease incentives, which relate to rent abatement, were considered in the calculation of the lease liability and right-of-use asset. Lease expense for the three and nine months ended September 30, 2020 was $37 thousand.

In February 2019, the Company entered into a short-term lease for office space with a commencement date of March 2019. Total gross commitments over the 12-month term were $0.2 million. In February 2020, the Company extended the lease for an additional three months for a total of $42 thousand in additional commitments. The lease was terminated in May 2020.

Short-term lease expense for the three and nine months ended September 30, 2020 was nil and $66 thousand, respectively. Rent expense for the three and nine months ended September 30, 2019 was $40 thousand and $108 thousand, respectively, and was recognized under prior Topic 840.

Lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of the remaining minimum lease payments over the lease term, with certain adjustments as described in Note 2. As the leases do not provide an implicit rate, the Company uses a collateralized incremental borrowing rate based on the information available at the commencement date to determine the lease liability. As of September 30, 2020, the weighted-average remaining lease term for operating leases was 5.2 years and the weighted-average discount rate was 7.0%. Cash paid for amounts included in the measurement of lease liabilities was $37 thousand for the three and nine months ended September 30, 2020.

The Company recognizes monthly operating lease expense on a straight-line basis over the term of the lease. Variable lease expense relates primarily to office lease common area maintenance, insurance, and property taxes, is expensed as incurred, and is excluded from the calculation of the lease liability and right-of-use-asset. Variable lease expense for the three and nine months ended September 30, 2020 was minimal.

Future minimum annual lease commitments under the Company’s non-cancelable operating leases as of September 30, 2020 were as follows (in thousands):

	Amount
2020 (remaining three months)	$	—
2021		377
2022		464
2023		478
2024 and thereafter		957
Total undiscounted future minimum lease payments		2,276
Less: present value discount		(371	)
Total discounted future minimum lease payments	$	1,905
Lease liability, current portion (included in "accrued expenses and other current liabilities" on the condensed balance sheet)	$	167
Lease liability, net of current portion		1,738
Total operating lease liability	$	1,905

Legal Matters

The Company’s industry is characterized by frequent claims and litigation, including claims regarding intellectual property. As a result, the Company may be subject to various legal proceedings from time to time. The results of any future litigation cannot be predicted with certainty, and regardless of the outcome, litigation can have an adverse impact on the Company because of defense and settlement costs, diversion of management resources and other factors. The Company was not subject to any material legal proceedings during the nine months ended September 30, 2020 and management is not aware of any pending or threatened litigation.

Net Loss Per Share

9 Months Ended

Sep. 30, 2020

Earnings Per Share [Abstract]

Net Loss Per Share

10. Net Loss Per Share

The following table sets forth the computation of the basic and diluted net loss per share (in thousands, except share and per share amounts):

	Three Months Ended September 30,						Nine Months Ended September 30,
	2020			2019			2020			2019
Numerator:
Net loss	$	(9,587	)	$	(2,551	)	$	(21,201	)	$	(9,906	)
Denominator:
Weighted-average common shares outstanding		776,159			764,408			769,766			764,408
Net loss per share, basic and diluted	$	(12.35	)	$	(3.34	)	$	(27.54	)	$	(12.96	)

Basic net loss per share was the same as diluted net loss per share for all periods as the inclusion of potentially dilutive securities would have been anti-dilutive. Potentially dilutive securities that were not included in the diluted per share calculations were as follows:

	September 30,
	2020		2019
Series A redeemable convertible preferred stock (on an if-converted basis)		4,280,690		4,280,690
Series B redeemable convertible preferred stock (on an if-converted basis)		11,211,329		—
Shares subject to outstanding common stock options		2,402,539		685,946
Shares subject to common stock warrants		49,609		32,129
Total		17,944,167		4,998,765

Subsequent Events

9 Months Ended

Sep. 30, 2020

Subsequent Events [Abstract]

Subsequent Events

11. Subsequent Events

Amendment to Amended and Restated Certificate of Incorporation

In October 2020, the Company filed an amendment to the Company’s amended and restated certificate of incorporation to effect the Reverse Stock Split (see Note 2).

Automatic Conversion of Redeemable Convertible Preferred Stock

In October 2020, the holders of Series A and Series B redeemable convertible preferred stock elected to automatically convert all outstanding shares of Series A and Series B redeemable convertible preferred stock into the Company’s common stock, at the then-effective and applicable conversion rate, contingent and effective upon the closing of the IPO.

Adoption of Equity Incentive Plan and Employee Stock Purchase Plan

In September 2020, the Board of Directors adopted the 2020 Plan. The stockholders approved the 2020 Plan in October 2020 and it became effective immediately prior to the execution of the underwriting agreement for the IPO. Under the 2020 Plan, the Company may grant stock options, stock appreciation rights, restricted stock, restricted stock units, and other stock or cash-based awards to individuals who are then employees, officers, directors or consultants of the Company. A total of 2,647,684 shares of common stock were approved to be initially reserved for issuance under the 2020 Plan, which includes (i) 2,410,133 new shares of common stock, plus (ii) the number of shares that remain available for issuance under our 2016 Plan at the time the 2020 Plan becomes effective, plus (iii) any shares subject to outstanding stock options or other stock awards that were granted under the 2016 Plan that terminate or expire prior to exercise or settlement; are settled in cash; are forfeited or repurchased because of the failure to vest; or are reacquired or withheld to satisfy a tax withholding obligation or the purchase or exercise price in accordance with the terms of the 2016 Plan. In addition, the number of shares of common stock available for issuance under the 2020 Plan will be automatically increased on the first day of each calendar year during the ten-year term of the 2020 Plan, beginning with January 1, 2021 and ending with January 1, 2030, by an amount equal to 5% of the outstanding number of shares of the Company’s common stock on December 31st of the preceding calendar year or such lesser amount as determined by the Company’s Board of Directors.

In September 2020, the Board of Directors adopted the 2020 Employee Stock Purchase Plan (the ESPP). The stockholders approved the ESPP in October 2020 and it became effective immediately prior to the execution of the underwriting agreement for the IPO. A total of 220,640 shares of common stock were approved to be initially reserved for issuance under the ESPP. In addition, the number of shares of common stock available for issuance under the ESPP will be automatically increased on the first day of each calendar year during the first ten-years of the term of the ESPP, beginning with January 1, 2021 and ending with January 1, 2030, by an amount equal to the lessor of (i) 1% of the outstanding number of shares of the Company’s common stock on December 31st of the preceding calendar year, (ii) 441,280 shares of common stock or (iii) such lesser amount as determined by the Board of Directors.

Initial Public Offering

In October 2020, the Company consummated its IPO and issued a total of 6,900,000 shares of common stock, which includes 900,000 shares issued pursuant to the exercise of the underwriters’ option to purchase additional shares at an offering price of $15.00 per share. In aggregate, the Company received net proceeds of approximately $96.3 million, after deducting underwriting discounts and commissions of approximately $7.2 million and before deducting offering-related expenses. In connection with the IPO, the following events occurred subsequent to September 30, 2020:

In October 2020, upon the closing of the IPO, 101,333,330 outstanding shares of redeemable convertible preferred stock automatically converted into an aggregate of 15,492,019 shares of common stock;

In October 2020, upon the closing of the IPO, total shares of common stock outstanding were 23,214,041, which includes shares of common stock outstanding as of September 30, 2020, shares of common stock issued in the IPO and redeemable convertible preferred stock converted into common stock; and

In October 2020, upon the closing of the IPO, the Company’s amended and restated certificate of incorporation became effective, authorizing 200,000,000 shares of common stock and 10,000,000 shares of undesignated preferred stock.

The table below shows, on a pro forma basis, the impact of the Company’s IPO on certain condensed balance sheet items as if all of the transactions occurred on September 30, 2020 (in thousands):

				Pro Forma
	September 30, 2020			September 30, 2020
Cash and cash equivalents	$	72,158		$	168,413
Deferred offering costs		2,347			—
Redeemable convertible preferred stock		115,446			—
Common stock		1			2
Additional paid-in capital		1,061			210,413
Total stockholders' equity (deficit)		(51,441	)		157,911

Exercise of Common Stock Warrant

In November 2020, a warrant to purchase 49,609 shares of common stock was net-exercised for 46,358 shares of common stock.

Summary of Significant Accounting Policies (Policies)

9 Months Ended

Sep. 30, 2020

Accounting Policies [Abstract]

Interim Condensed Financial Statements

Use of Estimates

Risks and Uncertainties

Cash and Cash Equivalents

Restricted Cash

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed statements of cash flows (in thousands):

	September 30,
	2020		2019
Cash and cash equivalents	$	72,158	$	4,832
Restricted cash		216		—
Total cash, cash equivalents and restricted cash	$	72,374	$	4,832

Fair Value of Financial Instruments

The Company determined the fair value of financial assets and liabilities using the fair value hierarchy that describes three levels of inputs that may be used to measure fair value, as follows:

▪

Level 1—Quoted prices in active markets for identical assets and liabilities;

▪

Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Concentration of Credit Risk

Deferred Offering Costs

Leases

The Company adopted Accounting Standards Update (ASU), No. 2016-02, Leases (Topic 842) effective January 1, 2020.

Redeemable Convertible Preferred Stock

Research and Development Expenses

Accrued Research and Development Expenses

Patent Costs [Policy Text Block]

Patent Costs

Stock-Based Compensation

Segment Reporting

Net Loss per Share

Emerging Growth Company Status

Recent Accounting Pronouncements Not Yet Adopted

Recently Adopted Accounting Pronouncements

Capital Structure (Tables)

9 Months Ended

Sep. 30, 2020

Equity [Abstract]

Summary of Common Stock Reserved for Future Issuance

Common stock reserved for future issuance, on an as converted basis, consisted of the following:

	September 30, 2020		December 31, 2019
Series A redeemable convertible preferred stock		4,280,690		4,280,690
Series B redeemable convertible preferred stock		11,211,329		—
Stock options outstanding		2,402,539		859,322
Common stock warrant		49,609		49,609
Total shares reserved		17,944,167		5,189,621

Schedule of Issued and Outstanding Redeemable Convertible Preferred Stock

			As of September 30, 2020
Series	Shares Authorized		Shares Issued and Outstanding		Original Issue Price Per Share		Aggregate Liquidation Amount		Net Carrying Value
Series A redeemable convertible preferred stock		28,000,000		28,000,000	$	1.0000	$	28,000	$	27,813
Series B redeemable convertible preferred stock		73,333,330		73,333,330	$	1.2000		88,000		87,633
Total		101,333,330		101,333,330			$	116,000	$	115,446

As of December 31, 2019

Series

Authorized

Issued and

Outstanding

Original

Issue Price

Per Share

Aggregate

Liquidation

Amount

Net

Carrying

Value

Series A redeemable convertible preferred stock

28,000,000

1.0000

28,000

27,813

Equity Incentive Plan and Stock-Based Compensation Expense (Tables)

9 Months Ended

Sep. 30, 2020

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Summary of Stock Option Activity

A summary of the Company’s stock option activity and related information is as follows (in thousands, except share and per share amounts):

	Outstanding Stock Options			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life (Years)		Aggregate Intrinsic Value
Balance as of December 31, 2019		859,322		$	1.20		7.9	$	209
Granted		1,765,200			3.18		—		—
Exercised		(57,614	)		0.89		—		—
Forfeited/Cancelled		(164,369	)		1.59		—		—
Balance as of September 30, 2020		2,402,539		$	2.64		9.0	$	11,738
Vested and expected to vest as of September 30, 2020		2,256,494		$	2.60		8.9	$	11,096
Vested and exercisable as of September 30, 2020		545,011		$	1.18		5.7	$	3,073

Summary of Stock-Based Compensation Expense

	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Research and development	$	89	$	38	$	138	$	89
General and administrative		129		24		208		65
Total stock-based compensation expense	$	218	$	62	$	346	$	154

Net Loss Per Share (Tables)

9 Months Ended

Sep. 30, 2020

Earnings Per Share [Abstract]

Schedule of Computation of Basic and Diluted Net Loss Per Share

The following table sets forth the computation of the basic and diluted net loss per share (in thousands, except share and per share amounts):

	Three Months Ended September 30,						Nine Months Ended September 30,
	2020			2019			2020			2019
Numerator:
Net loss	$	(9,587	)	$	(2,551	)	$	(21,201	)	$	(9,906	)
Denominator:
Weighted-average common shares outstanding		776,159			764,408			769,766			764,408
Net loss per share, basic and diluted	$	(12.35	)	$	(3.34	)	$	(27.54	)	$	(12.96	)

Schedule of Potentially Dilutive Securities not Included in Calculation of Diluted Per Share

	September 30,
	2020		2019
Series A redeemable convertible preferred stock (on an if-converted basis)		4,280,690		4,280,690
Series B redeemable convertible preferred stock (on an if-converted basis)		11,211,329		—
Shares subject to outstanding common stock options		2,402,539		685,946
Shares subject to common stock warrants		49,609		32,129
Total		17,944,167		4,998,765

Organization and Principal Activities - Additional Information (Details) $ / shares in Units, $ in Thousands			1 Months Ended	3 Months Ended						9 Months Ended
	Aug. 31, 2020 USD ($) shares	Feb. 29, 2020 USD ($) shares	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) shares	Jun. 30, 2020 USD ($)	Mar. 31, 2020 USD ($)	Sep. 30, 2019 USD ($)	Jun. 30, 2019 USD ($)	Mar. 31, 2019 USD ($)	Sep. 30, 2020 USD ($) shares	Sep. 30, 2019 USD ($)	Dec. 31, 2019 USD ($) shares
Organization And Principal Activities [Line Items]
Common stock, reverse stock split										1-for-6.541 basis
Cash and cash equivalents				$ 72,158			$ 4,832			$ 72,158	$ 4,832	$ 3,924
Net proceeds from the IPO										96,300
Net loss				(9,587)	$ (6,446)	$ (5,168)	$ (2,551)	$ (3,236)	$ (4,119)	(21,201)	$ (9,906)
Cash in operations										18,300
Accumulated deficit				$ (52,503)						$ (52,503)		$ (31,302)
Redeemable convertible preferred stock, shares issued \| shares				101,333,330						101,333,330
Redeemable Convertible Preferred Stock
Organization And Principal Activities [Line Items]
Redeemable convertible preferred stock converted into common stock \| shares				15,492,019						15,492,019
Series B Redeemable Convertible Preferred Stock
Organization And Principal Activities [Line Items]
Redeemable convertible preferred stock, shares issued \| shares	36,666,665	36,666,665		73,333,330						73,333,330		0
Proceeds from issuance of redeemable convertible preferred stock, net of issuance costs	$ 44,000	$ 43,600								$ 87,633
Subsequent Event
Organization And Principal Activities [Line Items]
Common stock, stock split ratio			0.153
Subsequent Event \| Redeemable Convertible Preferred Stock
Organization And Principal Activities [Line Items]
Redeemable convertible preferred stock converted into common stock \| shares			15,492,019
Subsequent Event \| Initial Public Offering
Organization And Principal Activities [Line Items]
Offering price \| $ / shares			$ 15.00
Net proceeds of common stock			$ 96,300
Underwriting discounts and commissions			$ 7,200
Subsequent Event \| Initial Public Offering \| Common Stock
Organization And Principal Activities [Line Items]
Issuance of stock \| shares			6,900,000
Redeemable convertible preferred stock converted into common stock \| shares			15,492,019
Subsequent Event \| Overallotment Option \| Common Stock
Organization And Principal Activities [Line Items]
Issuance of stock \| shares			900,000

Summary of Significant Accounting Policies - Additional Information (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2020 USD ($) Segment shares
Summary Of Significant Accounting Policies [Line Items]
Deferred offering costs capitalized	$ 2,300
Number of operating segment \| Segment	1
Right-of-use assets	$ 1,869
Lease liability	$ 1,905
Topic 842
Summary Of Significant Accounting Policies [Line Items]
Change in accounting principle, accounting standards update, adopted	true
Change in accounting principle, accounting standards update, adoption date	Jan. 01, 2020
Topic 820
Summary Of Significant Accounting Policies [Line Items]
Change in accounting principle, accounting standards update, adopted	true
Change in accounting principle, accounting standards update, adoption date	Jan. 01, 2020
Change in accounting principle, accounting standards update, immaterial effect	true
Stock Option
Summary Of Significant Accounting Policies [Line Items]
Recognition of stock option awards over requisite service period	4 years
Redeemable Convertible Preferred Stock
Summary Of Significant Accounting Policies [Line Items]
Redeemable convertible preferred stock converted into common stock \| shares	15,492,019

Term Loan - Additional Information (Details)	1 Months Ended			3 Months Ended	9 Months Ended
Term Loan - Additional Information (Details)	Apr. 30, 2020 USD ($) Installment	Dec. 31, 2019 USD ($)	Sep. 30, 2019 USD ($) Tranche $ / shares shares	Sep. 30, 2020 USD ($)	Sep. 30, 2020 USD ($)	Sep. 30, 2019 USD ($) Tranche $ / shares
Debt Instrument [Line Items]
Outstanding term loan, after unamortized discount and debt issuance costs				$ 4,469,000	$ 4,469,000
Proceeds from issuance of term loan						$ 2,492,000
Term Loan \| Silicon Valley Bank
Debt Instrument [Line Items]
Debt instrument, extended term	6 months
Outstanding term loan, after unamortized discount and debt issuance costs			$ 4,500,000			$ 4,500,000
Number of tranches \| Tranche			2			2
Principal payments commencement month and year	2021-01
Debt instrument, maturity	2022-09
Floating interest rate			4.25%			4.25%
Number of Monthly Installments \| Installment	21
Frequency of payments					monthly
Principal payments commencement date	Jan. 01, 2021
End of term payment, percentage	6.00%
End of term payment, amount	$ 300,000
Debt issuance costs				8,000	$ 8,000
Unamortized debt issuance costs and debt discount				31,000	31,000
Interest payments on debt				$ 49,000	$ 100,000
Term Loan \| Silicon Valley Bank \| Warrant
Debt Instrument [Line Items]
Number of shares issuable upon the exercise of warrant \| shares			49,609
Warrants exercise price \| $ / shares			$ 1.44			$ 1.44
Estimated fair value of the warrant			$ 100,000			$ 100,000
Term Loan \| Silicon Valley Bank \| Minimum
Debt Instrument [Line Items]
Debt instrument prepayment fee percentage			1.00%
Term Loan \| Silicon Valley Bank \| Maximum
Debt Instrument [Line Items]
Debt instrument prepayment fee percentage			3.00%
Term Loan \| Silicon Valley Bank \| Prime Rate
Debt Instrument [Line Items]
Basis spread reduction for variable rate			1.00%
First Tranche Term Loan \| Silicon Valley Bank
Debt Instrument [Line Items]
Proceeds from issuance of term loan			$ 2,500,000
Second Tranche Term Loan \| Silicon Valley Bank
Debt Instrument [Line Items]
Outstanding term loan, after unamortized discount and debt issuance costs			$ 2,000,000			$ 2,000,000
Proceeds from issuance of term loan		$ 2,000,000

Capital Structure - Schedule of Issued and Outstanding Redeemable Convertible Preferred Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	Sep. 30, 2020	Aug. 31, 2020	Jun. 30, 2020	Mar. 31, 2020	Feb. 29, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
Temporary Equity [Line Items]
Shares Authorized	101,333,330
Shares Issued	101,333,330
Aggregate Liquidation Amount	$ 116,000
Net Carrying Value	$ 115,446
Series A Redeemable Convertible Preferred Stock
Temporary Equity [Line Items]
Shares Authorized	28,000,000					28,000,000
Shares Issued	28,000,000					28,000,000
Shares Outstanding	28,000,000		28,000,000	28,000,000		28,000,000	28,000,000	28,000,000	28,000,000	20,000,000
Original Issue Price Per Share	$ 1.0000					$ 1.0000
Aggregate Liquidation Amount	$ 28,000					$ 28,000
Net Carrying Value	$ 27,813		$ 27,813	$ 27,813		$ 27,813	$ 27,813	$ 27,813	$ 27,813	$ 19,872
Series B Redeemable Convertible Preferred Stock
Temporary Equity [Line Items]
Shares Authorized	73,333,330					0
Shares Issued	73,333,330	36,666,665			36,666,665	0
Shares Outstanding	73,333,330		36,666,665	36,666,665		0
Original Issue Price Per Share	$ 1.2000
Aggregate Liquidation Amount	$ 88,000					$ 0
Net Carrying Value	$ 87,633		$ 43,648	$ 43,648

Equity Incentive Plan and Stock-Based Compensation Expense - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions	1 Months Ended	3 Months Ended	9 Months Ended
	Oct. 31, 2020	Sep. 30, 2020	Sep. 30, 2020	Dec. 31, 2019
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares reserved for issuance		17,944,167	17,944,167	5,189,621
Equity incentive plan, terms			Following the effectiveness of the 2020 Plan, no further grants will be made under the 2016 Plan; however, shares subject to awards granted under the 2016 Plan will continue to be governed by the 2016 Plan. Any shares subject to outstanding stock options or other stock awards that were granted under the 2016 Plan that terminate or expire prior to exercise or settlement; are settled in cash; are forfeited or repurchased because of the failure to vest; or are reacquired or withheld to satisfy a tax withholding obligation or the purchase or exercise price in accordance with the terms of the 2016 Plan will also be reserved for issuance under the 2020 Plan.
Number of shares early exercised under any plan		0	0
Aggregate intrinsic value of options exercised		$ 0.3	$ 0.3
Unrecognized stock-based compensation expense		$ 5.5	$ 5.5
Unrecognized stock-based compensation expense expected to be recognized over weighted-average vesting term			3 years 8 months 12 days
Subsequent Event \| Performance-based Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares commenced to vest after achievement of performance criteria	127,042
2020 Equity Incentive Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares authorized for issuance		2,697,738	2,697,738
Shares remained available for issuance		237,585	237,585
Weighted-average fair value of options granted		$ 5.01	$ 3.45
2020 Equity Incentive Plan \| Subsequent Event
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares reserved for issuance	2,647,684
Equity incentive plan, terms	In addition, the number of shares of common stock available for issuance under the 2020 Plan will be automatically increased on the first day of each calendar year during the ten-year term of the 2020 Plan, beginning with January 1, 2021 and ending with January 1, 2030, by an amount equal to 5% of the outstanding number of shares of the Company’s common stock on December 31st of the preceding calendar year or such lesser amount as determined by the Company’s Board of Directors.

Equity Incentive Plan and Stock-Based Compensation Expense - Summary of Stock Option Activity (Details) - 2020 Equity Incentive Plan $ / shares in Units, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020 USD ($) $ / shares shares	Dec. 31, 2019 USD ($) $ / shares shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Beginning Balance, Outstanding Stock Options \| shares	859,322
Granted, Outstanding Stock Options \| shares	1,765,200
Exercised, Outstanding Stock Options \| shares	(57,614)
Forfeited/Cancelled, Outstanding Stock Options \| shares	(164,369)
Ending Balance, Outstanding Stock Options \| shares	2,402,539	859,322
Vested and expected to vest, Outstanding Stock Options \| shares	2,256,494
Vested and exercisable, Outstanding Stock Options \| shares	545,011
Beginning Balance, Weighted-Average Exercise Price \| $ / shares	$ 1.20
Granted, Weighted-Average Exercise Price \| $ / shares	3.18
Exercised, Weighted-Average Exercise Price \| $ / shares	0.89
Forfeited/Cancelled, Weighted-Average Exercise Price \| $ / shares	1.59
Ending Balance, Weighted-Average Exercise Price \| $ / shares	2.64	$ 1.20
Vested and expected to vest, Weighted-Average Exercise Price \| $ / shares	2.60
Vested and exercisable, Weighted-Average Exercise Price \| $ / shares	$ 1.18
Weighted-Average Remaining Contractual Life (Years)	9 years	7 years 10 months 24 days
Vested and expected to vest, Weighted-Average Remaining Contractual Life (Years)	8 years 10 months 24 days
Vested and exercisable, Weighted-Average Remaining Contractual Life (Years)	5 years 8 months 12 days
Aggregate Intrinsic Value \| $	$ 11,738	$ 209
Vested and expected to vest, Aggregate Intrinsic Value \| $	11,096
Vested and exercisable, Aggregate Intrinsic Value \| $	$ 3,073

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended		9 Months Ended
	Feb. 29, 2020	Feb. 28, 2019	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Commitments And Contingencies Disclosure [Abstract]
Operating lease commencement date	2020-09
Operating lease term	63 months	12 months
Operating leases, gross commitment	$ 2,300
Operating Leases, option to renew lease term description					The lease includes an option to renew the lease term for an additional period of 60 months. The renewal option is not included in the lease term or minimum lease payments disclosures below as the Company is not reasonably certain to exercise the option.
Operating Leases, option to renew lease term	true
Operating leases, renew lease term	60 months
Operating leases, lease expense			$ 37		$ 37
Operating lease commencement date		2019-03
Short-term lease gross commitments		$ 200
Short-term lease extended term	3 months
Short term lease additional commitments	$ 42
Short term lease terminated					2020-05
Short-term lease expense			$ 0		$ 66
Rent expense				$ 40		$ 108
Weighted-average remaining lease term for operating leases			5 years 2 months 12 days		5 years 2 months 12 days
weighted-average discount rate			7.00%		7.00%
Cash paid for amounts included in measurement of lease liabilities			$ 37		$ 37

Subsequent Events - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions		1 Months Ended	9 Months Ended
	Nov. 18, 2020	Oct. 31, 2020	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
Subsequent Event [Line Items]
Shares reserved for future issuance			17,944,167			5,189,621
Equity incentive plans terms			Following the effectiveness of the 2020 Plan, no further grants will be made under the 2016 Plan; however, shares subject to awards granted under the 2016 Plan will continue to be governed by the 2016 Plan. Any shares subject to outstanding stock options or other stock awards that were granted under the 2016 Plan that terminate or expire prior to exercise or settlement; are settled in cash; are forfeited or repurchased because of the failure to vest; or are reacquired or withheld to satisfy a tax withholding obligation or the purchase or exercise price in accordance with the terms of the 2016 Plan will also be reserved for issuance under the 2020 Plan.
Common stock, shares outstanding			822,022			764,408
Common stock, shares authorized			130,518,922			41,000,000
Redeemable Convertible Preferred Stock
Subsequent Event [Line Items]
Redeemable convertible preferred stock converted into common stock			15,492,019
Common Stock
Subsequent Event [Line Items]
Common stock, shares outstanding			822,022	771,574	764,408	764,408	764,408	764,408	764,408	764,408
2020 Equity Incentive Plan
Subsequent Event [Line Items]
Number of shares of common stock available for issuance			237,585
Subsequent Event
Subsequent Event [Line Items]
Warrants to purchase of common stock	49,609
Subsequent Event \| Redeemable Convertible Preferred Stock
Subsequent Event [Line Items]
Redeemable convertible preferred stock converted into common stock		15,492,019
Subsequent Event \| Initial Public Offering
Subsequent Event [Line Items]
Offering price		$ 15.00
Net proceeds of common stock		$ 96.3
Underwriting discounts and commissions		$ 7.2
Common stock, shares outstanding		23,214,041
Common stock, shares authorized		200,000,000
Undesignated preferred stock, shares authorized		10,000,000
Subsequent Event \| Initial Public Offering \| Redeemable Convertible Preferred Stock
Subsequent Event [Line Items]
Redeemable convertible preferred stock, shares outstanding		101,333,330
Subsequent Event \| Common Stock \| Warrant
Subsequent Event [Line Items]
Net exercised of common stock	46,358
Subsequent Event \| Common Stock \| Initial Public Offering
Subsequent Event [Line Items]
Issuance of stock		6,900,000
Redeemable convertible preferred stock converted into common stock		15,492,019
Subsequent Event \| Common Stock \| Overallotment Option
Subsequent Event [Line Items]
Issuance of stock		900,000
Subsequent Event \| 2020 Equity Incentive Plan
Subsequent Event [Line Items]
Shares reserved for future issuance		2,647,684
Term of automatically increase in common stock available for issuance		10 years
Percentage of outstanding shares subject to automatic increase in common stock		5.00%
Equity incentive plans terms		In addition, the number of shares of common stock available for issuance under the 2020 Plan will be automatically increased on the first day of each calendar year during the ten-year term of the 2020 Plan, beginning with January 1, 2021 and ending with January 1, 2030, by an amount equal to 5% of the outstanding number of shares of the Company’s common stock on December 31st of the preceding calendar year or such lesser amount as determined by the Company’s Board of Directors.
Subsequent Event \| 2020 Equity Incentive Plan \| Common Stock
Subsequent Event [Line Items]
Shares reserved for future issuance		2,410,133
Subsequent Event \| 2020 Employee Stock Purchase Plan
Subsequent Event [Line Items]
Shares reserved for future issuance		220,640
Term of automatically increase in common stock available for issuance		10 years
Percentage of outstanding shares subject to automatic increase in common stock		1.00%
Equity incentive plans terms		In addition, the number of shares of common stock available for issuance under the ESPP will be automatically increased on the first day of each calendar year during the first ten-years of the term of the ESPP, beginning with January 1, 2021 and ending with January 1, 2030, by an amount equal to the lessor of (i) 1% of the outstanding number of shares of the Company’s common stock on December 31st of the preceding calendar year, (ii) 441,280 shares of common stock or (iii) such lesser amount as determined by the Board of Directors.
Number of shares of common stock available for issuance		441,280

Subsequent Events - Impact of Initial Public Offering on Certain Condensed Balance Sheet Items on Pro Forma Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
Subsequent Event [Line Items]
Cash and cash equivalents	$ 72,158			$ 3,924	$ 4,832
Deferred offering costs	2,347
Redeemable convertible preferred stock	115,446
Common stock, $0.0001 par value, 130,518,922 and 41,000,000 shares authorized as of September 30, 2020 and December 31, 2019, respectively; 822,022 and 764,408 shares issued and outstanding as of September 30, 2020 and December 31, 2019, respectively	1			1
Additional paid-in capital	1,061			664
Total stockholders' equity (deficit)	(51,441)	$ (42,115)	$ (35,773)	$ (30,637)	$ (27,517)	$ (25,065)	$ (21,906)	$ (17,802)
Initial Public Offering \| Pro Forma
Subsequent Event [Line Items]
Cash and cash equivalents	168,413
Deferred offering costs	0
Redeemable convertible preferred stock	0
Common stock, $0.0001 par value, 130,518,922 and 41,000,000 shares authorized as of September 30, 2020 and December 31, 2019, respectively; 822,022 and 764,408 shares issued and outstanding as of September 30, 2020 and December 31, 2019, respectively	2
Additional paid-in capital	210,413
Total stockholders' equity (deficit)	$ 157,911

- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

+ References + Details

CONDENSED STATEMENTS OF REDEEMABLE CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIT) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2020	Mar. 31, 2020	Mar. 31, 2019
Series B Convertible Preferred Stock
Stock issuance costs	$ 15	$ 352
Series A Convertible Preferred Stock
Stock issuance costs			$ 60

Fair Value Measurements - Additional Information (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Estimated fair value of term loan	$ 4,800,000
Fair Value Recurring
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Financial assets fair value	0	$ 0
Liabilities fair value	0	0
Fair Value Non-recurring
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Financial assets fair value	0	0
Liabilities fair value	$ 0	$ 0

License Agreement - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2016
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Research and development expense	$ 7,769,000	$ 2,107,000	$ 18,040,000	$ 7,969,000
License Agreement \| Eli Lilly and Company
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Research and development expense					$ 800,000
Milestone payments due	23,000,000		23,000,000
Research and development arrangement, costs incurred	$ 0	$ 0	$ 0	$ 0

CONDENSED STATEMENTS OF CASH FLOWS (Parenthetical) (Unaudited) $ in Thousands	9 Months Ended
	Sep. 30, 2019 USD ($)
Statement Of Cash Flows [Abstract]
Proceeds from issuance of term loan, issuance costs	$ 8

Term Loan - Schedule of Term Loan (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Debt Disclosure [Abstract]
Total Term Loan debt	$ 4,500
Less: unamortized discount and debt issuance costs	(31)
Total Term Loan, net	4,469
Less: Term Loan, current portion	(1,908)	$ (1,252)
Term loan, net of current portion	$ 2,561	$ 3,193

Capital Structure - Summary of Common Stock Reserved for Future Issuance (Details) - shares	Sep. 30, 2020	Dec. 31, 2019
Class Of Stock [Line Items]
Shares reserved for future issuance	17,944,167	5,189,621
Stock Options Outstanding
Class Of Stock [Line Items]
Shares reserved for future issuance	2,402,539	859,322
Common Stock Warrant
Class Of Stock [Line Items]
Shares reserved for future issuance	49,609	49,609
Series A Redeemable Convertible Preferred Stock
Class Of Stock [Line Items]
Shares reserved for future issuance	4,280,690	4,280,690
Series B Redeemable Convertible Preferred Stock
Class Of Stock [Line Items]
Shares reserved for future issuance	11,211,329

Net Loss Per Share - Schedule of Potentially Dilutive Securities not Included in Calculation of Diluted Per Share (Details) - shares	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potential dilutive securities excluded from diluted net loss per share	17,944,167	4,998,765
Series A Redeemable Convertible Preferred Stock
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potential dilutive securities excluded from diluted net loss per share	4,280,690	4,280,690
Series B Redeemable Convertible Preferred Stock
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potential dilutive securities excluded from diluted net loss per share	11,211,329
Shares Subject to Outstanding Common Stock Options
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potential dilutive securities excluded from diluted net loss per share	2,402,539	685,946
Shares Subject to Common Stock Warrants
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Potential dilutive securities excluded from diluted net loss per share	49,609	32,129