TSS (TSSI) 10-Q 13 Nov 14 2014 Q3 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	9 Months Ended
	Sep. 30, 2014	Nov. 13, 2014
Document Information [Line Items]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	30-Sep-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q3	'
Entity Registrant Name	'TSS, Inc.	'
Entity Central Index Key	'0001320760	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Smaller Reporting Company	'
Trading Symbol	'TSSI	'
Entity Common Stock, Shares Outstanding	'	15,199,668

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current Assets:	'	'
Cash and cash equivalents	$907	$3,291
Restricted cash	0	501
Contract and other receivables, net	5,926	8,410
Costs and estimated earnings in excess of billings on uncompleted contracts	1,249	544
Inventories, net	161	217
Prepaid expenses and other current assets	309	448
Total current assets	8,552	13,411
Fixed assets, net	604	437
Goodwill	1,907	1,907
Intangible assets, net	1,013	1,116
Other assets	83	154
Total assets	12,159	17,025
Current Liabilities:	'	'
Convertible notes payable, current portion, net	158	137
Borrowings under credit facility	2,771	3,000
Accounts payable and accrued expenses	4,647	7,590
Billings in excess of costs and estimated earnings on uncompleted contracts	2,954	2,316
Total current liabilities	10,530	13,043
Convertible notes payable, less current portion, net	575	723
Other liabilities	2	9
Total liabilities	11,107	13,775
Commitments and Contingencies	0	0
Stockholders’ Equity:	'	'
Preferred stock, $.0001 par value; 1,000 shares authorized at September 30, 2014 and December 31, 2013; none issued	0	0
Common stock, $.0001 par value; 49,000 shares authorized at September 30, 2014 and December 31, 2013; 16,095 and 15,395 issued at September 30, 2014 and December 31, 2013, respectively	2	2
Additional paid-in capital	67,514	67,152
Treasury stock 895 and 823 shares at cost at September 30, 2014 and December 31, 2013, respectively	-1,512	-1,512
Accumulated deficit	-64,952	-62,392
Total stockholders' equity	1,052	3,250
Total liabilities and stockholders’ equity	$12,159	$17,025

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, except Per Share data, unless otherwise specified
Preferred stock, par value	$0.00	$0.00
Preferred stock, shares authorized	1,000	1,000
Preferred stock, shares issued	0	0
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	49,000	49,000
Common stock, issued	16,095	15,395
Treasury stock, shares	895	823

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Revenue	$6,213	$10,292	$19,575	$31,363
Cost of revenue	4,051	8,082	13,518	24,422
Gross profit	2,162	2,210	6,057	6,941
Selling, general and administrative expenses	2,326	3,067	8,036	8,583
Depreciation and amortization	129	93	371	217
Total operating costs	2,455	3,160	8,407	8,800
Loss from operations	-293	-950	-2,350	-1,859
Other expense:	'	'	'	'
Interest expense, net	-73	-64	-210	-128
Other expense	0	-5	0	-20
Loss from operations before income taxes	-366	-1,019	-2,560	-2,007
Income tax provision	0	0	0	0
Net loss	($366)	($1,019)	($2,560)	($2,007)
Basic and diluted loss per share:	'	'	'	'
Loss per common share	($0.02)	($0.07)	($0.17)	($0.14)
Weighted average common shares outstanding	15,075	14,411	14,935	14,513

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Changes in Stockholders' Equity (USD $)	Total	Common Stock	Additional Paid-in Capital	Treasury Stock	Accumulated Deficit
In Thousands, except Share data
Balance at Dec. 31, 2013	$3,250	$2	$67,152	($1,512)	($62,392)
Balance (in shares) at Dec. 31, 2013	'	15,395	'	823	'
Purchase of treasury stock	0	0	0	0	0
Purchase of treasury stock (in shares)	'	0	'	72	'
Stock-based compensation	362	0	362	0	0
Stock-based compensation (in shares)	'	700	'	0	'
Net loss	-2,560	0	0	0	-2,560
Balance at Sep. 30, 2014	$1,052	$2	$67,514	($1,512)	($64,952)
Balance (in shares) at Sep. 30, 2014	'	16,095	'	895	'

Condensed_Consolidated_Stateme2

Condensed Consolidated Statements of Cash Flows (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Cash flows from operating activities:	'	'
Net loss	($2,560)	($2,007)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	371	194
Amortization of discount on note payable	48	29
Provision for doubtful accounts	12	17
Stock-based compensation	362	293
Write-off on disposal of property	0	41
Changes in operating assets and liabilities:	'	'
Restricted cash	500	-536
Contract and other receivables	2,473	-3,163
Costs and estimated earnings in excess of billings on uncompleted contracts	-705	29
Inventories, net	56	-952
Prepaid expenses and other current assets	139	17
Other assets	0	11
Accounts payable and accrued expenses	-2,941	1,217
Billings in excess of costs and estimated earnings on uncompleted contracts	638	-66
Other assets and liabilities, net	-7	-43
Net cash used in operating activities	-1,616	-4,917
Cash Flows from Investing Activities:	'	'
Capital expenditures	-364	-254
Acquisition of a business	0	-1,469
Net cash used in investing activities	-364	-1,723
Cash Flows from Financing Activities:	'	'
Payment of debt issuance costs	0	-194
Payment on convertible notes payable	-175	-1,150
Payments on line of credit	-229	3,000
Purchase of treasury stock	0	-8
Net cash (used in) provided by financing activities	-404	1,622
Net decrease in cash	-2,384	-5,017
Cash and cash equivalents at beginning of period	3,291	5,608
Cash and cash equivalents at end of period	907	591
Supplemental disclosure of cash flow information:	'	'
Cash paid for interest	162	132
Cash paid for taxes	$45	$1

Significant_Accounting_Policie

Significant Accounting Policies	9 Months Ended
	Sep. 30, 2014
Accounting Policies [Abstract]	'
Basis of Presentation and Significant Accounting Policies	'
	Note 1 – Significant Accounting Policies
	Description of Business
	TSS, Inc. (“TSS” or the “Company” or “we”), provides comprehensive services for the planning, design, systems integration, development and maintenance of mission-critical facilities and information infrastructure as well as integration services. We provide a single source solution for highly technical mission-critical facilities such as data centers, operations centers, network facilities, server rooms, security operations centers, communications facilities and the infrastructure systems that are critical to their function. Our services consist of technology consulting, design and engineering, construction management, facilities management and systems integration. Our corporate offices are in Columbia, Maryland and we also have facilities in Dulles, Virginia, Round Rock, Texas and Mountain View, California.
	The accompanying condensed consolidated balance sheet as of December 31, 2013, which has been derived from audited financial statements, and the unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“US GAAP”) for interim financial statements and pursuant to the rules and regulations of the SEC for interim reporting, and include the accounts of the Company and its consolidated subsidiaries. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting only of normal recurring items) necessary to present fairly the consolidated financial position of the Company and its consolidated results of operations and cash flows. These interim financial statements should be read in conjunction with the financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.
	The accompanying condensed consolidated financial statements have also been prepared on the basis that the Company will continue to operate as a going concern. Accordingly, assets and liabilities are recorded on the basis that the Company will be able to realize it assets and discharge its liabilities in the normal course of business. The Company’s history of operating losses and use of cash, in the absence of other factors, may cause uncertainty about our ability to continue as a going concern. We have reviewed current and prospective sources of liquidity, significant conditions and events and forecasted financial results and concluded that we have adequate resources to continue to operate as a going concern. Our business plans and our assumptions around the adequacy of our liquidity are based on estimates regarding expected revenues and future costs. However, our revenue may not meet our expectations or our costs may exceed our estimates. Further, our estimates may change and future events or developments may also affect our estimates. Any of these factors may change our expectation of cash usage in the remainder of 2014 or significantly affect our level of liquidity, which may require us to seek additional financing or take other measures to reduce our operating costs or obtain funding in order to continue operating. These financial statements do not include any adjustments that might result from the Company not being able to continue as a going concern.
	Revenue Recognition
	We recognize revenue when pervasive evidence of an arrangement exists, the contract price is fixed or determinable, services have been rendered or goods delivered, and collectability is reasonably assured. Our revenue is derived from fixed-price contracts, time-and-materials contracts, cost-plus-fee contracts (including guaranteed maximum price contracts), facility service and maintenance contracts, and product shipments.
	Revenue from fixed price contracts is recognized on the percentage of completion method. We apply Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 605-35, Construction-Type and Production-Type Contracts, recognizing revenue on the percentage-of-completion method using costs incurred in relation to total estimated project costs. This method is used because management considers costs incurred and costs to complete to be the best available measure of progress in the contracts. Contract costs include all direct materials, subcontract and labor costs and those indirect costs related to contract performance, such as indirect labor, payroll taxes, employee benefits and supplies.
	Revenue on cost-plus-fee contracts is recognized to the extent of costs incurred, plus an estimate of the applicable fees earned. Fixed fees under cost-plus-fee contracts are recorded as earned in proportion to the allowable costs incurred in performance of the contract.
	Billings in excess of costs and estimated earnings on uncompleted contracts are classified as current liabilities. Costs and estimated earnings in excess of billings, or work in process, are classified as current assets for the majority of our projects. Work in process on contracts is based on work performed but not yet billed to customers as per individual contract terms.
	Certain of our contracts involve the delivery of multiple elements including design management, system installation and facilities maintenance. Revenues from contracts with multiple element arrangements are recognized as each element is earned based on the relative selling price of each element provided the delivered elements have value to customers on a standalone basis. Amounts allocated to each element are based on its objectively determined fair value, such as the sales price for the service when it is sold separately or competitor prices for similar services.
	Revenue and related costs for master and other service agreements billed on a time and materials basis are recognized as the services are rendered based on actual labor hours performed at contracted billable rates, and costs incurred on behalf of the customer. Services are also performed under master and other service agreements billed on a fixed fee basis. Under fixed fee master service and similar type service agreements for facilities and equipment, we furnish various unspecified units of service for a fixed price. These services agreements are recognized on the proportional performance method or ratably over the course of the service period and costs are recorded as incurred in performance.
	We recognize revenue from assembled products when the finished product is shipped, and collection of the resulting receivable is reasonably assured. In arrangements where a formal acceptance of products or services is required by the customer, revenue is recognized upon meeting such acceptance criteria.
	Allowance for Doubtful Accounts
	We estimate an allowance for doubtful accounts based on factors related to the specific credit risk of each customer. Historically our credit losses have been minimal. We perform credit evaluations of new customers and may require prepayments or use of bank instruments such as trade letters of credit to mitigate credit risk. As we expand our product offerings and customer base, our risk of credit loss has increased. We monitor outstanding amounts to limit our credit exposure to individual accounts. We continue to pursue collection even if we have fully provided for an account balance.
	Concentration of Credit Risk
	We are currently economically dependent upon our relationship with a large US-based IT Original Equipment Manufacturer (OEM). If this relationship is unsuccessful or discontinues, our business and revenue may suffer. The loss of or a significant reduction in orders from this customer or the failure to provide adequate products or services to them could significantly reduce our revenue. We also periodically perform large construction projects which may comprise a significant portion of our revenues during the construction phase, and which may cause large fluctuations in our quarterly revenues.
	The following customers accounted for a significant percentage of our revenues for the periods shown:
		Three Months Ended Sept.30,						Nine Months Ended Sept.30,
		2014			2013			2014			2013
	US-based IT OEM		50	%		17	%		41	%		22	%
	US-based construction company		7	%		37	%		12	%		23	%
	Washington DC transportation agency		1	%		10	%		1	%		29	%
	No other customers represented more than 10% of our revenues for any periods presented. Our US-based IT OEM customer represented 69% and 27% of our accounts receivable at September 30, 2014 and December 31, 2013, respectively. A US-based construction company represented 3% and 41% of our accounts receivable at September 30, 2014 and December 31, 2013, respectively. A US-based retailer company represented 10% and 8% of our accounts receivable at September 30, 2014 and December 31, 2014, respectively. No other customer represented more than 10% of our accounts receivable at September 30, 2014 or at December 31, 2013.
	Recently Issued Accounting Pronouncements
	In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers, an accounting pronouncement related to revenue recognition (FASB ASC Topic 606), which amends the guidance in former ASC Topic 605, Revenue Recognition, and provides a single, comprehensive revenue recognition model for all contracts with customers.  This standard contains principles that an entity will apply to determine the measurement of revenue and timing of when it is recognized.  The entity will recognize revenue to reflect the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services.  This pronouncement is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and early adoption is not permitted.  We are currently evaluating the impact on our consolidated financial statements.
	In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Topic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires that management assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and for annual periods and interim periods thereafter. We plan to adopt ASU 2014-15 as of the end of our fiscal year ending December 31, 2017 and do not anticipate adoption will impact our statements of financial position or results of operations.

Supplemental_Balance_Sheet_Inf

Supplemental Balance Sheet Information	9 Months Ended
	Sep. 30, 2014
Balance Sheet Related Disclosures [Abstract]	'
Supplemental Balance Sheet Disclosures	'
	Note 2 – Supplemental Balance Sheet Information
	Receivables
	Contract and other receivables consist of the following (in ‘000’s):
		September 30,		December 31,
		2014		2013
	Contract and other receivables	$	5,960	$	8,432
	Allowance for doubtful accounts		-34		-22
		$	5,926	$	8,410
	Inventory
	We state inventories at the lower of cost or market, using the first-in-first-out-method (in ‘000’s):
		September 30,		December 31,
		2014		2013
	Work in process	$	36	$	46
	Raw materials		127		176
	Less: Reserve		-2		-5
	Inventories, net	$	161	$	217
	Goodwill and Intangible Assets
	Goodwill and Intangible Assets consist of the following (in ‘000’s):
		September 30, 2014				December 31, 2013
		Gross				Gross
		Carrying		Accumulated		Carrying		Accumulated
		Amount		Amortization		Amount		Amortization
	Intangible assets not subject to amortization:
	Goodwill	$	1,907		-	$	1,907		-
	Trade name	$	60		-	$	60		-
	Intangible assets subject to amortization:
	Customer relationships	$	906	$	-123	$	906	$	-55
	Acquired software	$	234	$	-64	$	234	$	-29
	We recognized amortization expense related to intangibles of approximately $35,000 for both three month periods ended September 30, 2014 and 2013. We recognized amortization expense related to intangible assets of approximately $103,000 and $84,000 for the nine
	months ended September 30, 2014 and 2013, respectively.
	US GAAP requires us to perform an impairment test of goodwill on an annual basis or whenever events or circumstances make it more likely than not that impairment of goodwill may have occurred. As part of the annual impairment test, we first have the option to make a qualitative assessment of goodwill for impairment. If we are able to determine through the qualitative assessment that the fair value of a reporting unit more likely than not exceeds its carrying value, no further evaluation is necessary. For those reporting units for which the qualitative assessment is either not performed or indicates that further testing may be necessary, we may then assess goodwill for impairment using a two-step process. The first step requires comparing the fair value of the reporting unit with its carrying amount, including goodwill. If that fair value exceeds the carrying amount, the second step of the process is not required to be performed, and no impairment charge is required to be recorded. If that fair value does not exceed that carrying amount, we must perform the second step, which requires an allocation of the fair value of the reporting unit to all assets and liabilities of that unit as if the reporting unit had been acquired in a purchase business combination and the fair value of the reporting unit was the purchase price. The goodwill resulting from that purchase price allocation is then compared to the carrying amount with any excess recorded as an impairment charge.
	We have elected to use December 31 as our annual date to test goodwill and intangibles for impairment. As circumstances change that could affect the recoverability of the carrying amount of the assets during an interim period, the Company will evaluate its indefinite lived intangible assets for impairment. As a result of net losses, non-compliance with the terms of our credit facility agreement and not meeting forecasted revenue during the quarter ended June 30, 2014, we performed a quantitative Step 1 interim impairment analysis of our goodwill and intangible assets and concluded that there was no additional impairment at that time. Due to improved margins and reduced losses in our third calendar quarter, including profitability in the month of September, we did not perform a quantitative Step 1 interim impairment analysis of our goodwill and intangible assets during the quarter ended September 30, 2014.

Credit_Facility

Credit Facility	9 Months Ended
	Sep. 30, 2014
Line of Credit Facility [Abstract]	'
Credit Facility	'
	Note 3 – Credit Facility
	We have arevolving credit facility with Bridge Bank NA (“Bridge”) under a Business Financing Agreement that expires in May 2016. Our credit facility with Bridge provides for a secured revolving line of credit in an aggregate amount of up to $6 million, subject to a borrowing base of 80% of eligible accounts receivable. Borrowings under the facility bear interest at (1) the greater of (a) the prime rate published by Bridge, which was 3.25% at September 30, 2014 or (b) 3.25%, plus (2) 2% per annum. The revolving loans made to us under this credit facility are secured by a lien on substantially all of our assets. We modified this agreement in July 2014 to extend the term of the facility until May 2016 on substantially the same terms and conditions.
	Our credit facility includes customary affirmative covenants for secured transactions of this type, including maintaining adequate books and records, periodic financial reporting, compliance with laws, maintenance of insurance, maintenance of assets, timely payment of taxes, and notice of adverse events. The credit facility also includes customary negative covenants, including incurrence of other indebtedness, mergers, consolidations and transfers of assets and liens on our assets. The credit facility requires us to maintain an asset coverage ratio of at least 1.50 to 1. The asset coverage ratio is defined as the ratio of unrestricted cash plus eligible accounts receivable to all indebtedness owed by us to Bridge.
	The credit facility includes customary events of default, including payment defaults, failure to perform or observe terms, covenants or agreements included in the credit facility, insolvency and bankruptcy defaults, judgment defaults, material adverse change defaults, and change of management defaults. The occurrence of an event of default could result in the acceleration of obligations under the credit facility, in which case the Company must repay all loans and related charges, fees and amounts then due and payable.
	We incurred expenses of $0.2 million, including a commitment fee of $30,000,relating to obtaining this credit facility. These costs are included in other assets and are being amortized over the original life of the credit facility on a straight line basis. Approximately $19,000 and $19,000 was recorded as amortization expense for the three-month periods ended September 30, 2014 and 2013, respectively. We recorded approximately $58,000 and $28,000 as amortization expense for the nine-month periods ended September 30, 2014 and 2013, respectively.
	At September 30, 2014, there was $2.78 million in borrowings outstanding under the credit facility. Based on our borrowing base formula as of September 30, 2014, we had an additional $526,000 available to borrow under this facility.
	In October 2014 we further modified our credit facility where Bridge consented to releasing its security interest in certain receivables from one of our customers concurrent with our entering into a vendor payment program with that customer. Under this arrangement, we sell our receivables from this customer to a third party bank and agree to deposit the proceeds into our account with Bridge. At the time the sale of the receivable occurs under this arrangement, Bridge releases its security interest in those receivables. We also modified the terms of the credit facility to exclude this customer’s receivables from our eligible accounts receivable.

Notes_Payable

Notes Payable	9 Months Ended
	Sep. 30, 2014
Debt Disclosure [Abstract]	'
Notes Payable	'
	Note 4 – Notes Payable
	We currently have outstanding promissory notes payable to Gerard J. Gallagher, a director and Chief Technical Officer of the Company. As of September 30, 2014 there was an aggregate principal balance outstanding under the note of $775,000 and a remaining unamortized discount of $42,000.
	On September 30, 2014 we amended the terms of the notes payable to amend the future payment schedule and to extend the maturity date of the promissory note from July 1, 2015 to January 1, 2016. Under the amended payment schedule, the Company will make two quarterly principal payments of $25,000 on October 1, 2014 and January 1, 2015. Thereafter, the Company will make monthly principal payments of $25,000 to Mr. Gallagher for a seven month period beginning on February 1, 2015 and ending on July 1, 2015. The Company will also make an additional principal payment of $25,000 on or before October 1, 2015. The remaining outstanding balance is due on January 1, 2016. The Company will continue to make monthly interest payments.
	All other terms and conditions of the notes remain unchanged. The notes bear interest at an annual rate of 4%. The promissory note remains convertible into shares of the Company’s common stock at a conversion price of $7.50 per share. All amounts due under the note are immediately due and payable upon the occurrence of a “change in control” of the Company (as defined in the promissory note) or the death of Mr. Gallagher. If the Company fails to pay any amount due under the promissory note within five days after the date due, the Company must pay Mr. Gallagher a late charge equal to 5% of the amount due and unpaid. The Company’s obligations under the promissory note held by Mr. Gallagher are subordinated to the obligations under our credit facility with Bridge Bank.
	The balance of the notes payable at September 30, 2014 and December 31, 2013 were as follows:
		September 30,		December 31,
		2014		2013
	Convertible, unsecured promissory note, due 2015 (4.0%), net	$	732,843	$	859,843
	Less: current portion, net		157,843		137,000
	Convertible notes payable, long-term, net	$	575,000	$	722,843
	The unamortized discount at September 30, 2014 and December 31, 2013 was approximately $42,000 and $90,000, respectively. The accretion of this discount which is recorded as interest expense was $16,000 and $48,000 for the three and nine-month periods ended September 30, 2014, and was $20,000 and $29,000 for the three and nine-month periods ended September 30, 2013.
	Future repayments on the notes payable at September 30, 2014 are as follows:
	2014	$	20,000
	2015		172,843
	2016		550,000
	Total	$	732,843

Net_Loss_PerShare

Net Loss Per-Share	9 Months Ended
	Sep. 30, 2014
Earnings Per Share [Abstract]	'
Earnings Per Share	'
	Note 5 – Net Loss Per-Share
	The following table sets forth the computation of basic and diluted net loss per share (in thousands except per share amounts):
		Three Months Ended Sept. 30,				Nine Months Ended Sept 30,
		2014		2013		2014		2013
	Numerator:
	Net loss	$	-366	$	-1,019	$	-2,560	$	-2,007
	Denominator:
	Weighted-average shares of common stock outstanding		15,075		14,411		14,935		14,513
	Dilutive effect of employee stock options and restricted stock awards		-		-		-		-
	Weighted-average shares for diluted net loss per share		15,075		14,411		14,935		14,513
	Basic & diluted net loss per share	$	-0.02	$	-0.07	$	-0.17	$	-0.14
	The calculation of diluted net loss per share excludes some shares of common stock issuable upon exercise of employee stock options because their inclusion in the calculation would have been anti-dilutive.
		Three Months Ended Sept 30,				Nine Months Ended Sept. 30,
		2014		2013		2014		2013
	Common stock equivalents excluded from calculation because effect would have been anti-dilutive		2,307		2,561		2,409		2,561

Related_Party_Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2014
Related Party Transactions [Abstract]	'
Related Party Transactions	'
	Note 6 – Related Party Transactions
	We lease our facility in Columbia, Maryland from an entity that is 50% owned by Gerard Gallagher, a director and our Chief Technical Officer, and Thomas Rosato, our former CEO and director and a significant shareholder of the Company until February 28, 2014. The lease expires in July 2016. Rents paid under this agreement were $ 69,000 and $ 138,000 for the three and nine-month periods ended September 30, 2014, respectively. We paid rents of $69,000 and $208,000 for the three and nine-month periods ended September 30, 2013, respectively
	We have $775,000 outstanding at September 30, 2014 in convertible notes payable to Mr. Gallagher. The notes bear interest at 4% per annum and are subordinated to our borrowings to Bridge Bank under our revolving credit facility. Per the terms of the notes, we paid interest of $ 8,000 and $ 24,000 during the three and nine-month periods ended September 30, 2014, respectively. We repaid principal against the Notes of $ 25,000 and $ 175,000 during the three and nine-month periods ended September 30, 2014, respectively.

Significant_Accounting_Policie1

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2014
Accounting Policies [Abstract]	'
Description of Business	'
	Description of Business
	TSS, Inc. (“TSS” or the “Company” or “we”), provides comprehensive services for the planning, design, systems integration, development and maintenance of mission-critical facilities and information infrastructure as well as integration services. We provide a single source solution for highly technical mission-critical facilities such as data centers, operations centers, network facilities, server rooms, security operations centers, communications facilities and the infrastructure systems that are critical to their function. Our services consist of technology consulting, design and engineering, construction management, facilities management and systems integration. Our corporate offices are in Columbia, Maryland and we also have facilities in Dulles, Virginia, Round Rock, Texas and Mountain View, California.
	The accompanying condensed consolidated balance sheet as of December 31, 2013, which has been derived from audited financial statements, and the unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“US GAAP”) for interim financial statements and pursuant to the rules and regulations of the SEC for interim reporting, and include the accounts of the Company and its consolidated subsidiaries. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting only of normal recurring items) necessary to present fairly the consolidated financial position of the Company and its consolidated results of operations and cash flows. These interim financial statements should be read in conjunction with the financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.
	The accompanying condensed consolidated financial statements have also been prepared on the basis that the Company will continue to operate as a going concern. Accordingly, assets and liabilities are recorded on the basis that the Company will be able to realize it assets and discharge its liabilities in the normal course of business. The Company’s history of operating losses and use of cash, in the absence of other factors, may cause uncertainty about our ability to continue as a going concern. We have reviewed current and prospective sources of liquidity, significant conditions and events and forecasted financial results and concluded that we have adequate resources to continue to operate as a going concern. Our business plans and our assumptions around the adequacy of our liquidity are based on estimates regarding expected revenues and future costs. However, our revenue may not meet our expectations or our costs may exceed our estimates. Further, our estimates may change and future events or developments may also affect our estimates. Any of these factors may change our expectation of cash usage in the remainder of 2014 or significantly affect our level of liquidity, which may require us to seek additional financing or take other measures to reduce our operating costs or obtain funding in order to continue operating. These financial statements do not include any adjustments that might result from the Company not being able to continue as a going concern.
Revenue Recognition	'
	Revenue Recognition
	We recognize revenue when pervasive evidence of an arrangement exists, the contract price is fixed or determinable, services have been rendered or goods delivered, and collectability is reasonably assured. Our revenue is derived from fixed-price contracts, time-and-materials contracts, cost-plus-fee contracts (including guaranteed maximum price contracts), facility service and maintenance contracts, and product shipments.
	Revenue from fixed price contracts is recognized on the percentage of completion method. We apply Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 605-35, Construction-Type and Production-Type Contracts, recognizing revenue on the percentage-of-completion method using costs incurred in relation to total estimated project costs. This method is used because management considers costs incurred and costs to complete to be the best available measure of progress in the contracts. Contract costs include all direct materials, subcontract and labor costs and those indirect costs related to contract performance, such as indirect labor, payroll taxes, employee benefits and supplies.
	Revenue on cost-plus-fee contracts is recognized to the extent of costs incurred, plus an estimate of the applicable fees earned. Fixed fees under cost-plus-fee contracts are recorded as earned in proportion to the allowable costs incurred in performance of the contract.
	Billings in excess of costs and estimated earnings on uncompleted contracts are classified as current liabilities. Costs and estimated earnings in excess of billings, or work in process, are classified as current assets for the majority of our projects. Work in process on contracts is based on work performed but not yet billed to customers as per individual contract terms.
	Certain of our contracts involve the delivery of multiple elements including design management, system installation and facilities maintenance. Revenues from contracts with multiple element arrangements are recognized as each element is earned based on the relative selling price of each element provided the delivered elements have value to customers on a standalone basis. Amounts allocated to each element are based on its objectively determined fair value, such as the sales price for the service when it is sold separately or competitor prices for similar services.
	Revenue and related costs for master and other service agreements billed on a time and materials basis are recognized as the services are rendered based on actual labor hours performed at contracted billable rates, and costs incurred on behalf of the customer. Services are also performed under master and other service agreements billed on a fixed fee basis. Under fixed fee master service and similar type service agreements for facilities and equipment, we furnish various unspecified units of service for a fixed price. These services agreements are recognized on the proportional performance method or ratably over the course of the service period and costs are recorded as incurred in performance.
	We recognize revenue from assembled products when the finished product is shipped, and collection of the resulting receivable is reasonably assured. In arrangements where a formal acceptance of products or services is required by the customer, revenue is recognized upon meeting such acceptance criteria.
Allowance for Doubtful Accounts	'
	Allowance for Doubtful Accounts
	We estimate an allowance for doubtful accounts based on factors related to the specific credit risk of each customer. Historically our credit losses have been minimal. We perform credit evaluations of new customers and may require prepayments or use of bank instruments such as trade letters of credit to mitigate credit risk. As we expand our product offerings and customer base, our risk of credit loss has increased. We monitor outstanding amounts to limit our credit exposure to individual accounts. We continue to pursue collection even if we have fully provided for an account balance.
Concentration of Credit Risk	'
	Concentration of Credit Risk
	We are currently economically dependent upon our relationship with a large US-based IT Original Equipment Manufacturer (OEM). If this relationship is unsuccessful or discontinues, our business and revenue may suffer. The loss of or a significant reduction in orders from this customer or the failure to provide adequate products or services to them could significantly reduce our revenue. We also periodically perform large construction projects which may comprise a significant portion of our revenues during the construction phase, and which may cause large fluctuations in our quarterly revenues.
	The following customers accounted for a significant percentage of our revenues for the periods shown:
		Three Months Ended Sept.30,						Nine Months Ended Sept.30,
		2014			2013			2014			2013
	US-based IT OEM		50	%		17	%		41	%		22	%
	US-based construction company		7	%		37	%		12	%		23	%
	Washington DC transportation agency		1	%		10	%		1	%		29	%
	No other customers represented more than 10% of our revenues for any periods presented. Our US-based IT OEM customer represented 69% and 27% of our accounts receivable at September 30, 2014 and December 31, 2013, respectively. A US-based construction company represented 3% and 41% of our accounts receivable at September 30, 2014 and December 31, 2013, respectively. A US-based retailer company represented 10% and 8% of our accounts receivable at September 30, 2014 and December 31, 2014, respectively. No other customer represented more than 10% of our accounts receivable at September 30, 2014 or at December 31, 2013.
Recently Issued Accounting Pronouncements	'
	Recently Issued Accounting Pronouncements
	In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers, an accounting pronouncement related to revenue recognition (FASB ASC Topic 606), which amends the guidance in former ASC Topic 605, Revenue Recognition, and provides a single, comprehensive revenue recognition model for all contracts with customers.  This standard contains principles that an entity will apply to determine the measurement of revenue and timing of when it is recognized.  The entity will recognize revenue to reflect the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services.  This pronouncement is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and early adoption is not permitted.  We are currently evaluating the impact on our consolidated financial statements.
	In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Topic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires that management assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and for annual periods and interim periods thereafter. We plan to adopt ASU 2014-15 as of the end of our fiscal year ending December 31, 2017 and do not anticipate adoption will impact our statements of financial position or results of operations.

Significant_Accounting_Policie2

Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2014
Accounting Policies [Abstract]	'
Schedules of Concentration of Risk, by Risk Factor	'
	The following customers accounted for a significant percentage of our revenues for the periods shown:
		Three Months Ended Sept.30,						Nine Months Ended Sept.30,
		2014			2013			2014			2013
	US-based IT OEM		50	%		17	%		41	%		22	%
	US-based construction company		7	%		37	%		12	%		23	%
	Washington DC transportation agency		1	%		10	%		1	%		29	%

Supplemental_Balance_Sheet_Inf1

Supplemental Balance Sheet Information (Tables)	9 Months Ended
	Sep. 30, 2014
Balance Sheet Related Disclosures [Abstract]	'
Receivables	'
	Contract and other receivables consist of the following (in ‘000’s):
		September 30,		December 31,
		2014		2013
	Contract and other receivables	$	5,960	$	8,432
	Allowance for doubtful accounts		-34		-22
		$	5,926	$	8,410
Inventories	'
	We state inventories at the lower of cost or market, using the first-in-first-out-method (in ‘000’s):
		September 30,		December 31,
		2014		2013
	Work in process	$	36	$	46
	Raw materials		127		176
	Less: Reserve		-2		-5
	Inventories, net	$	161	$	217
Goodwill and Intangible Assets	'
	Goodwill and Intangible Assets consist of the following (in ‘000’s):
		September 30, 2014				December 31, 2013
		Gross				Gross
		Carrying		Accumulated		Carrying		Accumulated
		Amount		Amortization		Amount		Amortization
	Intangible assets not subject to amortization:
	Goodwill	$	1,907		-	$	1,907		-
	Trade name	$	60		-	$	60		-
	Intangible assets subject to amortization:
	Customer relationships	$	906	$	-123	$	906	$	-55
	Acquired software	$	234	$	-64	$	234	$	-29

Notes_Payable_Tables

Notes Payable (Tables)	9 Months Ended
	Sep. 30, 2014
Notes Payable [Abstract]	'
Schedule of Long-Term Debt	'
	The balance of the notes payable at September 30, 2014 and December 31, 2013 were as follows:
		September 30,		December 31,
		2014		2013
	Convertible, unsecured promissory note, due 2015 (4.0%), net	$	732,843	$	859,843
	Less: current portion, net		157,843		137,000
	Convertible notes payable, long-term, net	$	575,000	$	722,843
Schedule of Principal Repayments	'
	Future repayments on the notes payable at September 30, 2014 are as follows:
	2014	$	20,000
	2015		172,843
	2016		550,000
	Total	$	732,843

Net_Loss_PerShare_Tables

Net Loss Per-Share (Tables)	9 Months Ended
	Sep. 30, 2014
Earnings Per Share [Abstract]	'
Schedule of Earnings Per Share, Basic and Diluted	'
	The following table sets forth the computation of basic and diluted net loss per share (in thousands except per share amounts):
		Three Months Ended Sept. 30,				Nine Months Ended Sept 30,
		2014		2013		2014		2013
	Numerator:
	Net loss	$	-366	$	-1,019	$	-2,560	$	-2,007
	Denominator:
	Weighted-average shares of common stock outstanding		15,075		14,411		14,935		14,513
	Dilutive effect of employee stock options and restricted stock awards		-		-		-		-
	Weighted-average shares for diluted net loss per share		15,075		14,411		14,935		14,513
	Basic & diluted net loss per share	$	-0.02	$	-0.07	$	-0.17	$	-0.14
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	'
	The calculation of diluted net loss per share excludes some shares of common stock issuable upon exercise of employee stock options because their inclusion in the calculation would have been anti-dilutive.
		Three Months Ended Sept 30,				Nine Months Ended Sept. 30,
		2014		2013		2014		2013
	Common stock equivalents excluded from calculation because effect would have been anti-dilutive		2,307		2,561		2,409		2,561

Significant_Accounting_Policie3

Significant Accounting Policies - Additional Information (Detail)	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
US Based IT OEM Manufacturer	'	'
Concentration Risk [Line Items]	'	'
Entity Wide Revenue Major Customer Accounts Receivable Percentage	69.00%	27.00%
US Based Construction Company	'	'
Concentration Risk [Line Items]	'	'
Entity Wide Revenue Major Customer Accounts Receivable Percentage	3.00%	41.00%
US Based Retailer Company	'	'
Concentration Risk [Line Items]	'	'
Entity Wide Revenue Major Customer Accounts Receivable Percentage	10.00%	8.00%

Significant_Percentage_of_Our_

Significant Percentage of Our Revenues (Detail)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
US Based IT OEM Manufacturer	'	'	'	'
Concentration Risk [Line Items]	'	'	'	'
Concentration Risk, Percentage	50.00%	17.00%	41.00%	22.00%
US Based Construction Company	'	'	'	'
Concentration Risk [Line Items]	'	'	'	'
Concentration Risk, Percentage	7.00%	37.00%	12.00%	23.00%
Washington DC Transportation Agency	'	'	'	'
Concentration Risk [Line Items]	'	'	'	'
Concentration Risk, Percentage	1.00%	10.00%	1.00%	29.00%

Supplemental_Balance_Sheet_Inf2

Supplemental Balance Sheet Information - Additional Information (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Condensed Balance Sheet Statements, Captions [Line Items]	'	'	'	'
Amortization of Intangible Assets	$35,000	$35,000	$103,000	$84,000

Receivables_Detail

Receivables (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Condensed Balance Sheet Statements, Captions [Line Items]	'	'
Contract and other receivables	$5,960	$8,432
Allowance for doubtful accounts	-34	-22
Receivables, Net, Current	$5,926	$8,410

Inventories_Detail

Inventories (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Inventory [Line Items]	'	'
Work in process	$36	$46
Raw materials	127	176
Less: Reserve	-2	-5
Inventories, net	$161	$217

Goodwill_and_Intangible_Assets

Goodwill and Intangible Assets (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Goodwill	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	$1,907	$1,907
Accumulated Amortization	0	0
Trade name	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	60	60
Accumulated Amortization	0	0
Customer relationships	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	906	906
Accumulated Amortization	-123	-55
Acquired software	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	234	234
Accumulated Amortization	($64)	($29)

Credit_Facility_Additional_Inf

Credit Facility - Additional Information (Detail) (USD $)	9 Months Ended		9 Months Ended	3 Months Ended	9 Months Ended	3 Months Ended	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2014	Sep. 30, 2014	Sep. 30, 2014	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
		Line of Credit	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Credit Facility	Credit Facility
				Maximum	Maximum	Minimum	Minimum	Minimum
Line of Credit Facility [Line Items]	'	'	'	'	'	'	'	'
Line of credit facility, maximum borrowing capacity	$6,000,000	$2,780,000	'	'	'	'	'	'
Credit facility borrowing base, percentage of eligible accounts receivable	'	'	80.00%	'	'	'	'	'
Line of credit facility, interest rate description	'	'	'Borrowings under the facility bear interest at (1) the greater of (a) the prime rate published by Bridge, which was 3.25% at September 30, 2014 or (b) 3.25%, plus (2) 2% per annum.	'	'	'	'	'
Line of credit facility, commitment fee amount	30,000	'	'	'	'	'	'	'
Line of credit facility asset coverage ratio	'	'	'	'	1.5	'	1	'
Expenses related to line of credit	200,000	'	'	'	'	'	'	'
Amortization expense	'	'	'	19,000	58,000	19,000	'	28,000
line of credit facility, remaining borrowing capacity	'	$526,000	'	'	'	'	'	'

Notes_Payable_Additional_Infor

Notes Payable - Additional Information (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Disclosure - Notes Payable - Additional Information [Line Items]	'	'	'	'	'
Debt instrument, Interest rate, Stated percentage	4.00%	'	4.00%	'	'
Debt instrument, convertible, Conversion price	$7.50	'	$7.50	'	'
Percentage of charge for late payment on convertible notes payable	5.00%	'	5.00%	'	'
Debt instrument, unamortized discount	$42,000	'	$42,000	'	'
Debt instrument, Face amount	775,000	'	775,000	'	'
Debt instrument, payment terms	'	'	'the promissory note from July 1, 2015 to January 1, 2016. Under the amended payment schedule, the Company will make two quarterly principal payments of $25,000 on October 1, 2014 and January 1, 2015. Thereafter, the Company will make monthly principal payments of $25,000 to Mr. Gallagher for a seven month period beginning on February 1, 2015 and ending on July 1, 2015. The Company will also make an additional principal payment of $25,000 on or before October 1, 2015. The remaining outstanding balance is due on January 1, 2016.	'	'
Convertible Notes Payable	'	'	'	'	'
Disclosure - Notes Payable - Additional Information [Line Items]	'	'	'	'	'
Debt Instrument unamortized debt discount	42,000	'	42,000	'	90,000
Interest expense, debt	$16,000	$20,000	$48,000	$29,000	'

Notes_Payable_Detail

Notes Payable (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Long Term Debt Disclosure [Line Items]	'	'
Convertible, unsecured promissory note, due 2015 (4.0%), net	$732,843	$859,843
Less: current portion, net	157,843	137,000
Convertible notes payable, long-term, net	$575,000	$722,843

Notes_Payable_Detail_1

Notes Payable (Detail 1) (USD $)	Sep. 30, 2014
2014	$20,000
2015	172,843
2016	550,000
Total	$732,843

Computation_of_Basic_and_Dilut

Computation of Basic and Diluted Net Loss Per Share (Detail) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Numerator:	'	'	'	'
Net loss	($366)	($1,019)	($2,560)	($2,007)
Denominator:	'	'	'	'
Weighted-average shares of common stock outstanding	15,075	14,411	14,935	14,513
Dilutive effect of employee stock options and restricted stock awards	$0	$0	$0	$0
Weighted-average shares for diluted net loss per share	15,075	14,411	14,935	14,513
Basic & diluted net loss per share	($0.02)	($0.07)	($0.17)	($0.14)

Calculation_of_Diluted_Net_Los

Calculation of Diluted Net Loss Per Share (Detail)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'
Common stock equivalents excluded from calculation because effect would have been anti-dilutive	2,307	2,561	2,409	2,561

Related_Party_Transactions_Add

Related Party Transactions - Additional Information (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Related Party Transaction [Line Items]	'	'	'	'
Lease expiration date	'	'	31-Jul-16	'
Annual lease, rate	$69,000	$69,000	$138,000	$208,000
Debt instrument, Face amount	775,000	'	775,000	'
Debt instrument, Interest rate, Stated percentage	4.00%	'	4.00%	'
Debt instrument, Periodic payment, interest	8,000	'	24,000	'
Debt instrument, Periodic payment, Principal	$25,000	'	$175,000	'
Equity method investment, Ownership percentage	50.00%	'	50.00%	'