Lime Energy (LMEC) 10-K 30 Mar 16 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2015	Mar. 30, 2016	Jun. 30, 2015
Document and Entity Information
Entity Registrant Name	LIME ENERGY CO.
Entity Central Index Key	1,065,860
Document Type	10-K
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Filer Category	Smaller Reporting Company
Entity Public Float			$ 11,357,617
Entity Common Stock, Shares Outstanding		9,612,062
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	FY

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Current Assets
Cash and cash equivalents	$ 5,389	$ 5,473
Restricted cash	1,300	500
Accounts receivable, less allowance for doubtful accounts of $1,636 and $1,794 at December 31, 2015 and 2014, respectively	23,641	11,820
Inventories	2,502	176
Unbilled Accounts Receivable	6,451	7,407
Prepaid expenses and other	1,300	619
Current assets of discontinued operations	90	613
Total Current Assets	40,673	26,608
Property and Equipment, net of accumulated depreciation of $4,304 and $3,463 at December 31, 2015 and 2014, respectively (Note 5)	2,651	1,470
Long-Term Receivables	1,224	710
Deferred Financing Costs, net of accumulated amortization of $305 and $108 at December 31, 2015 and 2014, respectively	129	22
Intangibles, net of accumulated amortization of $1,004 and $0 at December 31, 2015 and 2014, respectively (Note 6)	4,716
Goodwill (Note 6)	8,173	6,009
Total Assets	57,566	34,819
Current Liabilities
Accounts payable	22,423	13,341
Accrued expenses (Note 7)	2,909	1,245
Unearned Revenue	1,313	705
Customer deposits	471	512
Other current liabilities	11	11
Current portion of long-term liabilities	16
Current liabilities of discontinued operations	138	806
Total Current Liabilities	27,281	16,620
Long-Term Debt, less current maturities	60
Long-Term Debt - Related Party	7,753
Derivative Liability - Related Party	6,671
Total Liabilities	41,765	16,620
Contingently redeemable Series C Preferred stock, $0.01 par value: 10,000 shares authorized; 10,000 shares issued and outstanding as of December 31, 2015 and 2014, respectively (includes accrued dividends of $1,320 at December 31, 2015)	10,703	9,633
Stockholders' Equity
Common stock, $.0001 par value; 50,000,000 shares authorized; 9,570,398 and 9,460,090 issued and outstanding as of December 31, 2015 and 2014, respectively	1	1
Additional paid-in capital	208,603	208,916
Accumulated deficit	(203,506)	(200,351)
Total Stockholders' Equity	5,098	8,566
Total Liabilities and Stockholders' Equity	$ 57,566	$ 34,819

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Consolidated Balance Sheets
Accounts receivable, allowance for doubtful accounts (in dollars)	$ 1,636	$ 1,794
Property and Equipment, accumulated depreciation (in dollars)	4,304	3,463
Deferred Financing Costs, accumulated amortization (in dollars)	305	108
Intangibles, accumulated amortization (in dollars)	$ 1,004	$ 0
Redeemable preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Redeemable preferred stock, shares authorized	10,000	10,000
Redeemable preferred stock, shares issued	10,000	10,000
Redeemable preferred stock, shares outstanding	10,000	10,000
Accrued dividends	$ 1,320
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	9,570,398	9,460,090
Common stock, shares outstanding	9,570,398	9,460,090

Consolidated Statement of Opera

Consolidated Statement of Operations - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Consolidated Statement of Operations
Revenue	$ 112,623	$ 58,816
Cost of sales (1)	74,860	41,162
Gross Profit	37,763	17,654
Selling, general and administrative	35,077	20,195
Acquisition costs	1,941
Amortization of intangibles	879
Operating loss	(134)	(2,541)
Other Income (Expense)
Interest income	193	100
Interest expense - Related Party $1,221 and $189 thousand for the year ended December 31, 2015 and 2014, respectively.	(1,313)	(189)
Extinguishment of debt - Related Party	(1,420)
Loss from change in derivative liability - Related Party	(996)
Total other expense	(3,536)	(89)
Loss from continuing operations before income taxes	(3,670)	(2,630)
Income tax (expense) benefit	1,147
Loss from continuing operations	(2,523)	(2,630)
Discontinued Operations:
(Loss) income from operation of discontinued business	(632)	7
Net loss	(3,155)	(2,623)
Preferred dividend	(1,293)	(2,979)
Net loss available to common stockholders	$ (4,448)	$ (5,602)
Basic and diluted loss per common share from
Continuing operations (in dollars per share)	$ (0.40)	$ (1.44)
Discontinued operations (in dollars per share)	(0.07)	0
Basic and Diluted Loss Per Common Share (in dollars per share)	$ (0.47)	$ (1.44)
Weighted Average Common Shares Outstanding (Note 3)	9,548,261	3,884,826

Consolidated Statement of Oper5

Consolidated Statement of Operations (Parenthetical) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)
Consolidated Statement of Operations
Interest expense - Related Party	$ 1,221
Amortization of intangible excluded from COGS	$ 630

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Series A Preferred Stock	Series B Preferred Stock	Total
Balance at Dec. 31, 2013		$ 205,489	$ (197,728)	$ 9	$ 4	$ 7,774
Balance (in shares) at Dec. 31, 2013	3,667			958	401
Increase (Decrease) in Stockholders' Equity
Conversion of subordinated notes		1,048				1,048
Conversion of subordinated notes (in shares)	214
Issuance of preferred stock		1,998			$ 2	2,000
Issuance of preferred stock (in shares)					200
Issuance costs		(11)				(11)
Warrants Issued		101				101
Preferred stock dividends		(1,969)				(1,969)
Satisfaction of accrued dividends through the issuance of preferred stock		1,940		$ 1	$ 1	1,942
Satisfaction of accrued dividends through the issuance of preferred stock (in shares)				121	73
Conversion of Series A & B shares	$ 1	16		$ (10)	$ (7)
Conversion of Series A & B shares (in shares)	5,467			(1,079)	(674)
Shares issued for benefit plans		8				8
Shares issued for benefit plans (in shares)	112
Share based compensation		296				296
Net loss			(2,623)			(2,623)
Balance at Dec. 31, 2014	$ 1	208,916	(200,351)			8,566
Balance (in shares) at Dec. 31, 2014	9,460
Increase (Decrease) in Stockholders' Equity
Preferred stock dividends		(1,293)				(1,293)
Shares issued for benefit plans		41				41
Shares issued for benefit plans (in shares)	18
Share based compensation		939				939
Share based compensation (in shares)	92
Net loss			(3,155)			(3,155)
Balance at Dec. 31, 2015	$ 1	$ 208,603	$ (203,506)			$ 5,098
Balance (in shares) at Dec. 31, 2015	9,570

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Cash Flows From Operating Activities
Net loss	$ (3,155)	$ (2,623)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities, net of assets acquired and disposed of:
Provision for bad debt	743	761
Share-based compensation	939	296
Depreciation and amortization	1,768	731
Amortization of deferred financing costs	67	108
PIK notes issued for interest		48
Preferred stock dividends		(27)
Change in derivative liability - Related Party	996
Loss on extinguishment of debt - Related Party	1,420
Deferred income tax benefit	(1,246)
Interest on Sub Notes added to principal - Related Party	396
Amortization of original issue discount - Related Party	169
Establishment of restricted funds to release Letter of Credit	(1,300)
Release of restricted funds	(500)
Changes in assets and liabilities, net of business acquisitions and dispositions
Accounts receivable	(6,605)	(3,844)
Inventories	(21)	(176)
Unbilled Accounts Receivable	956	(782)
Prepaid expenses and other current assets	(486)	(364)
Assets of discontinued operations	523	2,829
Accounts payable	5,101	(2,494)
Accrued expenses	1,130	(1,662)
Unearned Revenue	550	(1,006)
Customer deposits and other current liabilities	(107)	(2,785)
Liabilities of discontinued operations	(668)	(2,439)
Net cash provided by (used in) operating activities	1,670	(13,429)
Cash Flows From Investing Activities
Acquisition of EnerPath	(11,000)
Purchases of property and equipment	(2,012)	(638)
Net cash (used in) provided by investing activities	(13,012)	(638)
Cash Flows From Financing Activities
Payments on vehicle financing	(12)
Deferred Financing costs	(480)	(20)
Proceeds from issuance of preferred stock		12,000
Proceeds from issuance of convertible notes - Related Party	11,750	1,000
Costs related to preferred stock issuances		(380)
Net cash provided by financing activities	11,258	12,600
Net Decrease in Cash and Cash Equivalents	(84)	(1,467)
Cash and Cash Equivalents, at beginning of period	5,473	6,940
Cash and Cash Equivalents, at end of period	5,389	5,473
Supplemental Disclosure of Cash Flow Information:
Preferred dividends satisfied through issuance of preferred stock:		1,942
Value of subordinated notes and accrued interest converted to preferred stock:		1,048
Cash paid during the period for interest:
Continuing operations	651	13
Warrants issued for deferred financing fees:	$ 31
Warrants issued with letter of credit:		$ 101

Description of Business

Description of Business	12 Months Ended
	Dec. 31, 2015
Description of Business
Description of Business	Note 1 — Description of Business Lime Energy Co. (the “Company”), a Delaware corporation headquartered in Newark, New Jersey, is a provider of energy efficiency solutions for small businesses under utility demand-side management programs .

Basis of Presentation

Basis of Presentation	12 Months Ended
	Dec. 31, 2015
Basis of Presentation
Basis of Presentation	Note 2 — Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The consolidated financial statements include the accounts of Lime Energy Co. and its wholly-owned subsidiaries . All significant intercompany balances and transactions have been eliminated in consolidation.

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2015
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	Note 3 - Summary of Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Concentration of Risk The Company’s customers are primarily utilities and their small business customers. During 2015 and 2014, revenue generated under four utility programs represented 69% and 78% of the Company’s consolidated revenue, respectively. The Company purchases its materials from a variety of suppliers and continues to seek out alternate suppliers for critical components so that it can be assured that its sales will not be interrupted by the inability of a single supplier to deliver product. During 2015, two suppliers were responsible for 68% and 15% of the Company’s purchases, respectively, while during 2014 two suppliers were responsible for 48% and 13% of the Company’s purchases, respectively. The Company maintains cash and cash equivalents in accounts with financial institutions in excess of the amount insured by the Federal Deposit Insurance Corporation. The Company monitors the financial stability of these institutions regularly and management does not believe there is significant credit risk associated with deposits in excess of federally insured amounts. Allowance for Doubtful Accounts The Company records an allowance for doubtful accounts based on specifically identified amounts that it believes to be uncollectible. If actual collections experience changes, revisions to the allowance may be required. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. Based on the information available to it, the Company believes its allowance for doubtful accounts is adequate. However, actual write-offs might exceed the recorded allowance. The following is a summary of changes to the allowance for doubtful accounts (in thousands): Year ended December 31, 2015 2014 Balance at the beginning of the period $ $ Additions charged to costs and expenses Amounts written-off ) ) Balance at the end of the period $ $ Inventories Inventories are stated at the lower of cost or market. Cost is determined utilizing the first-in, first-out (FIFO) method. Properties & Equipment Property and equipment are stated at cost. For financial reporting purposes, depreciation is computed using the straight-line method over the following estimated useful lives: Building Improvements 3 - 10 years Office equipment 3 - 5 years Furniture 5 - 10 years Transportation equipment 3 - 5 years Software 3 – 5 years Long-Lived Assets We evaluate our long-lived assets periodically for impairment in accordance with ASC 360-10-35, “Accounting for the Impairment or Disposal of Long-Lived Assets.” We record impairment losses on long-lived assets used in operations when events and circumstances indicate that the assets might be impaired and the undiscounted cash flows estimated to be generated by those assets are less than the carrying amount of those items. Our cash flow estimates are based on historical results adjusted to reflect our best estimate of future market and operating conditions. The net carrying value of assets not recoverable is reduced to fair value. Our estimates of fair value represent our best estimate based on industry trends and reference to market rates and transactions. Goodwill Goodwill represents the purchase price in excess of the fair value of assets acquired in business combinations. Accounting Standards Codification (“ASC”) 350, “Goodwill and Other Intangible Assets,” requires the Company to assess goodwill and other indefinite-lived intangible assets for impairment at least annually in the absence of an indicator of possible impairment and immediately upon an indicator of possible impairment. During the fourth quarter of 2015, the Company undertook an assessment of its goodwill for possible impairment and concluded that the fair value of the continuing business, based on the discounted current value of the estimated future cash flows, exceeded the carrying value, indicating that the goodwill was not impaired. The Company considered various factors in determining the fair value of its business, including discounted cash flows from projected earnings, values for comparable companies and the market price of its common stock. It will continue to monitor for any impairment indicators such as underperformance of projected earnings, net book value compared to market capitalization, declining stock price and significant adverse economic and industry trends. In the event that the business does not achieve projected results, or as the result of changes in facts of circumstances, the Company could incur an additional goodwill impairment charge in a future period. Revenue Recognition The Company provides energy efficient solutions that focus on the different uses of energy, including lighting and electrical, mechanical and HVAC, and refrigeration. These solutions consist of product sales and installation services. Customers purchase solutions individually or combined. When purchased individually, the Company recognizes revenue when performance is complete, typically when the products have been installed. When purchased together, the Company recognizes revenue as installation occurs in accordance with the arrangement. Unbilled Accounts Receivable in the accompanying Consolidated Balance Sheet represents revenue earned on completed installations for which the customer has not been invoiced as well as the cost of products that have been shipped to the customer but not installed. Customer Deposits in the accompanying Consolidated Balance Sheet, represent deposits received from customers in advance of related project installation. During 2015, the Company determined that completed contract revenue recognition was appropriate. The impact of the change in the current year was immaterial. Unbilled Accounts Receivable As of December 31, 2015, the Company had customer projects underway for which it had recognized revenue but not yet invoiced the customer. The Company records this unbilled revenue as a current asset titled “Unbilled Accounts Receivable.” The Company had Unbilled Accounts Receivable of $6.5 million and $7.4 million at December 31, 2015 and 2014, respectively. Advertising, Marketing and Promotional Costs Expenditures on advertising, marketing and promotions are charged to operations in the period incurred and totaled $1.2 million and $161 thousand for the periods ended December 31, 2015 and 2014, respectively. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred income taxes are recognized for the tax consequences in future years of the differences between the tax basis of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable earnings. Valuation allowances are established when necessary to reduce deferred tax assets to the amount more likely than not to be realized. Net Loss Per Share The Company computes loss per share under ASC 260-10, “Earnings Per Share.” This statement requires presentation of two amounts: basic and diluted loss per share. Basic loss per share is computed by dividing the loss available to common stockholders by the weighted average common shares outstanding. Diluted earnings per share would include all common stock equivalents unless anti-dilutive. For periods when such inclusion would not be anti-dilutive, the Company uses the treasury method to calculate the diluted earnings per share. The treasury stock method assumes that the Company uses the proceeds from the exercise of in-the-money options and warrants to repurchase common stock at the average market price for the period. Options and warrants are only dilutive when the average market price of the underlying common stock exceeds the exercise price of the options or warrants. The Company has not included the outstanding options, warrants, preferred stock or convertible debt as common stock equivalents when calculating the diluted loss per share for the years ended December 31, 2015 or 2014, because the effect would be anti-dilutive. The following table sets forth the weighted average shares issuable upon exercise of outstanding options and warrants and convertible debt that is not included in the basic and diluted loss per share available to common stockholders: December 31, 2015 2014 Weighted average shares issuable upon exercise of outstanding options Weighted average shares issuable upon exercise of outstanding warrants Weighted average shares issuable upon conversion of convertible preferred stock Weighted average shares issuable upon conversion of convertible debt Total Fair Value Measurements U.S. GAAP establishes a framework for measuring fair value and enhances disclosures about fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes the following fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value:  Level 1: Quoted prices in active markets for identical assets or 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.  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 fair value of interest-bearing cash and cash equivalents are classified as Level 1 at December 31, 2015 and 2014. The Company is required by U.S. GAAP to record certain assets and liabilities at fair value on a recurring basis. The guidance in ASC 815 required that the Company mark the value of its Derivative Liability — Related Party (See Note 10) to market and recognize the change in valuation in its statement of operations each reporting period. Determining the Derivative Liability — Related Party to be recorded required the Company to develop estimates to be used in calculating the fair value. Since the Derivative Liability — Related Party does not trade in an active securities market, the Company considers this to be a Level 3 measurement. See Note 10 for a description of the manner in which the fair value was calculated. Fair Value of Financial Instruments The carrying amounts reported in the consolidated balance sheets for accounts receivable, accounts payable and accrued expenses approximate fair value because of the short-term nature of these amounts. The fair value of the long-term debt — related party, also approximates fair value, as the debt was originated in 2015 and the Company believes its credit rating and prevailing market rates are comparable at December 31, 2015. Share-based Compensation The Company has a stock incentive plan that provides for stock-based employee compensation, including the granting of stock options and shares of restricted stock, to certain key employees. The Company follows the guidance of ASC 718, “Compensation — Stock Compensation,” which requires companies to record stock compensation expense for equity-based awards granted, including stock options and restricted stock unit grants, over the service period of the equity-based award based on the fair value of the award at the date of grant. The following are the components of the Company’s stock compensation expense during the years ended December 31, 2015 and 2014, respectively: 2015 2014 Stock Options $ $ ) Restricted Stock Employee Stock Purchase Plan Total Stock Compensation Expense $ $ Please refer to Notes 21, 22 and 23 for additional information regarding share-based compensation expense. Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842).” ASU 2016-02 will require organizations that lease assets—referred to as “lessees”—to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Under the new guidance, a lessee will be required to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current Generally Accepted Accounting Principles (“GAAP”), the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike current GAAP—which requires only capital leases to be recognized on the balance sheet—the new ASU will require both types of leases to be recognized on the balance sheet. ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. We are currently evaluating the impact of adopting ASU 2016-02 on our consolidated financial statements and related disclosures. In January 2016, FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-01 provides guidance concerning certain matters involving the recognition, measurement, and disclosure of financial assets and financial liabilities. The guidance does not alter the basic framework for classifying debt instruments held as financial assets. ASU 2016-01 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early adoption is not permitted, with some exceptions. The adoption of ASU 2016-01 will not have a material impact on our consolidated financial statements and related disclosures. In November 2015, FASB issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes.” ASU 2015-17 simplifies the presentation of deferred income taxes and requires deferred tax liabilities and assets be classified as non-current in a classified statement of financial position. ASU 2015-17 is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Earlier application is permitted for all entities as of the beginning of an interim or annual reporting period. ASU 2015-17 may be applied either prospectively or retrospectively to all periods presented. We are currently evaluating the impact of adopting ASU 2015-17 on our consolidated financial statements and related disclosures. In May 2014, FASB issued ASU 2014-09, “Revenue from Contracts With Customers.” ASU 2014-09 supersedes nearly all existing guidance on revenue recognition under GAAP. The core principle of ASU 2014-09 is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which the Company expects to be entitled for those goods or services using a defined five-step process. More judgment and estimates may be required to achieve this principle than under existing GAAP. ASU 2014-09 is effective for annual periods beginning after December 15, 2017, including interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients or (ii) a retrospective approach with the cumulative effect upon initial adoption recognized at the date of adoption which includes additional footnote disclosures. The Company is currently evaluating the impact of the adoption of ASU 2014-09 on the Company’s consolidated financial statements and has not yet determined the method of adoption. In April 2015, FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs.” ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. FASB issued the ASU to simplify the presentation of debt issuance costs, and to align with other existing FASB guidance. ASU 2015-03 is effective for annual periods beginning after December 15, 2015, and interim periods within those annual periods. The adoption of this standard is not expected to have a significant impact on the Company’s consolidated financial statements.

Discontinued Operations

Discontinued Operations	12 Months Ended
	Dec. 31, 2015
Discontinued Operations
Discontinued Operations	Note 4 — Discontinued Operations As previously disclosed, the Company sold the majority of its public sector business in early 2013. In addition, during the third quarter of 2013, the Company disposed of GESPC, its contract with the Army Corp of Engineers under the Federal Renewal and Renovation program, and the regional service business located in Bethlehem, Pennsylvania. These businesses, along with the asset development business that the Company shut down at the end of 2012, have all been reported as discontinued operations in the consolidated financial statements. The revenue and loss related to discontinued operations were as follows (in thousands): Year ended December 31, 2015 2014 Revenue $ ) $ Operating (Income) Loss $ ) $ The assets and liabilities related to discontinued operations were as follows (in thousands): December 31, 2015 2014 Unbilled Accounts Receivable — Total current assets Total Assets $ $ Accounts payable $ — $ Accrued expenses Unearned Revenue Customer deposits Total current liabilities Total Liabilities $ $

Property and Equipment

Property and Equipment	12 Months Ended
	Dec. 31, 2015
Property and Equipment
Property and Equipment	Note 5 — Property and Equipment Property and equipment consist of the following (in thousands): December 31, 2015 2014 Buildings & improvements $ $ Construction equipment Furniture Office equipment Software Transportation equipment Less accumulated depreciation ) ) Property and Equipment, Net $ $ Total depreciation expense was $0.9 million and $0.7 million for the years ended December 31, 2015 and 2014, respectively.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	12 Months Ended
	Dec. 31, 2015
Goodwill and Other Intangible Assets
Goodwill and Other Intangible Assets	Note 6 — Goodwill and Other Intangible Assets Goodwill represents the purchase price in excess of the fair value of net assets acquired in business combinations. ASC 350, “Goodwill and Other Intangible Assets,” requires the Company to assess goodwill for impairment at least annually in the absence of an indicator of possible impairment and immediately upon an indicator of possible impairment. The following is a summary of the Company’s goodwill (in thousands): Balance at December 31, 2013 $ Balance at December 31, 2014 $ Acquisition of Enerpath Balance at December 31, 2015 $ The following is a summary of the Company’s intangible assets (in thousands): Remaining Life (months) Gross Book Value Accumulated Amortization Impairment Net Book Value As of December 31, 2015 Amortized intangible assets: Customer Relationships — Technology and software — Trade name — Total $ $ $ — $ The total expected future annual amortization is as follows (in thousands): Year Amount 2016 $ 2017 2018 2019 2020 Thereafter Total $

Accrued Expenses

Accrued Expenses	12 Months Ended
	Dec. 31, 2015
Accrued Expenses
Accrued Expenses	Note 7 — Accrued Expenses Accrued expenses are comprised of the following (in thousands): December 31, 2015 2014 Compensation $ $ Interest — Job costs Rent Sales tax payable Preferred stock dividends — Taxes — Other Accrued Expenses $ $

Acquisition of EnerPath

Acquisition of EnerPath	12 Months Ended
	Dec. 31, 2015
Acquisition of EnerPath
Acquisition of Enerpath	Note 8 — Acquisition of EnerPath On March 24, 2015, the Company acquired EnerPath International Holding Company, a California-based provider of software solutions and program administration for utility energy efficiency programs (“EnerPath”). The consideration paid in connection with the EnerPath acquisition was approximately $11 million in cash with $1.0 million held in escrow, subject to adjustment as set forth in the Agreement and Plan of Merger by and among the Company, EIHC Merger Sub, Inc., a wholly-owned subsidiary of the Company, EnerPath, and the EnerPath stockholders. The purchase price adjustment indemnification escrow of $250 thousand was released on June 25, 2015, together with the $75 thousand escrow that had been set aside to cover expenses of the stockholders’ representative. An amount equal to approximately $629 thousand remains in escrow to cover any post-closing indemnification. The fair values of the assets acquired and liabilities assumed related to the acquisition are based on estimates and assumptions. These preliminary estimates and assumptions could change significantly during the purchase price measurement period as we finalize the valuations of the assets acquired and liabilities assumed. Such changes could result in material variances between the Company’s future financial fair values recorded and expenses associated with these items, including variances in the estimated purchase price. The following table summarizes the fair values of the assets acquired and liabilities assumed at the date of the closing of the acquisition (in thousands). Current assets $ Property and equipment Other assets Intangible assets - finite life Goodwill Total assets acquired Current Liabilities assumed ) Deferred income tax liability ) Net assets acquired $ The preliminary estimate of intangible assets acquired from EnerPath, the acquired intangible asset categories, fair value and average amortization periods are as follows (in thousands): Average Estimated Annual Amortization Amortization Fair Value Method/Period Expense Customer relationships $ Cash flow/7 years $ Enerworks System Software 4 years Trade name 3 years $ $ The following unaudited pro forma information represents the Company’s results of operations as if the acquisition had occurred on January 1, 2014 (in thousands, except per share data): Years ended December 31, 2015 2014 Revenue $ $ Loss from continuing operations $ ) $ ) (Loss) Income from operation of discontinued business ) Net loss $ ) $ ) Preferred stock dividends ) ) Net loss available to common stockholders $ ) $ ) Basic and Diluted (loss) earnings Per Common Share From Continuing operations $ ) $ ) Discontinued operations ) — Basic and Diluted Loss Per Common Share $ ) $ ) Weighted Average Common Shares Outstanding The pro forma results have been prepared for informational purposes only and include adjustments to amortize acquired intangible assets with finite life, eliminate acquisition-related expenses, and reflect additional interest expense on debt used to fund the acquisition. These pro forma results do not purport to be indicative of the results of operations that would have occurred had the purchase been made as of the beginning of the periods presented or of the results of operations that may occur in the future. The results of operations of the EnerPath International Holding Company have been included in the Company’s consolidated financial statements since the March 24, 2015 closing date, including approximately $34.1 million of total revenue and $0.4 million of operating income. Acquisition costs on the Unaudited Condensed Consolidated Statement of Operations are comprised of acquisition expenses, including legal, accounting, and banking expenses.

Conversion of Subordinated Debt

Conversion of Subordinated Debt and Sale of Series A Preferred Stock	12 Months Ended
	Dec. 31, 2015
Conversion of Subordinated Debt and Sale of Series A Preferred Stock
Conversion of Subordinated Debt and Sale of Series A Preferred Stock	Note 9 — Conversion of Subordinated Debt and Sale of Series A Preferred Stock On September 23, 2013, the Company entered into a Preferred Stock and Warrant Purchase Agreement (the “Series A Purchase Agreement”) with a group of investors including two of our directors, Mr. Christopher Capps and Mr. Richard Kiphart (collectively with the other investors, the “ Series A Investors”), pursuant to which the Series A Investors purchased 926,223 shares of the Company’s Series A Preferred Stock (the “Series A Preferred Stock”) at a price of $10.00 per share of Series A Preferred Stock. The purchase price was paid with (a) $2.5 million in cash and (b) the exchange of approximately $6.8 million (principal amount and accrued interest) of the Company’s Subordinated Secured Convertible Pay-In-Kind Notes (the “Notes”), representing all of the outstanding Notes at the time. The shares of Series A Preferred Stock were entitled to an accruing dividend of 12.5% per annum of their original issue price (subject to adjustment for stock splits, combinations and similar recapitalizations), payable semi-annually in arrears. The shares of Series A Preferred Stock were convertible at the election of the holder of such shares, into shares of the Company’s common stock, and the Company could redeem all or a portion of the Series A Preferred Stock at its option subject to certain legal restrictions. On December 23, 2014, in connection with the issuance of Series C Preferred Stock (discussed in Note 12 - “Sale of Series C Preferred Stock” ), all outstanding shares of Series A Preferred Stock were converted to 3,084,261 shares of common stock, and the Series A Warrants that had been issued in connection with the entry into the Series A Purchase Agreement were cancelled.

Subordinated Convertible Term N

Subordinated Convertible Term Notes	12 Months Ended
	Dec. 31, 2015
Subordinated Convertible Term Notes
Subordinated Convertible Term Notes	Note 10 — Subordinated Convertible Term Notes 2015 Convertible Debt Financing to Fund the EnerPath Acquisition — Related Party To finance the purchase price for the acquisition of EnerPath (described in Note 8—“Acquisition of EnerPath” above), the Company entered into a Note Purchase Agreement, dated March 24, 2015 (the “Note Purchase Agreement”) with Bison Capital Partners IV, L.P., a Delaware limited partnership (“Bison”), pursuant to which the Company sold to Bison a note in the amount of $11.75 million (the “Note”). The proceeds from the sale of the Note were used to finance the EnerPath acquisition and to pay $0.9 million of fees and expenses incurred in connection therewith, including fees and expenses incurred in connection with the Note Purchase Agreement, which were capitalized and included as a discount to long-term debt. As of the date the Note was issued, Bison owned 10,000 shares of the Company’s Series C Convertible Preferred Stock (the “Series C Preferred Stock”), which was, as of that date, convertible into approximately 30% of the Company’s common stock, making Bison the Company’s single largest stockholder. Two members of the Company’s Board, Andreas Hildebrand and Peter Macdonald, are partners of an affiliate of Bison. Mr. Hildebrand and Mr. Macdonald recused themselves from the Board’s consideration of the Note issuance. The Note is guaranteed by each subsidiary of the Company, including EnerPath and each of EnerPath’s subsidiaries, and is secured by a lien on all of the assets of the Company and each of its subsidiaries. The Company may not elect to prepay the Note. Based upon the initial conversion price of the Note ($3.16), all or any portion of the principal amount of the Note, plus, subject to the terms of the Note, any accrued but unpaid interest, but not more than the principal amount of the Note, may, at the election of the Note holder, be converted into 3,718,354 shares of common stock after March 24, 2018 or the occurrence of a change of control of the Company, whichever occurs first. The conversion price is subject to anti-dilution adjustments in connection with stock splits and similar occurrences and certain other events set forth in the Note, including future issuances of common stock or common stock equivalents at effective prices lower than the then-current conversion price. Due to the terms of the anti-dilution provision, the Company separated this conversion feature from the debt instrument and accounts for it as a derivative liability that must be carried at its estimated fair value with changes in fair value reflected in the Company’s Consolidated Statements of Operations. Upon issuance, the initial estimate of fair value was established as both a derivative liability and as a discount on the Note. That discount, absent the Note amendment described below, would have been amortized to interest expense over the term of the Note. The Company determined the estimated fair value of the derivative liability to be $5.6 million and $6.6 million as of the Note issuance date and December 31, 2015, respectively. The fair value of the derivative liability was determined using a binomial option pricing model with the following assumptions: a risk-free rate of 1.36%; expected volatility of 77%; a maturity date of March 24, 2020; probability factors regarding the Company’s ability to meet the EBITDA covenants in the Note; and a 0% probability that a future financing transaction would reduce the conversion price. On March 31, 2015, we executed an amendment (“Amendment No. 1”) to the Subordinated Secured Convertible Promissory Note dated March 24, 2015 between us and Bison. The Amendment provided that, should the Company fail to meet certain trailing EBITDA targets as of June 30, 2015, September 30, 2015, or December 31, 2015, then for each such quarter in which such EBITDA target was not met, an additional $1 million in interest would have accrued and been added to the note principal. We were in compliance with all of the financial covenants in Amendment No. 1 and no penalty interest was accrued. Pursuant to prevailing accounting guidance, Amendment No. 1, for accounting purposes, was treated as an extinguishment of the original Note and the issuance of a new note, with the conversion derivative left intact and unchanged. Upon extinguishment, the net carrying amount of the extinguished Note (including its principal amount and related discounts and deferred financing costs) of $5.8 million was written off and the fair value of the amended Note was established, resulting in a net charge to earnings in the statement of operations of $1.4 million. The fair value of the amended Note was determined by reference to its probability weighted average expected cash flows discounted at an estimated market interest rate for a hypothetical similar non-convertible note issued by the Company. The March 31, 2015 carrying value of $7.3 million will incur interest charges at an effective interest rate required to result in the ultimate amount of cash flows needed to service the Note. As of March 31, 2015, that effective interest rate was estimated at 25.4% but may change depending on actual cash requirements to service the Note pursuant to the various interest payment alternatives described above. On March 30, 2016, we entered into a second amendment to the Bison Note (“Amendment No. 2”). Amendment No. 2 revised the covenants related to minimum consolidated EBITDA for the four consecutive fiscal quarters ending March 31, 2016, June 30, 2016, September 30, 2016, and December 31, 2016. Pursuant to Amendment No. 2, if we fail to meet the specified trailing EBITDA targets for any of these quarters, then for each such quarter in which such EBITDA target is not met up to an additional $500 thousand in interest will accrue and be added to the note principal. As a result of Amendment No. 2, a failure on our part to meet the specified trailing EBITDA targets for any of the four consecutive fiscal quarters ending March 31, 2016, June 30, 2016, September 30, 2016, and December 31, 2016 would not be an event of default under the Note. Amendment No. 2 did not, however, revise the required minimum consolidated EBITDA targets for periods subsequent to December 31, 2016. Going forward, if we are unable to further amend the Bison Note or significantly improve our EBITDA, our consolidated EBITDA may not exceed the minimum consolidated EBITDA tests required by the Bison Note and, as a result, an event of default would exist under the Bison Note for which Bison could accelerate our repayment of the indebtedness. 2014 Notes On August 4, 2014, the Company entered into a Subscription Agreement (the “Subscription Agreement”) with a group of investors including Mr. Richard Kiphart (collectively with the other investors, the “Note Holders”). Pursuant to the terms of the Subscription Agreement, the Note Holders lent the Company $1.0 million under Subordinated Secured Convertible Pay-In-Kind Notes (the “2014 Notes”). The 2014 Notes had a term of ten years and accrued interest at the rate of 12.5% per year, payable semi-annually in cash or additional 2014 Notes, at the Company’s election. The Note Holders were entitled to convert the 2014 Notes at any time, at their election, into shares of the Company’s common stock at a conversion price calculated as provided in the 2014 Notes. On December 23, 2014, in connection with the issuance of Series C Preferred Stock discussed in Note 12—“Sale of Series C Preferred Stock” below, the 2014 Notes were converted into 213,500 shares of common stock.

Sale of Series B Preferred Stoc

Sale of Series B Preferred Stock	12 Months Ended
	Dec. 31, 2015
Series B Preferred Stock
Sale of Series B Preferred Stock
Sale of Series B Preferred Stock	Note 11 —Sale of Series B Preferred Stock On December 30, 2013, the Company entered into a Preferred Stock and Warrant Purchase Agreement (the “Series B Purchase Agreement”) with Mr. Kiphart and a group of other investors (collectively, the “Series B Investors”), pursuant to which the Series B Investors purchased 400,000 shares of the Company’s Series B Preferred Stock (the “Series B Preferred Stock”) at a price of $10.00 per share of Series B Preferred Stock. On January 29, 2014, the Company entered into a Series B Purchase Agreement with Greener Capital Partners Fund II, L.P. (“Greener Capital”), pursuant to which Greener Capital purchased an aggregate of 200,000 shares of the Company’s Series B Preferred Stock at a price of $10.00 per share of Series B Preferred Stock. This transaction closed on February 4, 2014. The shares of the Series B Preferred Stock were entitled to an accruing dividend of 12.5% per annum of their original issue price (subject to adjustment for stock splits, combinations and similar recapitalizations), payable semi-annually in arrears. The shares of Series B Preferred Stock were convertible, at any time following the approval of such conversion by the Company’s stockholders, and the Company could at any time elect to redeem all or a portion of the Series B Preferred Stock unless prohibited by provisions of the Delaware General Corporation Law governing distributions to stockholders. On December 23, 2014, in connection with the issuance of Series C Preferred Stock (discussed in Note 12 - “Sale of Series C Preferred Stock”), all shares of Series B Preferred Stock were converted to 2,383,437 shares of the Company’s common stock, and the Series B Warrants that had been issued in connection with the entry into the Series B Purchase Agreement were cancelled.

Sale of Series C Preferred Stoc

Sale of Series C Preferred Stock	12 Months Ended
	Dec. 31, 2015
Series C Preferred Stock
Sale of Series C Preferred Stock
Sale of Series C Preferred Stock	Note 12 —Sale of Series C Preferred Stock On December 23, 2014, the Company entered into a Preferred Stock Purchase Agreement with Bison, pursuant to which Bison purchased 10,000 shares of the Company’s Series C Preferred Stock at a price of $1,000 per share of Series C Preferred Stock. The shares of Series C Preferred Stock are entitled to an accruing dividend of 12.5% per annum of their base amount (subject to adjustments for stock splits, combinations and similar recapitalizations), payable every six months. The base amount is adjusted on each dividend payment date for the unpaid dividends accrued. The Company accrued dividends of $1.3 million during the year ended December 31, 2015. The shares of Series C Preferred Stock may be converted, at any time, at the option of the holder, into shares of the Company’s common stock at a conversion price which was initially equal to $2.40 per share (the “Series C Conversion Price”). The Series C Conversion Price shall be proportionately adjusted for stock splits, combinations and similar recapitalizations, and shall be adjusted for future issuances of common stock. Upon conversion , all accrued, undeclared and unpaid dividends on the shares of Series C Preferred Stock so converted shall be cancelled. At any time after the fourth anniversary of the closing date, the Company shall have the right to redeem all, but not less than all, of the shares of Series C Preferred Stock for an amount equal to the original issue price of the shares plus all accrued but unpaid dividends, with such redemption to occur 30 days after the Company’s giving notice thereof to the holder(s) of the shares of Series C Preferred Stock. During such 30-day period, the holders of the Series C Preferred Stock may convert the Series C Preferred Stock to common stock in lieu of receiving the redemption payment. At any time after the fourth anniversary of the closing date, a holder of Series C Preferred Stock shall have the right to require the Company to redeem all or a portion of its Series C Preferred Stock for an amount equal to the original issue price of the shares plus all accrued but unpaid dividends. In the event the Company fails to make the required redemption payment by the date fixed for such payment, the dividend rate will increase to 15% per annum and increase by an additional 1% per annum each quarter until paid. In connection with the issuance of the Series C Preferred Stock, the Company, Bison, Mr. Kiphart and The John Thomas Hurvis Revocable Trust entered into a Shareholder and Investor Rights Agreement dated as of December 23, 2014 (the “Shareholder Agreement”). Pursuant to the terms of the Shareholder Agreement, in the event the Company proposes to issue new securities (subject to certain exceptions), the Company must allow Bison to purchase a portion of the new securities equal to the number of shares of common stock beneficially owned by Bison divided by the total number of shares of common stock then outstanding, on a fully-diluted basis. The Shareholder Agreement also provides Bison with operational consent rights and director appointment rights that apply so long as Bison holds at least five percent of the total voting power of the Company. The stockholders of the Company party to the Shareholder Agreement have agreed to vote in favor of Bison’s director appointees. The Shareholder Agreement entitles Bison to appoint one director to the Company’s Compensation Committee and any new board committee that is established, other than the Audit Committee or the Governance and Nominating Committee. It also entitles Bison to receive certain financial information. Bison may not, subject to certain exceptions in the Shareholder Agreement, acquire additional shares of common stock or seek to influence the management of the Company without the Company’s consent. Such restrictions will no longer apply upon certain changes of control of the Company. If, on the fifth anniversary of the closing date or any succeeding anniversary of such date, ten percent (10%) of the average daily trading volume of common stock is less than the number of shares of common stock beneficially owned by Bison divided by 240, then Bison may require the Company to initiate a sale process. Subject to the terms of the Shareholder Agreement, the stockholders of the Company party to the Shareholder Agreement have agreed to vote in favor of and otherwise support such a sale. If such a sale is not consummated within nine months, Bison shall have the right to require the Company to purchase, subject to the terms of the Shareholder Agreement, all or any portion of its Series C Preferred Stock or common stock into which such Series C Preferred Stock has converted, for a per share price generally equal to the average closing price of the Company’s common stock for the 60 trading days immediately preceding the date on which notice of exercise of such right is given to the Company. The Company incurred costs of approximately $617 thousand to issue the Series C Preferred Stock. These costs were recorded net of the proceeds of the Series C Preferred Stock. The Series C Preferred Stock is classified outside of permanent equity as the rights of redemption and the ability to initiate a sale are not solely within the control of the Company. The Company has used the cash proceeds from the sale of the Series C Preferred Stock for general corporate purposes. On March 24, 2015, the Company amended and restated the Shareholder Agreement (as amended and restated, the “Amended and Restated Shareholder Agreement”) and that certain Registration Rights Agreement dated December 23, 2014 by and among the Company, Bison and certain other stockholders of the Company (as amended and restated, the “Amended and Restated Registration Rights Agreement”). Pursuant to the terms of the Amended and Restated Shareholder Agreement, in the event the Company proposes to issue new securities (subject to certain exceptions), the Company must allow Bison to purchase a proportion of the new securities equal to the number of shares of common stock beneficially owned by Bison (including the shares of common stock into which the Note could convert) divided by the total number of shares of common stock outstanding on a fully-diluted basis. The operational consent rights and director appointment rights held by Bison under the Shareholder Agreement remain in the Amended and Restated Shareholder Agreement; provided, however, that, in the event Bison is no longer entitled to designate at least one director under the terms of the Series C Preferred Stock, Bison will be entitled under the Amended and Restated Shareholder Agreement to designate that number of directors that is consistent with its ownership of common stock (including shares of common stock that are convertible from the Series C Preferred Stock and the Note, assuming the Note was immediately convertible) if it holds at least five percent of the common stock (computed in the same fashion). Under the Amended and Restated Registration Rights Agreement, Bison is entitled to certain registration rights in connection with the common stock into which its shares of Series C Preferred Stock and the Note may convert, including the right to demand the registration of such shares and rights to include such shares in other registration statements filed by the Company. Additionally, Mr. Kiphart and the John Thomas Hurvis Revocable Trust are entitled to include certain of their shares of common stock in a registration statement filed by the Company. The Company has agreed to indemnify the other parties to the Amended and Restated Registration Rights Agreement in connection with any claims related to their sale of securities under a registration statement, subject to certain exceptions.

Letter of Credit Agreement

Letter of Credit Agreement	12 Months Ended
	Dec. 31, 2015
Letter of Credit Agreement
Letter of Credit Agreement	Note 13 — Letter of Credit Agreement On August 1, 2014, the Company entered into a Letter of Credit Agreement with Mr. Kiphart (the “LOC Agreement”), which replaced a previous letter of credit agreement the Company had entered into with Mr. Kiphart on December 7, 2012. Pursuant to the LOC Agreement, Mr. Kiphart agreed to cause, at the Company’s request, the issuance of one or more letters of credit (collectively, the “Kiphart Letter of Credit”) for the benefit of a surety, up to an aggregate amount of $1.3 million. The Kiphart Letter of Credit was used to guarantee certain obligations of the Company in connection with its performance under a contract between the Company and a utility customer. Mr. Kiphart’s obligation to cause the issuance of, or leave in place, the Kiphart Letter of Credit was to terminate on December 31, 2019. The Company agreed to indemnify Mr. Kiphart for any liability in connection with any payment or disbursement made under the Kiphart Letter of Credit. The Company also had agreed to pay for or reimburse any fees and out-of-pocket expenses incurred by Mr. Kiphart in connection with the Kiphart Letter of Credit. All amounts due to Mr. Kiphart under the LOC Agreement were payable by the Company within ten business days of the Company’s receipt of a written demand thereof from Mr. Kiphart. In addition, the Company had agreed to pay Mr. Kiphart simple interest on the aggregate amount of the Kiphart Letter of Credit at a rate of six percent (6%) per annum. The Company accrued interest of $34 thousand during 2015. As consideration for Mr. Kiphart’s obligations under the LOC Agreement, the Company had issued to Mr. Kiphart warrants to purchase 50,000 shares of the Company’s common stock. The value of the warrants, which had been determined to be $100 thousand, was capitalized as deferred financing costs. In connection with the issuance of Series C Preferred Stock discussed in Note 12 - “Sale of Series C Preferred Stock,” the warrants were forfeited and deferred financing costs of $100 thousand were recorded to interest expense. In May 2015, the Company replaced the Kiphart Letter of Credit with restricted funds of the Company. The restriction on these funds was released in January 2016 as the Company entered into two Letter of Credit agreements with Heritage Bank of Commerce in December 2015 for letters of credits of $1.3 million and $0.1 million as discussed under Note 15 — “Line of Credit — Heritage Bank of Commerce.” The Letters of Credit are used to guarantee certain obligations of the Company in connection with its performance under contracts between the Company and two utility customers. The Letters of Credit reduce our borrowing base as calculated in the Company’s Line of Credit with Heritage Bank of Commerce as described in Note 15.

Business Segment Information

Business Segment Information	12 Months Ended
	Dec. 31, 2015
Business Segment Information
Business Segment Information	Note 14 — Business Segment Information All of the Company’s operations, including EnerPath’s operations, are included in one reportable segment, the Energy Efficiency segment.

Line of Credit - Heritage Bank

Line of Credit - Heritage Bank of Commerce	12 Months Ended
	Dec. 31, 2015
Line of Credit - Heritage Bank of Commerce
Line of Credit - Heritage Bank of Commerce	Note 15 — Line of Credit — Heritage Bank of Commerce On July 24, 2015, the Company entered into a Loan and Security Agreement (the “Loan Agreement”) with Heritage Bank of Commerce (the “Bank”), whereby the Bank agreed to make available to the Company a secured credit facility (the “Credit Facility”) consisting of a $6.0 million revolving line of credit which the Company may draw upon from time to time, subject to the calculation and limitation of a borrowing base, for working capital and other general corporate purposes. As additional incentive to the Bank to enter into the Credit Facility and make available to the Company funds thereunder, the Company issued to the Bank a warrant to purchase shares of the Company’s common stock up to $60 thousand in the aggregate. The line of credit, which matures on July 24, 2017, bears variable interest at the prime rate plus 1.00% and is collateralized by certain assets of the Company and its subsidiaries including their respective accounts receivable, certain deposit and investment accounts, and intellectual property. The Loan Agreement requires the Company to comply with a number of conditions precedent that must be satisfied prior to any borrowing. In addition, the Company will be required to remain compliant with certain customary representations and warranties and a number of affirmative and negative covenants. The occurrence of an event of default under the Loan Agreement may cause amounts outstanding during the event of default to accrue interest at a rate of 3.00% above the interest rate that would otherwise be applicable. In December 2015, the Company entered into two Letter of Credit agreements with Heritage Bank of Commerce in December 2015 for letters of credits of $1.3 million and $0.1 million. The Letters of Credit are used to guarantee certain obligations of the Company in connection with its performance under contracts between the Company and two utility customers. The Letters of Credit reduce our borrowing base as calculated under the Loan Agreement.

Interest Expense

Interest Expense	12 Months Ended
	Dec. 31, 2015
Interest Expense
Interest Expense	Note 16 — Interest Expense Interest expense is comprised of the following (in thousands): Year ended December 31, 2015 2014 Letter of credit — Related Party (Note 13) $ $ Subordinated convertible notes — Related Party (Note 10) Total Contractual Interest Amortization of deferred issuance Amortization of debt discount — Related Party (Note 10) — Other — Total Interest Expense $ $

Lease Commitments

Lease Commitments	12 Months Ended
	Dec. 31, 2015
Lease Commitments
Lease Commitments	Note 17 — Lease Commitments The Company leased offices in California, Massachusetts, New Jersey, New York, North Carolina, Ohio, Tennessee and Pennsylvania at various times during 2015 and 2014 from unrelated third parties under leases expiring through 2026, for which it paid a total of $807 and $736 thousand during 2015 and 2014, respectively. Future annual minimum rentals to be paid by the Company under these non-cancellable operating leases as of December 31, 2015 are as follows (in thousands): Year ending December 31, Total 2016 2017 2018 2019 2020 Thereafter Total $

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2015
Income Taxes
Income Taxes	Note 18 — Income Taxes The composition of income tax expense (benefit) is as follows (in thousands): Year ended December 31, 2015 2014 Current Tax Expense/(Benefit) Federal $ — $ — State — — Other — Total Current Tax Expense/(Benefit) — Deferred Tax Expense/(Benefit) Federal $ $ ) State ) ) Change in valuation allowance Tax benefit - acquistion of EnerPath ) — Total Deferred Tax Expense/(Benefit) ) — Total Tax Expense/(Benefit) $ ) $ — Significant components of the Company’s net deferred tax asset are as follows (in thousands): December 31 2015 2014 Deferred Tax Assets: Federal and state net operating loss carryforwards $ $ Debt Modification — Change in Derivative Value — Stock-based compensation Allowance for doubtful accounts Transaction costs — Intangible assets ) — Property & equipment ) ) Other Valuation allowance ) ) Total deferred tax assets $ — $ — The Company has recorded a valuation allowance in an amount equal to the net deferred tax assets due to the uncertainty of its realization in the future. At December 31, 2015, the Company had U.S. federal net operating loss carryforwards available to offset future taxable income of approximately $140 million, which expire in the years 2018 through 2034. Under Section 382 of the Internal Revenue Code (“IRC”) of 1986, as amended, the utilization of U.S. net operating loss carryforwards may be limited under the change in stock ownership rules of the IRC. As a result of ownership changes as defined by Section 382, which have occurred at various points in the Company’s history, utilization of its net operating loss carryforwards will be significantly limited under certain circumstances. Based on an analysis of ownership changes prior to 2008, approximately $30.0 million of the net operating losses will expire unused due to Section 382 limitations. For the same periods, the Company also has state net operating loss carryforwards of approximately $130 million, which unused, will expire at various dates through 2034. A reconciliation of the statutory federal rate of 34% and the effective income tax rate for continuing operations for the years ended December 31, 2015 and 2014 is as follows: Year ended December 31, 2015 2014 Federal income tax at statutory rate % % Cancellation of debt income % )% State and local taxes, net of federal benefit % % Preferred dividends )% )% Other % % Valuation Reserve )% )% Effective income tax rate % % The Company has recorded a valuation allowance of $46.8 million due to the uncertainty of future utilization of the deferred tax assets. The effects of a tax position taken or expected to be taken in a tax return are to be recognized in the financial statements when it is more likely than not, based on the technical merits, that the position will be sustained upon examination. No uncertain tax positions have been identified through December 31, 2015. If we did identify any uncertain tax positions, any accrued interest related to unrecognized tax expenses and penalties would be recorded in income tax expense. The statute of limitations is normally three years from the extended due date of the return for federal and state tax purposes. However, for taxpayer’s with net operating losses, the statute is effectively open to any year in which a net operating loss was generated. The statute of limitations for the Company is therefore effectively open for the years 1998 through 2015. The Company’s federal returns have been audited for the 2008 and 2009 tax years.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies
Commitments and Contingencies	Note 19 — Commitments and Contingencies The Company carries Directors and Officers insurance, which it anticipates will cover the cost of defending an existing class action suit and derivative action and any related awards or settlements, up to the limit of the policy. At this point in the legal process, the Company estimates that it’s reasonably possible costs, over and above the amounts covered by insurance, of responding to these lawsuits, responding to the SEC investigation and completing its internal investigation and restatement will be approximately $7.0 million, of which $6.7 million had been incurred through December 31, 2015. There are many factors that could cause the actual costs to exceed or be less than this estimate, therefore the Company has not accrued for these potential future costs.

Equity Transactions

Equity Transactions	12 Months Ended
	Dec. 31, 2015
Equity Transactions
Equity Transactions	Note 20 — Equity Transactions 2014 Transactions a) During 2014, the Company granted 88,801 shares of restricted stock to eight non-employee directors pursuant to the 2010 Non-Employee Directors’ Stock Plan as compensation for their service on the Board. These shares vest 50% upon grant and 50% on the first anniversary of the grant date provided the director was still serving on the Company’s board of directors on the vesting date. b) During 2014, the Company granted 30,157 shares of restricted stock to two senior employees. These shares vest in equal amounts on each of December 31, 2014, 2015 and 2016, if the employee still works for the Company on the applicable vesting date. c) On January 29, 2014, the Company sold 200,000 shares of its Series B Preferred Stock to an investor for $2 million. Please see Note 11 — “Sale of Series B Preferred Stock” for additional information regarding this transaction. On December 23, 2014 all Series B Preferred Shares along with accrued dividends were converted into 2,383,437 shares of common stock. d) On August, 4, 2014, the Company entered into a Subscription Agreement with a group of investors who lent the Company $1,000,000 under Subordinated Secured Convertible Pay-In-Kind Notes. On December 23, 2014, the notes and accrued interest were converted into 213,500 shares of common stock. Please see Note 12 — “Sale of Series C Preferred Stock”, for additional information regarding this transaction. e) On December 23, 2014, the Company sold 10,000 shares of the Company’s Series C Preferred Stock to an investor for $10,000,000. As part of this transaction, all Series A and Series B Preferred shares with accrued dividends and the Convertible Pay-In-Kind notes with accrued interest were converted into 5,681,198 shares of common stock. Please see Note 12 — “Sale of Series C Preferred Stock” for additional information regarding this transaction. f) On December 23, 2014, as part of the sale of the Company’s Series C Preferred Stock, all then outstanding warrants were forfeited. 2015 Transactions g) During 2015, the Company granted 92,413 shares of restricted stock to eight of its outside directors pursuant to the 2010 Non-Employee Directors’ Stock Plan as compensation for their service on the Board. These shares vest 50% upon grant and 50% on the first anniversary of the grant date if the director is still serving on the Company’s board of directors on the vesting date. h) On July 24, 2015, the Company entered into a Loan and Security Agreement with Heritage Bank of Commerce, whereby the Bank agreed to make available to the Company a secured credit facility. As part of the agreement the Company issued to the Bank a warrant to purchase shares of the Company’s common stock up to $60 thousand in the aggregate. Please see Note 15 — “Line of Credit — Heritage Bank of Commerce,” for additional information regarding this transaction.

Stock Options

Stock Options	12 Months Ended
	Dec. 31, 2015
Stock Options
Stock Options	Note 21 — Stock Options The Compensation Committee of the Board of Directors of the Company (the “Board”) grants stock options and restricted stock under the Company’s 2008 Long-Term Incentive Plan (as amended, the “2008 Plan”). Prior to an amendment to the 2008 Plan that became effective on October 15, 2015, the 2008 Plan provided that up to 407,143 shares of our common stock could be delivered under the plan to certain of our employees, consultants, and non-employee directors. As amended, the 2008 Plan provides for the issuance of up to 1,585,718 shares of our common stock. In addition, the 2008 Plan provides for an automatic annual increase in the number of shares of our common stock reserved under the plan in an amount equal to 35,715 shares. Awards granted under the 2008 Plan may be incentive stock options (“ISOs”) or non-qualified stock options (“NQSOs”). The exercise price for any ISO may not be less than 100% of the fair market value of the stock on the date the option is granted, except that with respect to a participant who owns more than 10% of the common stock the exercise price must be not less than 110% of fair market value. The exercise price of any NQSO shall be in the sole discretion of the Compensation Committee or the Board. To qualify as an ISO, the aggregate fair market value of the shares (determined on the grant date) under options granted to any participant may not exceed $100,000 in the first year that they can be exercised. There is no comparable limitation with respect to NQSOs. The term of all options granted under the 2008 Plan will be determined by the Compensation Committee or the Board in their sole discretion; provided, however, that the term of an ISO may not exceed 10 years from the grant date. In addition to the ISOs and NQSOs, the 2008 Plan permits the Compensation Committee, consistent with the purposes of the Plan, to grant stock appreciation rights and/or shares of Common Stock to non-employee directors and such employees (including officers and directors who are employees) of, or consultants to, the Company or any of its Subsidiaries, as the Committee may determine, in its sole discretion. Under applicable tax laws, however, ISOs may only be granted to employees. The 2008 Plan is administered by the Board, which is authorized to interpret the 2008 Plan, to prescribe, amend and rescind rules and regulations relating to the 2008 Plan and to determine the individuals to whom, and the time, terms and conditions under which, options and awards are granted. The Board may also amend, suspend or terminate the 2008 Plan in any respect at any time. However, no amendment may (i) adversely affect the rights of a participant under an award theretofore granted without the consent of such participant, (ii) increase the number of shares reserved under the 2008 Plan, (iii) modify the requirements for participation in the 2008 Plan, or (iv) modify the 2008 Plan in any way that would require stockholder approval under the rules and regulations under the Exchange Act or the rules of any stock exchange or market on which the Common Stock is listed (unless such stockholder approval is obtained). As of December 31, 2015, there were approximately 270 employees of the Company eligible to participate in the 2008 Plan, and 1,267,036 shares of common stock reserved for issuance under the 2008 Plan. Effective April 1, 2000, the Company adopted a stock option plan for all independent directors, which is separate and distinct from the 2008 Stock Incentive Plan described above. The Directors’ Plan was replaced during 2010 by the 2010 Non-Employee Directors’ Stock Plan, which is described in Note 23 — “Employee Stock Purchase Plan.” The following table summarizes the options granted, exercised, forfeited and outstanding through December 31, 2015: Shares Exercise Price Per Share Weighted Average Exercise Price Outstanding at December 31, 2013 $3.64 - $1,675.80 $ Granted $2.57 - $2.57 $ Exercised — Forfeited ) $4.27 - $1,675.80 $ Outstanding at December 31, 2014 $2.57 - $77.91 $ Granted $2.71 - $3.21 $ Exercised — Forfeited ) $2.82 - $31.50 $ Outstanding at December 31, 2015 $2.57 - $77.91 $ Options exercisable at December 31, 2015 $2.57 - $77.91 $ Options exercisable at December 31, 2014 $2.57 - $77.91 $ The following table summarizes information about stock options outstanding at December 31, 2015: Options Outstanding Options Exercisable Exercise Price Number Outstanding at December 31, 2015 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at December 31, 2015 Weighted Average Exercise Price $2.57 - $3.00 9.7 years $ $ $3.01 - $5.00 9.0 years $ $ $5.01 - $6.00 6.7 years $ $ $20.01 - $30.00 4.5 years $ $ $30.01 - $40.00 6.1 years $ $ $40.01 - $50.00 0.6 years $ $ $50.01 - $77.91 1.8 years $ $ $2.57 - $77.91 9.5 years $ $ The aggregate intrinsic value of the outstanding options (the difference between the closing stock price on the last trading day of 2015 of $2.88 per share and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on December 31, 2015 was $20.4 thousand. The aggregate intrinsic value of the exercisable options as of December 31, 2015 was $5.7 thousand. These amounts will change based on changes in the fair market value of the Company’s common stock. The Company uses an Enhanced Hull-White Trinomial model to value its employee options. The weighted-average, grant-date fair value of stock options granted to employees during the year, and the weighted-average significant assumptions used to determine those fair values, using the Enhanced Hull-White Trinomial model for stock options under ASC 718, are as follows: Year ended December 31, 2015 2014 Weighted average fair value per options granted $ $ Significant assumptions (weighted average): Risk-free interest rate at grant date % % Expected stock price volatility % % Expected dividend payout — — Expected option life (years) (1) Expected turn-over rate % % Expected exercise multiple (1) The Company continues to use the simplified method to estimate expected term due to the historical structural changes to its business such that historical exercise data may no longer provide a reasonable basis on which to estimate expected term. The risk-free interest rate is based on the U.S. Treasury Bill rates at the time of grant. The dividend reflects the fact that the Company has never paid a dividend on its common stock and does not expect to in the foreseeable future. The Company estimated the volatility of its common stock at the date of grant based on the historical volatility of its stock. The expected term of the options is based on the simplified method as described in a Staff Accounting Bulletin. The expected turn-over rate represents the expected forfeitures due to employee turnover and is based on historical rates experienced by the Company. The expected exercise multiple represents the mean ratio of the stock price to the exercise price at which employees are expected to exercise their options and is based on an empirical study completed by S. Huddart and M. Lang (1996). The Company recognizes compensation expense for stock options on a straight-line basis over the requisite service period, which is generally equal to the vesting period of the option. The subject stock options expire ten years after the date of grant. The Company recognized stock compensation expense for stock options of $509 thousand and $(8) thousand during the years ended December 31, 2015, and 2014, respectively. As of December 31, 2015, $975 thousand of total unrecognized compensation cost related to outstanding stock options, unadjusted for potential forfeitures, is expected to be recognized as follows: Year ending December 31, (in thousands) 2016 $ 2017 $ 2018 Total $

Restricted Stock

Restricted Stock	12 Months Ended
	Dec. 31, 2015
Restricted Stock.
Restricted Stock	Note 22 —Restricted Stock On June 3, 2010, stockholders approved the 2010 Non-Employee Directors’ Stock Plan (the “2010 Directors’ Plan”), which replaced the 2001 Directors Plan. The 2010 Directors’ Plan provides for the granting of stock to non-employee directors to compensate them for their services to the Company. The use of the shares available under the 2010 Directors’ Plan is administered by the Company’s Board of Directors, which has delegated its powers to the Compensation Committee of the Board of Directors. The Compensation Committee has designed a plan that grants non-employee directors restricted shares of stock with the following market values on the date of grant: For Board Service: Each director upon initial election: $ Annual grant to each director: $ Annual Grants for Committee Service: Audit Committee: Chairman $ Members $ Compensation Committee: Chairman $ Members $ Nominating Committee: Chairman $ Members $ Half of the shares received pursuant to each grant under the 2010 Directors’ Plan vest immediately and the remaining shares vest on the one-year anniversary of such grant. Shares for board service are granted on the first business day of the year and shares for committee service are granted upon appointment to the committee following the annual meeting of stockholders. Newly appointed directors receive their initial grant on their date of appointment. The Company has also granted shares of restricted stock to certain senior managers under its 2009 Management Incentive Compensation Plan as a form of long-term incentive. Grants under this plan typically vest over a three-year period provided that the grantee is still an employee on the applicable vesting date. The following table summarizes the shares of restricted stock granted, vested, forfeited and outstanding as of December 31, 2015: Restricted Shares Weighted Average Grant-Date Fair Value Unvested Shares at December 31, 2013 $ Granted $ Vested ) $ Forfeited ) $ Unvested Shares at December 31, 2014 $ Granted $ Vested ) $ Forfeited ) $ Unvested Shares at December 31, 2015 $ The Company accounts for grants of restricted stock in accordance with ASC 718. This pronouncement requires companies to measure the cost of the service received in exchange for a share-based award based on the fair value of the award at the date of grant, with expense recognized over the requisite service period, which is generally equal to the vesting period of the grant. The Company recognized $362 thousand and $287 thousand of stock compensation expense related to the issuances of restricted stock in the years ended December 31, 2015 and 2014, respectively. As of December 31, 2015, there was approximately $36 thousand of unrecognized expense related to these restricted stock issuances which will be recognized over a weighted-average period of 5.2 months.

Employee Stock Purchase Plan

Employee Stock Purchase Plan	12 Months Ended
	Dec. 31, 2015
Employee Stock Purchase Plan
Employee Stock Purchase Plan	Note 23 - Employee Stock Purchase Plan During the first quarter of 2015, our Board adopted, and subsequently our shareholders approved, the Lime Energy Co. 2014 Employee Stock Purchase Plan (the “2014 ESPP”). The 2014 ESPP provided for two successive six-month offering periods commencing on July 1, 2014 and January 1, 2015, respectively. During the second quarter of 2015, our Board adopted, and subsequently our shareholders approved, the Lime Energy Co. 2015 Employee Stock Purchase Plan (the “2015 ESPP”), which became effective on June 18, 2015. The 2015 ESPP provides for the issuance of up to 100,000 shares of common stock in two successive six-month offering periods commencing on July 1, 2015 and January 1, 2016, respectively. For accounting purposes, each employee participating in the 2014 ESPP and the 2015 ESPP is considered to have received a series of options for current and future offering periods to purchase shares at a price equal to the closing price on the first day of the offering period, less 15%. The Company calculates the value of these options using a trinomial option pricing model and amortizes the values as share-based compensation expense over the term of option, which is considered to extend through the end of the related offering period. The Company recorded net share-based compensation expense under the 2015 ESPP and 2014 ESPP during 2015 of $17 thousand.

Legal Matters

Legal Matters	12 Months Ended
	Dec. 31, 2015
Legal Matters
Legal Matters	Note 24 — Legal Matters Jeffrey Satterfield, individually and on behalf of all others similarly situated, v. Lime Energy Co., John O’Rourke and Jeffrey Mistarz, United States District Court for the Northern District of Illinois, Case No. 1:12-cv-05704. This is a securities class action suit. An Order of Preliminary Approval of a settlement was filed on January 28, 2014. The parties agreed to settlement terms and an Order of Final Approval and Final Judgment was entered by the court on June 4, 2014. As part of the settlement, the Company agreed to pay $2.5 million into a settlement fund, the entire amount of which was paid by insurance. Kuberski v. Lime Energy Co., et al., United States District Court for the Northern District of Illinois, Case No. 12 cv 7993 . As previously disclosed, this putative shareholder derivative action alleged that several of the Company’s former officers and present and former directors breached their fiduciary duties to the Company from May 14, 2008 through the date of the action. On April 1, 2015, the parties entered a Stipulation and Agreement of Settlement, and a hearing on the proposed settlement was scheduled for July 7, 2015. On May 5, 2015, the Court entered a preliminary order approving the Stipulation and Agreement of Settlement. On July 7, 2015, the Court entered a final Order approving the settlement and dismissed the case with prejudice. The settlement amount was fully covered by the Company’s insurance policy. SEC Investigation. In 2012, the SEC commenced an investigation with respect to certain of the Company’s revenue recognition practices and financial reporting. The Company has cooperated with the SEC staff throughout the course of the investigation, which is likely to lead to regulatory or legal proceedings and could have a material adverse effect on the Company’s business, results of operations, and financial condition. The Company is in discussions with the SEC regarding the possibility of resolving this matter. There can be no assurances that these discussions will lead to a resolution, or of the amount or timing of any such resolution. Dressler v. Lime Energy, United States District Court for the District of New Jersey, Case 3:14-cv-07060-FLW-DEA. This purported “whistleblower” case was filed on November 10, 2014, alleging illegal retaliation by the Company for the plaintiff’s alleged disclosure of activity she believed violated the Securities Exchange Act of 1934, as amended. The plaintiff alleges that she made repeated disclosures to various individuals employed by the Company that certain accounting practices were improper and could lead to a restatement of financial statements. The plaintiff filed her complaint pursuant to the Sarbanes-Oxley Act of 2002 (18 U.S.C. §1514A), and the Dodd-Frank Wall Street Reform and Consumer Protection Act (15 U.S.C. §78u-6, et seq.). This case has been accepted for coverage under the Lime Executive Protection Portfolio Policy. Although the Company believes the lawsuit has no merit, the court has denied the Company’s motion to dismiss the case. The lawsuit remains in early stages and the Company intends to continue to defend itself vigorously.

Related Parties

Related Parties	12 Months Ended
	Dec. 31, 2015
Related Parties
Related Parties	Note 25 — Related Parties On December 7, 2012, the Company entered into a Letter of Credit Agreement with Mr. Richard Kiphart, pursuant to which Mr. Kiphart agreed to provide collateral in connection with the issuance of letters of credit to support the issuance of surety bonds required under construction contracts won by the Company. Please see Note 13 — Letter of Credit Agreement for additional information regarding this transaction. On September 23, 2013, the Company entered into a Preferred Stock and Warrant Purchase Agreement with a group of investors that included Mr. Richard Kiphart and Mr. Christopher Capps. Please see Note 9 — Conversion of Subordinated Debt and Sale of Series A Preferred Stock for additional information regarding this transaction. On December 30, 2013, the Company entered into a Preferred Stock and Warrant Purchase Agreement with two investors, including Mr. Richard Kiphart. Please see Note 11 — Sale of Series B Preferred Stock for additional information regarding this transaction. On August 4, 2014, the Company entered into a Convertible Note Agreement with a group of investors including Mr. Richard Kiphart (the Note Holders), pursuant to which the Note Holders lent to the Company $1,000,000 under Subordinated Secured Convertible Pay-In-Kind Notes. Please see Note 10 — Subordinated Convertible Term Notes for additional information regarding this transaction. On August 1, 2014, the Company entered into a Letter of Credit Agreement with Mr. Richard Kiphart, which replaced the December 7, 2012 Letter of Credit Agreement, for the benefit of a surety at the Company’s request. Please see Note 13 — Letter of Credit Agreement for additional information regarding this transaction. On December 23, 2014, the Company entered into a Preferred Stock Purchase Agreement with Bison Capital Partners IV, L.P., a Delaware limited partnership (“Bison”). Pursuant to the terms of the Series C Purchase Agreement, the Series C Investors purchased 10,000 shares of the Company’s Series C Preferred Stock. Effective December 22, 2014, the holders of the Company’s Series A Preferred Stock and Series B Preferred Stock converted all of the shares thereof into shares of Common Stock. Also the holders of the Company’s Subordinated Secured Convertible Pay-In-Kind Notes and warrants converted such notes for shares of Common Stock and cancelled such warrants. Please see Note 12 — “Sale of Series C Preferred Stock” for additional information regarding this transaction. On March 24, 2015, the Company entered into a Note Purchase Agreement with Bison. Pursuant to the terms of the Note Purchase Agreement, based upon the initial conversion price of the Note ($3.16), all or any portion of the principal amount of the Note, plus, subject to the terms of the Note, any accrued but unpaid interest, but not more than the principal amount of the Note, may, at the election of the Note holder, be converted into 3,718,354 shares of common stock after March 24, 2018 or the occurrence of a change of control of the Company, whichever occurs first. Please see Note 10 — Subordinated Convertible Term Notes for additional information regarding this transaction. The Company does not have a written policy concerning transactions between the Company or a subsidiary of the Company and any director or executive officer, nominee for director, 5% stockholder or member of the immediate family of any such person. However, the Company’s practice is that such transactions shall be reviewed by the Company’s Board of Directors and found to be fair to the Company prior to the Company (or a subsidiary) entering into any such transaction, except for (i) executive officers’ participation in employee benefits which are available to all employees generally; (ii) transactions involving routine goods or services which are purchased or sold by the Company (or a subsidiary) on the same terms as are generally available in arm’s-length transactions with unrelated parties (however, such transactions are still subject to approval by an authorized representative of the Company in accordance with internal policies and procedures applicable to such transactions with unrelated third parties); and (iii) compensation decisions with respect to executive officers other than the CEO, which are made by the Compensation Committee pursuant to recommendations of the CEO.

Selected Quarterly Financial Da

Selected Quarterly Financial Data (unaudited)	12 Months Ended
	Dec. 31, 2015
Selected Quarterly Financial Data (unaudited)
Selected Quarterly Financial Data (unaudited)	Note 26 — Selected Quarterly Financial Data (unaudited) The following presents the Company’s unaudited quarterly results for fiscal 2015 and fiscal 2014. These quarterly results were prepared in accordance with U.S. generally accepted accounting principles and reflect all adjustments (consisting solely of normal recurring adjustments) which, in the opinion of management, are necessary for a fair statement of the results. All amounts, except per share data, are presented in thousands. Fiscal 2015 Quarters Ended, March 31 June 30 September 30 December 31 Total Revenue $ $ $ $ $ Gross profit (Loss) Income from continuing operations before income taxes ) ) ) ) Income tax benefit (expense) ) ) ) (Loss) Income from continuing operations ) ) ) ) Loss from discontinued operations ) ) ) ) ) Net (Loss) Income ) ) ) ) Preferred dividends ) ) ) ) ) Net (loss) Income available to common stockholders ) ) ) ) Basic (loss) earnings per common share from: Continuing operations $ ) $ ) $ $ ) $ ) Discontinued operations $ ) $ ) $ ) $ ) $ ) Weighted averages shares Diluted (loss) earnings per common share from: Continuing operations $ ) $ ) $ $ ) $ ) Discontinued operations $ ) $ ) $ ) $ ) $ ) Weighted averages shares Fiscal 2014 Quarters Ended, March 31 June 30 September 30 December 31 Total Revenue $ $ $ $ $ Gross profit Loss from continuing operations ) ) ) ) ) Loss (Income) from discontinued operations ) ) Net (Loss) Income ) ) ) ) Preferred dividends ) ) ) ) ) Net loss available to common stockholders ) ) ) ) ) Basic and diluted loss per common share from: Continuing operations $ ) $ ) $ ) $ ) $ ) Discontinued operations $ ) $ $ $ ) $ Weighted averages shares

Summary of Significant Accoun34

Summary of Significant Accounting Policies - (Policies)	12 Months Ended
	Dec. 31, 2015
Summary of Significant Accounting Policies
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Concentration of Risk	Concentration of Risk The Company’s customers are primarily utilities and their small business customers. During 2015 and 2014, revenue generated under four utility programs represented 69% and 78% of the Company’s consolidated revenue, respectively. The Company purchases its materials from a variety of suppliers and continues to seek out alternate suppliers for critical components so that it can be assured that its sales will not be interrupted by the inability of a single supplier to deliver product. During 2015, two suppliers were responsible for 68% and 15% of the Company’s purchases, respectively, while during 2014 two suppliers were responsible for 48% and 13% of the Company’s purchases, respectively. The Company maintains cash and cash equivalents in accounts with financial institutions in excess of the amount insured by the Federal Deposit Insurance Corporation. The Company monitors the financial stability of these institutions regularly and management does not believe there is significant credit risk associated with deposits in excess of federally insured amounts.
Allowance for Doubtful Accounts	Allowance for Doubtful Accounts The Company records an allowance for doubtful accounts based on specifically identified amounts that it believes to be uncollectible. If actual collections experience changes, revisions to the allowance may be required. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. Based on the information available to it, the Company believes its allowance for doubtful accounts is adequate. However, actual write-offs might exceed the recorded allowance. The following is a summary of changes to the allowance for doubtful accounts (in thousands): Year ended December 31, 2015 2014 Balance at the beginning of the period $ $ Additions charged to costs and expenses Amounts written-off ) ) Balance at the end of the period $ $
Inventories	Inventories Inventories are stated at the lower of cost or market. Cost is determined utilizing the first-in, first-out (FIFO) method.
Properties & Equipment	Properties & Equipment Property and equipment are stated at cost. For financial reporting purposes, depreciation is computed using the straight-line method over the following estimated useful lives: Building Improvements 3 - 10 years Office equipment 3 - 5 years Furniture 5 - 10 years Transportation equipment 3 - 5 years Software 3 – 5 years
Long-Lived Assets	Long-Lived Assets We evaluate our long-lived assets periodically for impairment in accordance with ASC 360-10-35, “Accounting for the Impairment or Disposal of Long-Lived Assets.” We record impairment losses on long-lived assets used in operations when events and circumstances indicate that the assets might be impaired and the undiscounted cash flows estimated to be generated by those assets are less than the carrying amount of those items. Our cash flow estimates are based on historical results adjusted to reflect our best estimate of future market and operating conditions. The net carrying value of assets not recoverable is reduced to fair value. Our estimates of fair value represent our best estimate based on industry trends and reference to market rates and transactions.
Goodwill	Goodwill Goodwill represents the purchase price in excess of the fair value of assets acquired in business combinations. Accounting Standards Codification (“ASC”) 350, “Goodwill and Other Intangible Assets,” requires the Company to assess goodwill and other indefinite-lived intangible assets for impairment at least annually in the absence of an indicator of possible impairment and immediately upon an indicator of possible impairment. During the fourth quarter of 2015, the Company undertook an assessment of its goodwill for possible impairment and concluded that the fair value of the continuing business, based on the discounted current value of the estimated future cash flows, exceeded the carrying value, indicating that the goodwill was not impaired. The Company considered various factors in determining the fair value of its business, including discounted cash flows from projected earnings, values for comparable companies and the market price of its common stock. It will continue to monitor for any impairment indicators such as underperformance of projected earnings, net book value compared to market capitalization, declining stock price and significant adverse economic and industry trends. In the event that the business does not achieve projected results, or as the result of changes in facts of circumstances, the Company could incur an additional goodwill impairment charge in a future period.
Revenue Recognition	Revenue Recognition The Company provides energy efficient solutions that focus on the different uses of energy, including lighting and electrical, mechanical and HVAC, and refrigeration. These solutions consist of product sales and installation services. Customers purchase solutions individually or combined. When purchased individually, the Company recognizes revenue when performance is complete, typically when the products have been installed. When purchased together, the Company recognizes revenue as installation occurs in accordance with the arrangement. Unbilled Accounts Receivable in the accompanying Consolidated Balance Sheet represents revenue earned on completed installations for which the customer has not been invoiced as well as the cost of products that have been shipped to the customer but not installed. Customer Deposits in the accompanying Consolidated Balance Sheet, represent deposits received from customers in advance of related project installation. During 2015, the Company determined that completed contract revenue recognition was appropriate. The impact of the change in the current year was immaterial.
Unbilled Accounts Receivable	Unbilled Accounts Receivable As of December 31, 2015, the Company had customer projects underway for which it had recognized revenue but not yet invoiced the customer. The Company records this unbilled revenue as a current asset titled “Unbilled Accounts Receivable.” The Company had Unbilled Accounts Receivable of $6.5 million and $7.4 million at December 31, 2015 and 2014, respectively.
Advertising, Marketing and Promotional Costs	Advertising, Marketing and Promotional Costs Expenditures on advertising, marketing and promotions are charged to operations in the period incurred and totaled $1.2 million and $161 thousand for the periods ended December 31, 2015 and 2014, respectively.
Income Taxes	Income Taxes Income taxes are accounted for under the asset and liability method. Deferred income taxes are recognized for the tax consequences in future years of the differences between the tax basis of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable earnings. Valuation allowances are established when necessary to reduce deferred tax assets to the amount more likely than not to be realized.
Net Loss Per Share	Net Loss Per Share The Company computes loss per share under ASC 260-10, “Earnings Per Share.” This statement requires presentation of two amounts: basic and diluted loss per share. Basic loss per share is computed by dividing the loss available to common stockholders by the weighted average common shares outstanding. Diluted earnings per share would include all common stock equivalents unless anti-dilutive. For periods when such inclusion would not be anti-dilutive, the Company uses the treasury method to calculate the diluted earnings per share. The treasury stock method assumes that the Company uses the proceeds from the exercise of in-the-money options and warrants to repurchase common stock at the average market price for the period. Options and warrants are only dilutive when the average market price of the underlying common stock exceeds the exercise price of the options or warrants. The Company has not included the outstanding options, warrants, preferred stock or convertible debt as common stock equivalents when calculating the diluted loss per share for the years ended December 31, 2015 or 2014, because the effect would be anti-dilutive. The following table sets forth the weighted average shares issuable upon exercise of outstanding options and warrants and convertible debt that is not included in the basic and diluted loss per share available to common stockholders: December 31, 2015 2014 Weighted average shares issuable upon exercise of outstanding options Weighted average shares issuable upon exercise of outstanding warrants Weighted average shares issuable upon conversion of convertible preferred Weighted average shares issuable upon conversion of convertible debt Total
Fair Value Measurements	Fair Value Measurements U.S. GAAP establishes a framework for measuring fair value under generally accepted accounting principles and enhances disclosures about fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes the following fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value:  Level 1: Quoted prices in active markets for identical assets or 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.  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 fair value of interest-bearing cash and cash equivalents are classified as Level 1 at December 31, 2015 and 2014. The Company is required by U.S. GAAP to record certain assets and liabilities at fair value on a recurring basis. The guidance in ASC 815 required that the Company mark the value of its Derivative Liability — Related Party (See Note 10) to market and recognize the change in valuation in its statement of operations each reporting period. Determining the Derivative Liability — Related Party to be recorded required the Company to develop estimates to be used in calculating the fair value. Since the Derivative Liability — Related Party does not trade in an active securities market, the Company considers this to be a Level 3 measurement. See Note 10 for a description of the manner in which the fair value was calculated.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying amounts reported in the consolidated balance sheets for accounts receivable, accounts payable and accrued expenses approximate fair value because of the short-term nature of these amounts. The fair value of the long-term debt — related party, also approximates fair value, as the debt was originated in 2015 and the Company believes its credit rating and prevailing market rates are comparable at December 31, 2015.
Share-based Compensation	Share-based Compensation The Company has a stock incentive plan that provides for stock-based employee compensation, including the granting of stock options and shares of restricted stock, to certain key employees. The Company follows the guidance of ASC 718, “Compensation — Stock Compensation,” which requires companies to record stock compensation expense for equity-based awards granted, including stock options and restricted stock unit grants, over the service period of the equity-based award based on the fair value of the award at the date of grant. The following are the components of the Company’s stock compensation expense during the years ended December 31, 2015 and 2014, respectively: 2015 2014 Stock Options $ $ ) Restricted Stock Employee Stock Purchase Plan Total Stock Compensation Expense $ $ Please refer to Notes 21, 22 and 23 for additional information regarding share-based compensation expense.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842).” ASU 2016-02 will require organizations that lease assets—referred to as “lessees”—to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Under the new guidance, a lessee will be required to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current Generally Accepted Accounting Principles (“GAAP”), the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike current GAAP—which requires only capital leases to be recognized on the balance sheet—the new ASU will require both types of leases to be recognized on the balance sheet. ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. We are currently evaluating the impact of adopting ASU 2016-02 on our consolidated financial statements and related disclosures. In January 2016, FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-01 provides guidance concerning certain matters involving the recognition, measurement, and disclosure of financial assets and financial liabilities. The guidance does not alter the basic framework for classifying debt instruments held as financial assets. ASU 2016-01 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early adoption is not permitted, with some exceptions. The adoption of ASU 2016-01 will not have a material impact on our consolidated financial statements and related disclosures. In November 2015, FASB issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes.” ASU 2015-17 simplifies the presentation of deferred income taxes and requires deferred tax liabilities and assets be classified as non-current in a classified statement of financial position. ASU 2015-17 is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Earlier application is permitted for all entities as of the beginning of an interim or annual reporting period. ASU 2015-17 may be applied either prospectively or retrospectively to all periods presented. We are currently evaluating the impact of adopting ASU 2015-17 on our consolidated financial statements and related disclosures. In May 2014, FASB issued ASU 2014-09, “Revenue from Contracts With Customers.” ASU 2014-09 supersedes nearly all existing guidance on revenue recognition under GAAP. The core principle of ASU 2014-09 is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which the Company expects to be entitled for those goods or services using a defined five-step process. More judgment and estimates may be required to achieve this principle than under existing GAAP. ASU 2014-09 is effective for annual periods beginning after December 15, 2017, including interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients or (ii) a retrospective approach with the cumulative effect upon initial adoption recognized at the date of adoption which includes additional footnote disclosures. The Company is currently evaluating the impact of the adoption of ASU 2014-09 on the Company’s consolidated financial statements and has not yet determined the method of adoption. In April 2015, FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs.” ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. FASB issued the ASU to simplify the presentation of debt issuance costs, and to align with other existing FASB guidance. ASU 2015-03 is effective for annual periods beginning after December 15, 2015, and interim periods within those annual periods. The adoption of this standard is not expected to have a significant impact on the Company’s consolidated financial statements.

Summary of Significant Accoun35

Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2015
Summary of Significant Accounting Policies
Summary of changes to the allowance for doubtful accounts	The following is a summary of changes to the allowance for doubtful accounts (in thousands): Year ended December 31, 2015 2014 Balance at the beginning of the period $ $ Additions charged to costs and expenses Amounts written-off ) ) Balance at the end of the period $ $
Schedule of estimated useful lives of properties and equipment	Building Improvements 3 - 10 years Office equipment 3 - 5 years Furniture 5 - 10 years Transportation equipment 3 - 5 years Software 3 – 5 years
Schedule of weighted average shares not included in the computation of basic and diluted loss per share	December 31, 2015 2014 Weighted average shares issuable upon exercise of outstanding options Weighted average shares issuable upon exercise of outstanding warrants Weighted average shares issuable upon conversion of convertible preferred stock Weighted average shares issuable upon conversion of convertible debt Total
Schedule of components of the Company's stock-based compensation expense	2015 2014 Stock Options $ $ ) Restricted Stock Employee Stock Purchase Plan Total Stock Compensation Expense $ $

Discontinued Operations (Tables

Discontinued Operations (Tables)	12 Months Ended
	Dec. 31, 2015
Discontinued Operations
Schedule of revenue and loss related to discontinued operations	The revenue and loss related to discontinued operations were as follows (in thousands): Year ended December 31, 2015 2014 Revenue $ ) $ Operating (Income) Loss $ ) $
Schedule of assets and liabilities related to discontinued operations	The assets and liabilities related to discontinued operations were as follows (in thousands): December 31, 2015 2014 Unbilled Accounts Receivable — Total current assets Total Assets $ $ Accounts payable $ — $ Accrued expenses Unearned Revenue Customer deposits Total current liabilities Total Liabilities $ $

Property and Equipment (Tables)

Property and Equipment (Tables)	12 Months Ended
	Dec. 31, 2015
Property and Equipment
Schedule of components of property and equipment	Property and equipment consist of the following (in thousands): December 31, 2015 2014 Buildings & improvements $ $ Construction equipment Furniture Office equipment Software Transportation equipment Less accumulated depreciation ) ) Property and Equipment, Net $ $

Goodwill and Other Intangible38

Goodwill and Other Intangible Assets (Tables)	12 Months Ended
	Dec. 31, 2015
Goodwill and Other Intangible Assets
Summary of the Company's goodwill	The following is a summary of the Company’s goodwill (in thousands): Balance at December 31, 2013 $ Balance at December 31, 2014 $ Acquisition of Enerpath Balance at December 31, 2015 $
Summary of the company's intangible assets	The following is a summary of the Company’s intangible assets (in thousands): Remaining Life (months) Gross Book Value Accumulated Amortization Impairment Net Book Value As of December 31, 2015 Amortized intangible assets: Customer Relationships — Technology and software — Trade name — Total $ $ $ — $
Schedule of total expected future annual amortization	The total expected future annual amortization is as follows (in thousands): Year Amount 2016 $ 2017 2018 2019 2020 Thereafter Total $

Accrued Expenses (Tables)

Accrued Expenses (Tables)	12 Months Ended
	Dec. 31, 2015
Accrued Expenses
Schedule of components of accrued expenses	Accrued expenses are comprised of the following (in thousands): December 31, 2015 2014 Compensation $ $ Interest — Job costs Rent Sales tax payable Preferred stock dividends — Taxes — Other Accrued Expenses $ $

Acquisition of EnerPath (Tables

Acquisition of EnerPath (Tables)	12 Months Ended
	Dec. 31, 2015
Acquisition of EnerPath
Schedule of fair values of the assets acquired and liabilities assumed at the date of the closing of the acquisition	The following table summarizes the fair values of the assets acquired and liabilities assumed at the date of the closing of the acquisition (in thousands). Current assets $ Property and equipment Other assets Intangible assets - finite life Goodwill Total assets acquired Current Liabilities assumed ) Deferred income tax liability ) Net assets acquired $
Schedule of the preliminary estimated fair value of intangible assets acquired	The preliminary estimate of intangible assets acquired from EnerPath, the acquired intangible asset categories, fair value and average amortization periods are as follows (in thousands): Average Estimated Annual Amortization Amortization Fair Value Method/Period Expense Customer relationships $ Cash flow/7 years $ Enerworks System Software 4 years Trade name 3 years $ $
Schedule of unaudited pro forma information	The following unaudited pro forma information represents the Company’s results of operations as if the acquisition had occurred on January 1, 2014 (in thousands, except per share data): Years ended December 31, 2015 2014 Revenue $ $ Loss from continuing operations $ ) $ ) (Loss) Income from operation of discontinued business ) Net loss $ ) $ ) Preferred stock dividends ) ) Net loss available to common stockholders $ ) $ ) Basic and Diluted (loss) earnings Per Common Share From Continuing operations $ ) $ ) Discontinued operations ) — Basic and Diluted Loss Per Common Share $ ) $ ) Weighted Average Common Shares Outstanding

Interest Expense (Tables)

Interest Expense (Tables)	12 Months Ended
	Dec. 31, 2015
Interest Expenses
Schedule of interest expense	Interest expense is comprised of the following (in thousands): Year ended December 31, 2015 2014 Letter of credit — Related Party (Note 13) $ $ Subordinated convertible notes — Related Party (Note 10) Total Contractual Interest Amortization of deferred issuance Amortization of debt discount — Related Party (Note 10) — Other — Total Interest Expense $ $

Lease Commitments (Tables)

Lease Commitments (Tables)	12 Months Ended
	Dec. 31, 2015
Lease Commitments
Schedule of future annual minimum rentals to be paid by the Company under non-cancellable operating leases	Future annual minimum rentals to be paid by the Company under these non-cancellable operating leases as of December 31, 2015 are as follows (in thousands): Year ending December 31, Total 2016 2017 2018 2019 2020 Thereafter Total $

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2015
Income Taxes
Schedule of composition of income tax expense (benefit)	The composition of income tax expense (benefit) is as follows (in thousands): Year ended December 31, 2015 2014 Current Tax Expense/(Benefit) Federal $ — $ — State — — Other — Total Current Tax Expense/(Benefit) — Deferred Tax Expense/(Benefit) Federal $ $ ) State ) ) Change in valuation allowance Tax benefit - acquistion of EnerPath ) — Total Deferred Tax Expense/(Benefit) ) — Total Tax Expense/(Benefit) $ ) $ —
Schedule of significant components of the Company's net deferred tax asset	Significant components of the Company’s net deferred tax asset are as follows (in thousands): December 31 2015 2014 Deferred Tax Assets: Federal and state net operating loss carryforwards $ $ Debt Modification — Change in Derivative Value — Stock-based compensation Allowance for doubtful accounts Transaction costs — Intangible assets ) — Property & equipment ) ) Other Valuation allowance ) ) Total deferred tax assets $ — $ —
Schedule of reconciliation of the statutory federal rate of 34% and the effective income tax rate for continuing operations	Year ended December 31, 2015 2014 Federal income tax at statutory rate % % Cancellation of debt income % )% State and local taxes, net of federal benefit % % Preferred dividends )% )% Other % % Valuation Reserve )% )% Effective income tax rate % %

Stock Options (Tables)

Stock Options (Tables)	12 Months Ended
	Dec. 31, 2015
Stock Options
Summary of options granted, exercised, forfeited and outstanding	Shares Exercise Price Per Share Weighted Average Exercise Price Outstanding at December 31, 2013 $3.64 - $1,675.80 $ Granted $2.57 - $2.57 $ Exercised — Forfeited ) $4.27 - $1,675.80 $ Outstanding at December 31, 2014 $2.57 - $77.91 $ Granted $2.71 - $3.21 $ Exercised — Forfeited ) $2.82 - $31.50 $ Outstanding at December 31, 2015 $2.57 - $77.91 $ Options exercisable at December 31, 2015 $2.57 - $77.91 $ Options exercisable at December 31, 2014 $2.57 - $77.91 $
Summary of stock options outstanding	Options Outstanding Options Exercisable Exercise Price Number Outstanding at December 31, 2015 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at December 31, 2015 Weighted Average Exercise Price $2.57 - $3.00 9.7 years $ $ $3.01 - $5.00 9.0 years $ $ $5.01 - $6.00 6.7 years $ $ $20.01 - $30.00 4.5 years $ $ $30.01 - $40.00 6.1 years $ $ $40.01 - $50.00 0.6 years $ $ $50.01 - $77.91 1.8 years $ $ $2.57 - $77.91 9.5 years $ $
Schedule of weighted-average significant assumptions used to determine fair values of stock options	Year ended December 31, 2015 2014 Weighted average fair value per options granted $ $ Significant assumptions (weighted average): Risk-free interest rate at grant date % % Expected stock price volatility % % Expected dividend payout — — Expected option life (years) (1) Expected turn-over rate % % Expected exercise multiple (1) The Company continues to use the simplified method to estimate expected term due to the historical structural changes to its business such that historical exercise data may no longer provide a reasonable basis on which to estimate expected term.
Schedule of total unrecognized compensation cost expected to be recognized in future period	Year ending December 31, (in thousands) 2016 $ 2017 $ 2018 Total $

Restricted Stock (Tables)

Restricted Stock (Tables)	12 Months Ended
	Dec. 31, 2015
Restricted Stock.
Schedule of market values on the date of grant of restricted shares granted to non-employee directors for board services	For Board Service: Each director upon initial election: $ Annual grant to each director: $
Schedule of market values on the date of grant of annual grants of restricted shares to non-employee directors for committee services	Annual Grants for Committee Service: Audit Committee: Chairman $ Members $ Compensation Committee: Chairman $ Members $ Nominating Committee: Chairman $ Members $
Summary of shares of restricted stock granted, vested, forfeited and outstanding	Restricted Shares Weighted Average Grant-Date Fair Value Unvested Shares at December 31, 2013 $ Granted $ Vested ) $ Forfeited ) $ Unvested Shares at December 31, 2014 $ Granted $ Vested ) $ Forfeited ) $ Unvested Shares at December 31, 2015 $

Selected Quarterly Financial 46

Selected Quarterly Financial Data (unaudited) (Tables)	12 Months Ended
	Dec. 31, 2015
Selected Quarterly Financial Data (unaudited)
Schedule of unaudited quarterly results	All amounts, except per share data, are presented in thousands. Fiscal 2015 Quarters Ended, March 31 June 30 September 30 December 31 Total Revenue $ $ $ $ $ Gross profit (Loss) Income from continuing operations before income taxes ) ) ) ) Income tax benefit (expense) ) ) ) (Loss) Income from continuing operations ) ) ) ) Loss from discontinued operations ) ) ) ) ) Net (Loss) Income ) ) ) ) Preferred dividends ) ) ) ) ) Net (loss) Income available to common stockholders ) ) ) ) Basic (loss) earnings per common share from: Continuing operations $ ) $ ) $ $ ) $ ) Discontinued operations $ ) $ ) $ ) $ ) $ ) Weighted averages shares Diluted (loss) earnings per common share from: Continuing operations $ ) $ ) $ $ ) $ ) Discontinued operations $ ) $ ) $ ) $ ) $ ) Weighted averages shares Fiscal 2014 Quarters Ended, March 31 June 30 September 30 December 31 Total Revenue $ $ $ $ $ Gross profit Loss from continuing operations ) ) ) ) ) Loss (Income) from discontinued operations ) ) Net (Loss) Income ) ) ) ) Preferred dividends ) ) ) ) ) Net loss available to common stockholders ) ) ) ) ) Basic and diluted loss per common share from: Continuing operations $ ) $ ) $ ) $ ) $ ) Discontinued operations $ ) $ $ $ ) $ Weighted averages shares

Summary of Significant Accoun47

Summary of Significant Accounting Policies (Details) - item	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Purchases | Supplier | Two suppliers
Concentration of risk
Number of suppliers	2	2
Purchases | Supplier | Supplier A
Concentration of risk
Percentage of concentration risk	68.00%	48.00%
Purchases | Supplier | Supplier B
Concentration of risk
Percentage of concentration risk	15.00%	13.00%
Total revenues | Customer | Four utility programs
Concentration of risk
Number of customers	4
Percentage of concentration risk	69.00%	78.00%

Summary of Significant Accoun48

Summary of Significant Accounting Policies - Changes to the allowance for doubtful accounts (Details) - Allowance for doubtful accounts - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Changes to the allowance for doubtful accounts
Balance at the beginning of the period	$ 1,794	$ 1,824
Additions charged to costs and expenses	743	761
Amounts written-off	(901)	(791)
Balance at the end of the period	$ 1,636	$ 1,794

Summary of Significant Accoun49

Summary of Significant Accounting Policies - Property and equipment (Details)	12 Months Ended
	Dec. 31, 2015
Building Improvements | Minimum
Property and equipment
Estimated useful lives	3 years
Building Improvements | Maximum
Property and equipment
Estimated useful lives	10 years
Office equipment | Minimum
Property and equipment
Estimated useful lives	3 years
Office equipment | Maximum
Property and equipment
Estimated useful lives	5 years
Furniture | Minimum
Property and equipment
Estimated useful lives	5 years
Furniture | Maximum
Property and equipment
Estimated useful lives	10 years
Transportation equipment | Minimum
Property and equipment
Estimated useful lives	3 years
Transportation equipment | Maximum
Property and equipment
Estimated useful lives	5 years
Software | Minimum
Property and equipment
Estimated useful lives	3 years
Software | Maximum
Property and equipment
Estimated useful lives	5 years

Summary of Significant Accoun50

Summary of Significant Accounting Policies - Other (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Unbilled Accounts Receivable.
Unbilled Accounts Receivable	$ 6,451	$ 7,407
Advertising, Marketing and Promotional Costs
Advertising, marketing and promotional expenditure	$ 1,200	$ 161

Summary of Significant Accoun51

Summary of Significant Accounting Policies - Net loss per share (Details) - shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Net loss per share
Weighted average shares not included in the computation of diluted loss per share because the effect would be anti-dilutive	8,639,391	4,498,328
Stock options
Net loss per share
Weighted average shares not included in the computation of diluted loss per share because the effect would be anti-dilutive	747,720	331,662
Warrants
Net loss per share
Weighted average shares not included in the computation of diluted loss per share because the effect would be anti-dilutive	6,651	0
Convertible preferred stock
Net loss per share
Weighted average shares not included in the computation of diluted loss per share because the effect would be anti-dilutive	4,166,666	4,166,666
Convertible debt
Net loss per share
Weighted average shares not included in the computation of diluted loss per share because the effect would be anti-dilutive	3,718,354	0

Summary of Significant Accoun52

Summary of Significant Accounting Policies - Share-Based Compensation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Share-Based Compensation
Stock compensation expense	$ 939	$ 296
Stock options
Share-Based Compensation
Stock compensation benefit		(8)
Stock compensation expense	510
Restricted Stock
Share-Based Compensation
Stock compensation expense	362	287
Employee Stock Purchase Plan.
Share-Based Compensation
Stock compensation expense	$ 67	$ 17

Discontinued Operations (Detail

Discontinued Operations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Assets and liabilities related to discontinued operations
Total current assets	$ 90	$ 613
Total Assets	90	613
Total current liabilities	138	806
Total Liabilities	138	806
Discontinued operations. | Public Sector
Revenue and loss related to discontinued operations
Revenue	(199)	254
Operating (Income) Loss	(632)	7
Assets and liabilities related to discontinued operations
Unbilled Accounts Receivable		209
Total current assets	90	613
Accounts payable		672
Accrued expenses	117	108
Unearned Revenue	3	8
Customer deposits	18	18
Total current liabilities	$ 138	$ 806

Property and Equipment (Details

Property and Equipment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Property and equipment
Property and equipment, gross	$ 6,955	$ 4,933
Less accumulated depreciation	(4,304)	(3,463)
Property and Equipment, Net	2,651	1,470
Depreciation expense	900	700
Buildings & improvements
Property and equipment
Property and equipment, gross	251	96
Construction equipment
Property and equipment
Property and equipment, gross	21	21
Furniture
Property and equipment
Property and equipment, gross	575	340
Office equipment
Property and equipment
Property and equipment, gross	1,233	970
Software
Property and equipment
Property and equipment, gross	4,437	3,177
Transportation equipment
Property and equipment
Property and equipment, gross	$ 438	$ 329

Goodwill and Other Intangible55

Goodwill and Other Intangible Assets (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2015USD ($)
Changes in goodwill
Goodwill, Beginning Balance	$ 6,009
Goodwill, Ending Balance	8,173
EnerPath
Changes in goodwill
Acquisition of Enerpath	$ 2,164

Goodwill and Other Intangible56

Goodwill and Other Intangible Assets - Summary of the Company's intangible assets (Details) - USD ($) $ in Thousands	Mar. 24, 2015	Dec. 31, 2015
Goodwill
Gross Book Value		$ 5,595
Accumulated Amortization	$ 1,306	879
Net Book Value		$ 4,716
Customer Relationships
Goodwill
Remaining Life		84 months
Gross Book Value		$ 1,505
Accumulated Amortization		37
Net Book Value		$ 1,468
Technology and software
Goodwill
Remaining Life		39 months
Gross Book Value		$ 3,265
Accumulated Amortization		630
Net Book Value		$ 2,635
Trade name
Goodwill
Remaining Life		27 months
Gross Book Value		$ 825
Accumulated Amortization		212
Net Book Value		$ 613

Goodwill and Other Intangible57

Goodwill and Other Intangible Assets - Future annual amortization expenses (Details) $ in Thousands	Dec. 31, 2015USD ($)
Total expected future annual amortization
2,016	$ 1,340
2,017	1,435
2,018	1,213
2,019	420
2,020	162
Thereafter	146
Total	$ 4,716

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Accrued Expenses
Compensation	$ 2,075	$ 513
Interest		20
Job costs	310	199
Rent	48	91
Sales tax payable	191	119
Preferred stock dividends		27
Taxes	76
Other	209	276
Accrued Expenses	$ 2,909	$ 1,245

Acquisition of EnerPath (Detail

Acquisition of EnerPath (Details) - USD ($) $ in Thousands	Jun. 25, 2015	Mar. 24, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Acquisition of EnerPath
Consideration paid in connection with acquisition			$ 11,000
Fair values of the assets acquired and liabilities assumed
Goodwill			8,173	$ 6,009	$ 6,009
EnerPath
Acquisition of EnerPath
Consideration paid in connection with acquisition		$ 11,000
Consideration held in escrow		1,000	$ 629
Amount released from escrow deposit related to indemnification	$ 250
Amount released from escrow deposit cover expenses of the stockholders' representative	$ 75
Fair values of the assets acquired and liabilities assumed
Current assets		8,932
Property and equipment		153
Other assets		41
Intangible assets - finite life		5,595
Goodwill		2,164
Total assets acquired		16,885
Current Liabilities assumed		(4,639)
Deferred income tax liability		(1,246)
Net assets acquired		$ 11,000

Acquisition of EnerPath - Estim

Acquisition of EnerPath - Estimate of intangible assets acquired from EnerPath (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	Mar. 24, 2015	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2015	Dec. 31, 2014
Acquired intangible assets
Fair value	$ 5,595
Accumulated Amortization	1,306										$ 879
Pro Forma Information
Revenue											123,035	$ 99,441
Loss from continuing operations											(346)	(5,221)
(Loss) Income from operation of discontinued business											(632)	7
Net loss											(978)	(5,214)
Preferred stock dividends											(1,293)	(2,979)
Net loss available to common stockholders											$ (2,271)	$ (8,193)
Basic and Diluted (loss) earnings Per Common Share From Continuing operations											$ (0.17)	$ (2.11)
Basic and Diluted (loss) earnings Per Common Share From Discontinued operations											(0.07)
Basic and Diluted Loss Per Common Share											$ (0.24)	$ (2.11)
Weighted Average Common Shares Outstanding											9,548	3,885
Revenue		$ 30,214	$ 32,160	$ 31,950	$ 18,299	$ 17,361	$ 15,585	$ 13,590	$ 12,280		$ 112,623	$ 58,816
Operating income											(134)	$ (2,541)
Customer Relationships
Acquired intangible assets
Accumulated Amortization											37
Trade name
Acquired intangible assets
Accumulated Amortization											$ 212
EnerPath
Pro Forma Information
Revenue										$ 34,100
Operating income										$ 400
EnerPath | Customer Relationships
Acquired intangible assets
Fair value	$ 1,505
Average Amortization Method/Period	7 years
Accumulated Amortization	$ 215
EnerPath | Enerworks System Software
Acquired intangible assets
Fair value	$ 3,265
Average Amortization Method/Period	4 years
Accumulated Amortization	$ 816
EnerPath | Trade name
Acquired intangible assets
Fair value	$ 825
Average Amortization Method/Period	3 years
Accumulated Amortization	$ 275

Conversion of Subordinated De61

Conversion of Subordinated Debt and Sale of Series A Preferred Stock (Details) $ / shares in Units, $ in Millions	Dec. 23, 2014shares	Sep. 23, 2013USD ($)director$ / sharesshares
Series A Purchase Agreement
Conversion of Subordinated Debt and Sale of Preferred Stock
Number Of Directors | director		2
Series A Preferred Stock
Conversion of Subordinated Debt and Sale of Preferred Stock
Accruing dividend per annum on preferred shares (as a percent)		12.50%
Number of converted common shares | shares	3,084,261
Series A Preferred Stock | Series A Purchase Agreement
Conversion of Subordinated Debt and Sale of Preferred Stock
Shares purchased by investors | shares		926,223
Sale price per share (in dollars per share) | $ / shares		$ 10
Purchase price received in cash | $		$ 2.5
Purchase price for preferred shares through exchange of principal amount and accrued interest of convertible debt | $		$ 6.8

Subordinated Convertible Term62

Subordinated Convertible Term Notes (Details)	Mar. 30, 2016USD ($)item	Mar. 24, 2015USD ($)directoritem$ / sharesshares	Aug. 04, 2014USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Mar. 31, 2015USD ($)	Dec. 23, 2014shares
Subordinated Convertible Term Notes
Proceeds from issuance of convertible debt				$ 11,750,000	$ 1,000,000
Payment of interest				651,000	$ 13,000
Loss on extinguishment of debt - Related Party				1,420,000
Bison
Subordinated Convertible Term Notes
Number of board members affiliated with Bison Capital Partners, L.P. | director		2
Series C Preferred Stock | Note Purchase Agreement
Subordinated Convertible Term Notes
Number of shares convertible from debt | item		3,718,354
Series C Preferred Stock | 2014 Notes
Subordinated Convertible Term Notes
Number of common shares upon conversion of 2014 Notes | shares							213,500
Series C Preferred Stock | Bison
Subordinated Convertible Term Notes
Preferred Stock, Shares Issued | shares		10,000
Conversion from preferred stock to percentage of total common stock		30.00%
EnerPath | Bison | Note Purchase Agreement
Subordinated Convertible Term Notes
Proceeds from issuance of convertible debt		$ 11,750,000
Debt issuance costs		$ 900,000
Subordinated convertible notes | Note Purchase Agreement
Subordinated Convertible Term Notes
Conversion price (in dollars per share) | $ / shares		$ 3.16
Net carrying amount of the extinguished Note				5,800,000
Loss on extinguishment of debt - Related Party				1,400,000
Subordinated convertible notes | Note Amendment
Subordinated Convertible Term Notes
Long-term Debt						$ 7,300,000
Effective interest rate (as a percentage)						25.40%
Subordinated convertible notes | 2014 Notes
Subordinated Convertible Term Notes
Amount lent under purchase agreement			$ 1,000,000
Term of the debt instrument			10 years
Interest rate (as a percent)			12.50%
Subordinated convertible notes | Bison | Note Amendment
Subordinated Convertible Term Notes
Accrued interest per quarter, if EBITDA targets are not met	$ 500,000			1,000,000
Penalty interest accrued				0
Number of consecutive fiscal quarters | item	4
Subordinated Convertible Notes - Derivative Liability | Note Purchase Agreement
Subordinated Convertible Term Notes
Fair value of the derivative liability		$ 5,600,000		$ 6,600,000
Fair value, risk free rate				1.36%
Fair value, expected volatility				77.00%
Probability of conversion price change				0.00%

Sale of Series B Preferred St63

Sale of Series B Preferred Stock (Details) - Series B Preferred Stock - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 23, 2014	Jan. 29, 2014	Dec. 30, 2013
Sale of Series C Preferred Stock
Accruing dividend per annum on preferred shares (as a percent)	12.50%
Number of common shares upon conversion of Series B preferred share		2,383,437
Series B Purchase Agreement Series B Investors
Sale of Series C Preferred Stock
Shares purchased by investors				400,000
Sale price per share (in dollars per share)				$ 10
Series B Purchase Agreement Greener Capital
Sale of Series C Preferred Stock
Shares purchased by investors			200,000
Sale price per share (in dollars per share)			$ 10

Sale of Series C Preferred St64

Sale of Series C Preferred Stock (Details) $ / shares in Units, $ in Thousands	Dec. 23, 2014director$ / sharesshares	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Mar. 24, 2015shares
Sale of Series C Preferred Stock
Payments of Stock Issuance Costs			$ 380
Shareholder Agreement | Bison
Sale of Series C Preferred Stock
Number of directors who shall be appointed | director	1
Percentage of average daily trading volume of common stock triggering sale	10.00%
Minimum | Shareholder Agreement | Bison
Sale of Series C Preferred Stock
Total voting power to be held to be eligible to execute rights (as a percent)	5.00%
Percentage of common stock held by investor		5.00%
Series C Preferred Stock
Sale of Series C Preferred Stock
Accrued dividends		$ 1,300
Accruing dividend per annum on preferred shares (as a percent)	12.50%
Conversion Price (in dollars per share) | $ / shares	$ 2.40
Period after notice, after which the preferred stock may be redeemed	30 days
Dividend rate per annum if the preferred stock is not redeemed on requirement (as a percent)	15.00%
Increase in the dividend rate each quarter if the preferred stock is not redeemed on requirement (as a percent)	1.00%
Payments of Stock Issuance Costs		$ 617
Series C Preferred Stock | Bison
Sale of Series C Preferred Stock
Shares purchased by investors | shares				10,000
Series C Preferred Stock | Shareholder Agreement | Bison
Sale of Series C Preferred Stock
Period after sale in which the sold shares are to be purchased by the company on requirement.	9 months
Period immediately preceding giving notice of exercise, used to calculate the purchase price	60 days
Series C Purchase Agreement | Series C Preferred Stock | Bison
Sale of Series C Preferred Stock
Shares purchased by investors | shares	10,000
Sale price per share (in dollars per share) | $ / shares	$ 1,000

Letter of Credit Agreement (Det

Letter of Credit Agreement (Details) $ in Thousands	Aug. 01, 2014USD ($)item	Dec. 31, 2015USD ($)item	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Aug. 12, 2014shares
Letter of Credit Agreement
Deferred financing cost recorded to letter of credit fees		$ 129	$ 129	$ 22
Letters of credit agreement | Richard Kiphart.
Letter of Credit Agreement
Aggregate borrowing capacity	$ 1,300
Number of business days from receipt of Mr. Kiphart's written demand to pay indemnification, fees and expenses	10 days
Warrant issued to purchase shares of common stock (in shares) | shares					50,000
Fair value of warrant at date of issuance		100	100
Deferred financing cost recorded to letter of credit fees		$ 100	$ 100
Interest rate			6.00%
Accrued interest expense			$ 34
Number of letter of credit agreements | item		2
Number of utility customers | item		2
Letters of credit agreement | Richard Kiphart. | Minimum
Letter of Credit Agreement
Number of letters of credit issued | item	1
Letter of credit agreement one | Richard Kiphart.
Letter of Credit Agreement
Letter of credits		$ 1,300	1,300
Letter of credit agreement two | Richard Kiphart.
Letter of Credit Agreement
Letter of credits		$ 100	$ 100

Business Segment Information (D

Business Segment Information (Details)	12 Months Ended
	Dec. 31, 2015item
Business Segment Information
Number of reportable segments	1

Line of Credit - Heritage Ban67

Line of Credit - Heritage Bank of Commerce (Details) $ in Thousands	Jul. 24, 2015USD ($)	Dec. 31, 2015USD ($)item	Aug. 01, 2014USD ($)
Letters of credit agreement | Richard Kiphart.
Line of Credit Facility
Aggregate borrowing capacity			$ 1,300
Value of warrant to purchase shares of the common stock		$ 100
Number of letter of credit agreements | item		2
Number of utility customers | item		2
Letter of credit agreement one | Richard Kiphart.
Line of Credit Facility
Letter of credits		$ 1,300
Letter of credit agreement two | Richard Kiphart.
Line of Credit Facility
Letter of credits		$ 100
Loan And Security Agreement | Default
Line of Credit Facility
Interest rate increase (as a percent)	3.00%
Loan And Security Agreement | Maximum | Heritage Bank of Commerce | Common Stock
Line of Credit Facility
Value of warrant to purchase shares of the common stock	$ 60
Loan And Security Agreement | Revolving line of credit | Heritage Bank of Commerce
Line of Credit Facility
Aggregate borrowing capacity	$ 6,000
Loan And Security Agreement | Revolving line of credit | Prime rate
Line of Credit Facility
Variable interest rate	1.00%

Interest Expense (Details)

Interest Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Interest expense
Interest expense - Related Party	$ 1,221	$ 189
Total Contractual Interest	1,052	81
Amortization of deferred issuance	67	108
Amortization of debt discount - Related Party (Note 10)	169
Other	25
Total Interest Expense	1,313	189
Letters of credit agreement
Interest expense
Interest expense - Related Party	39	33
Subordinated convertible notes
Interest expense
Interest expense - Related Party	$ 1,013	$ 48

Lease Commitments (Details)

Lease Commitments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Lease Commitments
Rent paid for offices leased from unrelated third parties	$ 807	$ 736
Future annual minimum rentals to be paid under non-cancellable operating leases
2,016	720
2,017	610
2,018	507
2,019	489
2,020	472
Thereafter	2,180
Total	$ 4,978

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended				12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2015	Dec. 31, 2014
Current Tax Expense/(Benefit)
Total Current Tax Expense/(Benefit)					$ 99
Deferred Tax Expense/(Benefit)
Federal					246	$ (645)
State					(526)	(122)
Change in valuation allowance					(280)	(767)
Tax Benefit - acquisition of EnerPath and extinguishment of Debt					(1,246)
Other					99
Total Deferred Tax Expense/(Benefit)					(1,246)
Total Tax Expense/(Benefit)	$ 21	$ 3	$ 75	$ (1,246)	(1,147)
Deferred Tax Assets:
Federal and state net operating loss carryforwards	45,444				45,444	45,693
Debt Modification	558				558
Change in Derivative Value	391				391
Stock-based compensation	842				842	470
Allowance for doubtful accounts	588				588	829
Transaction costs	763				763
Intangible assets	(1,853)				(1,853)
Property & equipment	(53)				(53)	(120)
Other	166				166	254
Valuation allowance	(46,846)				$ (46,846)	$ (47,126)
Reconciliation of the statutory federal rate of 34% and the effective income tax rate for continuing operations
Federal income tax at statutory rate (as a percent)					34.00%	34.00%
Cancellation of debt income (as a percentage)					0.00%	(3.00%)
State and local taxes, net of federal benefit (as a percent)					0.00%	1.00%
Preferred dividends (as a percent)					(8.00%)	(18.00%)
Other (as a percent)					3.60%	0.00%
Valuation Reserve (as a percent)					(29.60%)	(14.00%)
Effective Income Tax Rate Reconciliation, Percent, Total					0.00%	0.00%
Uncertain tax positions
Uncertain tax positions	0				$ 0
Period of statute of limitations applicable to the entity's income tax returns					3 years
U.S. federal
Deferred Tax Assets:
Net operating loss carryforwards	140,000				$ 140,000
Net operating loss carryforwards which may expire unused due to Section 382 limitations	30,000				30,000
State
Deferred Tax Assets:
Net operating loss carryforwards	$ 130,000				$ 130,000

Commitments and Contingencies (

Commitments and Contingencies (Details) - Indemnification $ in Millions	Dec. 31, 2015USD ($)
Commitments and contingencies
Possible costs exceeding indemnification insurance coverage	$ 7
Indemnification insurance coverage incurred	$ 6.7

Equity Transactions (Details)

Equity Transactions (Details)	Dec. 23, 2014USD ($)shares	Aug. 04, 2014USD ($)	Jan. 29, 2014USD ($)shares	Dec. 31, 2015itemshares	Dec. 31, 2014itemshares	Jul. 24, 2015USD ($)	Mar. 24, 2015shares
Stock options
Convertible Preferred Stock, Shares Issued upon Conversion	5,681,198
Series B Preferred Stock
Stock options
Number of common shares upon conversion of Series B preferred share	2,383,437
Purchase price received in cash | $			$ 2,000,000
Series C Preferred Stock
Stock options
Amount received on issuance of shares | $	$ 10,000,000
Restricted Stock
Stock options
Shares granted				92,413	118,958
Restricted Stock | Senior employees
Stock options
Shares granted					30,157
Number of employees to whom shares are granted | item					2
Directors' Plan | Restricted Stock | Non employee directors
Stock options
Shares granted				92,413	88,801
Number of directors to whom shares are granted | item				8	8
Portion of award vesting upon grant date (as a percent)				50.00%	50.00%
Portion of award vesting on the first anniversary of the grant date (as a percent)				50.00%	50.00%
Maximum | Heritage Bank of Commerce | Common Stock | Loan And Security Agreement
Stock options
warrant to purchase shares | $						$ 60,000
2014 Notes | Series C Preferred Stock
Stock options
Number of common shares upon conversion of 2014 Notes	213,500
2014 Notes | Subordinated convertible notes
Stock options
Proceeds from issuance of long-term debt | $		$ 1,000,000
Series B Purchase Agreement Greener Capital | Series B Preferred Stock
Stock options
Shares purchased by investors			200,000
Bison | Series C Preferred Stock
Stock options
Shares purchased by investors							10,000
Bison | Series C Purchase Agreement | Series C Preferred Stock
Stock options
Shares purchased by investors	10,000

Stock Options (Details)

Stock Options (Details) - 2008 Plan	12 Months Ended
	Dec. 31, 2015USD ($)itemshares	Oct. 15, 2015shares	Oct. 14, 2015shares
Stock options
Shares authorized	1,267,036	1,585,718	407,143
Additional number of shares reserved for issuance per year	35,715
Number of eligible employees to participate in the plan | item	270
ISO
Stock options
Maximum aggregate fair market value of shares under options granted required to qualify as an ISO | $	$ 100,000
Term of options	10 years
ISO | Minimum
Stock options
Exercise price expressed as a percentage of the fair market value	100.00%
ISO | Minimum | Participant who owns more than 10%
Stock options
Exercise price expressed as a percentage of the fair market value	110.00%
Ownership percentage that triggers a higher exercise price	10.00%

Stock Options - Summary the opt

Stock Options - Summary the options granted, exercised, forfeited and outstanding (Details) - Stock options - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Shares
Outstanding at the beginning of the period (in shares)	102,215	446,634
Granted (in shares)	1,252,680	20,000
Forfeited (in shares)	(87,859)	(364,419)
Outstanding at the end of the period (in shares)	1,267,036	102,215
Options exercisable at the end of the period (in shares)	89,089	68,999
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 21.78	$ 36.82
Granted (in dollars per share)	2.91	2.57
Forfeited (in dollars per share)	9.96	45.55
Outstanding at the end of the period (in dollars per share)	3.95	21.78
Options exercisable at the end of the period (in dollars per share)	17.55	23.59
Minimum
Exercise Price Per Share
Outstanding at the beginning of the period (in dollars per share)	2.57	3.64
Granted (in dollars per share)	2.71	2.57
Forfeited (in dollars per share)	2.82	4.27
Outstanding at the end of the period (in dollars per share)	2.57	2.57
Options exercisable at the end of the period (in dollars per share)	2.57	2.57
Maximum
Exercise Price Per Share
Outstanding at the beginning of the period (in dollars per share)	77.91	1,675.80
Granted (in dollars per share)	3.21	2.57
Forfeited (in dollars per share)	31.50	1,675.80
Outstanding at the end of the period (in dollars per share)	77.91	77.91
Options exercisable at the end of the period (in dollars per share)	$ 77.91	$ 77.91

Stock Options - Summary of stoc

Stock Options - Summary of stock options outstanding (Details)	12 Months Ended
	Dec. 31, 2015$ / sharesshares
$2.57 - $3.00
Stock options outstanding
Exercise price, low end of range (in dollars per share)	$ 2.57
Exercise price, high end of range (in dollars per share)	$ 3
Options Outstanding
Number Outstanding (in shares) | shares	1,172,280
Weighted Average Remaining Contractual Life	9 years 8 months 12 days
Weighted Average Exercise Price (in dollars per share)	$ 2.91
Options Exercisable
Number Exercisable (in shares) | shares	29,333
Weighted Average Exercise Price (in dollars per share)	$ 2.69
$3.01 - $5.00
Stock options outstanding
Exercise price, low end of range (in dollars per share)	3.01
Exercise price, high end of range (in dollars per share)	$ 5
Options Outstanding
Number Outstanding (in shares) | shares	49,286
Weighted Average Remaining Contractual Life	9 years
Weighted Average Exercise Price (in dollars per share)	$ 3.27
Options Exercisable
Number Exercisable (in shares) | shares	14,286
Weighted Average Exercise Price (in dollars per share)	$ 3.64
$5.01 - $6.00
Stock options outstanding
Exercise price, low end of range (in dollars per share)	5.01
Exercise price, high end of range (in dollars per share)	$ 6
Options Outstanding
Number Outstanding (in shares) | shares	7,143
Weighted Average Remaining Contractual Life	6 years 8 months 12 days
Weighted Average Exercise Price (in dollars per share)	$ 5.25
Options Exercisable
Number Exercisable (in shares) | shares	7,143
Weighted Average Exercise Price (in dollars per share)	$ 5.25
$20.01 - $30.00
Stock options outstanding
Exercise price, low end of range (in dollars per share)	20.01
Exercise price, high end of range (in dollars per share)	$ 30
Options Outstanding
Number Outstanding (in shares) | shares	22,092
Weighted Average Remaining Contractual Life	4 years 6 months
Weighted Average Exercise Price (in dollars per share)	$ 24.84
Options Exercisable
Number Exercisable (in shares) | shares	22,092
Weighted Average Exercise Price (in dollars per share)	$ 24.84
$30.01 - $40.00
Stock options outstanding
Exercise price, low end of range (in dollars per share)	30.01
Exercise price, high end of range (in dollars per share)	$ 40
Options Outstanding
Number Outstanding (in shares) | shares	4,373
Weighted Average Remaining Contractual Life	6 years 1 month 6 days
Weighted Average Exercise Price (in dollars per share)	$ 34.28
Options Exercisable
Number Exercisable (in shares) | shares	4,373
Weighted Average Exercise Price (in dollars per share)	$ 34.28
$40.01 - $50.00
Stock options outstanding
Exercise price, low end of range (in dollars per share)	40.01
Exercise price, high end of range (in dollars per share)	$ 50
Options Outstanding
Number Outstanding (in shares) | shares	7,789
Weighted Average Remaining Contractual Life	7 months 6 days
Weighted Average Exercise Price (in dollars per share)	$ 49.21
Options Exercisable
Number Exercisable (in shares) | shares	7,789
Weighted Average Exercise Price (in dollars per share)	$ 49.21
$50.01 - $77.91
Stock options outstanding
Exercise price, low end of range (in dollars per share)	50.01
Exercise price, high end of range (in dollars per share)	$ 77.91
Options Outstanding
Number Outstanding (in shares) | shares	4,073
Weighted Average Remaining Contractual Life	1 year 9 months 18 days
Weighted Average Exercise Price (in dollars per share)	$ 76.94
Options Exercisable
Number Exercisable (in shares) | shares	4,073
Weighted Average Exercise Price (in dollars per share)	$ 76.94
$2.57 - $77.91
Stock options outstanding
Exercise price, low end of range (in dollars per share)	2.57
Exercise price, high end of range (in dollars per share)	$ 77.91
Options Outstanding
Number Outstanding (in shares) | shares	1,267,036
Weighted Average Remaining Contractual Life	9 years 6 months
Weighted Average Exercise Price (in dollars per share)	$ 3.95
Options Exercisable
Number Exercisable (in shares) | shares	89,089
Weighted Average Exercise Price (in dollars per share)	$ 17.55

Stock Options - Weighted averag

Stock Options - Weighted average significant assumptions (Details)	12 Months Ended
	Dec. 31, 2015USD ($)$ / shares	Dec. 31, 2014USD ($)$ / shares
Significant assumptions (weighted average):
Stock compensation expense	$ 939,000	$ 296,000
Stock options
Stock options
Closing stock price (in dollars per share) | $ / shares	$ 2.88
Aggregate intrinsic value of outstanding options if exercised	$ 20,400
Aggregate intrinsic value of exercisable options	$ 5,700,000
Weighted-average fair value per option granted (in dollars per share) | $ / shares	$ 1.19	$ 0.63
Significant assumptions (weighted average):
Risk-free interest rate at grant date (as a percent)	0.02%	0.03%
Expected stock price volatility (as a percent)	64.00%	63.00%
Expected option life (years)	6 years	5 years 9 months 18 days
Expected turn-over rate (as a percent)	20.30%	32.10%
Expected exercise multiple (as a percent)	2.2	2.2
Expiration term of award	10 years
Stock compensation expense	$ 510,000
Stock compensation benefit		$ (8,000)

Stock Options - Unrecognized co

Stock Options - Unrecognized compensation expense expected to be recognized (Details) - Stock options $ in Thousands	Dec. 31, 2015USD ($)
Unrecognized compensation expense expected to be recognized
2,016	$ 633
2,017	270
2,018	72
Total	$ 975

Restricted Stock (Details)

Restricted Stock (Details) - USD ($)	Jun. 03, 2010	Dec. 31, 2015	Dec. 31, 2014
Additional disclosure
Share based compensation expense		$ 939,000	$ 296,000
Restricted Stock
Restricted Shares
Balance at the beginning of the period (in shares)		73,333	62,584
Granted (in shares)		92,413	118,958
Vested (in shares)		(129,895)	(92,870)
Forfeited (in shares)		(3,460)	(15,339)
Balance at the end of the period (in shares)		32,391	73,333
Weighted Average Grant-Date Fair Value
Balance at the beginning of the period (in dollars per share)		$ 2.79	$ 4.22
Granted (in dollars per share)		2.73	3.41
Vested (in dollars per share)		2.69	3.42
Forfeited (in dollars per share)		2.89	4.89
Balance at the end of the period (in dollars per share)		$ 3.15	$ 2.79
Additional disclosure
Share based compensation expense		$ 362,000	$ 287,000
Unrecognized compensation expense		$ 36,000
Weighted-average remaining life		5 years 2 months 12 days
Directors' Plan
Stock options
Term in which remaining shares vest after initial grant	1 year
Directors' Plan | Board service | Director | Restricted Stock
Stock options
Grant date market value of shares granted upon initial election	$ 40,000
Market value of annual grants	20,000
Directors' Plan | Audit Committee | Richard Kiphart. | Restricted Stock
Stock options
Market value of annual grants	15,000
Directors' Plan | Audit Committee | Members | Restricted Stock
Stock options
Market value of annual grants	10,000
Directors' Plan | Compensation Committee | Richard Kiphart. | Restricted Stock
Stock options
Market value of annual grants	10,000
Directors' Plan | Compensation Committee | Members | Restricted Stock
Stock options
Market value of annual grants	5,000
Directors' Plan | Nominating Committee | Richard Kiphart. | Restricted Stock
Stock options
Market value of annual grants	5,000
Directors' Plan | Nominating Committee | Members | Restricted Stock
Stock options
Market value of annual grants	$ 2,500
2009 Management Incentive Compensation Plan | Senior managers | Restricted Stock
Stock options
Vesting period		3 years

Employee Stock Purchase Plan (D

Employee Stock Purchase Plan (Details) $ in Thousands	Jun. 18, 2015itemshares	Mar. 31, 2015item	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Stock options
Share based compensation expense | $			$ 939	$ 296
2014 Employee Stock Purchase Plan
Stock options
Number of offering periods | item		2
Offering period		6 months
2015 Employee Stock Purchase Plan
Stock options
Number of offering periods | item	2
Offering period	6 months
Shares authorized | shares	100,000
Discount on closing market price (as a percent)	15.00%
Employee Stock Purchase Plan.
Stock options
Share based compensation expense | $			$ 67	$ 17

Legal Matters (Details)

Legal Matters (Details) $ in Millions	Jun. 04, 2014USD ($)
Satterfield v. Lime Energy Co.
Legal Matters
Settlement amount	$ 2.5

Related Parties (Details)

Related Parties (Details)	Aug. 04, 2014USD ($)	Dec. 31, 2015	Mar. 24, 2015USD ($)$ / sharesshares	Dec. 23, 2014shares	Dec. 30, 2013item
Related Party Transactions
Number of investors with whom the entity entered in a Preferred Stock and Warrant Purchase Agreement | item					2
Percentage of ownership of stockholders for which there is no written policy concerning transactions		5.00%
Series C Preferred Stock | Bison
Related Party Transactions
Preferred Stock, Shares Issued | shares			10,000
Series C Preferred Stock | Series C Purchase Agreement | Bison
Related Party Transactions
Preferred Stock, Shares Issued | shares				10,000
Series C Preferred Stock | Note Purchase Agreement
Related Party Transactions
Convertible Notes Payable | $			$ 3,718,354
Subordinated convertible notes | 2014 Notes
Related Party Transactions
Proceeds from issuance of long-term debt | $	$ 1,000,000
Subordinated convertible notes | Note Purchase Agreement
Related Party Transactions
Conversion price (in dollars per share) | $ / shares			$ 3.16

Selected Quarterly Financial 82

Selected Quarterly Financial Data (unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Selected Quarterly Financial Data (unaudited)
Revenues	$ 30,214	$ 32,160	$ 31,950	$ 18,299	$ 17,361	$ 15,585	$ 13,590	$ 12,280	$ 112,623	$ 58,816
Gross Profit	10,357	11,035	10,872	5,499	4,661	4,850	4,414	3,729	37,763	17,654
(Loss) Income from continuing operations before income taxes	(1,498)	1,862	(752)	(3,282)					(3,670)	(2,630)
Income tax (expense) benefit	(21)	(3)	(75)	1,246					1,147
(Loss) Income from continuing operations	(1,519)	1,859	(827)	(2,036)	(1,191)	(45)	(229)	(1,165)	(2,523)	(2,630)
Loss from discontinued operations	(365)	(46)	(158)	(63)	(181)	136	55	(3)	(632)	7
Net (Loss) Income	(1,884)	1,813	(985)	(2,099)	(1,372)	91	(174)	(1,168)	(3,155)	(2,623)
Preferred dividends	(337)	(336)	(312)	(308)	(506)	(521)	(486)	(1,466)	(1,293)	(2,979)
Net (loss) Income available to common stockholders	$ (2,221)	$ 1,477	$ (1,297)	$ (2,407)	$ (1,878)	$ (430)	$ (660)	$ (2,634)	$ (4,448)	$ (5,602)
Basic (loss) earnings per common share from:
Continuing operations (in dollars per share)	$ (0.19)	$ 0.16	$ (0.12)	$ (0.25)					$ (0.40)
Discontinued operations (in dollars per share)	$ (0.04)	$ 0	$ (0.02)	$ (0.01)					$ (0.07)
Weighted averages shares	9,570,000	9,570,000	9,548,000	9,503,000					9,548,000
Diluted (loss) earnings per common share from:
Continuing operations (in dollars per share)	$ (0.19)	$ 0.05	$ (0.12)	$ (0.25)					$ (0.40)
Discontinued operations (in dollars per share)	$ (0.04)	$ 0	$ (0.02)	$ (0.01)					(0.07)
Basic and diluted (loss) earnings per common share from:
Continuing operations (in dollars per share)					$ (0.39)	$ (0.15)	$ (0.06)	$ (0.31)	(0.40)	$ (1.44)
Discontinued operations (in dollars per share)					$ (0.04)	$ 0.04	$ 0.01	$ 0	$ (0.07)	$ 0
Weighted averages shares	9,570,000	17,697,000	9,548,000	9,503,000					9,548,000
Weighted average shares					4,325,000	3,760,000	3,730,000	3,725,000	9,548,261	3,884,826