Diligent (DIL) 10-Q 19 May 14 2013 Q2 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	6 Months Ended
	Jun. 30, 2013	11-May-14
Document Information [Line Items]	'	'
Entity Registrant Name	'Diligent Board Member Services, Inc.	'
Entity Central Index Key	'0001433269	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Accelerated Filer	'
Trading Symbol	'DIL	'
Entity Common Stock, Shares Outstanding	'	86,556,610
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	30-Jun-13	'
Document Fiscal Period Focus	'Q2	'
Document Fiscal Year Focus	'2013	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Jun. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$34,033	$33,311
Short-term Investments	4,998	103
Accounts receivable, net	1,809	1,542
Deferred commissions	1,918	2,081
Prepaid expenses and other current assets	1,366	899
Deferred tax assets	3,981	3,939
Total current assets	48,105	41,875
Property and equipment, net	5,287	3,913
Deferred tax assets	2,258	1,532
Security deposits	747	225
Other non-current assets	'	167
Total assets	56,397	47,712
Current liabilities:	'	'
Accounts payable	1,384	222
Accrued expenses and other liabilities	5,253	4,964
Income taxes payable	386	1,391
Deferred revenue	18,268	16,972
Obligations under capital leases	837	702
Total current liabilities	26,128	24,251
Non-current liabilities:	'	'
Deferred revenue, less current portion	8,508	6,964
Obligations under capital leases, less current portion	1,194	237
Deferred tax liabilities	31	31
Other non-current liabilities	91	272
Total non-current liabilities	9,824	7,504
Total liabilities	35,952	31,755
Commitments and contingencies	'	'
Redeemable preferred stock:	'	'
Series A convertible redeemable preferred stock, $.001 par value, 50,000,000 shares authorized 32,667,123 shares issued and outstanding (liquidation value $5,078)	3,247	3,233
Stockholders' equity:	'	'
Common Stock, $.001 par value, 250,000,000 shares authorized, 83,776,155 and 83,586,155 shares issued and outstanding	84	84
Additional paid-in capital	27,211	26,052
Accumulated deficit	-10,021	-13,480
Accumulated other comprehensive (loss) income	-76	68
Total stockholders' equity	17,198	12,724
Total liabilities, redeemable preferred stock and stockholders' equity	$56,397	$47,712

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets [Parenthetical] (USD $)	Jun. 30, 2013	Dec. 31, 2012
In Thousands, except Share data, unless otherwise specified
Series A convertible redeemable preferred stock, par value (in dollars per share)	$0.00	$0.00
Series A convertible redeemable preferred stock, shares authorized	50,000,000	50,000,000
Series A convertible redeemable preferred stock, shares issued	32,667,123	32,667,123
Series A convertible redeemable preferred stock, shares outstanding	32,667,123	32,667,123
Series A convertible redeemable preferred stock, liquidation value (in dollars)	$5,078	$5,078
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	83,776,155	83,586,155
Common stock, shares outstanding	83,776,155	83,586,155

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Income (USD $)	3 Months Ended	6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2013
Revenues	$15,629	$29,337
Cost of revenues (excluding depreciation and amortization)	2,999	5,772
Gross profit	12,630	23,565
Operating expenses:	'	'
Selling and marketing	2,338	4,616
General and administrative	4,596	8,292
Research and development	945	1,879
Depreciation and amortization	355	614
Special committee	712	2,344
Total operating expenses	8,946	17,745
Operating income	3,684	5,820
Other income (expense), net:	'	'
Interest income (expense), net	-26	-34
Foreign exchange transaction loss	-65	-181
Total other income (expense), net	-91	-215
Income before provision for income taxes	3,593	5,605
Income tax expense	1,364	2,146
Net income	2,229	3,459
Accrued preferred stock dividends	-89	-180
Net income attributable to common stockholders	$2,140	$3,279
Earnings per share:	'	'
Basic (in dollars per share)	$0.02	$0.03
Diluted (in dollars per share)	$0.02	$0.03
Weighted average shares outstanding:	'	'
Basic (in shares)	116,443	116,411
Diluted (in shares)	122,054	121,917

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Comprehensive Income (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Net income	$2,229	$709	$3,459	$1,317
Other comprehensive income (loss) :	'	'	'	'
Foreign exchange translation adjustment	-94	-20	-144	25
Comprehensive income	$2,135	$689	$3,315	$1,342

Condensed_Consolidated_Stateme2

Condensed Consolidated Statement of Changes in Stockholders' Equity (USD $)	Total	Common Stock $.001 Par Value	Additional Paid-in-Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)
In Thousands, unless otherwise specified
Balance at Dec. 31, 2012	$12,724	$84	$26,052	($13,480)	$68
Balance (in shares) at Dec. 31, 2012	'	83,586	'	'	'
Increase (Decrease) in Stockholders' Equity	'	'	'	'	'
Net income	3,459	'	'	3,459	'
Other comprehensive loss	-144	'	'	'	-144
Total comprehensive income	3,315	'	'	'	'
Capital contributions	240	'	240	'	'
Share-based compensation	771	'	771	'	'
Exercise of stock options	74	'	74	'	'
Exercise of stock options (in shares)	190	190	'	'	'
Excess tax benefits - stock compensation	268	'	268	'	'
Amortization of preferred stock offering costs	-14	'	-14	'	'
Accrued preferred stock dividend ($.0055 per share)	-180	'	-180	'	'
Balance at Jun. 30, 2013	$17,198	$84	$27,211	($10,021)	($76)
Balance (in shares) at Jun. 30, 2013	'	83,776	'	'	'

Condensed_Consolidated_Stateme3

Condensed Consolidated Statement of Changes in Stockholdersb Equity [Parenthetical] (USD $)	6 Months Ended
	Jun. 30, 2013
Preferred Stock, Dividends Per Share, Declared	$0.01

Condensed_Consolidated_Stateme4

Condensed Consolidated Statements of Cash Flows (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2012
Cash flows from operating activities:	'	'
Net income	$3,459	$1,317
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Deferred taxes	-769	17
Excess tax benefits realized from share-based compensation	-268	'
Depreciation and amortization	614	488
Share-based compensation	771	598
Changes in operating assets and liabilities:	'	'
Accounts receivable	-267	118
Deferred commissions	163	-99
Prepaid expenses and other assets	-301	-486
Security deposits	-521	-123
Accounts payable and accrued expenses	1,421	617
Income tax payable	-737	'
Deferred revenue	2,841	6,663
Other non-current liabilities	-108	22
Other	-2	50
Net cash provided by operating activities	6,296	9,182
Cash flows from investing activities:	'	'
Purchase of short-term investments	-4,998	'
Proceeds from maturity of short-term investments	103	'
Purchase of property and equipment	-477	-757
Net cash used in investing activities	-5,372	-757
Cash flows from financing activities:	'	'
Payment of preferred stock dividend	-120	-120
Proceeds from exercise of stock options and purchase of shares under stock purchase plan	74	28
Excess tax benefits realized from share-based compensation	268	'
Repayments of obligations under capital leases	-212	-57
Payments of obligations under software licensing agreements	-72	-72
Net cash used in financing activities	-62	-221
Effect of exchange rates on cash and cash equivalents	-140	25
Net increase in cash and cash equivalents	722	8,229
Cash and cash equivalents at beginning of period	33,311	8,931
Cash and cash equivalents at end of period	34,033	17,160
Supplemental disclosure of cash flow information:	'	'
Cash paid during the period for Interest	40	9
Cash paid during the period for Income taxes	3,698	27
Supplemental disclosure of noncash investing and financing activities:	'	'
Tender of common stock in lieu of interest payment on note receivable from shareholder	'	200
Capital contribution in lieu of preferred stock dividend	240	240
Property and equipment acquired under capital lease agreements	1,306	1,001
Accounts payable for property and equipment	211	81
Equipment maintenance costs financed	'	$225

Organization_and_nature_of_the

Organization and nature of the business	6 Months Ended
	Jun. 30, 2013
Organization, Consolidation and Presentation Of Financial Statements [Abstract]	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	'
	1)                                     Organization and nature of the business
	Diligent Board Member Services, Inc. (“Diligent” or the “Company”) is a global leader in web-based portals for Boards of Directors.  The Company develops and sells an online software application called Diligent Boardbooks®, a web-based portal that board members, management and administrative staff use to compile, update, review and archive board materials during and after board meetings.  Diligent provides clients with subscription-based access to the software and also provides associated services including securely hosting the clients’ data, and customer service and support for the application.
	The Company was incorporated in the State of Delaware on September 27, 2007 and is listed on the New Zealand Stock Exchange (“NZSX”).  On December 12, 2007, the Company completed an offshore public offering in connection with its listing on the NZSX.  The Company’s corporate headquarters are located in New York, New York.
	The Company has a wholly-owned subsidiary located in New Zealand, Diligent Board Member Services NZ Limited (“DBMS NZ”), which provides research and development services for the Company.  The Company has a wholly-owned subsidiary in the United Kingdom, Diligent Boardbooks Limited (“DBL”) and a wholly-owned subsidiary in Australia, Diligent Board Services Australia Pty Ltd. (“DBA”), which provide sales, marketing and customer support services in their respective regions.  The Company’s Singapore subsidiary, Diligent APAC Board Services Pte. Ltd.  (“APAC”) provides sales support in the Asia-Pacific region.  At the end of 2012, Diligent formed a subsidiary in Hong Kong to support its Asia-Pacific sales and marketing, which has had no operations to date.
	The Company’s  condensed  consolidated financial statements are presented in U.S. dollars, which is the Company’s functional and reporting currency.

Restatement_of_Condensed_Conso

Restatement of Condensed Consolidated Financial Statements	6 Months Ended
	Jun. 30, 2013
Accounting Changes and Error Corrections [Abstract]	'
Accounting Changes and Error Corrections [Text Block]	'
	2)                                     Restatement of Condensed Consolidated Financial Statements
	On April 7, 2014, Diligent filed Amendment No. 2 to the Company’s Annual Report on Form 10-K/A for the fiscal year ended December 31, 2012 (the “10-K Amendment”) and Amendment No. 1 to the Company’s Quarterly Report on Form 10-Q/A for the three months ended March 31, 2013 (the “10-Q Amendment”) with the SEC. The 10-K Amendment and the 10-Q Amendment contain restated financial information for the fiscal years ended December 31, 2012 and 2011, the quarterly periods within such fiscal years and the quarterly period ended March 31, 2013.    Each of the errors identified in the restatement are discussed in more detail below, and tables are included illustrating the impact of those errors on the Company’s previously issued interim condensed consolidated financial statements for the three and six months ended June 30, 2012.
	We have concluded that revenue recognition of our subscription fees for our Diligent Boardbooks service should commence on the date the service is made available to the customer, as determined by the date the customer has full access to the product.  Our historical practice was to consider the contract date to be the service commencement date, and to begin revenue recognition as of the beginning of the month in which the contract date falls. We have corrected recognition of revenue to prorate revenue on a daily basis starting on the date at which access is provided, which is generally later than the contract date.  Additionally, we have concluded that installation fees charged for initial set-up of our product and training should be recognized ratably over the expected life of the customer relationship, which is estimated to be nine years, rather than over the initial contract period, generally one year, as had been our historical practice.  The effect of correcting these two errors was to reduce previously reported revenue and increase previously reported deferred revenue by $1.3 million and $2.4 million for the three and six months ended June 30, 2012, respectively.
	The Company previously recorded sales commissions earned by account managers by recognizing them immediately in the period earned. In order to more appropriately match expenses with the related revenue and to be consistent with how the Company recognizes commissions for its sales staff, the Company has changed the method of  recognizing commission expense for account management personnel, by amortizing  commissions over the related contract period, generally twelve months. The effect of correcting this error decreased commissions by $90.1 thousand and $247.4 thousand for the three and six months ended June 30, 2012, respectively. In addition, the Company historically netted deferred commissions against accrued expense. They are now presented as a separate line item on the condensed consolidated balance sheet as “Deferred Commissions”.
	The Company has historically not collected state sales tax on the sale of its subscription service. The Company has determined that it should have collected sales tax in certain states and may also have exposure in several other states, accordingly, the Company has recorded a provision of $117.5 thousand and $235 thousand in general and administrative costs and accrued expense for the three and six months ended June 30, 2012, respectively. The resulting cumulative provision as of June 30, 2013 related to the uncollected sales tax is $1.1 million. We intend to start collecting and remitting sales tax in certain states in 2014.
	In addition, we made corrections to accrued liabilities to record expenses in the proper periods, corrected the recording of the capital contribution for the waiver of the preferred stock dividends and made other adjustments and presentation corrections discovered in connection with the restatement.
	The changes in the Company’s income before provision for income taxes resulting from the adjustments discussed in the above paragraphs also impacted the provision for income taxes throughout each of the periods subject to restatement.  In addition, we made corrections to our provision for income taxes for each of the periods subject to the restatement to correct for errors in the calculation of our NOL limitation under Section 382 of the Internal Revenue Code, state tax apportionment factors, uncertain tax positions and other tax matters.  Accordingly, throughout each of the periods subject to restatement, we have restated our income tax provision and related deferred tax assets and liabilities.
	The basic earnings per share calculation has been corrected as the weighted average shares outstanding used to compute basic earnings per share has historically excluded the convertible preferred stock outstanding.  The preferred stockholders are entitled to participate on an “as converted” basis in any dividend on the Company’s common stock, and as such are considered participating securities to which earnings should be allocated.  The preferred stock should have been considered in the calculation of earnings per share using the two-class method in periods in which the Company had net income.
	Additionally, we have corrected the accounting for an equipment and software lease that was entered into in the first quarter of 2013 but initially recorded in the fourth quarter of 2012, and an internal use software license arrangement entered into in the third quarter of 2011.
	The following is a reconciliation of the previously reported condensed consolidated statements of income, and the statement of cash flow amounts to the restated amounts.
	Condensed Consolidated Statement of Income
	(in thousands, except per share amounts)
	Three Months Ended June 30, 2012
		As
		Previously						As
		Reported			Adjustments			Restated
	Revenues	$	10,118		$	(1,253	)	$	8,865
	Cost of revenues (excluding depreciation and amortization)	2,428			(90		)	2,338
	Gross profit	7,690			(1,163		)	6,527
	Operating expenses:
	Selling and marketing	2,079			(27		)	2,052
	General and administrative	2,606			118			2,724
	Research and development	579			—			579
	Depreciation and amortization	268			(4		)	264
	Total operating expenses	5,532			87			5,619
	Operating income	2,158			(1,250		)	908
	Other income (expense), net:
	Interest income, net	52			(5		)	47
	Foreign exchange transaction loss	(20		)	—			(20		)
	Total other income, net	32			(5		)	27
	Income before provision for income taxes	2,190			(1,255		)	935
	Income tax expense	732			(506		)	226
	Net income	$	1,458		$	(749	)	$	709
	Accrued preferrred stock dividends	(89		)	—			(89		)
	Net income attributable to common stockholders	$	1,369		$	(749	)	$	620
	Earnings per share:
	Basic	$	0.02		$	(0.01	)	$	0.01
	Diluted	$	0.01		$	—		$	0.01
	Weighted average shares outstanding:
	Basic	81,880			32,667			114,547
	Diluted	118,993			1,094			120,087
	Condensed Consolidated Statement of Income
	(in thousands, except per share amounts)
	Six Months Ended June 30, 2012
		As
		Previously						As
		Reported			Adjustments			Restated
	Revenues	$	18,333		$	(2,387	)	$	15,946
	Cost of revenues (excluding depreciation and amortization)	4,593			(248		)	4,345
	Gross profit	13,740			(2,139		)	11,601
	Operating expenses:
	Selling and marketing	4,017			(23		)	3,994
	General and administrative	4,116			285			4,401
	Research and development	1,054			—			1,054
	Depreciation and amortization	496			(8		)	488
	Total operating expenses	9,683			254			9,937
	Operating income	4,057			(2,393		)	1,664
	Other income (expense), net:
	Interest income, net	100			(10		)	90
	Foreign exchange transaction loss	(15		)	—			(15		)
	Total other income, net	85			(10		)	75
	Income before provision for income taxes	4,142			(2,403		)	1,739
	Income tax expense	785			(363		)	422
Net income	$	3,357		$	(2,040	)	$	1,317
Accrued preferrred stock dividends	(180		)	—			(180		)
Net income attributable to common stockholders	$	3,177		$	(2,040	)	$	1,137
Earnings per share:
Basic	$	0.04		$	(0.03	)	$	0.01
Diluted	$	0.03		$	(0.02	)	$	0.01
Weighted average shares outstanding:
Basic	81,843			32,667			114,510
Diluted	119,037			1,306			120,343
Condensed Consolidated Statement of Cash Flows
(in thousands)
Six Months Ended June 30, 2012
	As Previously						As
	Reported			Adjustments			Restated
Cash flows from operating activities:
Net income	$	3,357		$	(2,040	)	$	1,317
Adjustments to reconcile net income to net cash provided by operating activities:
Deferred taxes	59			(42		)	17
Depreciation and amortization	496			(8		)	488
Share-based compensation	598			—			598
Changes in operating assets and liabilities:
Accounts receivable	(25		)	143			118
Deferred commissions	—			(99		)	(99		)
Prepaid expenses and other assets	(485		)	(1		)	(486		)
Security deposits	(123		)	—			(123		)
Accounts payable and accrued expenses	876			(259		)	617
Deferred revenue	4,418			2,245			6,663
Other	11			61			72
Net cash provided by operating activities	9,182			—			9,182
Cash flows from investing activities:
Purchases of property and equipment	(757		)	—			(757		)
Net cash used in investing activities	(757		)	—			(757		)
Cash flows from financing activities:
Payment of preferred stock dividend	(120		)	—			(120		)
Proceeds from exercise of stock options and purchase of shares under stock purchase plan	28			—			28
Repayments of obligations under capital leases	(57		)	—			(57		)
Payments of obligations under software licensing agreements	(72		)	—			(72		)
Net cash used in financing activities	(221		)	—			(221		)
Effect of exchange rates on cash and cash equivalents	25			—			25
Net increase in cash and cash equivalents	8,229			—			8,229
Cash and cash equivalents at beginning of period	8,931			—			8,931
Cash and cash equivalents at end of period	17,160			—			17,160
Supplemental disclosure of cash flow information:
Cash paid during the period for :
Interest	$	9		$	—		$	9
Income taxes	$	27		$	—		$	27
Supplemental disclosure of noncash investing and financing activities:
Tender of common stock in lieu of interest payment on note receivable from shareholder	$	200		$	—		$	200
Capital contribution in lieu of preferred stock dividend	$	—		$	240		$	240
Property and equipment acquired under capital lease agreements	$	1,001		$	—		$	1,001
Accounts payable for property and equipment	$	81		$	—		$	81
Equipment maintenance costs financed	$	225		$	—		$	225

Special_Committee

Special Committee	6 Months Ended
	Jun. 30, 2013
Special Committee [Abstract]	'
Special Committee Disclosure [Text Block]	'
	3)                                     Special Committee
	In December 2012, the Board of Directors of the Company appointed a Special Committee of independent directors to examine certain of Diligent’s past stock issuances and stock option grants that may not have been issued in compliance with the relevant stock option and incentive plans. The Special Committee’s members were not on the Board at the time of the issuance of such grants, were not involved in their issue, and are not the recipients of any option grants. The Special Committee was delegated broad powers from the Board to take all such action in respect of the issuances as it deemed necessary and advisable.
	The Special Committee, assisted by attorneys in the U.S. and New Zealand, conducted a thorough review and analysis of all stock issuances and stock option grants during the relevant period.  As discussed in Notes 8 and 10, the Special Committee found that three option awards exceeded the applicable plan caps on the number of shares covered by an award issued to a single recipient in a particular year. The Special Committee was delegated the authority to develop appropriate alternative compensation packages for the affected employees.  These awards were determined by the Board to be reasonable compensation at the time, and were an important incentive component of the employees’ compensation packages.
	As part of its work, the Special Committee also reviewed the Company’s compliance with applicable regulations, including U.S. and New Zealand securities regulations and the NZSX Listing Rules. The Special Committee identified a number of instances where it appears that Diligent was not, or may not have been, in compliance with its U.S. and New Zealand regulatory obligations.
	The Special Committee determined that these instances of non-compliance were inadvertent and attributable in part to the constrained resources of Diligent in a period of financial difficulty in the years following its listing on NZSX, and the complex regulatory and compliance obligations across multiple jurisdictions with differing regulations and requirements. It has recommended, and the Board fully endorses, that the Company work with its regulators to resolve these issues.  It is possible that while Diligent seeks to work constructively with the regulators, that fines or penalties for non-compliance could be imposed (see Note 10 — Subsequent Events).
	Costs for the Special Committee for the six months ended June 30, 2013 were $2.3 million, with an additional $0.3 million incurred in the fourth quarter of 2012.  Included in Special Committee expenses are professional fees incurred for legal, accounting and compensation consultants, estimated NZX penalties and compensation paid to Special Committee members. During the second quarter of 2013, the Special Committee was disbanded and the Company is in the process of implementing the recommendations of the Special Committee to remediate the compliance and internal control weaknesses identified.

Significant_accounting_policie

Significant accounting policies	6 Months Ended
	Jun. 30, 2013
Accounting Policies [Abstract]	'
Significant Accounting Policies [Text Block]	'
	4)                                     Significant accounting policies
	Basis of presentation— The accompanying interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information pursuant to the rules and regulations of the SEC.  Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to SEC rules. These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the 10-K Amendment.
	In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the financial statements.  The results of operations for the three and six months ended June 30, 2013 are not necessarily indicative of the results to be expected for the full year.
	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. Significant estimates and assumptions made by management include the deferral and recognition of revenue, the fair value of share-based compensation, accounting for income taxes, including the realization of deferred tax assets and uncertain tax positions, and the useful lives of tangible and intangible assets. Actual results could differ from those estimates.
	Principles of consolidation — The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries.  All significant intercompany balances and transactions have been eliminated.
	Cash and cash equivalents — The Company considers all highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents.  The Company invests its excess cash primarily in bank and money market funds of major financial institutions.  Accordingly, its cash equivalents are subject to minimal credit and market risk.
	Short-term investments — Short-term investments consist of U.S. treasury bills with original maturities of more than three months at the time of purchase and term deposits with banks, with maturities greater than three months at inception.
	Fair value of financial instruments — The fair value of the Company’s accounts receivable, accounts payable and accrued expenses and other liabilities approximates book value due to their short term settlements.
	Revenue recognition — The Company derives its revenues primarily from subscription fees and installation fees, including training. The Company sells subscriptions to its cloud-based application that are generally one year in length. Its arrangements do not include a general right of return and automatically renew unless the Company is notified 30 days prior to the expiration of the initial term. The Company’s subscription agreements do not provide the customer the right to take possession of the software that supports the application. Installation fees consist of the configuration of the Company’s service and training of its customers.
	Revenue recognition commences when all of the following conditions are met:
	·  There is persuasive evidence of the arrangement;
	·  The service has been made available to the customer;
	·  The fee is fixed or determinable; and
	·  The collectability of the fees is reasonably assured.
	In October 2009, the Financial Accounting Standards Board, or FASB, ratified authoritative accounting guidance regarding revenue recognition for arrangements with multiple deliverables effective for fiscal periods beginning on or after June 15, 2010. The guidance affects the determination of separate units of accounting in arrangements with multiple deliverables. To qualify as a separate unit of accounting, the delivered item must have value to the customer on a standalone basis. The Company has determined that the installation fee does not have standalone value, so accordingly, it accounts for its arrangements as a single unit of accounting.
	Revenue from the Company’s subscription service is recognized on a daily basis over the subscription term as the services are delivered. The service is considered delivered, and hence revenue recognition commences, when the customer has access to the Diligent Boardbooks product. Revenue is recorded ratably through the end of the contract period, which is generally twelve months from the contract date.
	Installation fees paid by customers in connection with the subscription service are deferred and are recognized ratably over the expected life of the customer relationships, generally nine years. In estimating the expected customer relationship period, the Company looked to guidance on the determination of the useful life of an intangible asset for the appropriate factors to be considered in estimating expected customer life and specifically focused on its customer renewal rate. The Company’s customer contracts contain a standard “autorenew” feature which provides for one-year renewals unless either party provides written notice of termination. In addition, the Company’s renewal history with its customers has been and remains at very high rates. As a result, the Company believes that its customers will renew numerous times during their tenure with the Company and consequently have a very low annual attrition rate. After considering these factors, the Company determined that a nine year estimated customer life was appropriate.
	Deferred Revenue— Deferred revenue represents installation and subscription fees for which cash has been received but for which the Company has not yet delivered its services or the criteria for the recognition of revenue have not yet been met.  Deferred revenues presented in the consolidated balance sheet do not include amounts receivable (both billed and unbilled) for executed subscription agreements for which the Company has not yet received payment.  Accordingly, the deferred revenue balance does not represent the total contract value of annual, non-cancelable subscription agreements.
	Long term deferred revenue consists of installation fees that will be recognized over the estimated life of the customer relationship, generally nine years.  Installation fees expected to be recognized within the next 12 months of the balance sheet date are included in the current portion of deferred revenue.
	Accounts receivable — The Company generally invoices its customers on an annual or quarterly basis.  Accounts receivable represents amounts due from our customers for which revenue has been recognized.    A provision for doubtful accounts is recorded based on management’s assessment of amounts considered uncollectable for specific customers based on age of the receivable, history of payments and other relevant information.  At each of June 30, 2013 and December 31, 2012, the Company has recorded a provision for doubtful accounts of $100 thousand.
	Research and development— Research and development expenses are incurred as the Company upgrades and maintains the Diligent Boardbooks software, and develops product enhancements.  Such expenses include compensation and employee benefits of engineering and testing personnel, materials, travel and direct costs associated with the design and required testing of the product line.  The Company does not allocate indirect overhead to research and development. Direct development costs related to software enhancements that add functionality have been expensed as incurred as the Company has not historically maintained sufficiently detailed records of its development efforts to be able to capitalize such costs.
	Share-based compensation— The Company measures the cost of employee services received in exchange for an equity-based award using the fair value of the award on the date of the grant, and recognizes the cost over the period that the award recipient is required to provide services to the Company in exchange for the award.  The fair value of restricted stock units is estimated using the market price of the Company’s common stock at the date of grant and we recognize compensation expense for the portion of the award that is expected to vest.
	The Company measures compensation cost for awards granted to non-employees based on the fair value of the award at the measurement date, which is the date performance is satisfied or services are rendered by the non-employee.
	Earnings per share — Basic earnings per share is computed by dividing the net income attributable to common stockholders, after deducting accrued preferred stock dividends, by the weighted average number of common and preferred shares outstanding for the period.  The preferred stockholders are entitled to participate on an “as converted” basis in any dividend on the Company’s common stock, and as such are considered participating securities to which earnings should be allocated using the two-class method.
	Diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock, unless the effect is anti-dilutive.  All stock options and convertible redeemable preferred stock were included as potential dilutive securities for all periods applicable.
	The computation of shares used in calculating basic and diluted earnings per common share are as follows:
		Three months ended June 30,		Six months ended June 30,
		2013	2012	2013	2012
		(in thousands)
	Basic weighted average common shares outstanding	83,776	81,880	83,744	81,843
	Basic weighted average preferred shares outstanding	32,667	32,667	32,667	32,667
	Basic weighted average shares outstanding	116,443	114,547	116,411	114,510
	Dilutive effect of stock options	5,604	5,540	5,503	5,833
	Dilutive effect of restricted stock units	7	—	3	—
	Dilutive weighted average shares outstanding	122,054	120,087	121,917	120,343
	Recent accounting pronouncements — In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income”, which requires disclosure of significant amounts reclassified out of accumulated other comprehensive income by component and their corresponding effect on the respective line items of net income. This guidance was effective for the Company as of January 1, 2013 and did not have a material impact on the Company’s consolidated financial statements.
	From time to time, new accounting pronouncements are issued by the FASB and are adopted by the Company as of the specified effective date. Unless otherwise discussed, the impact of other recently issued accounting pronouncements are not expected to have a material impact on the consolidated financial position, results of operations, and cash flows, or do not apply to the Company’s operations.

Obligations_Under_Capital_Leas

Obligations Under Capital Leases	6 Months Ended
	Jun. 30, 2013
Leases, Capital [Abstract]	'
Capital Leases in Financial Statements of Lessee Disclosure [Text Block]	'
	5)                                    Obligations Under Capital Leases
	During the first quarter of 2013 the Company entered into two capital leases for computer equipment which mature in February 2016.  The leases have a total obligation of $1.3 million and bear interest rates of 5.449% and 3.804%, with monthly payments of $28 thousand and $14 thousand, respectively.

Fair_Value_of_Financial_Instru

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2013
Fair Value Disclosures [Abstract]	'
Fair Value Disclosures [Text Block]	'
	6)                                    Fair Value of Financial Instruments
	The fair value of a financial instrument is the amount at which the instrument could be exchanged in an orderly transaction between market participants. As of June 30, 2013 and December 31, 2012, the carrying amounts of cash and cash equivalents, accounts receivables, accounts payable and accrued expenses and other liabilities approximated fair value due to the short-term nature of these instruments. ASC 820, Fair Value Measurements and Disclosures, establishes a fair value hierarchy for input into valuation techniques as follows:
	i.                                         Level 1 input - unadjusted quoted prices in active markets for identical instrument;
	ii.                                     Level 2 input - observable market data for the same or similar instrument but not Level 1, including quoted prices for identical or similar assets or liabilities in markets that are active or not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and
	iii.                                  Level 3 input - unobservable inputs developed using management’s assumptions about the inputs used for pricing the asset or liability.
	Level 2 inputs were utilized to determine the fair value of the Company’s investments in U.S. treasury bills, U.S treasury money market funds, and term deposits.  Due to the short-term nature of these investments, which mature between 90 days and 365 days, amortized cost is used to estimate the fair value.
	At June 30, 2013, cash equivalents include investments in U.S. treasury bill of $9 million and U.S. treasury money markets of $18 million, which are carried at cost, which approximates fair value. The fair value of money market funds was determined by reference to quoted market prices.  At June 30, 2013 short-term investments include investments in U.S. treasury bills of $5 million, which are carried at cost which approximates fair value.
	At December 31, 2012, cash equivalents include investments in U.S. treasury bills of $11 million and U.S. treasury money market funds of $13 million.  At December 31, 2012, the Company had a term deposit, included in short-term investments with a New Zealand bank with an initial term of 365 days. The term deposit in the amount of NZ$125 thousand (US$103 thousand) matured on March 15, 2013.

Redeemable_Preferred_Stock

Redeemable Preferred Stock	6 Months Ended
	Jun. 30, 2013
Redeemable Preferred Stock Disclosure [Abstract]	'
Redeemable Preferred Stock Disclosures [Text Block]	'
	7)                                     Redeemable Preferred Stock
	On March 11, 2009, the Company issued 30 million shares of Series A Preferred Stock at $0.10 per share in a private offering, for aggregate gross proceeds of $3.0 million.  Expenses relating to the preferred stock issuance were $139 thousand.
	The carrying value of the Preferred Stock at June 30, 2013 and December 31, 2012 is as follows:
		June 30,			December 31,
		2013			2012
		(in thousands)
	Gross proceeds	$	3,000		$	3,000
	Less: Issuance costs	(139		)	(139		)
		2,861			2,861
	Dividends paid by issuance of paid-in-kind shares	267			267
	Cumulative amortization of issuance costs	119			105
	Carrying value	$	3,247		$	3,233
	The Preferred Stock carries a fixed, cumulative, dividend of 11% per annum (adjusted for stock splits, consolidation, etc.).  The dividend, which is due on the first business day of each calendar year for the prior year, may (at the Company’s option) be paid either in cash or in kind by the issuance of additional Preferred Stock (paid-in-kind Shares), to be issued at the same issue price as the Series A Preferred Stock of $0.10 per share.  The 11% annual dividend on the Preferred Stock will have preference over the declaration or payment of any dividends on the Company’s common stock.  In addition to the 11% preferred dividend, the holders of the Preferred Stock will also be entitled to participate pro rata in any dividend paid on the Company’s common stock.
	In 2013, the Company anticipates that accumulated unpaid dividends will be paid in cash on the Series A Preferred Stock.  Accordingly, preferred stock dividends of $180 thousand for the six months ended June 30, 2013 are included in accrued expenses.
	Spring Street Partners, L.P., a holder of the Series A Preferred Stock, waived its right to the preferred stock dividend payable on January 1, 2013 of $240 thousand.  This was recorded as a capital contribution in 2013 when waived. The founder and managing partner of Spring Street Partners, L.P. is also the Chairman of the Board of Directors of the Company and the holder of 4.2 million shares of common stock of the Company.

Stock_option_and_incentive_pla

Stock option and incentive plan	6 Months Ended
	Jun. 30, 2013
Stock Option and Incentive Plan [Abstract]	'
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	'
	8)                                     Stock option and incentive plan
	As discussed in Note 3, in December of 2012 the Company’s Board of Directors authorized a Special Committee of independent directors to conduct a review of certain of the Company’s past stock issuances and stock option grants to determine whether they were in accordance with the relevant incentive plans.  The Special Committee found that three option awards exceeded the applicable plan caps on the number of shares covered by an award issued to a single recipient in a particular year. Specifically, a 2009 award to the chief executive officer exceeded the cap in the 2007 Plan by 1.6 million shares, a 2011 award to the chief executive officer exceeded the cap in the 2010 Plan by 2.5 million shares, and a 2011 award to another employee exceeded the cap in the 2010 Plan by 250 thousand shares.
	In May 2013, the Company and the Company’s CEO entered into a Replacement Grant Agreement providing for the cancellation of certain stock options and the issuance of a replacement award, which was to become effective upon the occurrence of certain future events.
	On May 3, 2013, the Board of Directors adopted the Diligent Board Member Services, Inc. 2013 Incentive Plan (the “Plan”), which was approved by the Company’s stockholders in June 2013.  An aggregate of 8.5 million shares of the Company’s common stock may be issued pursuant to the Plan to employees, directors and consultants of the Company and its affiliates. Of the shares available under the Plan, 4.1 million will be utilized in connection with the replacement incentive awards issued in accordance with the CEO Substitute Remuneration Package (see Note 11, Subsequent events).  Upon approval of the 2013 Plan the Company discontinued the use of the Company’s 2007 Stock Option and Incentive Plan and the 2010 Stock Option and Incentive Plan.
	Awards under the Plan may be made in the form of stock options (which may constitute incentive stock options or nonqualified stock options), share appreciation rights, restricted shares, restricted share units, performance awards, bonus shares and other awards.  In addition, certain awards under the Plan may be denominated or settled in cash, including performance awards.
	The Board and the Company’s stockholders have approved a remuneration package for non-executive directors for the 2013 and subsequent fiscal years (the “New Remuneration Package”). The New Remuneration Package consists of both a cash component, designed to compensate members for their service on the Board and its Committees, and an equity component. The total value of the New Remuneration Package for standard board service is $130 thousand per annum, $50 thousand of which will be payable in cash.
	The Company’s non-executive directors, other than the chairman of the Board, will receive a stock grant for 2013 service with a total value of $80 thousand, which will be paid to such non-executive directors in equal installments at the end of each quarter of the calendar year. As of June 30, 2013 no shares have been issued to the non-executive directors as their issuance has been deferred until the earlier of the date on which the Company files a Registration Statement on Form S-8 with the Securities and Exchange Commission and March 15, 2014. On March 14, 2014, the Company issued 86.5 thousand restricted shares to its  directors based on the volume weighted average trading price of the Company’s common stock on its primary trading market for the 20 trading days immediately prior to such date. The grant for 2013 service was pro-rated for any director who served on the Board for less than the full calendar year.
	On June 12, 2013, the Company entered into an agreement with respect to the options for 250 thousand shares issued to the other employee in excess of the applicable plan cap, providing for the cancellation of the 250 thousand options, the extension of the vesting schedule for the remaining nonvested options over a four and a half year period, and the issuance of 150 thousand Restricted Stock Units, with graded vesting over four and a half years.  The modification of this award resulted in additional expense of $66 thousand, which will be recognized on a graded basis through December 2017.
	The information below includes the stock options subject to cancellation because they are outstanding at June 30, 2013 (see Note 11, Subsequent events).
	A summary of stock option activity for the quarter ended June 30, 2013 is as follows:
		Options		Weighted		Weighted average
				average		remaining
				exercise price		contractual term
		(in thousands)
	Outstanding at January 1, 2013	8,318		$	0.85	7.82 years
	Granted	360		6.2
	Exercised	(190	)	0.39
	Cancelled	(250	)	0.46
	Forfeited	—
	Outstanding at June 30, 2013	8,238		$	1.1	7.44 years
	Exercisable at June 30, 2013	3,753		$	0.23	6.30 years
	Restricted Stock Units - As noted above, in June 2013, the Company agreed to issue 150,000 Restricted Stock Units (“RSUs”) as replacement compensation for the 250,000 stock options issued to an employee of the Company in excess of the 2010 Plan cap. In June 2013, the shareholders of the Company approved the 2013 Plan, under which the Company had agreed to issue 164,000 RSUs to two officers, which vest 25% per year over the next four years, as long as the officers remain in the employ of the Company on each vesting date. The fair market value of the stock on the date of issuance of the RSUs was $5.38 per share. A summary of RSU activity is as follows:
		Restricted Stock Units		Weighted Average Grant Date Fair
		(in thousands)		Value Per Share
	Nonvested January 1, 2013	—		—
	Granted	314		$	5.38
	Vested	—		—
	Forfeited	—		—
	Nonvested June 30, 2013	314		$	5.38
	The Company estimates the fair value of the RSUs as of the grant date utilizing the closing price of our common stock on that date.
	Total share-based compensation expense recognized for the three and six months ended June 30, 2013 was $319 thousand and $661 thousand, respectively. Total share-based compensation expense recognized for the three and six months ended June 30, 2012 was $376 thousand and $598 thousand, respectively.  At June 30, 2013 there was $4.4 million of unrecognized share-based compensation expense which includes $3.4 million for stock option and $952 thousand for RSUs.  Such amount does not include any impact of the CEO Substitute Remuneration Package.

Income_taxes

Income taxes	6 Months Ended
	Jun. 30, 2013
Income Taxes [Abstract]	'
Income Tax Disclosure [Text Block]	'
	9)                                     Income taxes
	Income tax expense is provided on an interim basis based upon management’s estimate of the annual effective tax rate.  The income tax provision for the three and six months ended June 30, 2013 provides income taxes at an effective rate of 38%. The effective rate in 2012 of 24% was significantly lower due to the expected utilization of approximately $5.3 million of net operating loss carryforwards against which the Company had previously recorded a valuation allowance, as discussed further below.
	Section 382 of the U.S. Internal Revenue Code generally imposes an annual limitation on the amount of net operating loss carryforwards that can be used to offset taxable income when a corporation has undergone significant changes in stock ownership.  During the second quarter of 2012, the Company completed its Section 382 study and determined that, due to changes in stock ownership in prior years, certain of its net operating loss carryforwards would be limited.  This limitation resulted in $5.3 million of net operating loss carryforwards being available to offset taxable income in 2012. Beginning in 2013, the Company’s annual net operating loss carryforward is subject to a limitation of approximately $350 thousand to offset expected taxable income until expiration of the carryforwards.  Based on this limitation, the Company expects that approximately $4.9 million of its total net operating loss will expire unutilized in 2029.  A full valuation allowance had previously been provided on the related deferred tax asset, and therefore the deferred tax asset and valuation allowance relating to the net operating loss carryforwards expected to expire unutilized were written off.
	The Company and its subsidiaries are subject to regular audits by federal, state and foreign tax authorities.  These audits may result in additional tax liabilities.  The Company’s U.S. federal and state income tax returns for the tax years 2010 and forward are open for examination by the taxing jurisdictions. The Company’s foreign income tax returns are open for examination by the local taxing jurisdictions for the following years: New Zealand — 2009 and forward; U.K. — 2010 and forward; Australia — 2012.

Contingencies

Contingencies	6 Months Ended
	Jun. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'
Contingencies	'
	10)                              Contingencies
	Sales tax risk - States and some local taxing jurisdictions have differing rules and regulations governing sales and use taxes, and these rules and regulations are subject to varying interpretations that may change over time. In particular, the applicability of sales taxes to our subscription services in various jurisdictions is unclear. The Company has recorded a provision related to uncollected sales tax of $183 thousand and $366 thousand in general and administrative costs and accrued expense for the three and six months ended June 30, 2013, respectively. The resulting cumulative provisions as of June 30, 2013, related to uncollected sales tax is $1.1 million. It is possible that we could face sales tax audits and that our liability for these taxes could exceed our estimates as state tax authorities could still assert that we are obligated to collect additional amounts as taxes from our customers and remit those taxes to those authorities. We could also be subject to audits with respect to states and international jurisdictions for which we have not accrued tax liabilities. A successful assertion that we should be collecting additional sales or other taxes on our services in jurisdictions where we have not historically done so and do not accrue for sales taxes could result in substantial tax liabilities for past sales, discourage customers from purchasing our application or otherwise harm our business and operating results.

Subsequent_events

Subsequent events	6 Months Ended
	Jun. 30, 2013
Subsequent Events [Abstract]	'
Subsequent Events [Text Block]	'
	11)                              Subsequent events
	CEO Substitute Remuneration Package.
	On December 23, 2013, the Company and the Company’s chief executive officer entered into an Amendment to Replacement Grant Agreement which finalized the terms of the incentive compensation package provided to the Company’s CEO in substitution for certain awards that would be cancelled, as described in Note 8.
	Under the terms of the Amendment to Replacement Grant Agreement, on December 23, 2013 (the “Grant Date”) the CEO’s fully vested option to purchase 2.4 million shares of the Company’s common stock for an exercise price of US$0.14 per share was cancelled to the extent it was in excess of the applicable plan cap, consisting of 1.6 million of such shares.  In exchange for the cancellation of the relevant portion of the award, the CEO received:
	·                  An option to purchase 1.6 million shares of common stock having an exercise price of US$2.79, which was the Company’s closing price per share expressed in U.S. dollars on the last trading day on the NZSX immediately prior to the Grant Date (the “Exercise Price”) of December 23, 2013. The option vested on December 31, 2013, and will have a term of ten years from the Grant Date.
	·                  A performance cash award of US$4.2 million, determined based on 1.6 million multiplied by the excess of the Exercise Price of US$2.79 over US$0.14.   The CEO’s right to receive such cash award is contingent on the Company achieving revenue growth of at least 7% during the twelve month period ended June 30, 2014 and his continued employment through such date.  Any cash award, once earned, will be paid in three equal annual installments in 2014, 2015 and 2016, or, if earlier, upon a change in control of the Company or the CEO’s separation from service.  Any payment due on any installment date will be proportionally reduced if the sum of the Company’s stock price plus dividends for a measurement period prior to each payment date falls below 75% of the Exercise Price.
	In addition, the CEO held an option to purchase 3 million shares of the Company’s common stock for an exercise price of US$0.82 per share, which remains subject to vesting.  Under the terms of the Amendment to Replacement Grant Agreement, the Company cancelled the portion of such option in excess of the applicable plan cap, consisting of 2.5 million of such shares. In exchange for the cancellation of the relevant portion of the award, the CEO received:
	·                  Performance share units for 2.25 million shares of common stock contingent on the Company achieving revenue growth of at least 7% during the twelve month period ended June 30, 2014.  For purposes of clarification, performance share units in this context are units of common stock issued to the CEO upon satisfaction of the performance criteria outlined herein.  Once earned, the award will vest in four equal installments based on continued employment, commencing June 30, 2015, with full vesting occurring on June 30, 2018.  The delivery dates for the vested performance shares will be 50% in 2018 and 50% in 2019 or, if earlier, on a change in control of the Company or the CEO’s separation from service.
	·                  Performance share units for up to 250 thousand shares of common stock contingent on the Company achieving either at least 15% fully diluted EPS growth (adjusted to exclude stock-based compensation expense and extraordinary items) or 15% total stockholder return (“TSR”) growth in four one-year measurement periods beginning April 1, 2013.  TSR growth will be measured based on the Company’s stock price performance during the 20 trading days prior to the relevant measurement date.  Performance share units for 62.5 thousand shares of common stock will be earned in each year for which the applicable target is met, with the additional opportunity to earn such shares at the end of the four year performance period if the cumulative fully diluted EPS growth or TSR growth meet the cumulative performance target.  The delivery dates for the vested performance shares will be in 2018 or, if earlier, upon a change in control of the Company or the CEO’s separation from service.
	The vesting of the options, performance cash award and performance stock units described above will be subject to certain acceleration provisions in the event of a change in control of the Company, upon death or disability or if the CEO is terminated without cause or resigns for good reason.
	The Company expects to record compensation expense of $2.9 million in the second half of 2013 relating to the replacement award.  The replacement award is expected to result in compensation cost of $3.1 million in 2014, $0.7 million in 2015, $0.4 million in 2016, $0.2 million in 2017 and $0.1 million in 2018.
	NZSX Listing Rules Settlement.
	On September 6, 2013 New Zealand Daylight Time, the Company issued an announcement relating to the approval by the NZ Markets Disciplinary Tribunal of a settlement reached by the Company and the New Zealand Stock Exchange regarding the previously disclosed breaches of the NZSX Listing Rules by the Company. The settlement provided for the payment of fines and costs by the Company, consisting of NZ$15 thousand as a penalty to the NZX Discipline Fund and NZ$4 thousand towards the costs of NZXR.
	Audit Committee Investigation
	On July 2, 2013 the Audit Committee of the Board of Directors engaged outside company counsel to investigate the accounting errors that gave rise to the need to restate the Company’s financial statements, as well as other historical accounting practices impacting the timing of recognition of revenue. In connection with the investigation, it was determined that the Company included in its financial results certain customer agreements that, while having an effective date within a quarter, had not been signed by all parties within the quarter, as would be required to commence revenue recognition under US GAAP. The early inclusion of such contracts did not have a material impact on previously reported revenue for fiscal quarters including the first quarter of 2010 through the first quarter of 2013.  The Audit Committee investigation resulted in no finding of intentional misconduct or fraud.

Significant_accounting_policie1

Significant accounting policies (Policies)	6 Months Ended
	Jun. 30, 2013
Accounting Policies [Abstract]	'
Basis Of Presentation [Policy Text Block]	'
	Basis of presentation— The accompanying interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information pursuant to the rules and regulations of the SEC.  Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to SEC rules. These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the 10-K Amendment.
	In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the financial statements.  The results of operations for the three and six months ended June 30, 2013 are not necessarily indicative of the results to be expected for the full year.
	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. Significant estimates and assumptions made by management include the deferral and recognition of revenue, the fair value of share-based compensation, accounting for income taxes, including the realization of deferred tax assets and uncertain tax positions, and the useful lives of tangible and intangible assets. Actual results could differ from those estimates.
Consolidation, Policy [Policy Text Block]	'
	Principles of consolidation — The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries.  All significant intercompany balances and transactions have been eliminated.
Cash and Cash Equivalents, Policy [Policy Text Block]	'
	Cash and cash equivalents — The Company considers all highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents.  The Company invests its excess cash primarily in bank and money market funds of major financial institutions.  Accordingly, its cash equivalents are subject to minimal credit and market risk.
Term Deposits Policy [Policy Text Block]	'
	Short-term investments — Short-term investments consist of U.S. treasury bills with original maturities of more than three months at the time of purchase and term deposits with banks, with maturities greater than three months at inception.
Fair Value of Financial Instruments, Policy [Policy Text Block]	'
	Fair value of financial instruments — The fair value of the Company’s accounts receivable, accounts payable and accrued expenses and other liabilities approximates book value due to their short term settlements.
Revenue Recognition, Policy [Policy Text Block]	'
	Revenue recognition — The Company derives its revenues primarily from subscription fees and installation fees, including training. The Company sells subscriptions to its cloud-based application that are generally one year in length. Its arrangements do not include a general right of return and automatically renew unless the Company is notified 30 days prior to the expiration of the initial term. The Company’s subscription agreements do not provide the customer the right to take possession of the software that supports the application. Installation fees consist of the configuration of the Company’s service and training of its customers.
	Revenue recognition commences when all of the following conditions are met:
	·  There is persuasive evidence of the arrangement;
	·  The service has been made available to the customer;
	·  The fee is fixed or determinable; and
	·  The collectability of the fees is reasonably assured.
	In October 2009, the Financial Accounting Standards Board, or FASB, ratified authoritative accounting guidance regarding revenue recognition for arrangements with multiple deliverables effective for fiscal periods beginning on or after June 15, 2010. The guidance affects the determination of separate units of accounting in arrangements with multiple deliverables. To qualify as a separate unit of accounting, the delivered item must have value to the customer on a standalone basis. The Company has determined that the installation fee does not have standalone value, so accordingly, it accounts for its arrangements as a single unit of accounting.
	Revenue from the Company’s subscription service is recognized on a daily basis over the subscription term as the services are delivered. The service is considered delivered, and hence revenue recognition commences, when the customer has access to the Diligent Boardbooks product. Revenue is recorded ratably through the end of the contract period, which is generally twelve months from the contract date.
	Installation fees paid by customers in connection with the subscription service are deferred and are recognized ratably over the expected life of the customer relationships, generally nine years. In estimating the expected customer relationship period, the Company looked to guidance on the determination of the useful life of an intangible asset for the appropriate factors to be considered in estimating expected customer life and specifically focused on its customer renewal rate. The Company’s customer contracts contain a standard “autorenew” feature which provides for one-year renewals unless either party provides written notice of termination. In addition, the Company’s renewal history with its customers has been and remains at very high rates. As a result, the Company believes that its customers will renew numerous times during their tenure with the Company and consequently have a very low annual attrition rate. After considering these factors, the Company determined that a nine year estimated customer life was appropriate.
Revenue Recognition, Deferred Revenue [Policy Text Block]	'
	Deferred Revenue— Deferred revenue represents installation and subscription fees for which cash has been received but for which the Company has not yet delivered its services or the criteria for the recognition of revenue have not yet been met.  Deferred revenues presented in the consolidated balance sheet do not include amounts receivable (both billed and unbilled) for executed subscription agreements for which the Company has not yet received payment.  Accordingly, the deferred revenue balance does not represent the total contract value of annual, non-cancelable subscription agreements.
	Long term deferred revenue consists of installation fees that will be recognized over the estimated life of the customer relationship, generally nine years.  Installation fees expected to be recognized within the next 12 months of the balance sheet date are included in the current portion of deferred revenue.
Trade and Other Accounts Receivable, Policy [Policy Text Block]	'
	Accounts receivable — The Company generally invoices its customers on an annual or quarterly basis.  Accounts receivable represents amounts due from our customers for which revenue has been recognized.    A provision for doubtful accounts is recorded based on management’s assessment of amounts considered uncollectable for specific customers based on age of the receivable, history of payments and other relevant information.  At each of June 30, 2013 and December 31, 2012, the Company has recorded a provision for doubtful accounts of $100 thousand.
Research and Development Expense, Policy [Policy Text Block]	'
	Research and development— Research and development expenses are incurred as the Company upgrades and maintains the Diligent Boardbooks software, and develops product enhancements.  Such expenses include compensation and employee benefits of engineering and testing personnel, materials, travel and direct costs associated with the design and required testing of the product line.  The Company does not allocate indirect overhead to research and development. Direct development costs related to software enhancements that add functionality have been expensed as incurred as the Company has not historically maintained sufficiently detailed records of its development efforts to be able to capitalize such costs.
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]	'
	Share-based compensation— The Company measures the cost of employee services received in exchange for an equity-based award using the fair value of the award on the date of the grant, and recognizes the cost over the period that the award recipient is required to provide services to the Company in exchange for the award.  The fair value of restricted stock units is estimated using the market price of the Company’s common stock at the date of grant and we recognize compensation expense for the portion of the award that is expected to vest.
	The Company measures compensation cost for awards granted to non-employees based on the fair value of the award at the measurement date, which is the date performance is satisfied or services are rendered by the non-employee.
Earnings Per Share, Policy [Policy Text Block]	'
	Earnings per share — Basic earnings per share is computed by dividing the net income attributable to common stockholders, after deducting accrued preferred stock dividends, by the weighted average number of common and preferred shares outstanding for the period.  The preferred stockholders are entitled to participate on an “as converted” basis in any dividend on the Company’s common stock, and as such are considered participating securities to which earnings should be allocated using the two-class method.
	Diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock, unless the effect is anti-dilutive.  All stock options and convertible redeemable preferred stock were included as potential dilutive securities for all periods applicable.
	The computation of shares used in calculating basic and diluted earnings per common share are as follows:
		Three months ended June 30,		Six months ended June 30,
		2013	2012	2013	2012
		(in thousands)
	Basic weighted average common shares outstanding	83,776	81,880	83,744	81,843
	Basic weighted average preferred shares outstanding	32,667	32,667	32,667	32,667
	Basic weighted average shares outstanding	116,443	114,547	116,411	114,510
	Dilutive effect of stock options	5,604	5,540	5,503	5,833
	Dilutive effect of restricted stock units	7	—	3	—
	Dilutive weighted average shares outstanding	122,054	120,087	121,917	120,343
New Accounting Pronouncements Policy [Policy Text Block]	'
	Recent accounting pronouncements — In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income”, which requires disclosure of significant amounts reclassified out of accumulated other comprehensive income by component and their corresponding effect on the respective line items of net income. This guidance was effective for the Company as of January 1, 2013 and did not have a material impact on the Company’s consolidated financial statements.
	From time to time, new accounting pronouncements are issued by the FASB and are adopted by the Company as of the specified effective date. Unless otherwise discussed, the impact of other recently issued accounting pronouncements are not expected to have a material impact on the consolidated financial position, results of operations, and cash flows, or do not apply to the Company’s operations.

Restatement_of_Condensed_Conso1

Restatement of Condensed Consolidated Financial Statements (Tables)	6 Months Ended
	Jun. 30, 2013
Accounting Changes and Error Corrections [Abstract]	'
Schedule of Error Corrections and Prior Period Adjustments to Consolidated Statement of Operations [Table Text Block]	'
	Condensed Consolidated Statement of Income
	(in thousands, except per share amounts)
	Three Months Ended June 30, 2012
		As
		Previously						As
		Reported			Adjustments			Restated
	Revenues	$	10,118		$	(1,253	)	$	8,865
	Cost of revenues (excluding depreciation and amortization)	2,428			(90		)	2,338
	Gross profit	7,690			(1,163		)	6,527
	Operating expenses:
	Selling and marketing	2,079			(27		)	2,052
	General and administrative	2,606			118			2,724
	Research and development	579			—			579
	Depreciation and amortization	268			(4		)	264
	Total operating expenses	5,532			87			5,619
	Operating income	2,158			(1,250		)	908
	Other income (expense), net:
	Interest income, net	52			(5		)	47
	Foreign exchange transaction loss	(20		)	—			(20		)
	Total other income, net	32			(5		)	27
	Income before provision for income taxes	2,190			(1,255		)	935
	Income tax expense	732			(506		)	226
	Net income	$	1,458		$	(749	)	$	709
	Accrued preferrred stock dividends	(89		)	—			(89		)
	Net income attributable to common stockholders	$	1,369		$	(749	)	$	620
	Earnings per share:
	Basic	$	0.02		$	(0.01	)	$	0.01
	Diluted	$	0.01		$	—		$	0.01
	Weighted average shares outstanding:
	Basic	81,880			32,667			114,547
	Diluted	118,993			1,094			120,087
	Condensed Consolidated Statement of Income
	(in thousands, except per share amounts)
	Six Months Ended June 30, 2012
		As
		Previously						As
		Reported			Adjustments			Restated
	Revenues	$	18,333		$	(2,387	)	$	15,946
	Cost of revenues (excluding depreciation and amortization)	4,593			(248		)	4,345
	Gross profit	13,740			(2,139		)	11,601
	Operating expenses:
	Selling and marketing	4,017			(23		)	3,994
	General and administrative	4,116			285			4,401
	Research and development	1,054			—			1,054
	Depreciation and amortization	496			(8		)	488
	Total operating expenses	9,683			254			9,937
	Operating income	4,057			(2,393		)	1,664
	Other income (expense), net:
	Interest income, net	100			(10		)	90
	Foreign exchange transaction loss	(15		)	—			(15		)
	Total other income, net	85			(10		)	75
	Income before provision for income taxes	4,142			(2,403		)	1,739
	Income tax expense	785			(363		)	422
	Net income	$	3,357		$	(2,040	)	$	1,317
	Accrued preferrred stock dividends	(180		)	—			(180		)
	Net income attributable to common stockholders	$	3,177		$	(2,040	)	$	1,137
	Earnings per share:
	Basic	$	0.04		$	(0.03	)	$	0.01
	Diluted	$	0.03		$	(0.02	)	$	0.01
	Weighted average shares outstanding:
	Basic	81,843			32,667			114,510
	Diluted	119,037			1,306			120,343
Schedule of Error Corrections and Prior Period Adjustments to Consolidated Statements of Cash Flows [Table Text Block]	'
	Condensed Consolidated Statement of Cash Flows
	(in thousands)
	Six Months Ended June 30, 2012
		As Previously						As
		Reported			Adjustments			Restated
	Cash flows from operating activities:
	Net income	$	3,357		$	(2,040	)	$	1,317
	Adjustments to reconcile net income to net cash provided by operating activities:
	Deferred taxes	59			(42		)	17
	Depreciation and amortization	496			(8		)	488
	Share-based compensation	598			—			598
	Changes in operating assets and liabilities:
	Accounts receivable	(25		)	143			118
	Deferred commissions	—			(99		)	(99		)
	Prepaid expenses and other assets	(485		)	(1		)	(486		)
	Security deposits	(123		)	—			(123		)
	Accounts payable and accrued expenses	876			(259		)	617
	Deferred revenue	4,418			2,245			6,663
	Other	11			61			72
	Net cash provided by operating activities	9,182			—			9,182
	Cash flows from investing activities:
	Purchases of property and equipment	(757		)	—			(757		)
	Net cash used in investing activities	(757		)	—			(757		)
	Cash flows from financing activities:
	Payment of preferred stock dividend	(120		)	—			(120		)
	Proceeds from exercise of stock options and purchase of shares under stock purchase plan	28			—			28
	Repayments of obligations under capital leases	(57		)	—			(57		)
	Payments of obligations under software licensing agreements	(72		)	—			(72		)
	Net cash used in financing activities	(221		)	—			(221		)
	Effect of exchange rates on cash and cash equivalents	25			—			25
	Net increase in cash and cash equivalents	8,229			—			8,229
	Cash and cash equivalents at beginning of period	8,931			—			8,931
	Cash and cash equivalents at end of period	17,160			—			17,160
	Supplemental disclosure of cash flow information:
	Cash paid during the period for :
	Interest	$	9		$	—		$	9
	Income taxes	$	27		$	—		$	27
	Supplemental disclosure of noncash investing and financing activities:
	Tender of common stock in lieu of interest payment on note receivable from shareholder	$	200		$	—		$	200
	Capital contribution in lieu of preferred stock dividend	$	—		$	240		$	240
	Property and equipment acquired under capital lease agreements	$	1,001		$	—		$	1,001
	Accounts payable for property and equipment	$	81		$	—		$	81
	Equipment maintenance costs financed	$	225		$	—		$	225

Significant_accounting_policie2

Significant accounting policies (Tables)	6 Months Ended
	Jun. 30, 2013
Accounting Policies [Abstract]	'
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	'
		Three months ended June 30,		Six months ended June 30,
		2013	2012	2013	2012
		(in thousands)
	Basic weighted average common shares outstanding	83,776	81,880	83,744	81,843
	Basic weighted average preferred shares outstanding	32,667	32,667	32,667	32,667
	Basic weighted average shares outstanding	116,443	114,547	116,411	114,510
	Dilutive effect of stock options	5,604	5,540	5,503	5,833
	Dilutive effect of restricted stock units	7	—	3	—
	Dilutive weighted average shares outstanding	122,054	120,087	121,917	120,343

Redeemable_Preferred_Stock_Tab

Redeemable Preferred Stock (Tables)	6 Months Ended
	Jun. 30, 2013
Redeemable Preferred Stock Disclosure [Abstract]	'
Schedule Of Preferred Shares [Table Text Block]	'
		June 30,			December 31,
		2013			2012
		(in thousands)
	Gross proceeds	$	3,000		$	3,000
	Less: Issuance costs	(139		)	(139		)
		2,861			2,861
	Dividends paid by issuance of paid-in-kind shares	267			267
	Cumulative amortization of issuance costs	119			105
	Carrying value	$	3,247		$	3,233

Stock_option_and_incentive_pla1

Stock option and incentive plan (Tables)	6 Months Ended
	Jun. 30, 2013
Stock Option and Incentive Plan [Abstract]	'
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	'
		Options		Weighted		Weighted average
				average		remaining
				exercise price		contractual term
		(in thousands)
	Outstanding at January 1, 2013	8,318		$	0.85	7.82 years
	Granted	360		6.2
	Exercised	(190	)	0.39
	Cancelled	(250	)	0.46
	Forfeited	—
	Outstanding at June 30, 2013	8,238		$	1.1	7.44 years
	Exercisable at June 30, 2013	3,753		$	0.23	6.30 years
Summary of RSU	'
		Restricted Stock Units		Weighted Average Grant Date Fair
		(in thousands)		Value Per Share
	Nonvested January 1, 2013	—		—
	Granted	314		$	5.38
	Vested	—		—
	Forfeited	—		—
	Nonvested June 30, 2013	314		$	5.38

Restatement_of_Condensed_Conso2

Restatement of Condensed Consolidated Financial Statements (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Revenues	$15,629	$8,865	$29,337	$15,946
Cost of revenues (excluding depreciation and amortization)	2,999	2,338	5,772	4,345
Gross profit	12,630	6,527	23,565	11,601
Operating expenses:	'	'	'	'
Selling and marketing	2,338	2,052	4,616	3,994
General and administrative	4,596	2,724	8,292	4,401
Research and development	945	579	1,879	1,054
Depreciation and amortization	355	264	614	488
Total operating expenses	8,946	5,619	17,745	9,937
Operating income	3,684	908	5,820	1,664
Other income (expense), net:	'	'	'	'
Interest income, net	-26	47	-34	90
Foreign exchange transaction loss	-65	-20	-181	-15
Total other income, net	-91	27	-215	75
Income before provision for income taxes	3,593	935	5,605	1,739
Income tax expense	1,364	226	2,146	422
Net income	2,229	709	3,459	1,317
Accrued preferred stock dividends	-89	-89	-180	-180
Net income available to common stockholders	2,140	620	3,279	1,137
Earnings per share:	'	'	'	'
Basic (in dollars per share)	$0.02	$0.01	$0.03	$0.01
Diluted (in dollars per share)	$0.02	$0.01	$0.03	$0.01
Weighted average shares outstanding:	'	'	'	'
Basic (in shares)	116,443	114,547	116,411	114,510
Diluted (in shares)	122,054	120,087	121,917	120,343
Scenario, Previously Reported [Member]	'	'	'	'
Revenues	'	10,118	'	18,333
Cost of revenues (excluding depreciation and amortization)	'	2,428	'	4,593
Gross profit	'	7,690	'	13,740
Operating expenses:	'	'	'	'
Selling and marketing	'	2,079	'	4,017
General and administrative	'	2,606	'	4,116
Research and development	'	579	'	1,054
Depreciation and amortization	'	268	'	496
Total operating expenses	'	5,532	'	9,683
Operating income	'	2,158	'	4,057
Other income (expense), net:	'	'	'	'
Interest income, net	'	52	'	100
Foreign exchange transaction loss	'	-20	'	-15
Total other income, net	'	32	'	85
Income before provision for income taxes	'	2,190	'	4,142
Income tax expense	'	732	'	785
Net income	'	1,458	'	3,357
Accrued preferred stock dividends	'	-89	'	-180
Net income available to common stockholders	'	1,369	'	3,177
Earnings per share:	'	'	'	'
Basic (in dollars per share)	'	$0.02	'	$0.04
Diluted (in dollars per share)	'	$0.01	'	$0.03
Weighted average shares outstanding:	'	'	'	'
Basic (in shares)	'	81,880	'	81,843
Diluted (in shares)	'	118,993	'	119,037
Restatement Adjustment [Member]	'	'	'	'
Revenues	'	-1,253	'	-2,387
Cost of revenues (excluding depreciation and amortization)	'	-90	'	-248
Gross profit	'	-1,163	'	-2,139
Operating expenses:	'	'	'	'
Selling and marketing	'	-27	'	-23
General and administrative	'	118	'	285
Depreciation and amortization	'	-4	'	-8
Total operating expenses	'	87	'	254
Operating income	'	-1,250	'	-2,393
Other income (expense), net:	'	'	'	'
Interest income, net	'	-5	'	-10
Total other income, net	'	-5	'	-10
Income before provision for income taxes	'	-1,255	'	-2,403
Income tax expense	'	-506	'	-363
Net income	'	-749	'	-2,040
Net income available to common stockholders	'	($749)	'	($2,040)
Earnings per share:	'	'	'	'
Basic (in dollars per share)	'	($0.01)	'	($0.03)
Diluted (in dollars per share)	'	'	'	($0.02)
Weighted average shares outstanding:	'	'	'	'
Basic (in shares)	'	32,667	'	32,667
Diluted (in shares)	'	1,094	'	1,306

Restatement_of_Condensed_Conso3

Restatement of Condensed Consolidated Financial Statements (Details 1) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Cash flows from operating activities:	'	'	'	'
Net income	$2,229	$709	$3,459	$1,317
Adjustments to reconcile net income to net cash provided by operating activities:	'	'	'	'
Deferred taxes	'	'	-769	17
Depreciation and amortization	'	'	614	488
Share-based compensation	'	'	771	598
Changes in operating assets and liabilities:	'	'	'	'
Accounts receivable	'	'	-267	118
Deferred commissions	'	'	163	-99
Prepaid expenses and other assets	'	'	-301	-486
Security deposits	'	'	-521	-123
Accounts payable and accrued expenses	'	'	1,421	617
Deferred revenue	'	'	2,841	6,663
Other	'	'	-2	50
Net cash provided by operating activities	'	'	6,296	9,182
Cash flows from investing activities:	'	'	'	'
Purchase of property and equipment	'	'	-477	-757
Net cash used in investing activities	'	'	-5,372	-757
Cash flows from financing activities:	'	'	'	'
Payment of preferred stock dividend	'	'	-120	-120
Proceeds from exercise of stock options and purchase of shares under stock purchase plan	'	'	74	28
Repayments of obligations under capital leases	'	'	-212	-57
Payments of obligations under software licensing agreements	'	'	-72	-72
Net cash used in financing activities	'	'	-62	-221
Effect of exchange rates on cash and cash equivalents	'	'	-140	25
Net increase in cash and cash equivalents	'	'	722	8,229
Cash and cash equivalents at beginning of period	'	'	33,311	8,931
Cash and cash equivalents at end of period	34,033	17,160	34,033	17,160
Supplemental disclosure of cash flow information:	'	'	'	'
Cash paid during the period for Interest	'	'	40	9
Cash paid during the period for Income taxes	'	'	3,698	27
Supplemental disclosure of noncash investing and financing activities:	'	'	'	'
Tender of common stock in lieu of interest payment on note receivable from shareholder	'	'	'	200
Capital Contribution In Lieu Of Preferred Stock Dividend	'	'	240	240
Property and equipment acquired under capital lease agreements	'	'	1,306	1,001
Accounts payable for property and equipment	'	'	211	81
Equipment maintenance costs financed	'	'	'	225
Scenario, Previously Reported [Member]	'	'	'	'
Cash flows from operating activities:	'	'	'	'
Net income	'	1,458	'	3,357
Adjustments to reconcile net income to net cash provided by operating activities:	'	'	'	'
Deferred taxes	'	'	'	59
Depreciation and amortization	'	'	'	496
Share-based compensation	'	'	'	598
Changes in operating assets and liabilities:	'	'	'	'
Accounts receivable	'	'	'	-25
Prepaid expenses and other assets	'	'	'	-485
Security deposits	'	'	'	-123
Accounts payable and accrued expenses	'	'	'	876
Deferred revenue	'	'	'	4,418
Other	'	'	'	11
Net cash provided by operating activities	'	'	'	9,182
Cash flows from investing activities:	'	'	'	'
Purchase of property and equipment	'	'	'	-757
Net cash used in investing activities	'	'	'	-757
Cash flows from financing activities:	'	'	'	'
Payment of preferred stock dividend	'	'	'	-120
Proceeds from exercise of stock options and purchase of shares under stock purchase plan	'	'	'	28
Repayments of obligations under capital leases	'	'	'	-57
Payments of obligations under software licensing agreements	'	'	'	-72
Net cash used in financing activities	'	'	'	-221
Effect of exchange rates on cash and cash equivalents	'	'	'	25
Net increase in cash and cash equivalents	'	'	'	8,229
Cash and cash equivalents at beginning of period	'	'	'	8,931
Cash and cash equivalents at end of period	'	17,160	'	17,160
Supplemental disclosure of cash flow information:	'	'	'	'
Cash paid during the period for Interest	'	'	'	9
Cash paid during the period for Income taxes	'	'	'	27
Supplemental disclosure of noncash investing and financing activities:	'	'	'	'
Tender of common stock in lieu of interest payment on note receivable from shareholder	'	'	'	200
Property and equipment acquired under capital lease agreements	'	'	'	1,001
Accounts payable for property and equipment	'	'	'	81
Equipment maintenance costs financed	'	'	'	225
Restatement Adjustment [Member]	'	'	'	'
Cash flows from operating activities:	'	'	'	'
Net income	'	-749	'	-2,040
Adjustments to reconcile net income to net cash provided by operating activities:	'	'	'	'
Deferred taxes	'	'	'	-42
Depreciation and amortization	'	'	'	-8
Changes in operating assets and liabilities:	'	'	'	'
Accounts receivable	'	'	'	143
Deferred commissions	'	'	'	-99
Prepaid expenses and other assets	'	'	'	-1
Accounts payable and accrued expenses	'	'	'	-259
Deferred revenue	'	'	'	2,245
Other	'	'	'	61
Supplemental disclosure of noncash investing and financing activities:	'	'	'	'
Capital Contribution In Lieu Of Preferred Stock Dividend	'	'	'	$240

Restatement_of_Condensed_Conso4

Restatement of Condensed Consolidated Financial Statements (Details Textual) (USD $)	3 Months Ended	6 Months Ended
	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Initial contract period for recognition of installation fees charged for initial set-up as historical practice	'	'1 year	'
Amortization period for commission	'	'12 months	'
Provision For State Sales Tax	$117,500	'	$235,000
Sales and Excise Tax Payable, Current	'	$1,100,000	'
Customer relationships	'	'	'
Expected life	'	'9 years	'

Special_Committee_Detail_Textu

Special Committee (Detail Textual) (USD $)	3 Months Ended	6 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2012	Jun. 30, 2013
		item
Special Committee [Abstract]	'	'
Number of option awards	'	3
Special Committee Disclosure [Line Items]	'	'
Aggregate Special Committee Expenses	$0.30	$2.30

Significant_accounting_policie3

Significant accounting policies (Details)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Schedule of Weighted Average Number of Shares [Line Items]	'	'	'	'
Basic weighted average common shares outstanding	83,776	81,880	83,744	81,843
Basic weighted average preferred shares outstanding	32,667	32,667	32,667	32,667
Basic weighted average shares outstanding	116,443	114,547	116,411	114,510
Dilutive effect of stock options	5,604	5,540	5,503	5,833
Dilutive effect of restricted stock units	7	'	3	'
Diluted weighted average shares outstanding	122,054	120,087	121,917	120,343

Significant_accounting_policie4

Significant accounting policies (Details Textual) (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012
Significant accounting policies [Line Items]	'	'
Period for revenue recognition	'12 months	'
Allowance for Doubtful Accounts Receivable	$100	$100
Customer relationships	'	'
Significant accounting policies [Line Items]	'	'
Expected life	'9 years	'

Obligations_Under_Capital_Leas1

Obligations Under Capital Leases (Details Textual) (USD $)	6 Months Ended
	Jun. 30, 2013
Hardware And Software [Member]	'
Capital Leased Assets [Line Items]	'
Capital Lease Obligations	$1,300,000
Hardware [Member]	'
Capital Leased Assets [Line Items]	'
Capital Lease Obligations, Interest Rate Percentage	5.45%
Capital Lease Obligations, Monthly Payments	28,000
Computer Software, Intangible Asset [Member]	'
Capital Leased Assets [Line Items]	'
Capital Lease Obligations, Interest Rate Percentage	3.80%
Capital Lease Obligations, Monthly Payments	$14,000

Fair_Value_of_Financial_Instru1

Fair Value of Financial Instruments (Details Textual)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2012	Jun. 30, 2013	Dec. 31, 2012	Jun. 30, 2013
		USD ($)	NZD	Cash equivalents	Cash equivalents	Short-term investments
				USD ($)	USD ($)	USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'	'	'	'	'
US Government Securities, at Carrying Value	'	$11,000,000	'	$9,000,000	$11,000,000	$5,000,000
Money Market Funds, At Carrying Value	'	13,000,000	'	18,000,000	13,000,000	'
Time Deposits, at Carrying Value	'	$103,000	125,000	'	'	'
Time Deposit Maturity (in days)	'365 days	'365 days	'365 days	'	'	'
Time Deposit Maturity Period	'March 15, 2013	'	'	'	'	'

Redeemable_Preferred_Stock_Det

Redeemable Preferred Stock (Details) (USD $)	Jun. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Schedule Of Preferred Shares [Line Items]	'	'
Gross proceeds	$3,000	$3,000
Less: Issuance costs	-139	-139
Net Proceeds Of Preferred Stock	2,861	2,861
Dividends paid by issuance of paid-in-kind shares	267	267
Cumulative amortization of issuance costs	119	105
Carrying value	$3,247	$3,233

Redeemable_Preferred_Stock_Det1

Redeemable Preferred Stock (Details Textual) (USD $)	6 Months Ended		1 Months Ended		6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2012	Jun. 30, 2013	Jun. 30, 2013	Dec. 31, 2009
			Spring Street Partners [Member]	Spring Street Partners [Member]	Series A Preferred Stock [Member]	Series A Preferred Stock [Member]
Schedule Of Preferred Shares [Line Items]	'	'	'	'	'	'
Shares issued under stock purchase plan (in shares)	'	'	'	'	'	30,000,000
Stock Issued During Period Value Per Share New Issues	'	'	'	'	'	$0.10
Shares issued under stock purchase plan	'	'	'	'	'	$3,000,000
Payments of Stock Issuance Costs	'	'	'	'	'	139,000
Preferred Stock, Dividend Rate, Percentage	11.00%	'	'	'	'	'
Dividends, Preferred Stock	'	'	'	'	180,000	'
Preferred Stock Dividend Payable Rights Waived	'	'	$240,000	'	'	'
Common stock, shares outstanding	83,776,155	83,586,155	'	4,200,000	'	'

Stock_option_and_incentive_pla2

Stock option and incentive plan (Details) (USD $)	6 Months Ended	12 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2013	Dec. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'
Options, Outstanding at January 1, 2013	8,318	'
Options, Granted	360	'
Options, Exercised	-190	'
Options, Cancelled	-250	'
Options, Outstanding at June 30, 2013	8,238	8,318
Options, Exercisable at June 30, 2013	3,753	'
Weighted average exercise price, Outstanding at January 1, 2013	$0.85	'
Weighted average exercise price, Granted	$6.20	'
Weighted average exercise price, Exercised	$0.39	'
Weighted average exercise price, Cancelled, Forfeited	$0.46	'
Weighted average exercise price, Outstanding at June 30, 2013	$1.10	$0.85
Weighted average exercise price, Exercisable at June 30, 2013	$0.23	'
Weighted average remaining contractual term, Outstanding at January 1, 2013	'7 years 5 months 8 days	'7 years 9 months 25 days
Weighted average remaining contractual term, Exercisable at June 30, 2013	'6 years 3 months 18 days	'

Stock_option_and_incentive_pla3

Stock option and incentive plan (Details 1) (USD $)	0 Months Ended	6 Months Ended
	Jun. 12, 2013	Jun. 30, 2013
Restricted Stock Units	'	'
Granted (in shares)	'	360,000
Restricted Stock Units	'	'
Restricted Stock Units	'	'
Granted (in shares)	150,000	314,000
Nonvested at the end of the period (in shares)	'	314,000
Weighted Average Grant Date Fair Value Per Share	'	'
Granted (in dollars per share)	'	$5.38
Nonvested at the end of the period (in dollars per share)	'	$5.38

Stock_option_and_incentive_pla4

Stock option and incentive plan (Details Textual) (USD $)

3 Months Ended

6 Months Ended

0 Months Ended

6 Months Ended

0 Months Ended

6 Months Ended

6 Months Ended

12 Months Ended

1 Months Ended

12 Months Ended

1 Months Ended

6 Months Ended

Jun. 30, 2013

Jun. 30, 2012

Jun. 30, 2013

Jun. 30, 2012

Jun. 30, 2013

Jun. 12, 2013

Jun. 30, 2013

Jun. 12, 2013

Jun. 30, 2013

Jun. 30, 2013

Jun. 30, 2013

Dec. 31, 2009

Dec. 31, 2011

Dec. 31, 2011

Jun. 30, 2013

Jun. 30, 2013

Jun. 30, 2013

item

Director [Member]

Options

Options

Restricted Stock Units

Restricted Stock Units

Replacement Incentive Awards [Member]

New Remuneration Package [Member]

Plan 2007 [Member]

Plan 2010 [Member]

Plan 2010 [Member]

Incentive Plan 2013 [Member]

Incentive Plan 2013 [Member]

Incentive Plan 2013 [Member]

D

Restricted Stock Units

Restricted Stock Units

Officer

Officer

item

Stock Option and Incentive Plan [Abstract]

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Number of option awards

'

'

3

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Allocated Share-based Compensation Expense

$319,000

$376,000

$661,000

$598,000

'

'

'

'

'

'

'

'

'

'

'

'

'

Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized

4,400,000

'

4,400,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Unrecognized share-based compensation expense related to stock options

'

'

'

'

'

'

3,400,000

'

'

'

'

'

'

'

'

'

'

Unrecognized share-based compensation expense related to RSUs

'

'

'

'

'

'

'

'

952,000

'

'

'

'

'

'

'

'

Share Based Compensation Award Number Of Shares Issued In Excess Of Cap

'

'

'

'

'

'

'

'

'

'

'

1,600,000

250,000

2,500,000

'

'

'

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized

'

'

'

'

'

'

'

'

'

'

'

'

'

'

8,500,000

'

'

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant

'

'

'

'

'

'

'

'

'

4,100,000

'

'

'

'

'

'

'

Officers Compensation Payable

'

'

'

'

'

'

'

'

'

'

130,000

'

'

'

'

'

'

Officers Compensation Payable Cash

'

'

'

'

'

'

'

'

'

'

50,000

'

'

'

'

'

'

Stock Granted During Period, Value, Share-based Compensation, Forfeited

'

'

'

'

'

'

'

'

'

'

80,000

'

'

'

'

'

'

Shares issued

'

'

'

'

0

'

'

'

'

'

'

'

'

'

'

'

'

Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures, Total

'

'

'

'

86,500

'

'

'

'

'

'

'

'

'

'

'

'

Number of trading days used to calculate weighted average price per share of Company common stock

'

'

'

'

20

'

'

'

'

'

'

'

'

'

'

'

'

Shares issued

'

'

360,000

'

'

250,000

'

150,000

314,000

'

'

'

'

'

'

164,000

'

Shares cancelled

'

'

250,000

'

'

250,000

'

'

'

'

'

'

'

'

'

'

'

Vesting period

'

'

'

'

'

'

'4 years 6 months

'

'4 years 6 months

'

'

'

'

'

'

'

'4 years

Additional expense

'

'

$66,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Number of officers

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

2

'

Vesting percentage

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

25.00%

Fair market value of the stock (in dollars per share)

'

'

'

'

'

'

'

'

$5.38

'

'

'

'

'

'

$5.38

'

Income_taxes_Details_Textual

Income taxes (Details Textual) (USD $)	3 Months Ended	6 Months Ended	12 Months Ended
In Millions, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2013	Dec. 31, 2012
Income Tax Disclosure [Line Items]	'	'	'
Operating Loss Carryforwards, Limitations on Use	'	'This limitation resulted in $5.3 million of net operating loss carryforwards being available to offset taxable income in 2012. Beginning in 2013, the Company's annual net operating loss carryforward is subject to a limitation of approximately $350 thousand to offset expected taxable income until expiration of the carryforwards	'
Effective Income Tax Rate, Continuing Operations	38.00%	38.00%	24.00%
Operating Loss Carryforwards, Expiration Dates1	'	'expire unutilized in 2029	'
Operating Loss Carry Forwards Utilized [Member]	'	'	'
Income Tax Disclosure [Line Items]	'	'	'
Operating Loss Carryforwards	'	'	5.3
Operating Loss Carry Forwards Write Off [Member]	'	'	'
Income Tax Disclosure [Line Items]	'	'	'
Operating Loss Carryforwards	4.9	4.9	'

Contingencies_Details_Textual

Contingencies (Details Textual) (USD $)	3 Months Ended	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'	'
Cumulative provision related to uncollected sales tax	$1,100,000	$1,100,000
Provision related to uncollected sales tax	$183,000	$366,000

Subsequent_events_Details_Text

Subsequent events (Details Textual) (USD $)	6 Months Ended
	Jun. 30, 2013
Subsequent Event [Line Items]	'
Employee Service Share-Based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized	$4,400,000
Subsequent Event [Member] | NZX Discipline Fund [Member]	'
Subsequent Event [Line Items]	'
Loss Contingency Penalty Damages Awarded Value	15,000
Subsequent Event [Member] | NZXR [Member]	'
Subsequent Event [Line Items]	'
Loss Contingency Costs Damages Awarded Value	4,000
Replacement Incentive Awards [Member] | Subsequent Event [Member] | Recognition Period Reminder Of Fiscal Year [Member]	'
Subsequent Event [Line Items]	'
Employee Service Share-Based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized	2,900,000
Replacement Incentive Awards [Member] | Subsequent Event [Member] | Recognition Period Year One [Member]	'
Subsequent Event [Line Items]	'
Employee Service Share-Based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized	3,100,000
Replacement Incentive Awards [Member] | Subsequent Event [Member] | Recognition Period Year Two [Member]	'
Subsequent Event [Line Items]	'
Employee Service Share-Based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized	700,000
Replacement Incentive Awards [Member] | Subsequent Event [Member] | Recognition Period Year Three [Member]	'
Subsequent Event [Line Items]	'
Employee Service Share-Based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized	400,000
Replacement Incentive Awards [Member] | Subsequent Event [Member] | Recognition Period Year Four [Member]	'
Subsequent Event [Line Items]	'
Employee Service Share-Based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized	200,000
Replacement Incentive Awards [Member] | Subsequent Event [Member] | Recognition Period Year Five [Member]	'
Subsequent Event [Line Items]	'
Employee Service Share-Based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized	$100,000
Replacement Grant Agreement [Member]	'
Subsequent Event [Line Items]	'
Threshold percentage of exercise price for proportionate reduction of any payment due on an installment date	75.00%
Replacement Grant Agreement [Member] | Subsequent Event [Member]	'
Subsequent Event [Line Items]	'
Share Based Compensation Arrangement By Share Based Payment Award Options Vested Subject To Cancellation Outstanding Number	2,400,000
Share Based Compensation Arrangement By Share Based Payment Award Options Vested Subject To Cancellation Outstanding Weighted Average Exercise Price	$0.14
Share Based Compensation Arrangement By Share Based Payment Award Options Maximum Vested Shares Applicable Under Plan	1,600,000
Share Based Compensation Arrangement By Share Based Payment Award Options To Be Granted In Lieu Of Cancellation	1,600,000
Performance Cash Award Description	'A performance cash award of U.S. $4.2 million, determined based on 1.6 million multiplied by the excess of the Exercise Price of U.S. $2.79 over U.S. $0.14.
Performance Cash Award Receipt Terms	'The CEOs right to receive such cash award is contingent on the Company achieving revenue growth of at least 7% during the twelve month period ended June 30, 2014
Performance Cash Award Payment Terms	'Any payment due on any installment date will be proportionally reduced if the sum of the Companys stock price plus dividends for a measurement period prior to each payment date falls below 75% of the Exercise Price.
Share Based Compensation Arrangement By Share Based Payment Award Options Expected To Vest Subject to Cancellation Outstanding Number	3,000,000
Share Based Compensation Arrangement By Share Based Payment Award Options Expected To Vest Subject To Cancellation Outstanding Weighted Average Exercise Price	$0.82
Share Based Compensation Arrangement By Share Based Payment Award Options Maximum Expected To Vest Shares Applicable Under Plan	2,500,000
Share Based Compensation Arrangement By Share Based Payment Award Performance Shares Units To Be Granted In Lieu Of Cancellation Issue One	2,250,000
Performance Share Units Minimum Revenue Growth Rate	7.00%
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights	'The delivery dates for the vested performance shares will be 50% in 2018 and 50% in 2019 or, if earlier, on a change in control of the Company or the CEOs separation from service.
Share Based Compensation Arrangement By Share Based Payment Award Performance Shares Units To Be Granted In Lieu Of Cancellation Issue Two	250,000
Performance Share Units Contingent Terms	'Performance share units for up to 250 thousand shares of common stock contingent on the Company achieving either at least 15% fully diluted EPS growth (adjusted to exclude stock-based compensation expense and extraordinary items) or 15% total stockholder return (TSR) growth in four one-year measurement periods beginning April 1, 2013. TSR growth will be measured based on the Companys stock price performance during the 20 trading days prior to the relevant measurement date.
Performance Shares To Be Earned	62,500
Performance Shares To Be Earned Contingent Terms	'Performance share units for 62.5 thousand shares of common stock will be earned in each year for which the applicable target is met, with the additional opportunity to earn such shares at the end of the four year performance period if the cumulative fully diluted EPS growth or TSR growth meet the cumulative performance target