Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | |
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Mar. 10, 2015 |
Entity Information [Line Items] | ||
Entity Registrant Name | WORKIVA INC | |
Entity Central Index Key | 1445305 | |
Document Type | 10-K | |
Document Period End Date | 31-Dec-14 | |
Document Fiscal Year Focus | 2014 | |
Amendment Flag | FALSE | |
Document Fiscal Period Focus | FY | |
Current Fiscal Year End Date | -19 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Public Float | $300.50 | |
Class A Common Stock | ||
Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 27,756,572 | |
Class B Common Stock | ||
Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 12,426,947 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets | ||
Cash and cash equivalents | $101,131 | $15,515 |
Marketable securities | 0 | 2,436 |
Accounts receivable, net of allowance for doubtful accounts of $274 and $111 in 2014 and 2013, respectively | 11,120 | 13,885 |
Deferred commissions | 852 | 301 |
Other receivables | 295 | 2,856 |
Prepaid expenses and other current assets | 3,143 | 891 |
Total current assets | 116,541 | 35,884 |
Restricted cash | 401 | 179 |
Restricted marketable securities | 0 | 2,368 |
Property and equipment, net | 46,265 | 34,715 |
Intangible assets, net | 549 | 167 |
Other assets | 795 | 631 |
Total assets | 164,551 | 73,944 |
Current liabilities | ||
Accounts payable | 3,011 | 3,993 |
Accrued expenses and other current liabilities | 16,765 | 8,939 |
Deferred revenue | 42,605 | 27,367 |
Deferred government grant obligation | 2,324 | 100 |
Current portion of capital lease and financing obligations | 1,941 | 723 |
Current portion of long-term debt | 84 | 2,303 |
Total current liabilities | 66,730 | 43,425 |
Deferred revenue | 13,671 | 9,018 |
Deferred government grant obligation | 3,424 | 5,552 |
Other long-term liabilities | 2,069 | 335 |
Capital lease and financing obligations | 22,747 | 12,511 |
Long-term debt | 91 | 2,254 |
Construction liability | 0 | 7,636 |
Total liabilities | 108,732 | 80,731 |
Commitments and contingencies | 0 | 0 |
Stockholders’ equity | ||
Preferred stock, $0.001 par value per share, 100,000,000 shares authorized, no shares issued and outstanding | 0 | |
Additional paid-in-capital | 189,168 | |
Accumulated deficit | -133,535 | |
Accumulated other comprehensive income | 147 | -142 |
Total stockholders’ equity | 55,819 | |
Members’ deficit | ||
Common units, 18,954,806 units issued and outstanding | 160 | |
Appreciation and participation units, 21,679,094 units issued and outstanding | 3,637 | |
Total members’ deficit | -6,787 | |
Total liabilities, stockholders’ equity and members’ deficit | 164,551 | 73,944 |
Series A Preferred Units | ||
Members’ deficit | ||
Preferred units | -10,602 | |
Series B Preferred Units | ||
Members’ deficit | ||
Preferred units | -6,910 | |
Series C Preferred Units | ||
Members’ deficit | ||
Preferred units | 7,070 | |
Class A Common Stock | ||
Stockholders’ equity | ||
Common stock | 27 | |
Class B Common Stock | ||
Stockholders’ equity | ||
Common stock | $12 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for doubtful accounts | $274 | $111 |
Common Unit, Issued | 18,954,806 | |
Common Unit, Outstanding | 18,954,806 | |
Appreciation and Participation Unit Issued | 21,679,094 | |
Appreciation and Participation Unit Outstanding | 21,679,094 | |
Preferred stock, par value (in dollars per share) | $0.00 | |
Preferred stock, shares authorized | 100,000,000 | |
Preferred stock, shares issued | 0 | |
Preferred stock, shares outstanding | 0 | |
Series A Preferred Units | ||
Limited Liability Company (LLC) Preferred Unit, Issued | 21,050,000 | |
Limited Liability Company (LLC) Preferred Unit, Outstanding | 21,050,000 | |
Series B Preferred Units | ||
Limited Liability Company (LLC) Preferred Unit, Issued | 15,665,525 | |
Limited Liability Company (LLC) Preferred Unit, Outstanding | 15,665,525 | |
Series C Preferred Units | ||
Limited Liability Company (LLC) Preferred Unit, Issued | 10,486,387 | |
Limited Liability Company (LLC) Preferred Unit, Outstanding | 10,486,387 | |
Class A Common Stock | ||
Common stock, par value (in dollars per share) | $0.00 | |
Common stock, share authorized | 1,000,000,000 | |
Common stock, shares issued | 27,213,791 | |
Common stock, shares outstanding | 27,213,791 | |
Class B Common Stock | ||
Common stock, par value (in dollars per share) | $0.00 | |
Common stock, share authorized | 500,000,000 | |
Common stock, shares issued | 12,426,947 | |
Common stock, shares outstanding | 12,426,947 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 1 Months Ended | 3 Months Ended | 11 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 10, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenue | |||||||||||||
Subscription and support | $25,011 | $23,690 | $21,968 | $20,648 | $19,149 | $17,333 | $15,233 | $13,449 | $91,317 | $65,164 | $34,702 | ||
Professional services | 5,118 | 4,229 | 4,546 | 7,484 | 4,420 | 3,923 | 3,794 | 7,850 | 21,377 | 19,987 | 18,236 | ||
Total revenue | 30,129 | 27,919 | 26,514 | 28,132 | 23,569 | 21,256 | 19,027 | 21,299 | 112,694 | 85,151 | 52,938 | ||
Cost of revenue | |||||||||||||
Subscription and support | 6,097 | 5,387 | 5,029 | 4,669 | 4,179 | 3,951 | 3,607 | 3,392 | 21,182 | 15,129 | 9,262 | ||
Professional services | 3,864 | 3,152 | 2,882 | 2,798 | 2,309 | 2,065 | 2,267 | 2,879 | 12,696 | 9,520 | 9,780 | ||
Total cost of revenue | 9,961 | 8,539 | 7,911 | 7,467 | 6,488 | 6,016 | 5,874 | 6,271 | 33,878 | 24,649 | 19,042 | ||
Gross profit | 20,168 | 19,380 | 18,603 | 20,665 | 17,081 | 15,240 | 13,153 | 15,028 | 78,816 | 60,502 | 33,896 | ||
Operating expenses | |||||||||||||
Research and development | 11,911 | 11,175 | 10,772 | 10,287 | 8,669 | 8,830 | 8,522 | 8,095 | 44,145 | 34,116 | 18,385 | ||
Sales and marketing | 14,063 | 16,248 | 12,747 | 10,440 | 10,482 | 11,743 | 9,628 | 9,214 | 53,498 | 41,067 | 27,537 | ||
General and administrative | 5,797 | 4,572 | 5,186 | 4,228 | 3,826 | 4,023 | 2,982 | 3,770 | 19,783 | 14,601 | 16,177 | ||
Total operating expenses | 31,771 | 31,995 | 28,705 | 24,955 | 22,977 | 24,596 | 21,132 | 21,079 | 117,426 | 89,784 | 62,099 | ||
Loss from operations | -11,603 | -12,615 | -10,102 | -4,290 | -5,896 | -9,356 | -7,979 | -6,051 | -38,610 | -29,282 | -28,203 | ||
Interest expense | -763 | -700 | -316 | -265 | -7 | -255 | -94 | -10 | -2,044 | -366 | -1,521 | ||
Other income and (expense), net | -259 | -67 | -145 | 3 | 34 | 59 | -23 | 34 | -468 | 104 | -861 | ||
Loss before provision for income taxes | -12,625 | -13,382 | -10,563 | -4,552 | -5,869 | -9,552 | -8,096 | -6,027 | -41,122 | -29,544 | -30,585 | ||
Provision for income taxes | 32 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 32 | 0 | 0 | ||
Net loss | ($5,909) | ($12,657) | ($13,382) | ($10,563) | ($4,552) | ($5,869) | ($9,552) | ($8,096) | ($6,027) | ($35,246) | ($41,154) | ($29,544) | ($30,585) |
Net loss per common share: | |||||||||||||
Basic and diluted (in dollars per share) | ($1.28) | ($0.94) | ($1.16) | ||||||||||
Weighted average common shares outstanding - basic and diluted (in shares) | 32,156,060 | 31,376,603 | 26,390,099 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Comprehensive Income [Abstract] | |||
Net loss | ($41,154) | ($29,544) | ($30,585) |
Other comprehensive (loss) income, net of tax | |||
Foreign currency translation adjustment, net of tax | 93 | 56 | -2 |
Unrealized gain (loss) on available-for-sale securities | 60 | -156 | -40 |
Reclassification of realized net losses on available-for-sale securities to net loss | 136 | 0 | 0 |
Available-for-sale securities | 196 | -156 | -40 |
Other comprehensive (loss) income, net of tax | 289 | -100 | -42 |
Comprehensive loss | ($40,865) | ($29,644) | ($30,627) |
CONSOLIDATED_STATEMENTS_OF_MEM
CONSOLIDATED STATEMENTS OF MEMBERS' EQUITY (DEFICIT) AND STOCKHOLDERS' EQUITY (USD $) | Total | Series C Preferred Units | Member Units | Member Units | Member Units | Member Units | Member Units | Common Stock | Additional Paid-in-Capital | Accumulated Other Comprehensive Income (Loss) | Retained Earnings (Accumulated Deficit) |
In Thousands, except Share data, unless otherwise specified | Series A Preferred Units | Series B Preferred Units | Series C Preferred Units | Common Units | Appreciation and Participation Units | ||||||
Members' equity, beginning balance at Dec. 31, 2011 | ($10,329) | ($6,431) | ($3,848) | $0 | ($533) | $483 | $0 | $0 | $0 | ||
Shares outstanding beginning of the period (in shares) at Dec. 31, 2011 | 21,050,000 | 15,665,000 | 0 | 18,600,000 | 12,735,000 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Issuance of stock/units (in shares) | 6,046,830 | 6,047,000 | |||||||||
Issuance of stock/units, net of issuance costs | 29,919 | 29,900 | 29,919 | ||||||||
Conversion of debt to common stock (in shares) | 3,006,000 | ||||||||||
Conversion of debt to common stock | 14,984 | 14,984 | |||||||||
Issuance of units in connection with vesting of restricted appreciation and participation units | 7,749,000 | ||||||||||
Equity-based compensation | 8,129 | 1,198 | 6,931 | ||||||||
Exercise of common unit options (in shares) | 92,000 | ||||||||||
Exercise of common unit options | 71 | 71 | |||||||||
Net loss | -30,585 | -4,112 | -3,060 | -15,690 | -3,722 | -4,001 | |||||
Other comprehensive loss | -42 | -42 | |||||||||
Members' equity, ending balance at Dec. 31, 2012 | 12,147 | -10,543 | -6,908 | 29,213 | -2,986 | 3,413 | 0 | -42 | 0 | ||
Shares outstanding end of the period (in shares) at Dec. 31, 2012 | 21,050,000 | 15,665,000 | 9,053,000 | 18,692,000 | 20,484,000 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Issuance of stock/units (in shares) | 1,433,115 | 1,433,000 | |||||||||
Issuance of stock/units, net of issuance costs | 7,145 | 7,100 | 7,145 | ||||||||
Issuance of units in connection with vesting of restricted appreciation and participation units | 1,195,000 | ||||||||||
Equity-based compensation | 3,370 | 3,146 | 224 | ||||||||
Exercise of common unit options (in shares) | 262,000 | ||||||||||
Exercise of common unit options | 256 | 256 | |||||||||
Distribution to members | -61 | -59 | -2 | 0 | |||||||
Net loss | -29,544 | -29,288 | -256 | ||||||||
Other comprehensive loss | -100 | -100 | |||||||||
Members' equity, ending balance at Dec. 31, 2013 | -6,787 | -10,602 | -6,910 | 7,070 | 160 | 3,637 | 0 | -142 | 0 | ||
Shares outstanding end of the period (in shares) at Dec. 31, 2013 | 21,050,000 | 15,665,000 | 10,486,000 | 18,954,000 | 21,679,000 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Issuance of units in connection with vesting of restricted appreciation and participation units | 303,000 | ||||||||||
Equity-based compensation | 6,915 | 6,915 | |||||||||
Exercise of common unit options (in shares) | 364,000 | ||||||||||
Exercise of common unit options | 566 | 566 | |||||||||
Distribution to members | -625 | -149 | -111 | -74 | -136 | -155 | |||||
Effect of corporate conversion on December 10, 2014 (in shares) | -21,050,000 | -15,665,000 | -10,486,000 | -19,318,000 | -21,982,000 | 31,978,000 | |||||
Effect of corporate conversion on December 10, 2014 | 0 | 17,318 | 11,908 | 3,347 | -913 | 3,375 | 32 | 92,559 | -127,626 | ||
Net loss | -35,246 | -6,567 | -4,887 | -10,343 | -6,592 | -6,857 | |||||
Other comprehensive loss | 272 | 272 | |||||||||
Stockholders’ equity (deficit), end of the period at Dec. 10, 2014 | |||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Issuance of stock/units (in shares) | 7,200,000 | ||||||||||
Issuance of stock/units, net of issuance costs | 90,427 | 7 | 90,420 | ||||||||
Conversion of debt to common stock (in shares) | 407,000 | ||||||||||
Conversion of debt to common stock | 5,704 | 5,704 | |||||||||
Issuance of units in connection with vesting of restricted appreciation and participation units | 54,000 | ||||||||||
Exercise of common unit options (in shares) | 2,000 | ||||||||||
Exercise of common unit options | 15 | 15 | |||||||||
Stock-based compensation expense | 470 | 470 | |||||||||
Net loss | -5,909 | -5,909 | |||||||||
Other comprehensive loss | 17 | 17 | |||||||||
Stockholders’ equity (deficit), end of the period at Dec. 31, 2014 | $55,819 | $39 | $189,168 | $147 | ($133,535) | ||||||
Shares outstanding end of the period (in shares) at Dec. 31, 2014 | 39,641,000 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities | |||
Net loss | ($41,154) | ($29,544) | ($30,585) |
Adjustments to reconcile net loss to net cash used in operating activities | |||
Depreciation and amortization | 3,877 | 2,373 | 1,039 |
Equity-based compensation expense | 7,385 | 3,370 | 8,129 |
Provision for (recovery of) doubtful accounts | 123 | -83 | 183 |
Accretion of discount on convertible note | 266 | 0 | 550 |
Paid-in-kind interest on convertible note | 134 | 0 | 0 |
Change in fair value of derivative liability | 193 | 0 | -3,271 |
Loss on early extinguishment of convertible note | 111 | 0 | 4,206 |
Realized losses on sale of available-for-sale securities | 136 | 0 | 0 |
Recognition of deferred government grant obligation | -99 | 0 | 0 |
Changes in assets and liabilities: | |||
Accounts receivable | 2,602 | -8,647 | 1,014 |
Deferred commissions | -553 | 244 | -43 |
Other receivables | 155 | -686 | -33 |
Prepaid expenses and other | -2,251 | 394 | -1,017 |
Other assets | -52 | -216 | -333 |
Accounts payable | -1,530 | 1,598 | 827 |
Deferred revenue | 19,961 | 18,237 | 8,737 |
Accrued expenses and other liabilities | 7,137 | 2,508 | 4,988 |
Change in restricted cash | 54 | 0 | -154 |
Net cash used in operating activities | -3,505 | -10,452 | -5,763 |
Cash flows from investing activities | |||
Purchase of property and equipment | -8,566 | -9,503 | -5,685 |
Purchase of marketable securities | 0 | -920 | -5,240 |
Sale of marketable securities | 4,864 | 1,160 | 0 |
Purchase of intangible assets | -394 | -169 | 0 |
Net cash used in investing activities | -4,096 | -9,432 | -10,925 |
Cash flows from financing activities | |||
Proceeds from issuance of Series C preferred units | 0 | 7,165 | 30,234 |
Payment of equity issuance costs | 0 | -20 | -315 |
Proceeds from public offering, net of underwriters' discount and offering costs | 91,769 | 0 | 0 |
Proceeds from issuance of convertible notes | 5,000 | 0 | 2,455 |
Repayment of convertible debt | 0 | 0 | -25 |
Proceeds from option exercises | 580 | 256 | 71 |
Repayment of debt to related party | 0 | 0 | -1,000 |
Changes in restricted cash | -275 | 20 | 20 |
Repayment of other long-term debt | -2,365 | -181 | -158 |
Principal payments on capital lease and financing obligations | -1,338 | -346 | 0 |
Distributions to members | -279 | -61 | 0 |
Proceeds from borrowings on line of credit | 3,020 | 2,017 | 0 |
Proceeds from government for training reimbursement | 194 | 1,520 | 357 |
Payments of issuance costs on line of credit | -113 | 0 | 0 |
Repayment of line of credit | -5,038 | 0 | 0 |
Government loan award | 2,000 | 0 | 0 |
Net cash provided by financing activities | 93,155 | 10,370 | 31,639 |
Effect of foreign exchange rates on cash | 62 | 50 | -1 |
Net increase (decrease) in cash and cash equivalents | 85,616 | -9,464 | 14,950 |
Cash and cash equivalents at beginning of year | 15,515 | 24,979 | 10,029 |
Cash and cash equivalents at end of year | 101,131 | 15,515 | 24,979 |
Supplemental cash flow disclosure | |||
Cash paid for interest | 1,678 | 488 | 74 |
Supplemental disclosure of noncash investing and financing activities | |||
Fixed assets acquired through notes payable | 0 | 0 | 85 |
Fixed assets acquired through financing obligations | 4,779 | 10,278 | 8,933 |
Fixed assets acquired through capital lease arrangements | 1,677 | 1,749 | 0 |
Government loan awarded but not yet received | 0 | 2,000 | 0 |
Derivative liability reclassified upon settlement of convertible notes | 1,392 | 0 | 1,484 |
Conversion of convertible notes and accrued interest into Class A common stock and Series C preferred units in 2014 and 2012, respectively | 4,312 | 0 | 13,500 |
Accrued distributions to members | 346 | 0 | 0 |
Initial public offering cost accruals | $1,342 | $0 | $0 |
Organization_and_Significant_A
Organization and Significant Accounting Policies | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Organization and Significant Accounting Policies | Organization and Significant Accounting Policies | |||
Organization | ||||
WebFilings LLC was formed in California in August 2008. In the third quarter of 2014, we changed our name to Workiva LLC and converted from a California limited liability company to a Delaware limited liability company. In December 2014, we converted from a Delaware limited liability company to a Delaware corporation and changed our name to Workiva Inc. We created Wdesk, a cloud-based platform for enterprises to collect, manage, report and analyze data in real time. Our secure software platform, Wdesk, allows users to integrate and control all of their business data, regardless of format or location, with innovative live-linking technology. We offer our customers solutions for compliance, risk, sustainability, management reporting, data collection, and enterprise risk management that are delivered through our Wdesk platform. Our operational headquarters are located in Ames, Iowa, with additional offices located in the United States, Europe and Canada. | ||||
Basis of Presentation and Principles of Consolidation | ||||
The consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles and include the accounts of Workiva Inc. and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. | ||||
Reclassifications | ||||
Certain prior period amounts have been reclassified to conform to the current year presentation. Such reclassifications had no effect on reported totals for assets, liabilities, shareholders’ equity, members’ equity, cash flows or net loss. We are separately presenting amounts as a deferred government grant obligation at December 31, 2014 on the consolidated balance sheet and have reclassified the corresponding amount in the prior year. | ||||
Initial Public Offering | ||||
In December 2014, we completed our initial public offering (IPO) and sold 7,200,000 shares of Class A common stock at a public offering price of $14.00 per share. We received net proceeds of $90.4 million after deducting underwriting discounts and commissions of $7.1 million and other offering expenses of $3.3 million. | ||||
Corporate Conversion | ||||
On December 10, 2014, prior to the issuance of any of our shares of Class A common stock in our IPO, we converted from a Delaware limited liability company to a Delaware corporation. In conjunction with the corporate conversion, all of our outstanding Series A, B and C preferred units, common units, capped common units, appreciation units, participation units, and options to purchase common units were automatically converted into shares of our common stock or options to purchase common stock. The ratio at which each class of outstanding equity units and options was converted into shares of our common stock or options was determined using a formula based on the midpoint of the price range of our Class A common stock set forth on the cover of the last preliminary prospectus prior to the completion of the corporate conversion. The conversion rates are set forth below: | ||||
Rate of conversion | ||||
Preferred units - Series A | 0.396 | |||
Preferred units - Series B | 0.453 | |||
Preferred units - Series C | 0.396 | |||
Common units | 0.396 | |||
Capped common units ($.20 cap) | 0.014 | |||
Capped common units ($1.00 cap) | 0.071 | |||
Capped common units ($4.00 cap) | 0.286 | |||
Appreciation units ($.20 threshold price) | 0.382 | |||
Appreciation units ($.30 threshold price) | 0.375 | |||
Appreciation units ($3.36 threshold price) | 0.156 | |||
Participation units ($1.00 threshold price) | 0.325 | |||
Participation units ($4.00 threshold price) | 0.111 | |||
All of our outstanding Series A, B and C preferred units, common units, capped common units, appreciation units, participation units, and options to purchase common units for all periods presented have been adjusted retroactively to reflect the conversion to a corporation for purposes of calculating basic and diluted net loss per common share and our stock-based compensation disclosures. | ||||
Foreign Currency | ||||
We translate the financial statements of our foreign subsidiaries, which have a functional currency in the respective country’s local currency, to U.S. dollars using month-end exchange rates for assets and liabilities and average exchange rates for revenue, costs and expenses. Translation gains and losses are recorded in accumulated other comprehensive income as a component of stockholders’ equity. Gains and losses resulting from foreign currency transactions that are denominated in currencies other than the entity's functional currency, including intercompany foreign currency transactions that are not of a long-term investment nature, are included within “Other income and (expense), net” on the consolidated statements of operations. We recorded $141,000, $108,000 and $32,000 of transaction losses during the years ended December 31, 2014, 2013 and 2012, respectively. | ||||
Use of Estimates | ||||
The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. We base our estimates on historical experience and various other assumptions believed to be reasonable. These estimates include, but are not limited to, the determination of the relative selling prices of our services, self-insurance reserves for claims incurred but not yet reported, collectability of accounts receivable, useful lives of intangible assets and property and equipment, income taxes and certain assumptions used in the valuation of equity awards. While these estimates are based on our best knowledge of current events and actions that may affect us in the future, actual results may differ materially from these estimates. | ||||
Cash and Cash Equivalents | ||||
Cash consists of cash on deposit with banks that is stated at cost, which approximates fair value. We invest our excess cash primarily in highly liquid certificates of deposit, money market funds and marketable securities. We classify all highly liquid investments with stated maturities of three months or less from date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months as marketable securities. | ||||
Marketable Securities | ||||
We determine the appropriate classification of our investments at the time of purchase and reevaluate such designation at each balance sheet date. We have classified and accounted for our investments as available-for-sale. Available-for-sale securities are recorded at fair value each reporting period. Unrealized gains and losses are excluded from earnings and recorded as a separate component within “Accumulated other comprehensive income (loss)” on the consolidated balance sheets until realized. Dividend income is reported within “Other income and expense, net” on the consolidated statements of operations. We evaluate our investments to assess whether those with unrealized loss positions are other than temporarily impaired. We consider impairments to be other than temporary if they are related to deterioration in credit risk or if it is likely we will sell the securities before the recovery of their cost basis. Realized gains and losses and declines in value judged to be other than temporary are determined based on the specific identification method and are reported in “Other income and (expense), net” in the consolidated statements of operations. | ||||
Fair Value of Financial Instruments | ||||
Our financial assets, which include cash equivalents and marketable securities, are measured and recorded at fair value on a recurring basis. Our other current financial assets and our other current financial liabilities have fair values that approximate their carrying value due to their short-term maturities. | ||||
Concentration of Credit Risk | ||||
Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and cash equivalents and accounts receivable. We place our cash and cash equivalents with high credit-quality financial institutions. Such deposits may be in excess of federally insured limits. To date, we have not experienced any losses on our cash and cash equivalents. We perform periodic evaluations of the relative credit standing of the financial institutions. | ||||
Our accounts receivable are derived primarily from customers located in North America. We perform ongoing credit evaluations of our customers’ financial condition and require no collateral from our customers. We maintain an allowance for doubtful accounts receivable based upon the expected collectability of accounts receivable balances. We did not have a significant concentration of accounts receivable from any single customer or from customers in any single country outside of the United States at December 31, 2014 or 2013. | ||||
Property and Equipment, net | ||||
Property and equipment is stated at cost, net of accumulated depreciation and amortization. Depreciation is computed using the straight-line method over the estimated useful lives of the respective assets, generally three to ten years. We amortize leasehold improvements and assets under capital leases or financing arrangements over the lesser of the term of the lease including renewal options that are reasonably assured or the estimated useful life of the assets. Depreciation and amortization expense totaled $3.9 million, $2.4 million and $1.0 million for the years ended December 31, 2014, 2013 and 2012, respectively, and included $1.9 million and $607,000 of amortization of assets recorded under capital leases during the years ended December 31, 2014 and 2013, respectively. There were no assets under capital leases in 2012. | ||||
Revenue Recognition | ||||
We generate revenue through the sale of subscriptions to our cloud-based software and the delivery of professional services. Our customer contracts typically range in length from three to 36 months. Our arrangements do not contain general rights of return. Our subscription contracts do not provide customers with the right to take possession of the software supporting the applications and, as a result, are accounted for as service contracts. | ||||
We commence revenue recognition for subscriptions to our cloud applications and professional services when all of the following criteria are met: | ||||
• | There is persuasive evidence of an arrangement; | |||
• | The service has been or is being provided to the customer; | |||
• | Collection of the fees is reasonably assured; and | |||
• | The amount of fees to be paid by the customer is fixed or determinable. | |||
Collectability is assessed based on a number of factors, including past transaction history with the customer and the creditworthiness of the customer. Collateral is not requested from the customer. If it is determined that the collection of a fee is not probable, the revenue is recognized at the time the collection becomes probable, which is generally upon the receipt of cash. | ||||
Revenue is reported net of sales and other taxes collected from customers to be remitted to government authorities. | ||||
Subscription and Support Revenue | ||||
We recognize the aggregate minimum subscription and support fees ratably on a straight-line basis over the subscription term, provided that an enforceable contract has been signed by both parties, access to our SaaS solutions has been granted to the customer, the fee for the subscription and support is fixed or determinable, and collection is reasonably assured. | ||||
Professional Services Revenue | ||||
Our professional services relate primarily to document set up and XBRL tagging. When requested by our new or existing customers, we will set up their documents by importing a prior version and formating the document using best practice methods in our solution. Our XBRL tagging services include applying XBRL tagging to a customer filing document using Wdesk XBRL tools, reviewing existing tags for correctness, identifying any necessary revisions to be consistent with newly provided requirements or guidance from the SEC or FASB, as well as rolling forward XBRL tags from a prior filing to a current filing document. | ||||
Our professional services are not required for customers to utilize our solution. Our pricing for professional services has been predominantly on a fixed-fee basis, and we recognize revenue after the services have been performed. Document set up services are typically completed in less than two weeks. XBRL tagging services are offered for each filing document and revenue is recognized upon a successful submission to the SEC. | ||||
Multiple Deliverable Arrangements | ||||
For arrangements with multiple deliverables, we evaluate whether the individual deliverables qualify as separate units of accounting. In order to treat deliverables in a multiple deliverable arrangement as separate units of accounting, the deliverables must have standalone value upon delivery. For deliverables that have standalone value upon delivery, we account for each deliverable separately and recognize revenue for the respective deliverables as they are delivered. | ||||
Subscription contracts have standalone value as we sell the subscriptions separately. In determining whether professional services can be accounted for separately from subscription services, we consider the availability of the professional services from other vendors, the nature of our professional services and whether we sell our applications to new customers without professional services. In the years ended December 31, 2014, 2013 and 2012, we determined that we had established standalone value for the professional services related to document set up and XBRL tagging. This determination was made due primarily to the ability of the customer to complete these tasks without assistance and the sale of XBRL services separate from the initial subscription order. Because we established standalone value for our professional services in the years ended December 31, 2014, 2013 and 2012, such service arrangements are being accounted for separately from subscription services. | ||||
When multiple deliverables included in an arrangement are separable into different units of accounting, the arrangement consideration is allocated to the identified separate units of accounting based on their relative selling price. Multiple deliverable arrangements accounting guidance provides a hierarchy to use when determining the relative selling price for each unit of accounting. Vendor-specific objective evidence (VSOE) of selling price, based on the price at which the item is regularly sold by the vendor on a standalone basis, should be used if it exists. If VSOE of selling price is not available, third-party evidence (TPE) of selling price is used to establish the selling price if it exists. VSOE and TPE do not currently exist for any of our deliverables. Accordingly, for arrangements with multiple deliverables that can be separated into different units of accounting, we allocate the arrangement fee to the separate units of accounting based on our best estimate of selling price. The amount of arrangement fee allocated is limited by contingent revenue, if any. | ||||
We determine our best estimate of selling price for our deliverables based on our overall pricing objectives, taking into consideration market conditions and entity-specific factors. We evaluate our best estimate of selling price by reviewing historical data related to sales of our deliverables, including comparing the percentages of our contract prices to our list prices. We also may consider several other data points in our evaluation, including the size of our arrangements, length of term, the cloud applications sold, customer demographics and the numbers and types of users within our arrangements. | ||||
Deferred Revenue | ||||
We typically invoice our customers for subscription fees in advance on a quarterly, annual, two- or three-year basis, with payment due at the start of the subscription term. Unpaid invoice amounts for services starting in future periods are excluded from accounts receivable and deferred revenue. Invoiced amounts are reflected as accounts receivable once we have initiated services with an offset to deferred revenue or revenue depending on whether the revenue recognition criteria have been met. Deferred revenue also includes certain deferred professional service fees that are recognized upon completion of the service. The portion of deferred revenue that we anticipate will be recognized after the succeeding twelve-month period is recorded as non-current deferred revenue, and the remaining portion is recorded as current deferred revenue. | ||||
Cost of Revenue | ||||
Cost of revenue consists primarily of personnel and related costs directly associated with the professional services and customer success teams and training personnel, including salaries, benefits, bonuses, and equity-based compensation; the costs of contracted third-party vendors; the costs of server usage by our customers; information technology costs; and facility costs. | ||||
Sales and Marketing Expenses | ||||
Sales and marketing expenses consist primarily of personnel and related costs, including salaries, benefits, bonuses, commissions, travel, and equity-based compensation. Other costs included in this expense are marketing and promotional events, our annual user conference, online marketing, product marketing, information technology costs, and facility costs. We amortize sales commissions that are directly attributable to a contract over the lesser of 12 months or the non-cancelable term of the customer contract based on the terms of our commission arrangements. | ||||
Advertising costs are charged to sales and marketing expense as incurred. Advertising expense totaled $1.8 million, $454,000 and $464,000 for the years ended December 31, 2014, 2013 and 2012, respectively. | ||||
Research and Development Expenses | ||||
Research and development expenses consist primarily of personnel and related costs, including salaries, benefits, bonuses, and equity-based compensation, costs of server usage by our developers, information technology costs, and facility costs. | ||||
General and Administrative Expenses | ||||
General and administrative expenses consist primarily of personnel and related costs for our executive, finance, legal, human resources, and administrative personnel, including salaries, benefits, bonuses, and equity-based compensation; legal, accounting, and other professional service fees; other corporate expenses; information technology costs; and facility costs. | ||||
Leases | ||||
We categorize leases at their inception as either operating or capital leases and may receive renewal or expansion options, rent holidays, and leasehold improvement and other incentives on certain lease agreements. We recognize lease costs on a straight-line basis, taking into account adjustments for free or escalating rental payments, renewals at our option that are reasonably assured and deferred payment terms. Additionally, lease incentives are accounted for as a reduction of lease costs over the term of the agreement. Leasehold improvements are capitalized at cost and amortized over the shorter of their useful life or the term of the lease. | ||||
Government Grants | ||||
Government grants received are recorded as a liability on the balance sheet until all contingencies are resolved and the grant is determined to be realized. | ||||
Intangible Assets | ||||
We account for intangible assets under Accounting Standards Codification (ASC) 350, Goodwill and Other Intangibles—30 General Intangibles Other than Goodwill. Intangible assets consist of legal fees incurred for patents and are recorded at cost and amortized over the useful lives of the assets of ten years, using the straight-line method. Certain patents are in the legal application process and therefore are not currently being amortized. | ||||
Accumulated amortization of patents as of December 31, 2014 and 2013 was approximately $14,800 and $2,000, respectively. Future amortization expense for legally approved patents is estimated at $25,000 per year through 2019 and approximately $108,000 thereafter. | ||||
Impairment of Long-Lived Assets | ||||
Long-lived assets, such as property, equipment and software and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. If circumstances require that a long-lived asset or asset group be tested for possible impairment, we first compared the undiscounted cash flows expected to be generated by that long-lived asset or asset group to its carrying amount. If the carrying amount of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, an impairment is recognized to the extent that the carrying amount exceeds its fair value. | ||||
Stock-Based Compensation | ||||
We measure all share-based payments, including grants of options to purchase common stock, unvested stock and the issuance of restricted stock to employees, service providers and board members, using a fair-value based method. The cost of services received from employees and non-employees in exchange for awards of equity instruments is recognized in the consolidated statement of operations based on the estimated fair value of those awards on the grant date or reporting date, if required to be remeasured, and amortized on a straight-line basis over the requisite service period. We use the Black-Scholes option-pricing model to determine the fair values of stock option awards and also used the Black-Scholes option-pricing model for appreciation units and participation units granted prior to our corporate conversion. For restricted stock awards, fair value is based on the closing price of our common stock on the grant date. | ||||
Income Taxes | ||||
We record current income taxes based on our estimates of current taxable income and provide for deferred income taxes to reflect estimated future income tax payments and receipts. We are subject to U.S. federal income taxes as well as state taxes. In addition, we are subject to taxes in the foreign jurisdictions where we operate. | ||||
Prior to our corporate conversion in December 2014, we were a Delaware limited liability company that passed through income and losses to our members for U.S. federal and state income tax purposes. As a result, we were not subject to any U.S. federal or state income taxes as our taxable income was reported by our individual members. | ||||
Effective upon our corporate conversion, we account for income taxes using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, we determine deferred tax assets and liabilities on the basis of the differences between the financial statement and tax bases of assets and liabilities by using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment rate. | ||||
We recognize deferred tax assets to the extent that we believe that these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax planning strategies and results of recent operations. If we determine that we would be able to realize our deferred tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. | ||||
We record uncertain tax positions in accordance with ASC 740, Income Taxes, on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. | ||||
We recognize interest and penalties related to unrecognized tax benefits on the income tax expense line in the accompanying consolidated statement of operations. Accrued interest and penalties are included on the related tax liability line in the consolidated balance sheet. | ||||
Accounts Receivable and Allowance for Doubtful Accounts | ||||
Accounts receivable are recorded at the invoiced amount net of an allowance for doubtful accounts. The allowance for doubtful accounts is based on our assessment of the collectability of customer accounts. We regularly review our receivables that remain outstanding past their applicable payment terms and established an allowance for potential write-offs by considering factors such as historical experience, credit quality, age of the accounts receivable balances, and current economic conditions that may affect a customer’s ability to pay. Accounts receivable deemed uncollectible are charged against the allowance once collection efforts have been exhausted. | ||||
Subsequent events | ||||
We have evaluated subsequent events through the date the financial statements were issued and filed with the U.S. Securities and Exchange Commission ("SEC"). There were no subsequent events that required recognition or disclosure. | ||||
New Accounting Pronouncements | ||||
In May 2014, the FASB issued guidance codified in ASC 606, Revenue Recognition - Revenue from Contracts with Customers, which amends the guidance in former ASC 605, Revenue Recognition. We are currently evaluating the impact of the provisions of ASC 606. |
Revision_of_Prior_Period_Finan
Revision of Prior Period Financial Statements | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Accounting Changes and Error Corrections [Abstract] | ||||||||||||||||||||||||
Revision of Prior Period Financial Statements | Revision of Prior Period Financial Statements | |||||||||||||||||||||||
We have identified and corrected an error in our prior period financial statements for reimbursements received pursuant to government job training programs. We receive reimbursement from the programs after we have incurred the training expenses for employees and submitted requests for reimbursement. The programs are funded primarily through the diversion of employee withholding taxes otherwise payable to the state. If we do not maintain sufficient employment levels to generate the employee withholding taxes necessary to fully fund the programs, we would be required to fund the shortfall directly. The reimbursement benefit was originally recorded as an offset to the related training expenses incurred at the time the reimbursements were approved, as we believe the probability that we will need to fund the contingent obligation directly is remote. However, consistent with our treatment of other government grants, we have now concluded that the recognition of the benefit of these reimbursements should be deferred in accordance with ASC 450-30, Gain Contingencies (“ASC 450”), and recorded in other income as the amount of our remaining contingent funding obligation is reduced. | ||||||||||||||||||||||||
We evaluated the effects of this error and concluded it was immaterial to any of our previously issued annual financial statements. However, the cumulative error would be material in the year ended December 31, 2014 if the entire correction was recorded in 2014, and would have impacted comparisons to prior periods. Accordingly, we have revised our consolidated financial statements as of and for the years ended December 31, 2013 and 2012. | ||||||||||||||||||||||||
The following table summarizes the changes to each of the line items on the consolidated financial statements as a result of the revision described above (in thousands): | ||||||||||||||||||||||||
Revised consolidated balance sheet amounts | ||||||||||||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
Previously reported | Current period adjustment | Adjusted balance | ||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Deferred government grant obligation | $ | — | $ | 100 | $ | 100 | ||||||||||||||||||
Total current liabilities | 43,325 | 100 | 43,425 | |||||||||||||||||||||
Deferred government grant obligation | 2,259 | 3,293 | 5,552 | |||||||||||||||||||||
Total liabilities | 77,338 | 3,393 | 80,731 | |||||||||||||||||||||
Series A preferred units | (9,711 | ) | (891 | ) | (10,602 | ) | ||||||||||||||||||
Series B preferred units | (6,485 | ) | (425 | ) | (6,910 | ) | ||||||||||||||||||
Series C preferred units | 8,590 | (1,520 | ) | 7,070 | ||||||||||||||||||||
Common units | 482 | (322 | ) | 160 | ||||||||||||||||||||
Appreciation and participation units | 3,872 | (235 | ) | 3,637 | ||||||||||||||||||||
Total members' equity (deficit) | (3,394 | ) | (3,393 | ) | (6,787 | ) | ||||||||||||||||||
Revised consolidated statements of operations amounts | ||||||||||||||||||||||||
Year ended December 31, 2013 | Year ended December 31, 2012 | |||||||||||||||||||||||
Previously reported | Adjustment | As revised | Previously reported | Adjustment | As revised | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Revenue | ||||||||||||||||||||||||
Subscription and support | $ | 65,164 | $ | — | $ | 65,164 | $ | 34,702 | $ | — | $ | 34,702 | ||||||||||||
Professional services | 19,987 | — | 19,987 | 18,236 | — | 18,236 | ||||||||||||||||||
Total revenue | 85,151 | — | 85,151 | 52,938 | — | 52,938 | ||||||||||||||||||
Cost of revenue | ||||||||||||||||||||||||
Subscription and support | 14,881 | 248 | 15,129 | 9,222 | 40 | 9,262 | ||||||||||||||||||
Professional services | 9,406 | 114 | 9,520 | 9,777 | 3 | 9,780 | ||||||||||||||||||
Total cost of revenue | 24,287 | 362 | 24,649 | 18,999 | 43 | 19,042 | ||||||||||||||||||
Gross profit | 60,864 | (362 | ) | 60,502 | 33,939 | (43 | ) | 33,896 | ||||||||||||||||
Operating expenses | ||||||||||||||||||||||||
Research and development | 33,400 | 716 | 34,116 | 18,342 | 43 | 18,385 | ||||||||||||||||||
Sales and marketing | 40,824 | 243 | 41,067 | 27,506 | 31 | 27,537 | ||||||||||||||||||
General and administrative | 14,402 | 199 | 14,601 | 16,146 | 31 | 16,177 | ||||||||||||||||||
Total operating expenses | 88,626 | 1,158 | 89,784 | 61,994 | 105 | 62,099 | ||||||||||||||||||
Loss from operations | (27,762 | ) | (1,520 | ) | (29,282 | ) | (28,055 | ) | (148 | ) | (28,203 | ) | ||||||||||||
Interest expense | (366 | ) | — | (366 | ) | (1,521 | ) | — | (1,521 | ) | ||||||||||||||
Other income and (expense), net | 104 | — | 104 | (861 | ) | — | (861 | ) | ||||||||||||||||
Loss before provision for income taxes | (28,024 | ) | (1,520 | ) | (29,544 | ) | (30,437 | ) | (148 | ) | (30,585 | ) | ||||||||||||
Provision for income taxes | — | — | — | — | — | — | ||||||||||||||||||
Net loss | $ | (28,024 | ) | $ | (1,520 | ) | $ | (29,544 | ) | $ | (30,437 | ) | $ | (148 | ) | $ | (30,585 | ) | ||||||
Revised consolidated statements of cash flow amounts | ||||||||||||||||||||||||
Year ended December 31, 2013 | Year ended December 31, 2012 | |||||||||||||||||||||||
Previously reported | Adjustment | As revised | Previously reported | Adjustment | As revised | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Net loss | $ | (28,024 | ) | $ | (1,520 | ) | $ | (29,544 | ) | $ | (30,437 | ) | $ | (148 | ) | $ | (30,585 | ) | ||||||
Other receivables | (686 | ) | — | (686 | ) | 176 | (209 | ) | (33 | ) | ||||||||||||||
Net cash used in operating activities | (8,932 | ) | (1,520 | ) | (10,452 | ) | (5,406 | ) | (357 | ) | (5,763 | ) | ||||||||||||
Proceeds from government for training reimbursement | — | 1,520 | 1,520 | — | 357 | 357 | ||||||||||||||||||
Net cash provided by financing activities | 8,850 | 1,520 | 10,370 | 31,282 | 357 | 31,639 | ||||||||||||||||||
Marketable_Securities
Marketable Securities | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||
Marketable Securities | Marketable Securities | ||||||||||||||||
At December 31, 2014, we reported money market funds with an amortized cost and aggregate fair value of $97.1 million in cash and cash equivalents. | |||||||||||||||||
At December 31, 2013, marketable securities consisted of the following (in thousands): | |||||||||||||||||
Amortized Cost | Unrealized Gains | Unrealized Losses | Aggregate Fair Value | ||||||||||||||
Domestic debt mutual funds | $ | 5,000 | $ | — | $ | (196 | ) | $ | 4,804 | ||||||||
Money market funds | 13,923 | — | — | 13,923 | |||||||||||||
$ | 18,923 | $ | — | $ | (196 | ) | $ | 18,727 | |||||||||
Included in cash and cash equivalents | $ | 13,923 | $ | — | $ | — | $ | 13,923 | |||||||||
Included in marketable securities | $ | 5,000 | $ | — | $ | (196 | ) | $ | 4,804 | ||||||||
As of December 31, 2014, we did not have any marketable securities in an unrealized loss position. The following table presents gross unrealized losses and fair values for those marketable securities that were in an unrealized loss position as of December 31, 2013, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (in thousands): | |||||||||||||||||
As of December 31, 2013 | |||||||||||||||||
Less than 12 months | 12 months or greater | ||||||||||||||||
Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||
Domestic debt mutual funds | $ | — | $ | — | $ | 4,804 | $ | (196 | ) | ||||||||
Total | $ | — | $ | — | $ | 4,804 | $ | (196 | ) | ||||||||
We did not believe any of the unrealized losses represented an other-than-temporary impairment based on our evaluation of available evidence at December 31, 2013. In April 2014, management made a decision to change our investment strategy, and we sold our domestic debt mutual funds, resulting in a realized loss of $136,000 reported in other income and (expense), net during the year ended December 31, 2014. |
Supplemental_Consolidated_Bala
Supplemental Consolidated Balance Sheet and Statement of Operations Information | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Balance Sheet and Statement of Operations Information [Abstract] | ||||||||||||
Supplemental Consolidated Balance Sheet and Statement of Operations Information | Supplemental Consolidated Balance Sheet and Statement of Operations Information | |||||||||||
Other Receivables | ||||||||||||
Other receivables as of December 31, 2014 and 2013 consisted of (in thousands): | ||||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Government loan award (Note 7) | $ | — | $ | 2,000 | ||||||||
Other receivables | 295 | 856 | ||||||||||
$ | 295 | $ | 2,856 | |||||||||
Restricted Cash | ||||||||||||
We had $101,000 and $154,000 of restricted cash associated with an irrevocable letter of credit in place as collateral for a lease on a building at December 31, 2014 and 2013, respectively. As of December 31, 2014, we also had $300,000 of restricted cash serving as collateral for an irrevocable letter of credit with Morgan Stanley (see Note 7). In addition, at December 31, 2013, we had $25,000 of restricted cash associated with an irrevocable letter of credit in place as collateral for a loan from the Iowa Economic Development Authority (IEDA). | ||||||||||||
Property and Equipment, net | ||||||||||||
Property and equipment, net as of December 31, 2014 and 2013 consisted of (in thousands): | ||||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Buildings | $ | 37,380 | $ | 17,056 | ||||||||
Computers, equipment and software | 6,773 | 4,934 | ||||||||||
Furniture and fixtures | 7,024 | 4,470 | ||||||||||
Vehicles | 148 | 97 | ||||||||||
Leasehold improvements | 1,105 | 523 | ||||||||||
Construction in process | 1,520 | 11,676 | ||||||||||
53,950 | 38,756 | |||||||||||
Less: accumulated depreciation and amortization | (7,685 | ) | (4,041 | ) | ||||||||
$ | 46,265 | $ | 34,715 | |||||||||
The following assets included in property and equipment, net were acquired under capital and financing leases (see Note 6) (in thousands): | ||||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Buildings | $ | 37,380 | $ | 17,056 | ||||||||
Computers and equipment | 3,034 | 1,356 | ||||||||||
Furniture and fixtures | 392 | 392 | ||||||||||
40,806 | 18,804 | |||||||||||
Less: accumulated amortization | (2,477 | ) | (607 | ) | ||||||||
$ | 38,329 | $ | 18,197 | |||||||||
Accrued Expenses and Other Current Liabilities | ||||||||||||
Accrued expenses and other current liabilities as of December 31, 2014 and 2013 consisted of (in thousands): | ||||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Accrued vacation | $ | 2,949 | $ | 2,175 | ||||||||
Accrued commissions | 1,649 | 1,118 | ||||||||||
Accrued bonuses | 6,336 | 3,101 | ||||||||||
Self-insurance reserves | 800 | 692 | ||||||||||
Accrued other liabilities | 5,031 | 1,853 | ||||||||||
$ | 16,765 | $ | 8,939 | |||||||||
Other Income and (Expense), net | ||||||||||||
Other income and (expense), net for the years ended December 31, 2014, 2013 and 2012 consisted of (in thousands): | ||||||||||||
For the year ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Interest income | $ | 73 | $ | 220 | $ | 98 | ||||||
Change in fair value of derivative | (193 | ) | — | 3,271 | ||||||||
Loss on early extinguishment of convertible note | (111 | ) | — | (4,206 | ) | |||||||
Other | (237 | ) | (116 | ) | (24 | ) | ||||||
$ | (468 | ) | $ | 104 | $ | (861 | ) | |||||
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value Measurements | Fair Value Measurements | ||||||||||||||||
We determine the fair values of our financial instruments based on the fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value assumes that the transaction to sell the asset or transfer the liability occurs in the principal or most advantageous market for the asset or liability and establishes that the fair value of an asset or liability shall be determined based on the assumptions that market participants would use in pricing the asset or liability. The classification of a financial asset or liability within the hierarchy is based upon the lowest level input that is significant to the fair value measurement. The fair value hierarchy prioritizes the inputs into three levels that may be used to measure fair value: | |||||||||||||||||
Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. | |||||||||||||||||
Level 2 - Inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. | |||||||||||||||||
Level 3 - Inputs are unobservable inputs based on our assumptions. | |||||||||||||||||
The following tables present financial assets and liabilities measured and recorded at fair value on a recurring basis (in thousands): | |||||||||||||||||
Fair Value Measurements at December 31, 2014 using: | |||||||||||||||||
Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Remaining Inputs | Significant Other Unobservable Remaining Inputs | |||||||||||||||
Description | Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Assets | |||||||||||||||||
Cash equivalents | |||||||||||||||||
Money market funds | $ | 97,085 | $ | 97,085 | $ | — | $ | — | |||||||||
Total assets measured at fair value | $ | 97,085 | $ | 97,085 | $ | — | $ | — | |||||||||
Fair Value Measurements at December 31, 2013 using: | |||||||||||||||||
Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Remaining Inputs | Significant Other Unobservable Remaining Inputs | |||||||||||||||
Description | Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Assets | |||||||||||||||||
Cash equivalents | |||||||||||||||||
Money market funds | $ | 13,923 | $ | 13,923 | $ | — | $ | — | |||||||||
Marketable securities | |||||||||||||||||
Domestic debt mutual funds | 4,804 | 4,804 | — | — | |||||||||||||
Total assets measured at fair value | $ | 18,727 | $ | 18,727 | $ | — | $ | — | |||||||||
During 2014, there was an embedded derivative liability associated with a convertible note that was issued in July 2014 (see Note 7). To derive the fair value of the embedded derivative, we estimated the fair value of the convertible note “with” and “without” the embedded derivative using a discounted cash-flow approach. The difference between the “with” and “without” note prices was determined to be the fair value of the embedded derivative at inception. Key inputs for this valuation model were the stated interest rate of the convertible note, our assumed cost of debt, assessment of the likelihood of conversion, timing and the stated value of the discount upon conversion of the notes into our equity. The derivative liability was re-measured at fair value each reporting period through December 16, 2014 when the note was settled in shares of our Class A common stock. Changes in the fair value measurement of the embedded derivative were reported in “Other income and expense, net” on the consolidated statement of operations. | |||||||||||||||||
We classified the derivative liability as Level 3 due to the lack of relevant observable market data over fair value inputs such as the probability-weighting of the various scenarios in the arrangement. The following table represents a rollforward of the fair value of Level 3 instruments (significant unobservable inputs): | |||||||||||||||||
As of December 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Liabilities | |||||||||||||||||
Balance at beginning of period | $ | — | $ | — | |||||||||||||
Convertible notes - embedded derivative | 1,199 | — | |||||||||||||||
Change in fair value of derivative | 193 | — | |||||||||||||||
Share settlement of convertible debt | (1,392 | ) | — | ||||||||||||||
Balance at end of period | $ | — | $ | — | |||||||||||||
Other Fair Value Measurements | |||||||||||||||||
At December 31, 2014, the fair value of our debt obligations approximated the carrying amount of $0.2 million. The estimated fair value was based in part on our consideration of incremental borrowing rates for similar types of borrowing arrangements. We have generally classified the fair value of our debt obligations as Level 3 due to the lack of relevant observable market data over fair value inputs. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||
Commitments and Contingencies | Commitments and Contingencies | ||||||||||||
Lease Commitments | |||||||||||||
We lease certain office and residential space under non-cancelable operating leases with various lease terms through June 2043. Rent expense for the years ended December 31, 2014, 2013 and 2012 was $3.2 million, $2.5 million and $1.2 million, respectively. | |||||||||||||
We lease computer equipment and furniture from various parties under capital lease agreements that expire through March 2018. The total amount financed under these capital leases was $1.7 million and $1.7 million during the years ended December 31, 2014 and 2013, respectively. | |||||||||||||
Build to Suit | |||||||||||||
We entered into a lease agreement for land and an office building in Ames, Iowa, which was constructed in two phases. As part of the lease agreement, the landlord was responsible for constructing the building in accordance with our specifications and agreed to fund $11.8 million for the first phase and $11.1 million for the second phase of construction. We were the developer of the project and responsible for construction costs in excess of these amounts. As a result of this involvement, we were deemed the “owner” for accounting purposes during the construction period and were required to capitalize the construction costs associated with the office building. Upon completion of each phase of the project, we performed a sale-leaseback analysis pursuant to ASC 840, Leases, to determine if the building could be removed from the balance sheet. We determined there was continuing involvement, which precluded derecognition of the building. The construction liability of $11.8 million was reclassified to a financing obligation, and $17.1 million of costs capitalized during construction was placed in service during June 2013 for the initial phase. Upon completion of the second phase of the project, the construction liability of $11.1 million was reclassified to a financing obligation, and $19.9 million of costs capitalized during construction was placed in service during 2014. | |||||||||||||
Total cash payments due under the arrangement were allocated on a relative fair value basis between rent related to the land lease and debt service payments related to the financing obligation. The portion of the lease payments allocated to the land is expensed straight-line over the term of the lease from the point we took possession of the land and including renewal periods where renewal was deemed reasonably assured at the inception of the lease. The lease contains purchase options to acquire the landlord’s interest in the land lease and building at any time beginning three years from the commencement date of the lease. In addition, the lease requires us upon certain events, such as a change in control, to purchase the building from the landlord. The purchase options were deemed to be fair value at the inception of the lease. | |||||||||||||
As of December 31, 2014, future estimated minimum lease payments under non-cancelable operating, capital and financing leases were as follows (in thousands): | |||||||||||||
Operating Leases | Capital Leases | Financing Obligations | |||||||||||
2015 | $ | 2,432 | $ | 1,291 | $ | 2,541 | |||||||
2016 | 2,714 | 900 | 2,681 | ||||||||||
2017 | 2,701 | 333 | 2,681 | ||||||||||
2018 | 2,446 | 18 | 2,681 | ||||||||||
2019 | 1,592 | — | 2,681 | ||||||||||
Thereafter | 9,048 | — | 32,333 | ||||||||||
Total minimum lease payments | $ | 20,933 | 2,542 | 45,598 | |||||||||
Less: Amount representing interest | 214 | 23,238 | |||||||||||
Present value of capital lease and financing obligations | $ | 2,328 | $ | 22,360 | |||||||||
Government Grants | |||||||||||||
Since 2009, we have participated in a program with a local area community college, enlisted by the state of Iowa, that provides reimbursement of training dollars spent on employees hired in Iowa. The community college funds training through the sale of certificates for the amount of anticipated training expenses to be incurred and an estimate of the costs to administer the program. At each payroll date, the state allows us to divert a specified portion of employee state income tax withholdings for the qualified employees to the community college. The community college uses the funds to pay for the program and principal and interest on the certificates. In the event that the funds generated from withholding taxes are insufficient to pay the principal and interest on the certificates, we would be liable for any shortfall. To date, we have entered into three agreements under this program and have been reimbursed for training costs incurred for a total of 378 employees. | |||||||||||||
During the years ended December 31, 2014, 2013 and 2012, we were reimbursed $194,000, $1.5 million and $357,000, respectively. We have concluded that the realization of these amounts is contingent on continuing employment levels. Therefore, in accordance with ASC 450, the amounts received are recorded on the balance sheet as a liability until all contingencies have been resolved. We release the liability to “Other income and (expense), net” on our statement of operations once the amounts diverted and paid to the community college have reduced the total principal and interest due on the certificates to a level below the amounts reimbursed to date. The amount recognized in other income is measured as the excess of the reimbursements received as of each balance sheet date over the total principal and interest due on the certificates, net of amounts diverted. To the extent we have not diverted amounts sufficient to reduce the principal and interest on the certificates to a level below the reimbursements received for each of the programs, there is no benefit recorded in the statement of operations. | |||||||||||||
During the year ended December 31, 2014, the total benefit recorded on the statement of operations was $99,000. There was no benefit recorded in 2013 and 2012. At December 31, 2014 and 2013, there was $3.5 million and $3.4 million included in “Deferred government grant obligation” on the consolidated balance sheet, respectively. The deferred liability is classified as current or non-current based on the estimated timing of when the amounts will be recorded as income. At December 31, 2014 and 2013, there was $697,000 and $100,000 classified as a current liability, respectively. | |||||||||||||
On February 1, 2011, we received financing from IDED that provides for a grant in the form of a forgivable loan of $2.3 million. The note matures in five years, and in the event of default, bears interest at 6%. Under the terms of the loan, we must complete and maintain the project performance obligation, including the creation of 251 qualified jobs by December 16, 2013, and the retention of six previously created qualified jobs through December 16, 2015. The Company and IDED also agreed to a $31.6 million development plan that was required to be invested by December 16, 2013. The job creation obligation was met and the $31.6 million development plan was complete as of December 16, 2013. The jobs must be maintained through December 16, 2015. In the event that such condition is not met, we must repay $8,799 per job not maintained. The financing is secured by a letter of credit issued pursuant to our credit facility with Silicon Valley Bank. As the project plan was completed in 2013, which included the creation of 251 qualified jobs, and any failure to maintain these qualified jobs during the maintenance period would not give rise to a requirement to accrue or repay interest on the loan, interest expense of $260,000 that had been previously accrued was offset against “Interest expense” on the consolidated statement of operations. | |||||||||||||
At December 31, 2014 and 2013, there was $2.3 million related to the forgivable loan included in “Deferred government grant obligation” on the consolidated balance sheet. The deferred liability is classified as current or non-current based on the estimated timing of when the amount will be recognized as income. At December 31, 2014, there was $1,627,000 classified as a current liability because we expect to meet the job maintenance requirement ending in December 2015. The $632,000 presented as a non-current liability at December 31, 2014 is the amount we anticipate offsetting against the carrying value of our property and equipment. The amount is based on an allocation of the funds received to all the components of the project, a portion of which was to incur certain capital expenditures as part of the $31.6 million project plan. | |||||||||||||
Litigation | |||||||||||||
From time to time we may become involved in legal proceedings or be subject to claims arising in the ordinary course of our business. Although the results of litigation and claims cannot be predicted with certainty, we currently believe that the final outcome of any currently pending legal proceedings to which we are a party will not have a material adverse effect on our business, operating results, financial condition or cash flows. Regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources and other factors. |
Debt
Debt | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||
Debt | Debt | |||||||||||||||
Convertible Notes | ||||||||||||||||
In December 2011, we issued convertible promissory notes (the 2011 Notes) totaling $10.1 million and bearing interest at 7% per annum. We received net proceeds of $10.1 million after deducting issuance costs of $38,000. The notes were due December 2016 and could be extended at our option for an additional two years. If equity interests of greater than $12.0 million were sold to new investors, the 2011 Notes and accrued unpaid interest were, for 30 days, convertible at the option of the holder into the same type of membership interests as the equity financing at 90% of the price per unit of the equity financing. | ||||||||||||||||
In March 2012, we issued convertible promissory notes (the 2012 Notes) totaling $2.5 million with substantially the same terms as the 2011 Notes. We received net proceeds of $2.5 million after deducting issuance costs of $10,000. | ||||||||||||||||
We concluded that our ability to extend the term and the right of the holder to convert the 2011 and 2012 Notes into another security at the discounted price qualified as features that should be bifurcated as a compound embedded derivative. The fair values of the derivatives at issuance of the 2011 and 2012 Notes were $3.8 million and $922,000, respectively. The impact of the change in fair value of the derivatives of $3.3 million for 2012 was reported in “Other income and (expense), net” on the consolidated statement of operations. | ||||||||||||||||
We recorded interest expense of $762,000 during the year ended December 31, 2012 related to the 2011 and 2012 Notes. | ||||||||||||||||
During 2012, in conjunction with the issuance of Series C preferred units, we settled the $13.5 million of outstanding principal and interest with 3,006,442 Series C preferred units resulting in a loss of $4.2 million, which is reported in “Other income and (expense), net” on the consolidated statement of operations. | ||||||||||||||||
In July 2014, we issued a subordinated promissory note (the 2014 Note) totaling $5.0 million with a 7% coupon rate and maturing January 31, 2016. The note contained an option to convert outstanding principal and paid-in-kind interest into our Class A common stock upon successful completion of an initial public offering at a 10% discount to the offering price. | ||||||||||||||||
We evaluated the convertible debt instrument under ASC 480, Distinguishing Liabilities from Equity and concluded it would be accounted for as a liability. We concluded the holder’s redemption rights upon a new equity financing or change of control event and the holder’s options to either convert the note into shares in the event of an initial public offering or to continue receiving simple interest at a 10% paid-in-kind coupon rate were embedded features of the note that were required to be bifurcated and accounted for as a compound derivative in accordance with ASC 815-15, Derivatives and Hedging. We recorded $1.2 million as the fair value of the embedded derivative liability upon issuance of the convertible note as of July 31, 2014, with a corresponding amount recorded as a debt discount. The discount was being accreted to interest expense over the term of the note. | ||||||||||||||||
On December 16, 2014, in conjunction with the close of our initial public offering, the holder elected to exercise the option to convert the 2014 Note. We settled the $5.1 million of outstanding principal and interest with 407,480 shares of our Class A common stock at a price of $12.60 per share, which represents 90% of the initial public offering price of our Class A common stock. This settlement resulted in a loss of $111,000, which is reported in “Other income and (expense), net” on the consolidated statement of operations. The change in fair value of the derivative resulted in expense of $193,000 through conversion and is reported in “Other income and (expense), net” on the consolidated statement of operations. We recorded $400,000 of interest related to the convertible note through conversion. These shares are subject to a lock-up agreement for 180 days after the consummation of our IPO. | ||||||||||||||||
Other Long-Term Debt | ||||||||||||||||
On August 31, 2009, we received financing from the Iowa Department of Economic Development (IDED) that provides for a loan of $100,000, accruing interest at 5%, due in monthly installments maturing on August 31, 2014. The loan was paid in full during the year ended December 31, 2014. | ||||||||||||||||
In addition, we received a loan of $150,000 from IDED on August 31, 2009. We are required to pay the lesser of 2% of prior year total gross revenue or $25,000 per year until $225,000 has been remitted. We expect to pay $25,000 in 2015, and therefore, the principal portion of $17,000 and $91,000 have been reflected in the current and long-term portion of debt on our balance sheet, respectively. Interest will be accreted over the estimated period of repayment. Under the terms of both IDED notes, we were required to create 20 jobs in Iowa by May 2012 and maintain them through May 2014, which we did. In the event such conditions were not met, $150,000 of the loan amount would have been immediately due and payable. We recorded interest expense of $6,800, $11,000 and $11,000 for the years ended December 31, 2014, 2013 and 2012, respectively, related to such 2009 debt agreements. | ||||||||||||||||
On February 15, 2010, we received financing from IDED that provides for a forgivable grant of $150,000. The grant is forgivable after 10 years unless any of the following events occur: we complete an initial public offering, our operations and development center move out of Iowa, or we sell 51% or more of our assets or the company. We recorded interest expense of $9,000, $11,000 and $9,000 for the years ended December 31, 2014, 2013 and 2012, respectively, related to such debt agreement. In connection with our initial public offering in December 2014, the grant became due and payable including accrued interest at a rate of 6%. The outstanding principal and interest was paid in full during December 2014. | ||||||||||||||||
On April 30, 2010, we received a loan of $100,000 from the City of Ames accruing interest at 1.625% per annum, due in monthly installments. The loan was secured by furniture located in Ames, Iowa. The terms of the loan included a requirement to create 62 jobs by January 2015, which was met. We recorded interest expense of $300, $1,000 and $1,000 for the years ended December 31, 2014, 2013 and 2012, respectively, related to such debt agreements. This loan was paid in full during December 2014. | ||||||||||||||||
On May 20, 2010, we received a non-interest bearing loan of $500,000 from IDED, which is due in monthly installments from September 2010 through August 2015. Under the terms of the loan, we were required to create 62 jobs by January 2013 and maintain them through January 2015. In the event that such condition is not met, the remaining unpaid principal is immediately due and payable. We have met this requirement. The loan is secured by a personal guaranty from a founder and managing director. | ||||||||||||||||
On July 14, 2011, we obtained a $1.0 million line of credit with Bankers Trust. The line of credit has a variable interest rate of the bank’s prime lending rate plus 1.5%. We recorded interest expense of $0 for the years ended December 31, 2014, 2013 and 2012 related to such debt agreement. No amounts were outstanding as of December 31, 2013. The line of credit matured during 2014 and was not renewed. | ||||||||||||||||
During 2012, we entered into various vehicle financing arrangements totaling $85,000. The loans accrued interest at 8.35% per annum and were due in monthly installments maturing August 2015. We recorded interest expense of $3,200, $5,400 and $2,000 for the years ended December 31, 2014, 2013 and 2012, respectively related to such debt agreements. These debt agreements were paid in full during the year ended December 31, 2014. | ||||||||||||||||
On March 6, 2013, we obtained a line of credit with Morgan Stanley providing for maximum borrowings of $20.8 million. The availability on the line of credit is limited to the value of our cash and marketable securities held in the associated account at Morgan Stanley of $530,000 at December 31, 2014. As of December 31, 2014, the maximum amount available on the line of credit was $230,000, due to an irrevocable letter of credit to support our outstanding furniture lease in the amount of $300,000. The line of credit bears interest at a tiered variable rate, is collateralized by our cash and marketable securities and is payable on demand. The line’s interest rate as of December 31, 2014 was 2.25%, and we recorded interest expense of $16,000 and $27,000 for the years ended December 31, 2014 and 2013 related to such debt agreement. | ||||||||||||||||
In October 2013, we received a grant from the Iowa Economic Development Authority (IEDA) in the form of forgivable loans up to $2.5 million and non-interest bearing loans up to $2.5 million available to us based on qualified job growth. On December 20, 2013, the initial disbursement was awarded consisting of $2.0 million in non-interest bearing and forgivable loans. This disbursement was not received by us until after year end and was recorded in “Other receivables” on the consolidated balance sheet as of December 31, 2013. In connection with our initial public offering, the outstanding balance of the loans became due and payable and were repaid in full during December 2014. | ||||||||||||||||
In August 2014, we entered into a $15.0 million credit facility with Silicon Valley Bank, which was subsequently amended. The credit facility is secured by all of our assets, has first priority over our other debt obligations, and requires us to maintain certain financial covenants, including the maintenance of at least $5.0 million of cash on hand or unused borrowing capacity. The credit facility contains certain restrictive covenants that limit our ability to transfer or dispose of assets, merge with other companies or consummate certain changes of control, acquire other companies, pay dividends, incur additional indebtedness and liens, experience changes in management and enter into new businesses. Amounts borrowed under the credit facility in 2014 accrued interest at a variable interest rate of prime plus 1.0%, with interest payable monthly and the principal balance due at maturity. In connection with the credit facility, at December 31, 2014 the following letters of credit issued by the bank were outstanding: (i) in the amount of $2.3 million as security against a February 2011 forgivable loan, with fulfilled job growth requirements, that will continue in a maintenance period through December 2015; and (ii) in the amount of $2.0 million as security against the December 2013 IEDA non-interest bearing loan and forgivable loan. These letters of credit do not reduce availability under the credit facility. We recorded interest expense of $28,000 for the year ended December 31, 2014 related to such debt agreement. No amounts were outstanding under the credit facility as of December 31, 2014. | ||||||||||||||||
The following table summarizes the outstanding principal balance of each loan at December 31, 2014 (in thousands): | ||||||||||||||||
Original Principal | Short-Term | Long-Term | Outstanding Principal | |||||||||||||
IDED - August 2009 | $ | 150 | $ | 17 | $ | 91 | $ | 108 | ||||||||
IDED - May 2010 | 500 | 67 | — | 67 | ||||||||||||
$ | 650 | $ | 84 | $ | 91 | $ | 175 | |||||||||
Stockholders_Equity_and_Member
Stockholders' Equity and Members' Equity (Deficit) | 12 Months Ended | |
Dec. 31, 2014 | ||
Equity [Abstract] | ||
Stockholders' Equity and Members' Equity (Deficit) | Stockholders’ Equity and Members’ Equity (Deficit) | |
In December 2014, we converted from a limited liability corporation to a C-corporation (see Note 1). Subsequent to our corporate conversion, we have two classes of authorized common stock: Class A common stock and Class B common stock. The rights of the holders of our Class A common stock and our Class B common stock are identical, except with respect to voting and conversion. Each share of our Class A common stock is entitled to one vote per share and is not convertible into any other shares of our capital stock. Each share of our Class B common stock is entitled to ten votes per share and is convertible into one share of our Class A common stock at any time. Our Class B common stock also will automatically convert into shares of our Class A common stock upon certain transfers and other events. | ||
Prior to our corporate conversion, our Operating Agreement, as amended and restated, provided for classes of units, allocation of profits and losses, distribution preferences, and other member rights. The Operating Agreement allowed for preferred units, common units, capped common units, appreciation units and participation units. Capped common units were interests that entitled the holder to receive distributions up to a stated threshold amount. Appreciation units and participation units were interests that entitled a holder to receive distributions in excess of a stated threshold amount. Members were limited in their liability to their capital contributions. | ||
In 2012, we issued 6,046,830 Series C preferred units at $5.00 per unit for proceeds of $29.9 million net of issuance costs of $315,000. In 2013, we issued an additional 1,433,115 Series C preferred units at $5.00 per unit for proceeds of $7.1 million net of issuance costs of $20,000. | ||
Distributions from the LLC | ||
Our Amended and Restated Operating Agreement provided that any distributions, other than tax distributions, would be made according to the following priority: | ||
• | First, to each holder of Series B preferred units and Series C preferred units until the cumulative distributions received (including any tax distributions) by holders of Series B preferred units equal $1.00 per Series B unit and the cumulative distribution received (including any tax distributions) by holders of Series C preferred units equal $5.00 per Series C preferred unit, provided that if the amount of distributable cash and property is insufficient to make such distribution in full, then all distributable cash and property shall be distributed to the holders of the Series B preferred and Series C preferred pro rata on the basis of their respective distribution preferences. | |
• | Second, to each holder of Series A preferred units until the cumulative distributions received (including any tax distributions) by each holder of a Series A preferred unit equal $0.20 per Series A preferred unit held. | |
• | Third, to each holder of common units or capped common units in proportion to the number of units held until the cumulative distributions received (including tax distributions) by each holder of a common unit or capped common unit equals $0.20 per common unit or capped common unit held. | |
• | Fourth, pro rata based on the number of units held to the holders of all units other than Series C preferred units based on the number of units held until the cumulative distributions received by each holder of common units and Series A preferred units equals the amount distributed to holders of Series C units, provided that holders of appreciation units or participation units will only receive distributions to the extent that pro rata distributions to all holders exceed the threshold levels of the applicable appreciation or participation units. | |
• | Fifth, pro rata to the holders of all units, provided that holders of appreciation units or participation units will only receive distributions to the extent that pro rata distributions to all holders exceed the threshold levels of the appreciation units or participation units. | |
Allocation of Profits and Losses from the LLC | ||
Profits and losses were allocated among the members so that the balance in each member’s capital account equaled or was as close as possible to the amount such member would receive upon our hypothetical sale and liquidation, assuming that our assets were sold for an amount equal to their book value, all our liabilities were paid and any remaining proceeds were distributed to the members in accordance with the terms of the Operating Agreement. | ||
Losses were allocated first to members with positive capital accounts until such capital account balances are reduced to zero, in the reverse order of the priority the members have to receive a return of their capital, as noted above, and then in proportion to the number of units held. Specifically, losses were first allocated to reduce any proceeds from common unit holders to zero, then to offset gross proceeds from Series A preferred unit holders and finally to offset gross proceeds from Series B and C preferred unit holders pro rata based on the number of units held. Once all contributed capital has been reduced to zero, the losses were then allocated pro rata based on the number of units held by each class of member units. Profits were allocated first to offset losses previously allocated, in the reverse order that such losses were allocated, and then in accordance with the members’ rights to receive distributions of profits, as noted above. | ||
During 2014 and 2013, losses offset proceeds from option exercises during the year and the gross proceeds from the 2012 and 2013 issuances of Series C preferred units to bring those positive capital accounts to zero. During 2014, the remaining losses incurred through the corporate conversion were then allocated pro rata to all classes of units. During 2012, losses incurred prior to the issuance of Series C preferred units were allocated to offset proceeds from option exercises during the year and then to the outstanding classes of member units pro rata because the capital contributed had been offset entirely by losses in prior periods. The losses incurred subsequent to the issuance of Series C preferred units in 2012 were allocated to offset the gross proceeds of this financing. |
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||
Stock-Based Compensation | Stock-Based Compensation | ||||||||||||
We grant equity-based incentive awards to attract, motivate and retain qualified employees, non-employee directors and consultants, and to align their financial interests with those of our stockholders. Prior to our corporate conversion in December 2014, awards were provided under the 2009 Unit Incentive Plan (the “2009 Plan”). We utilized equity-based compensation in the form of restricted participation units, appreciation units and options to purchase common units. We determined these forms of equity-based compensation were substantive classes of equity for accounting purposes. All outstanding options to purchase common units under the 2009 Plan automatically converted into options to purchase shares of Class A common stock following the corporate conversion. There were no other unvested award types outstanding at the time of our corporate conversion. | |||||||||||||
Immediately prior to our IPO, the 2009 Plan was amended to provide that no further awards will be issued thereunder, and our board of directors and stockholders adopted and approved our 2014 Equity Incentive Plan (the “2014 Plan” and, together with the 2009 Plan, the “Plans”). | |||||||||||||
Subsequent to our corporate conversion, we utilize stock-based compensation in the form of restricted stock and options to purchase Class A common stock. Options to purchase Class A common stock generally vest over a four-year period and are generally granted for a term of ten years. | |||||||||||||
As of December 31, 2014, awards granted under the 2009 Plan consisted of stock options and awards granted under the 2014 Plan consisted of restricted stock awards. There were no other grants of any other award types under the Plans. | |||||||||||||
At December 31, 2014, there were 3,905,650 shares available for grant under the 2014 Plan. | |||||||||||||
Stock-based compensation expense for the year ended December 31, 2014 was $50,000, $7.3 million and $31,000 for restricted participation and appreciation units that vested prior to the corporate conversion, options to purchase common stock and restricted stock, respectively. Equity-based compensation expense for the year ended December 31, 2013 was $224,000 and $3.1 million for restricted participation and appreciation units and options to purchase common units, respectively. Equity-based compensation expense for the year ended December 31, 2012, was $6.9 million and $1.2 million for restricted participation units and options to purchase common units, respectively. | |||||||||||||
Stock-based compensation expense associated with restricted participation and appreciation units, stock options and restricted stock was recorded in the following cost and expense categories consistent with the respective employee or service provider’s related cash compensation (in thousands): | |||||||||||||
Year ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Cost of revenue | |||||||||||||
Subscription and support | $ | 502 | $ | 200 | $ | 80 | |||||||
Professional services | 337 | 171 | 144 | ||||||||||
Operating expenses | |||||||||||||
Research and development | 1,757 | 762 | 194 | ||||||||||
Sales and marketing | 1,241 | 799 | 293 | ||||||||||
General and administrative | 3,548 | 1,438 | 7,418 | ||||||||||
Total | $ | 7,385 | $ | 3,370 | $ | 8,129 | |||||||
The fair value of each option, participation and appreciation unit grant is estimated on the date of grant using the Black-Scholes option-pricing model. Expected volatility is based on historical volatilities for publicly traded stock options of comparable companies over the estimated expected life of the options. The expected term represents the period of time the options are expected to be outstanding and is based on the “simplified method.” We use the “simplified method” due to the lack of sufficient historical exercise data to provide a reasonable basis upon which to otherwise estimate the expected life of the options. The risk-free interest rate is based on yields on U.S. Treasury STRIPS with a maturity similar to the estimated expected term of the options. The fair value of our participation and appreciation units and options was estimated assuming no expected dividends and the following weighted-average assumptions: | |||||||||||||
Year ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Expected term (in years) | 5.0 - 10.0 | 6.1 - 10.0 | 6.1 - 10.0 | ||||||||||
Risk-free interest rate | 1.52% - 2.80% | 1.00% - 2.89% | 0.75% - 1.78% | ||||||||||
Expected volatility | 45.84% - 52.50% | 51.09% - 53.84% | 51.35% - 53.09% | ||||||||||
Forfeiture rate | 0% - 6.76% | 0% - 6.02% | 0.89% | ||||||||||
Stock Options | |||||||||||||
Options to purchase common units have been adjusted to reflect the corporate conversion for purposes of the 2014 stock option disclosures. The following table summarizes the option activity under the Plans for the year ended December 31, 2014: | |||||||||||||
Options | Weighted- | Weighted- | Aggregate Intrinsic Value | ||||||||||
Average | Average | ||||||||||||
Exercise | Remaining | ||||||||||||
Price | Contractual | ||||||||||||
Term (Years) | |||||||||||||
(in thousands) | |||||||||||||
Outstanding at December 31, 2013 | 3,411,237 | $ | 4 | 7.5 | $ | 40,449 | |||||||
Granted | 2,973,368 | 15.85 | |||||||||||
Forfeited | 147,885 | 10.43 | |||||||||||
Exercised | 146,782 | 3.96 | |||||||||||
Outstanding at December 31, 2014 | 6,089,938 | $ | 9.63 | 7.8 | $ | 30,066 | |||||||
Exercisable at December 31, 2014 | 2,934,720 | $ | 4.47 | 6.5 | $ | 26,869 | |||||||
The total intrinsic value of options exercised during the years ended December 31, 2014, 2013 and 2012 was $1.7 million, $638,000 and $73,000, respectively. | |||||||||||||
The weighted-average grant-date fair value of options granted during the years ended December 31, 2014, 2013 and 2012 was $7.85, $6.24 and $3.69, respectively. The total fair value of options vested during the years ended December 31, 2014, 2013 and 2012 was approximately $5.1 million, $2.3 million and $795,000, respectively. Total unrecognized compensation expense of $18.0 million related to options will be recognized over a weighted-average period of 3.23 years. Total compensation expense recognized during the years ended December 31, 2014, 2013 and 2012 for outstanding options granted to service providers was $1.8 million, $1.6 million and $676,000, respectively, based on the fair value on the vesting date or the fair value on the reporting date if unvested. | |||||||||||||
Restricted Stock | |||||||||||||
During 2014, we granted 54,350 shares of restricted stock to non-employee members of our Board of Directors with one-year cliff vesting from the date of grant. The fair value for restricted stock awards is calculated based on the stock price on the date of grant. The weighted average grant-date fair value of restricted stock granted during 2014 was $13.80. | |||||||||||||
Compensation expense associated with unvested restricted stock is recognized on a straight-line basis over the vesting period. The expense recognized each period is dependent upon our estimate of the number of shares that will ultimately be issued. At December 31, 2014, there was approximately $719,000 of total unrecognized compensation expense related to restricted stock, which is expected to be recognized over a weighted average period of 0.96 years. | |||||||||||||
Restricted participation and appreciation units | |||||||||||||
At December 31, 2013, there were 108,975 outstanding participation and appreciation units under the 2009 Plan that vested during 2014 prior to the corporate conversion. | |||||||||||||
The weighted average grant-date fair value of participation and appreciation units granted in 2012 was $9.87. The total fair value of participation and appreciation units vested during the years ended December 31, 2014, 2013 and 2012 was approximately $77,000, $242,000 and $7.0 million, respectively. At December 10, 2014, all participation and appreciation units converted into Class A common stock as part of the corporate conversion. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Equity [Abstract] | |||||||||||||
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) | ||||||||||||
The following table summarizes the activity of accumulated other comprehensive income (loss) during the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||
Accumulated translation adjustment | Accumulated unrealized holding losses on available-for-sale securities | Accumulated other comprehensive income (loss) | |||||||||||
Balance at December 31, 2011 | $ | — | $ | — | $ | — | |||||||
Other comprehensive loss | (2 | ) | (40 | ) | (42 | ) | |||||||
Balance at December 31, 2012 | (2 | ) | (40 | ) | (42 | ) | |||||||
Other comprehensive income (loss) | 56 | (156 | ) | (100 | ) | ||||||||
Balance at December 31, 2013 | 54 | (196 | ) | (142 | ) | ||||||||
Other comprehensive income | 93 | 60 | 153 | ||||||||||
Reclassification of realized loss | — | 136 | 136 | ||||||||||
Balance at December 31, 2014 | $ | 147 | $ | — | $ | 147 | |||||||
Segments
Segments | 12 Months Ended |
Dec. 31, 2014 | |
Segment Reporting [Abstract] | |
Segments | Segments |
Our chief operating decision maker reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. There are no segment managers who are held accountable by the chief operating decision maker, or anyone else, for operations, operating results and planning for levels or components below the consolidated unit level. Accordingly, we determined we have a single operating segment. During the years ended December 31, 2014, 2013 and 2012, 94.7%, 95.8% and 98.3% of our revenue, respectively, and substantially all of our long-lived assets were attributable to operations in the United States. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Income Taxes | Income Taxes | |||||||||||
As a result of our corporate conversion from an LLC to a corporation, we are now subject to U.S. federal and state income taxes. We recognized a net deferred tax asset of $29.9 million as of December 10, 2014 due to the change in tax status. This amount was offset by a full valuation allowance. We recognized a $32,000 current state income tax provision for the year ended December 31, 2014. | ||||||||||||
Loss before income tax provision consisted of the following (in thousands): | ||||||||||||
For the year ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
United States | $ | (40,363 | ) | $ | (29,202 | ) | $ | (30,003 | ) | |||
Foreign | (759 | ) | (342 | ) | (582 | ) | ||||||
Total | $ | (41,122 | ) | $ | (29,544 | ) | $ | (30,585 | ) | |||
The items accounting for the difference between income taxes computed at the federal statutory income tax rate and the provision for income taxes consisted of the following (in thousands): | ||||||||||||
Year ended December 31, | ||||||||||||
2014 | ||||||||||||
Federal statutory rate | 35 | % | ||||||||||
Effect of: | ||||||||||||
Tax benefit at federal statutory rate | $ | (14,393 | ) | |||||||||
State taxes, net of federal benefit | (347 | ) | ||||||||||
Non-taxable flow-through earnings | 12,336 | |||||||||||
Foreign | (130 | ) | ||||||||||
Recognition of deferred tax assets | (29,870 | ) | ||||||||||
Valuation allowance | 32,440 | |||||||||||
Other | (4 | ) | ||||||||||
Total income tax provision | $ | 32 | ||||||||||
No provision or benefit for U.S. federal or state income taxes was included in the accompanying consolidated statements of operations prior to our conversion to a corporation because our results of operations were allocated to our members for inclusion in their respective income tax returns. Certain of our foreign subsidiaries were subject to income tax in 2013 and 2012. As of December 31, 2013, we had approximately $398,000 of net operating losses in foreign jurisdictions that were offset by a full valuation allowance. | ||||||||||||
The components of deferred tax assets and liabilities were as follows (in thousands): | ||||||||||||
As of December 31, 2014 | ||||||||||||
Deferred tax assets: | ||||||||||||
Property and equipment | $ | 56 | ||||||||||
Accruals and reserves | 1,523 | |||||||||||
Deferred rent | 354 | |||||||||||
Compensation and benefits | 8,056 | |||||||||||
Deferred revenue | 17,779 | |||||||||||
Net operating loss and credits | 4,786 | |||||||||||
Other | 17 | |||||||||||
Total deferred tax assets | 32,571 | |||||||||||
Valuation allowance | (32,514 | ) | ||||||||||
Total deferred tax assets | 57 | |||||||||||
Deferred tax liabilities: | ||||||||||||
Other deferred tax liabilities | (57 | ) | ||||||||||
Deferred tax liabilities | (57 | ) | ||||||||||
Total | $ | — | ||||||||||
Deferred tax assets and liabilities were not material as of December 31, 2013. | ||||||||||||
Management assesses the available positive and negative evidence to estimate whether sufficient future taxable income will be generated to permit use of the existing deferred tax assets. A significant piece of objective negative evidence evaluated was the cumulative loss incurred over the three-year period ended December 31, 2014. Such objective evidence limits the ability to consider other subjective evidence, such as our projections for future growth. On the basis of this evaluation, we recognized a full valuation allowance against our net deferred tax asset at December 31, 2014, because we believe it is more likely than not that these benefits will not be realized. | ||||||||||||
As of December 31, 2014, we have federal and state net operating loss carryforwards of approximately $11.5 million and $8.8 million, respectively, available to reduce any future taxable income. The federal and state net operating loss carryforwards will expire in various years between 2021 and 2034. Additionally, we have total net operating loss carryforwards from international operations of $0.9 million that will expire in various years between 2023 and 2034. | ||||||||||||
We have analyzed our inventory of tax positions taken with respect to all applicable income tax issues for all open tax years and have concluded that no uncertain tax positions are required to be recognized in our consolidated financial statements. | ||||||||||||
We are subject to taxation in the United States and various states and foreign jurisdictions. As of December 31, 2014, tax years for 2011 through 2014 are subject to examination by the tax authorities. With few exceptions, as of December 31, 2014, we are no longer subject to U.S. federal, state, local or foreign examinations by tax authorities for years before 2011. |
Net_Loss_Per_Share
Net Loss Per Share | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||
Net Loss Per Share | Net Loss Per Share | |||||||||||||||||||||||
Basic net loss per share attributable to common stockholders is computed by dividing the net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by giving effect to all potential shares of common stock, including our outstanding stock options and stock related to unvested restricted stock awards to the extent dilutive. All historical share counts used in the calculation have been adjusted for the corporate conversion. | ||||||||||||||||||||||||
The net loss per share attributable to common stockholders is allocated based on the contractual participation rights of the Class A and Class B common shares as if the loss for the year has been distributed. As the liquidation and dividend rights are identical, the net loss attributable to common stockholders is allocated on a proportionate basis. | ||||||||||||||||||||||||
We consider unvested restricted stock awards granted under the 2014 Equity Incentive Plan to be participating securities because holders of such shares have non-forfeitable dividend rights in the event of our declaration of a dividend for common shares. In future periods to the extent we are profitable, we will subtract earnings allocated to these participating securities from net income to determine net income attributable to common stockholders. | ||||||||||||||||||||||||
A reconciliation of the denominator used in the calculation of basic and diluted loss per share is as follows (in thousands, except share and per share data): | ||||||||||||||||||||||||
Year ended | ||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2012 | ||||||||||||||||||||||
Class A | Class B | Class A | Class B | Class A | Class B | |||||||||||||||||||
Numerator | ||||||||||||||||||||||||
Net loss | $ | (25,259 | ) | $ | (15,895 | ) | $ | (18,016 | ) | $ | (11,528 | ) | $ | (17,696 | ) | $ | (12,889 | ) | ||||||
Denominator | ||||||||||||||||||||||||
Weighted-average common shares outstanding - basic and diluted | 19,736,342 | 12,419,718 | 19,133,028 | 12,243,575 | 15,268,739 | 11,121,360 | ||||||||||||||||||
Basic and diluted net loss per share | $ | (1.28 | ) | $ | (1.28 | ) | $ | (0.94 | ) | $ | (0.94 | ) | $ | (1.16 | ) | $ | (1.16 | ) | ||||||
The anti-dilutive securities excluded from the weighted-average shares used to calculate the diluted net loss per common share were as follows: | ||||||||||||||||||||||||
As of December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Shares subject to outstanding common stock options | 2,383,188 | 2,289,560 | 1,338,432 | |||||||||||||||||||||
Shares subject to unvested appreciation units and participation units | — | 108,975 | 552,342 | |||||||||||||||||||||
Shares subject to unvested restricted stock awards | 54,350 | — | — | |||||||||||||||||||||
Unaudited_Quarterly_Results_of
Unaudited Quarterly Results of Operations | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||
Unaudited Quarterly Results of Operations | Unaudited Quarterly Results of Operations | |||||||||||||||||||||||||||||||
The following tables set forth selected unaudited quarterly consolidated statement of operations data for each of the quarters indicated as well as the percentage of total revenue for each line item shown. The unaudited information should be read in conjunction with our financial statements and related notes included elsewhere in this report. We believe that the following unaudited information reflects all normal recurring adjustments necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period. We have revised the following quarterly amounts to correct for an immaterial error in our prior period accounting for government job training programs (see Note 2). | ||||||||||||||||||||||||||||||||
Three months ended | ||||||||||||||||||||||||||||||||
Dec 31, | Sept 30, | Jun 30, | Mar 31, | Dec 31, | Sept 30, | Jun 30, | Mar 31, | |||||||||||||||||||||||||
2014 | 2014 | 2014 | 2014 | 2013 | 2013 | 2013 | 2013 | |||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||
Revenue | ||||||||||||||||||||||||||||||||
Subscription and support | $ | 25,011 | $ | 23,690 | $ | 21,968 | $ | 20,648 | $ | 19,149 | $ | 17,333 | $ | 15,233 | $ | 13,449 | ||||||||||||||||
Professional services | 5,118 | 4,229 | 4,546 | 7,484 | 4,420 | 3,923 | 3,794 | 7,850 | ||||||||||||||||||||||||
Total revenue | 30,129 | 27,919 | 26,514 | 28,132 | 23,569 | 21,256 | 19,027 | 21,299 | ||||||||||||||||||||||||
Cost of revenue | ||||||||||||||||||||||||||||||||
Subscription and support | 6,097 | 5,387 | 5,029 | 4,669 | 4,179 | 3,951 | 3,607 | 3,392 | ||||||||||||||||||||||||
Professional services | 3,864 | 3,152 | 2,882 | 2,798 | 2,309 | 2,065 | 2,267 | 2,879 | ||||||||||||||||||||||||
Total cost of revenue | 9,961 | 8,539 | 7,911 | 7,467 | 6,488 | 6,016 | 5,874 | 6,271 | ||||||||||||||||||||||||
Gross profit | 20,168 | 19,380 | 18,603 | 20,665 | 17,081 | 15,240 | 13,153 | 15,028 | ||||||||||||||||||||||||
Operating expenses | ||||||||||||||||||||||||||||||||
Research and development | 11,911 | 11,175 | 10,772 | 10,287 | 8,669 | 8,830 | 8,522 | 8,095 | ||||||||||||||||||||||||
Sales and marketing | 14,063 | 16,248 | 12,747 | 10,440 | 10,482 | 11,743 | 9,628 | 9,214 | ||||||||||||||||||||||||
General and administrative | 5,797 | 4,572 | 5,186 | 4,228 | 3,826 | 4,023 | 2,982 | 3,770 | ||||||||||||||||||||||||
Total operating expenses | 31,771 | 31,995 | 28,705 | 24,955 | 22,977 | 24,596 | 21,132 | 21,079 | ||||||||||||||||||||||||
Loss from operations | (11,603 | ) | (12,615 | ) | (10,102 | ) | (4,290 | ) | (5,896 | ) | (9,356 | ) | (7,979 | ) | (6,051 | ) | ||||||||||||||||
Interest expense | (763 | ) | (700 | ) | (316 | ) | (265 | ) | (7 | ) | (255 | ) | (94 | ) | (10 | ) | ||||||||||||||||
Other income and (expense), net | (259 | ) | (67 | ) | (145 | ) | 3 | 34 | 59 | (23 | ) | 34 | ||||||||||||||||||||
Loss before provision for income taxes | (12,625 | ) | (13,382 | ) | (10,563 | ) | (4,552 | ) | (5,869 | ) | (9,552 | ) | (8,096 | ) | (6,027 | ) | ||||||||||||||||
Provision for income taxes | 32 | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Net loss | $ | (12,657 | ) | $ | (13,382 | ) | $ | (10,563 | ) | $ | (4,552 | ) | $ | (5,869 | ) | $ | (9,552 | ) | $ | (8,096 | ) | $ | (6,027 | ) |
Organization_and_Significant_A1
Organization and Significant Accounting Policies (Policies) | 12 Months Ended | |
Dec. 31, 2014 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Basis of Presentation | The consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles and include the accounts of Workiva Inc. and its wholly owned subsidiaries. | |
Foreign Currency | We translate the financial statements of our foreign subsidiaries, which have a functional currency in the respective country’s local currency, to U.S. dollars using month-end exchange rates for assets and liabilities and average exchange rates for revenue, costs and expenses. Translation gains and losses are recorded in accumulated other comprehensive income as a component of stockholders’ equity. Gains and losses resulting from foreign currency transactions that are denominated in currencies other than the entity's functional currency, including intercompany foreign currency transactions that are not of a long-term investment nature, are included within “Other income and (expense), net” on the consolidated statements of operations. | |
Use of Estimates | The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. We base our estimates on historical experience and various other assumptions believed to be reasonable. These estimates include, but are not limited to, the determination of the relative selling prices of our services, self-insurance reserves for claims incurred but not yet reported, collectability of accounts receivable, useful lives of intangible assets and property and equipment, income taxes and certain assumptions used in the valuation of equity awards. While these estimates are based on our best knowledge of current events and actions that may affect us in the future, actual results may differ materially from these estimates. | |
Cash and Cash Equivalents | Cash consists of cash on deposit with banks that is stated at cost, which approximates fair value. We invest our excess cash primarily in highly liquid certificates of deposit, money market funds and marketable securities. We classify all highly liquid investments with stated maturities of three months or less from date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months as marketable securities. | |
Marketable Securities | We determine the appropriate classification of our investments at the time of purchase and reevaluate such designation at each balance sheet date. We have classified and accounted for our investments as available-for-sale. Available-for-sale securities are recorded at fair value each reporting period. Unrealized gains and losses are excluded from earnings and recorded as a separate component within “Accumulated other comprehensive income (loss)” on the consolidated balance sheets until realized. Dividend income is reported within “Other income and expense, net” on the consolidated statements of operations. We evaluate our investments to assess whether those with unrealized loss positions are other than temporarily impaired. We consider impairments to be other than temporary if they are related to deterioration in credit risk or if it is likely we will sell the securities before the recovery of their cost basis. Realized gains and losses and declines in value judged to be other than temporary are determined based on the specific identification method and are reported in “Other income and (expense), net” in the consolidated statements of operations. | |
Fair Value of Financial Instruments | Our financial assets, which include cash equivalents and marketable securities, are measured and recorded at fair value on a recurring basis. Our other current financial assets and our other current financial liabilities have fair values that approximate their carrying value due to their short-term maturities. | |
Concentration of Credit Risk | Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and cash equivalents and accounts receivable. We place our cash and cash equivalents with high credit-quality financial institutions. Such deposits may be in excess of federally insured limits. To date, we have not experienced any losses on our cash and cash equivalents. We perform periodic evaluations of the relative credit standing of the financial institutions. | |
Our accounts receivable are derived primarily from customers located in North America. We perform ongoing credit evaluations of our customers’ financial condition and require no collateral from our customers. We maintain an allowance for doubtful accounts receivable based upon the expected collectability of accounts receivable balances. | ||
Property and Equipment, net | Property and equipment is stated at cost, net of accumulated depreciation and amortization. Depreciation is computed using the straight-line method over the estimated useful lives of the respective assets, generally three to ten years. We amortize leasehold improvements and assets under capital leases or financing arrangements over the lesser of the term of the lease including renewal options that are reasonably assured or the estimated useful life of the assets. | |
Revenue Recognition | We generate revenue through the sale of subscriptions to our cloud-based software and the delivery of professional services. Our customer contracts typically range in length from three to 36 months. Our arrangements do not contain general rights of return. Our subscription contracts do not provide customers with the right to take possession of the software supporting the applications and, as a result, are accounted for as service contracts. | |
We commence revenue recognition for subscriptions to our cloud applications and professional services when all of the following criteria are met: | ||
• | There is persuasive evidence of an arrangement; | |
• | The service has been or is being provided to the customer; | |
• | Collection of the fees is reasonably assured; and | |
• | The amount of fees to be paid by the customer is fixed or determinable. | |
Collectability is assessed based on a number of factors, including past transaction history with the customer and the creditworthiness of the customer. Collateral is not requested from the customer. If it is determined that the collection of a fee is not probable, the revenue is recognized at the time the collection becomes probable, which is generally upon the receipt of cash. | ||
Revenue is reported net of sales and other taxes collected from customers to be remitted to government authorities. | ||
Subscription and Support Revenue | ||
We recognize the aggregate minimum subscription and support fees ratably on a straight-line basis over the subscription term, provided that an enforceable contract has been signed by both parties, access to our SaaS solutions has been granted to the customer, the fee for the subscription and support is fixed or determinable, and collection is reasonably assured. | ||
Professional Services Revenue | ||
Our professional services relate primarily to document set up and XBRL tagging. When requested by our new or existing customers, we will set up their documents by importing a prior version and formating the document using best practice methods in our solution. Our XBRL tagging services include applying XBRL tagging to a customer filing document using Wdesk XBRL tools, reviewing existing tags for correctness, identifying any necessary revisions to be consistent with newly provided requirements or guidance from the SEC or FASB, as well as rolling forward XBRL tags from a prior filing to a current filing document. | ||
Our professional services are not required for customers to utilize our solution. Our pricing for professional services has been predominantly on a fixed-fee basis, and we recognize revenue after the services have been performed. Document set up services are typically completed in less than two weeks. XBRL tagging services are offered for each filing document and revenue is recognized upon a successful submission to the SEC. | ||
Multiple-deliverable Arrangements | For arrangements with multiple deliverables, we evaluate whether the individual deliverables qualify as separate units of accounting. In order to treat deliverables in a multiple deliverable arrangement as separate units of accounting, the deliverables must have standalone value upon delivery. For deliverables that have standalone value upon delivery, we account for each deliverable separately and recognize revenue for the respective deliverables as they are delivered. | |
Subscription contracts have standalone value as we sell the subscriptions separately. In determining whether professional services can be accounted for separately from subscription services, we consider the availability of the professional services from other vendors, the nature of our professional services and whether we sell our applications to new customers without professional services. In the years ended December 31, 2014, 2013 and 2012, we determined that we had established standalone value for the professional services related to document set up and XBRL tagging. This determination was made due primarily to the ability of the customer to complete these tasks without assistance and the sale of XBRL services separate from the initial subscription order. Because we established standalone value for our professional services in the years ended December 31, 2014, 2013 and 2012, such service arrangements are being accounted for separately from subscription services. | ||
When multiple deliverables included in an arrangement are separable into different units of accounting, the arrangement consideration is allocated to the identified separate units of accounting based on their relative selling price. Multiple deliverable arrangements accounting guidance provides a hierarchy to use when determining the relative selling price for each unit of accounting. Vendor-specific objective evidence (VSOE) of selling price, based on the price at which the item is regularly sold by the vendor on a standalone basis, should be used if it exists. If VSOE of selling price is not available, third-party evidence (TPE) of selling price is used to establish the selling price if it exists. VSOE and TPE do not currently exist for any of our deliverables. Accordingly, for arrangements with multiple deliverables that can be separated into different units of accounting, we allocate the arrangement fee to the separate units of accounting based on our best estimate of selling price. The amount of arrangement fee allocated is limited by contingent revenue, if any. | ||
We determine our best estimate of selling price for our deliverables based on our overall pricing objectives, taking into consideration market conditions and entity-specific factors. We evaluate our best estimate of selling price by reviewing historical data related to sales of our deliverables, including comparing the percentages of our contract prices to our list prices. We also may consider several other data points in our evaluation, including the size of our arrangements, length of term, the cloud applications sold, customer demographics and the numbers and types of users within our arrangements. | ||
Deferred Revenue | We typically invoice our customers for subscription fees in advance on a quarterly, annual, two- or three-year basis, with payment due at the start of the subscription term. Unpaid invoice amounts for services starting in future periods are excluded from accounts receivable and deferred revenue. Invoiced amounts are reflected as accounts receivable once we have initiated services with an offset to deferred revenue or revenue depending on whether the revenue recognition criteria have been met. Deferred revenue also includes certain deferred professional service fees that are recognized upon completion of the service. The portion of deferred revenue that we anticipate will be recognized after the succeeding twelve-month period is recorded as non-current deferred revenue, and the remaining portion is recorded as current deferred revenue. | |
Cost of Revenue | Cost of revenue consists primarily of personnel and related costs directly associated with the professional services and customer success teams and training personnel, including salaries, benefits, bonuses, and equity-based compensation; the costs of contracted third-party vendors; the costs of server usage by our customers; information technology costs; and facility costs. | |
Advertising Costs | Advertising costs are charged to sales and marketing expense as incurred. | |
Research and Development Expense | Research and development expenses consist primarily of personnel and related costs, including salaries, benefits, bonuses, and equity-based compensation, costs of server usage by our developers, information technology costs, and facility costs. | |
General and Administrative Expenses | Sales and marketing expenses consist primarily of personnel and related costs, including salaries, benefits, bonuses, commissions, travel, and equity-based compensation. Other costs included in this expense are marketing and promotional events, our annual user conference, online marketing, product marketing, information technology costs, and facility costs. We amortize sales commissions that are directly attributable to a contract over the lesser of 12 months or the non-cancelable term of the customer contract based on the terms of our commission arrangements. | |
General and administrative expenses consist primarily of personnel and related costs for our executive, finance, legal, human resources, and administrative personnel, including salaries, benefits, bonuses, and equity-based compensation; legal, accounting, and other professional service fees; other corporate expenses; information technology costs; and facility costs. | ||
Leases | We categorize leases at their inception as either operating or capital leases and may receive renewal or expansion options, rent holidays, and leasehold improvement and other incentives on certain lease agreements. We recognize lease costs on a straight-line basis, taking into account adjustments for free or escalating rental payments, renewals at our option that are reasonably assured and deferred payment terms. Additionally, lease incentives are accounted for as a reduction of lease costs over the term of the agreement. Leasehold improvements are capitalized at cost and amortized over the shorter of their useful life or the term of the lease. | |
Government Grants | Government grants received are recorded as a liability on the balance sheet until all contingencies are resolved and the grant is determined to be realized. | |
Intangible Assets | We account for intangible assets under Accounting Standards Codification (ASC) 350, Goodwill and Other Intangibles—30 General Intangibles Other than Goodwill. Intangible assets consist of legal fees incurred for patents and are recorded at cost and amortized over the useful lives of the assets of ten years, using the straight-line method. Certain patents are in the legal application process and therefore are not currently being amortized. | |
Impairment of Long-Lived Assets | Long-lived assets, such as property, equipment and software and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. If circumstances require that a long-lived asset or asset group be tested for possible impairment, we first compared the undiscounted cash flows expected to be generated by that long-lived asset or asset group to its carrying amount. If the carrying amount of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, an impairment is recognized to the extent that the carrying amount exceeds its fair value. | |
Share-based Compensation | We measure all share-based payments, including grants of options to purchase common stock, unvested stock and the issuance of restricted stock to employees, service providers and board members, using a fair-value based method. The cost of services received from employees and non-employees in exchange for awards of equity instruments is recognized in the consolidated statement of operations based on the estimated fair value of those awards on the grant date or reporting date, if required to be remeasured, and amortized on a straight-line basis over the requisite service period. We use the Black-Scholes option-pricing model to determine the fair values of stock option awards and also used the Black-Scholes option-pricing model for appreciation units and participation units granted prior to our corporate conversion. For restricted stock awards, fair value is based on the closing price of our common stock on the grant date. | |
Income Taxes | We record current income taxes based on our estimates of current taxable income and provide for deferred income taxes to reflect estimated future income tax payments and receipts. We are subject to U.S. federal income taxes as well as state taxes. In addition, we are subject to taxes in the foreign jurisdictions where we operate. | |
Prior to our corporate conversion in December 2014, we were a Delaware limited liability company that passed through income and losses to our members for U.S. federal and state income tax purposes. As a result, we were not subject to any U.S. federal or state income taxes as our taxable income was reported by our individual members. | ||
Effective upon our corporate conversion, we account for income taxes using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, we determine deferred tax assets and liabilities on the basis of the differences between the financial statement and tax bases of assets and liabilities by using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment rate. | ||
We recognize deferred tax assets to the extent that we believe that these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax planning strategies and results of recent operations. If we determine that we would be able to realize our deferred tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. | ||
We record uncertain tax positions in accordance with ASC 740, Income Taxes, on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. | ||
We recognize interest and penalties related to unrecognized tax benefits on the income tax expense line in the accompanying consolidated statement of operations. Accrued interest and penalties are included on the related tax liability line in the consolidated balance sheet. | ||
Accounts Receivable and Allowance for Doubtful Accounts | Accounts receivable are recorded at the invoiced amount net of an allowance for doubtful accounts. The allowance for doubtful accounts is based on our assessment of the collectability of customer accounts. We regularly review our receivables that remain outstanding past their applicable payment terms and established an allowance for potential write-offs by considering factors such as historical experience, credit quality, age of the accounts receivable balances, and current economic conditions that may affect a customer’s ability to pay. Accounts receivable deemed uncollectible are charged against the allowance once collection efforts have been exhausted. | |
New Accounting Pronouncements | In May 2014, the FASB issued guidance codified in ASC 606, Revenue Recognition - Revenue from Contracts with Customers, which amends the guidance in former ASC 605, Revenue Recognition. We are currently evaluating the impact of the provisions of ASC 606. |
Organization_and_Significant_A2
Organization and Significant Accounting Policies (Tables) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Schedule of Corporate Conversion | The conversion rates are set forth below: | |||
Rate of conversion | ||||
Preferred units - Series A | 0.396 | |||
Preferred units - Series B | 0.453 | |||
Preferred units - Series C | 0.396 | |||
Common units | 0.396 | |||
Capped common units ($.20 cap) | 0.014 | |||
Capped common units ($1.00 cap) | 0.071 | |||
Capped common units ($4.00 cap) | 0.286 | |||
Appreciation units ($.20 threshold price) | 0.382 | |||
Appreciation units ($.30 threshold price) | 0.375 | |||
Appreciation units ($3.36 threshold price) | 0.156 | |||
Participation units ($1.00 threshold price) | 0.325 | |||
Participation units ($4.00 threshold price) | 0.111 | |||
Revision_of_Prior_Period_Finan1
Revision of Prior Period Financial Statements (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Accounting Changes and Error Corrections [Abstract] | ||||||||||||||||||||||||
Schedule of Revision of Prior Period Financial Statements | The following table summarizes the changes to each of the line items on the consolidated financial statements as a result of the revision described above (in thousands): | |||||||||||||||||||||||
Revised consolidated balance sheet amounts | ||||||||||||||||||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
Previously reported | Current period adjustment | Adjusted balance | ||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Deferred government grant obligation | $ | — | $ | 100 | $ | 100 | ||||||||||||||||||
Total current liabilities | 43,325 | 100 | 43,425 | |||||||||||||||||||||
Deferred government grant obligation | 2,259 | 3,293 | 5,552 | |||||||||||||||||||||
Total liabilities | 77,338 | 3,393 | 80,731 | |||||||||||||||||||||
Series A preferred units | (9,711 | ) | (891 | ) | (10,602 | ) | ||||||||||||||||||
Series B preferred units | (6,485 | ) | (425 | ) | (6,910 | ) | ||||||||||||||||||
Series C preferred units | 8,590 | (1,520 | ) | 7,070 | ||||||||||||||||||||
Common units | 482 | (322 | ) | 160 | ||||||||||||||||||||
Appreciation and participation units | 3,872 | (235 | ) | 3,637 | ||||||||||||||||||||
Total members' equity (deficit) | (3,394 | ) | (3,393 | ) | (6,787 | ) | ||||||||||||||||||
Revised consolidated statements of operations amounts | ||||||||||||||||||||||||
Year ended December 31, 2013 | Year ended December 31, 2012 | |||||||||||||||||||||||
Previously reported | Adjustment | As revised | Previously reported | Adjustment | As revised | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Revenue | ||||||||||||||||||||||||
Subscription and support | $ | 65,164 | $ | — | $ | 65,164 | $ | 34,702 | $ | — | $ | 34,702 | ||||||||||||
Professional services | 19,987 | — | 19,987 | 18,236 | — | 18,236 | ||||||||||||||||||
Total revenue | 85,151 | — | 85,151 | 52,938 | — | 52,938 | ||||||||||||||||||
Cost of revenue | ||||||||||||||||||||||||
Subscription and support | 14,881 | 248 | 15,129 | 9,222 | 40 | 9,262 | ||||||||||||||||||
Professional services | 9,406 | 114 | 9,520 | 9,777 | 3 | 9,780 | ||||||||||||||||||
Total cost of revenue | 24,287 | 362 | 24,649 | 18,999 | 43 | 19,042 | ||||||||||||||||||
Gross profit | 60,864 | (362 | ) | 60,502 | 33,939 | (43 | ) | 33,896 | ||||||||||||||||
Operating expenses | ||||||||||||||||||||||||
Research and development | 33,400 | 716 | 34,116 | 18,342 | 43 | 18,385 | ||||||||||||||||||
Sales and marketing | 40,824 | 243 | 41,067 | 27,506 | 31 | 27,537 | ||||||||||||||||||
General and administrative | 14,402 | 199 | 14,601 | 16,146 | 31 | 16,177 | ||||||||||||||||||
Total operating expenses | 88,626 | 1,158 | 89,784 | 61,994 | 105 | 62,099 | ||||||||||||||||||
Loss from operations | (27,762 | ) | (1,520 | ) | (29,282 | ) | (28,055 | ) | (148 | ) | (28,203 | ) | ||||||||||||
Interest expense | (366 | ) | — | (366 | ) | (1,521 | ) | — | (1,521 | ) | ||||||||||||||
Other income and (expense), net | 104 | — | 104 | (861 | ) | — | (861 | ) | ||||||||||||||||
Loss before provision for income taxes | (28,024 | ) | (1,520 | ) | (29,544 | ) | (30,437 | ) | (148 | ) | (30,585 | ) | ||||||||||||
Provision for income taxes | — | — | — | — | — | — | ||||||||||||||||||
Net loss | $ | (28,024 | ) | $ | (1,520 | ) | $ | (29,544 | ) | $ | (30,437 | ) | $ | (148 | ) | $ | (30,585 | ) | ||||||
Revised consolidated statements of cash flow amounts | ||||||||||||||||||||||||
Year ended December 31, 2013 | Year ended December 31, 2012 | |||||||||||||||||||||||
Previously reported | Adjustment | As revised | Previously reported | Adjustment | As revised | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Net loss | $ | (28,024 | ) | $ | (1,520 | ) | $ | (29,544 | ) | $ | (30,437 | ) | $ | (148 | ) | $ | (30,585 | ) | ||||||
Other receivables | (686 | ) | — | (686 | ) | 176 | (209 | ) | (33 | ) | ||||||||||||||
Net cash used in operating activities | (8,932 | ) | (1,520 | ) | (10,452 | ) | (5,406 | ) | (357 | ) | (5,763 | ) | ||||||||||||
Proceeds from government for training reimbursement | — | 1,520 | 1,520 | — | 357 | 357 | ||||||||||||||||||
Net cash provided by financing activities | 8,850 | 1,520 | 10,370 | 31,282 | 357 | 31,639 | ||||||||||||||||||
Marketable_Securities_Tables
Marketable Securities (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||
Schedule of Marketable Securities | At December 31, 2013, marketable securities consisted of the following (in thousands): | ||||||||||||||||
Amortized Cost | Unrealized Gains | Unrealized Losses | Aggregate Fair Value | ||||||||||||||
Domestic debt mutual funds | $ | 5,000 | $ | — | $ | (196 | ) | $ | 4,804 | ||||||||
Money market funds | 13,923 | — | — | 13,923 | |||||||||||||
$ | 18,923 | $ | — | $ | (196 | ) | $ | 18,727 | |||||||||
Included in cash and cash equivalents | $ | 13,923 | $ | — | $ | — | $ | 13,923 | |||||||||
Included in marketable securities | $ | 5,000 | $ | — | $ | (196 | ) | $ | 4,804 | ||||||||
Schedule of Cash and Cash Equivalents | At December 31, 2013, marketable securities consisted of the following (in thousands): | ||||||||||||||||
Amortized Cost | Unrealized Gains | Unrealized Losses | Aggregate Fair Value | ||||||||||||||
Domestic debt mutual funds | $ | 5,000 | $ | — | $ | (196 | ) | $ | 4,804 | ||||||||
Money market funds | 13,923 | — | — | 13,923 | |||||||||||||
$ | 18,923 | $ | — | $ | (196 | ) | $ | 18,727 | |||||||||
Included in cash and cash equivalents | $ | 13,923 | $ | — | $ | — | $ | 13,923 | |||||||||
Included in marketable securities | $ | 5,000 | $ | — | $ | (196 | ) | $ | 4,804 | ||||||||
Schedule of Available-for-sale Securities, Continuous Unrealized Loss Position | The following table presents gross unrealized losses and fair values for those marketable securities that were in an unrealized loss position as of December 31, 2013, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (in thousands): | ||||||||||||||||
As of December 31, 2013 | |||||||||||||||||
Less than 12 months | 12 months or greater | ||||||||||||||||
Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||
Domestic debt mutual funds | $ | — | $ | — | $ | 4,804 | $ | (196 | ) | ||||||||
Total | $ | — | $ | — | $ | 4,804 | $ | (196 | ) | ||||||||
Supplemental_Consolidated_Bala1
Supplemental Consolidated Balance Sheet and Statement of Operations Information (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Balance Sheet and Statement of Operations Information [Abstract] | ||||||||||||
Schedule of Other Receivables | Other receivables as of December 31, 2014 and 2013 consisted of (in thousands): | |||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Government loan award (Note 7) | $ | — | $ | 2,000 | ||||||||
Other receivables | 295 | 856 | ||||||||||
$ | 295 | $ | 2,856 | |||||||||
Schedule of Property, Plant and Equipment | Property and equipment, net as of December 31, 2014 and 2013 consisted of (in thousands): | |||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Buildings | $ | 37,380 | $ | 17,056 | ||||||||
Computers, equipment and software | 6,773 | 4,934 | ||||||||||
Furniture and fixtures | 7,024 | 4,470 | ||||||||||
Vehicles | 148 | 97 | ||||||||||
Leasehold improvements | 1,105 | 523 | ||||||||||
Construction in process | 1,520 | 11,676 | ||||||||||
53,950 | 38,756 | |||||||||||
Less: accumulated depreciation and amortization | (7,685 | ) | (4,041 | ) | ||||||||
$ | 46,265 | $ | 34,715 | |||||||||
Schedule of Capital Leased Assets | The following assets included in property and equipment, net were acquired under capital and financing leases (see Note 6) (in thousands): | |||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Buildings | $ | 37,380 | $ | 17,056 | ||||||||
Computers and equipment | 3,034 | 1,356 | ||||||||||
Furniture and fixtures | 392 | 392 | ||||||||||
40,806 | 18,804 | |||||||||||
Less: accumulated amortization | (2,477 | ) | (607 | ) | ||||||||
$ | 38,329 | $ | 18,197 | |||||||||
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities as of December 31, 2014 and 2013 consisted of (in thousands): | |||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Accrued vacation | $ | 2,949 | $ | 2,175 | ||||||||
Accrued commissions | 1,649 | 1,118 | ||||||||||
Accrued bonuses | 6,336 | 3,101 | ||||||||||
Self-insurance reserves | 800 | 692 | ||||||||||
Accrued other liabilities | 5,031 | 1,853 | ||||||||||
$ | 16,765 | $ | 8,939 | |||||||||
Schedule of Other Income and (Expense), net | Other income and (expense), net for the years ended December 31, 2014, 2013 and 2012 consisted of (in thousands): | |||||||||||
For the year ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Interest income | $ | 73 | $ | 220 | $ | 98 | ||||||
Change in fair value of derivative | (193 | ) | — | 3,271 | ||||||||
Loss on early extinguishment of convertible note | (111 | ) | — | (4,206 | ) | |||||||
Other | (237 | ) | (116 | ) | (24 | ) | ||||||
$ | (468 | ) | $ | 104 | $ | (861 | ) | |||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Schedule of Assets and Liabilities Measured on Recurring Basis | The following tables present financial assets and liabilities measured and recorded at fair value on a recurring basis (in thousands): | ||||||||||||||||
Fair Value Measurements at December 31, 2014 using: | |||||||||||||||||
Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Remaining Inputs | Significant Other Unobservable Remaining Inputs | |||||||||||||||
Description | Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Assets | |||||||||||||||||
Cash equivalents | |||||||||||||||||
Money market funds | $ | 97,085 | $ | 97,085 | $ | — | $ | — | |||||||||
Total assets measured at fair value | $ | 97,085 | $ | 97,085 | $ | — | $ | — | |||||||||
Fair Value Measurements at December 31, 2013 using: | |||||||||||||||||
Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Remaining Inputs | Significant Other Unobservable Remaining Inputs | |||||||||||||||
Description | Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Assets | |||||||||||||||||
Cash equivalents | |||||||||||||||||
Money market funds | $ | 13,923 | $ | 13,923 | $ | — | $ | — | |||||||||
Marketable securities | |||||||||||||||||
Domestic debt mutual funds | 4,804 | 4,804 | — | — | |||||||||||||
Total assets measured at fair value | $ | 18,727 | $ | 18,727 | $ | — | $ | — | |||||||||
Schedule of Fair Value, Liabilities Level 3 Roll Forward | The following table represents a rollforward of the fair value of Level 3 instruments (significant unobservable inputs): | ||||||||||||||||
As of December 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Liabilities | |||||||||||||||||
Balance at beginning of period | $ | — | $ | — | |||||||||||||
Convertible notes - embedded derivative | 1,199 | — | |||||||||||||||
Change in fair value of derivative | 193 | — | |||||||||||||||
Share settlement of convertible debt | (1,392 | ) | — | ||||||||||||||
Balance at end of period | $ | — | $ | — | |||||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||
Schedule of Future Minimum Lease Payments | As of December 31, 2014, future estimated minimum lease payments under non-cancelable operating, capital and financing leases were as follows (in thousands): | ||||||||||||
Operating Leases | Capital Leases | Financing Obligations | |||||||||||
2015 | $ | 2,432 | $ | 1,291 | $ | 2,541 | |||||||
2016 | 2,714 | 900 | 2,681 | ||||||||||
2017 | 2,701 | 333 | 2,681 | ||||||||||
2018 | 2,446 | 18 | 2,681 | ||||||||||
2019 | 1,592 | — | 2,681 | ||||||||||
Thereafter | 9,048 | — | 32,333 | ||||||||||
Total minimum lease payments | $ | 20,933 | 2,542 | 45,598 | |||||||||
Less: Amount representing interest | 214 | 23,238 | |||||||||||
Present value of capital lease and financing obligations | $ | 2,328 | $ | 22,360 | |||||||||
Debt_Tables
Debt (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||
Schedule of Long-term Debt Instruments | The following table summarizes the outstanding principal balance of each loan at December 31, 2014 (in thousands): | |||||||||||||||
Original Principal | Short-Term | Long-Term | Outstanding Principal | |||||||||||||
IDED - August 2009 | $ | 150 | $ | 17 | $ | 91 | $ | 108 | ||||||||
IDED - May 2010 | 500 | 67 | — | 67 | ||||||||||||
$ | 650 | $ | 84 | $ | 91 | $ | 175 | |||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||
Schedule of Stock-based Compensation Expense | Stock-based compensation expense associated with restricted participation and appreciation units, stock options and restricted stock was recorded in the following cost and expense categories consistent with the respective employee or service provider’s related cash compensation (in thousands): | ||||||||||||
Year ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Cost of revenue | |||||||||||||
Subscription and support | $ | 502 | $ | 200 | $ | 80 | |||||||
Professional services | 337 | 171 | 144 | ||||||||||
Operating expenses | |||||||||||||
Research and development | 1,757 | 762 | 194 | ||||||||||
Sales and marketing | 1,241 | 799 | 293 | ||||||||||
General and administrative | 3,548 | 1,438 | 7,418 | ||||||||||
Total | $ | 7,385 | $ | 3,370 | $ | 8,129 | |||||||
Schedule of Share-based Payment Award, Valuation Assumptions | The fair value of each option, participation and appreciation unit grant is estimated on the date of grant using the Black-Scholes option-pricing model. Expected volatility is based on historical volatilities for publicly traded stock options of comparable companies over the estimated expected life of the options. The expected term represents the period of time the options are expected to be outstanding and is based on the “simplified method.” We use the “simplified method” due to the lack of sufficient historical exercise data to provide a reasonable basis upon which to otherwise estimate the expected life of the options. The risk-free interest rate is based on yields on U.S. Treasury STRIPS with a maturity similar to the estimated expected term of the options. The fair value of our participation and appreciation units and options was estimated assuming no expected dividends and the following weighted-average assumptions: | ||||||||||||
Year ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Expected term (in years) | 5.0 - 10.0 | 6.1 - 10.0 | 6.1 - 10.0 | ||||||||||
Risk-free interest rate | 1.52% - 2.80% | 1.00% - 2.89% | 0.75% - 1.78% | ||||||||||
Expected volatility | 45.84% - 52.50% | 51.09% - 53.84% | 51.35% - 53.09% | ||||||||||
Forfeiture rate | 0% - 6.76% | 0% - 6.02% | 0.89% | ||||||||||
Schedule of Stock-Option Activity | The following table summarizes the option activity under the Plans for the year ended December 31, 2014: | ||||||||||||
Options | Weighted- | Weighted- | Aggregate Intrinsic Value | ||||||||||
Average | Average | ||||||||||||
Exercise | Remaining | ||||||||||||
Price | Contractual | ||||||||||||
Term (Years) | |||||||||||||
(in thousands) | |||||||||||||
Outstanding at December 31, 2013 | 3,411,237 | $ | 4 | 7.5 | $ | 40,449 | |||||||
Granted | 2,973,368 | 15.85 | |||||||||||
Forfeited | 147,885 | 10.43 | |||||||||||
Exercised | 146,782 | 3.96 | |||||||||||
Outstanding at December 31, 2014 | 6,089,938 | $ | 9.63 | 7.8 | $ | 30,066 | |||||||
Exercisable at December 31, 2014 | 2,934,720 | $ | 4.47 | 6.5 | $ | 26,869 | |||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Equity [Abstract] | |||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table summarizes the activity of accumulated other comprehensive income (loss) during the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||
Accumulated translation adjustment | Accumulated unrealized holding losses on available-for-sale securities | Accumulated other comprehensive income (loss) | |||||||||||
Balance at December 31, 2011 | $ | — | $ | — | $ | — | |||||||
Other comprehensive loss | (2 | ) | (40 | ) | (42 | ) | |||||||
Balance at December 31, 2012 | (2 | ) | (40 | ) | (42 | ) | |||||||
Other comprehensive income (loss) | 56 | (156 | ) | (100 | ) | ||||||||
Balance at December 31, 2013 | 54 | (196 | ) | (142 | ) | ||||||||
Other comprehensive income | 93 | 60 | 153 | ||||||||||
Reclassification of realized loss | — | 136 | 136 | ||||||||||
Balance at December 31, 2014 | $ | 147 | $ | — | $ | 147 | |||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Schedule of Loss Before Income Tax Provision | Loss before income tax provision consisted of the following (in thousands): | |||||||||||
For the year ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
United States | $ | (40,363 | ) | $ | (29,202 | ) | $ | (30,003 | ) | |||
Foreign | (759 | ) | (342 | ) | (582 | ) | ||||||
Total | $ | (41,122 | ) | $ | (29,544 | ) | $ | (30,585 | ) | |||
Schedule of Effective Income Tax Rate Reconciliation | The items accounting for the difference between income taxes computed at the federal statutory income tax rate and the provision for income taxes consisted of the following (in thousands): | |||||||||||
Year ended December 31, | ||||||||||||
2014 | ||||||||||||
Federal statutory rate | 35 | % | ||||||||||
Effect of: | ||||||||||||
Tax benefit at federal statutory rate | $ | (14,393 | ) | |||||||||
State taxes, net of federal benefit | (347 | ) | ||||||||||
Non-taxable flow-through earnings | 12,336 | |||||||||||
Foreign | (130 | ) | ||||||||||
Recognition of deferred tax assets | (29,870 | ) | ||||||||||
Valuation allowance | 32,440 | |||||||||||
Other | (4 | ) | ||||||||||
Total income tax provision | $ | 32 | ||||||||||
Schedule of Deferred Tax Assets and Liabilities | The components of deferred tax assets and liabilities were as follows (in thousands): | |||||||||||
As of December 31, 2014 | ||||||||||||
Deferred tax assets: | ||||||||||||
Property and equipment | $ | 56 | ||||||||||
Accruals and reserves | 1,523 | |||||||||||
Deferred rent | 354 | |||||||||||
Compensation and benefits | 8,056 | |||||||||||
Deferred revenue | 17,779 | |||||||||||
Net operating loss and credits | 4,786 | |||||||||||
Other | 17 | |||||||||||
Total deferred tax assets | 32,571 | |||||||||||
Valuation allowance | (32,514 | ) | ||||||||||
Total deferred tax assets | 57 | |||||||||||
Deferred tax liabilities: | ||||||||||||
Other deferred tax liabilities | (57 | ) | ||||||||||
Deferred tax liabilities | (57 | ) | ||||||||||
Total | $ | — | ||||||||||
Net_Loss_Per_Share_Tables
Net Loss Per Share (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted | A reconciliation of the denominator used in the calculation of basic and diluted loss per share is as follows (in thousands, except share and per share data): | |||||||||||||||||||||||
Year ended | ||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2012 | ||||||||||||||||||||||
Class A | Class B | Class A | Class B | Class A | Class B | |||||||||||||||||||
Numerator | ||||||||||||||||||||||||
Net loss | $ | (25,259 | ) | $ | (15,895 | ) | $ | (18,016 | ) | $ | (11,528 | ) | $ | (17,696 | ) | $ | (12,889 | ) | ||||||
Denominator | ||||||||||||||||||||||||
Weighted-average common shares outstanding - basic and diluted | 19,736,342 | 12,419,718 | 19,133,028 | 12,243,575 | 15,268,739 | 11,121,360 | ||||||||||||||||||
Basic and diluted net loss per share | $ | (1.28 | ) | $ | (1.28 | ) | $ | (0.94 | ) | $ | (0.94 | ) | $ | (1.16 | ) | $ | (1.16 | ) | ||||||
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The anti-dilutive securities excluded from the weighted-average shares used to calculate the diluted net loss per common share were as follows: | |||||||||||||||||||||||
As of December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Shares subject to outstanding common stock options | 2,383,188 | 2,289,560 | 1,338,432 | |||||||||||||||||||||
Shares subject to unvested appreciation units and participation units | — | 108,975 | 552,342 | |||||||||||||||||||||
Shares subject to unvested restricted stock awards | 54,350 | — | — | |||||||||||||||||||||
Unaudited_Quarterly_Results_of1
Unaudited Quarterly Results of Operations (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||
Schedule of Quarterly Financial Information | The following tables set forth selected unaudited quarterly consolidated statement of operations data for each of the quarters indicated as well as the percentage of total revenue for each line item shown. The unaudited information should be read in conjunction with our financial statements and related notes included elsewhere in this report. We believe that the following unaudited information reflects all normal recurring adjustments necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period. We have revised the following quarterly amounts to correct for an immaterial error in our prior period accounting for government job training programs (see Note 2). | |||||||||||||||||||||||||||||||
Three months ended | ||||||||||||||||||||||||||||||||
Dec 31, | Sept 30, | Jun 30, | Mar 31, | Dec 31, | Sept 30, | Jun 30, | Mar 31, | |||||||||||||||||||||||||
2014 | 2014 | 2014 | 2014 | 2013 | 2013 | 2013 | 2013 | |||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||
Revenue | ||||||||||||||||||||||||||||||||
Subscription and support | $ | 25,011 | $ | 23,690 | $ | 21,968 | $ | 20,648 | $ | 19,149 | $ | 17,333 | $ | 15,233 | $ | 13,449 | ||||||||||||||||
Professional services | 5,118 | 4,229 | 4,546 | 7,484 | 4,420 | 3,923 | 3,794 | 7,850 | ||||||||||||||||||||||||
Total revenue | 30,129 | 27,919 | 26,514 | 28,132 | 23,569 | 21,256 | 19,027 | 21,299 | ||||||||||||||||||||||||
Cost of revenue | ||||||||||||||||||||||||||||||||
Subscription and support | 6,097 | 5,387 | 5,029 | 4,669 | 4,179 | 3,951 | 3,607 | 3,392 | ||||||||||||||||||||||||
Professional services | 3,864 | 3,152 | 2,882 | 2,798 | 2,309 | 2,065 | 2,267 | 2,879 | ||||||||||||||||||||||||
Total cost of revenue | 9,961 | 8,539 | 7,911 | 7,467 | 6,488 | 6,016 | 5,874 | 6,271 | ||||||||||||||||||||||||
Gross profit | 20,168 | 19,380 | 18,603 | 20,665 | 17,081 | 15,240 | 13,153 | 15,028 | ||||||||||||||||||||||||
Operating expenses | ||||||||||||||||||||||||||||||||
Research and development | 11,911 | 11,175 | 10,772 | 10,287 | 8,669 | 8,830 | 8,522 | 8,095 | ||||||||||||||||||||||||
Sales and marketing | 14,063 | 16,248 | 12,747 | 10,440 | 10,482 | 11,743 | 9,628 | 9,214 | ||||||||||||||||||||||||
General and administrative | 5,797 | 4,572 | 5,186 | 4,228 | 3,826 | 4,023 | 2,982 | 3,770 | ||||||||||||||||||||||||
Total operating expenses | 31,771 | 31,995 | 28,705 | 24,955 | 22,977 | 24,596 | 21,132 | 21,079 | ||||||||||||||||||||||||
Loss from operations | (11,603 | ) | (12,615 | ) | (10,102 | ) | (4,290 | ) | (5,896 | ) | (9,356 | ) | (7,979 | ) | (6,051 | ) | ||||||||||||||||
Interest expense | (763 | ) | (700 | ) | (316 | ) | (265 | ) | (7 | ) | (255 | ) | (94 | ) | (10 | ) | ||||||||||||||||
Other income and (expense), net | (259 | ) | (67 | ) | (145 | ) | 3 | 34 | 59 | (23 | ) | 34 | ||||||||||||||||||||
Loss before provision for income taxes | (12,625 | ) | (13,382 | ) | (10,563 | ) | (4,552 | ) | (5,869 | ) | (9,552 | ) | (8,096 | ) | (6,027 | ) | ||||||||||||||||
Provision for income taxes | 32 | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Net loss | $ | (12,657 | ) | $ | (13,382 | ) | $ | (10,563 | ) | $ | (4,552 | ) | $ | (5,869 | ) | $ | (9,552 | ) | $ | (8,096 | ) | $ | (6,027 | ) |
Organization_and_Significant_A3
Organization and Significant Accounting Policies - Initial Public Offering (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | |
Class of Stock [Line Items] | ||||
Issuance of stock, net of issuance costs | $90,427,000 | $7,145,000 | $29,919,000 | |
Class A Common Stock | IPO | ||||
Class of Stock [Line Items] | ||||
Issuance of stock (in shares) | 7,200,000 | |||
Share price (in dollars per share) | $14 | $14 | ||
Issuance of stock, net of issuance costs | 90,400,000 | |||
Underwriting discounts and commissions | 7,100,000 | |||
Payment of equity issuance costs | $3,300,000 |
Organization_and_Significant_A4
Organization and Significant Accounting Policies - Corporate Conversion (Details) (USD $) | 0 Months Ended |
Dec. 10, 2014 | |
Series A Preferred Units | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.396 |
Series B Preferred Units | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.453 |
Series C Preferred Units | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.396 |
Common Units | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.396 |
Capped Common Units ($.20 cap) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.014 |
Capped common units, cap price (in dollars per share) | 0.2 |
Capped Common Units ($1.00 cap) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.071 |
Capped common units, cap price (in dollars per share) | 1 |
Capped Common Units ($4.00 cap) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.286 |
Capped common units, cap price (in dollars per share) | 4 |
Appreciation Units ($.20 threshold price) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.382 |
Appreciation units, threshold price (in dollars per share) | 0.2 |
Appreciation Units ($.30 threshold price) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.375 |
Appreciation units, threshold price (in dollars per share) | 0.3 |
Appreciation Units ($3.36 threshold price) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.156 |
Appreciation units, threshold price (in dollars per share) | 3.36 |
Participation Units ($1.00 threshold price) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.325 |
Participation units, threshold price (in dollars per share) | 1 |
Participation Units ($4.00 threshold price) | |
Conversion of Stock [Line Items] | |
Rate of conversion | 0.111 |
Participation units, threshold price (in dollars per share) | 4 |
Organization_and_Significant_A5
Organization and Significant Accounting Policies - Foreign Currency (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Foreign currency transaction loss | $141 | $108 | $32 |
Organization_and_Significant_A6
Organization and Significant Accounting Policies - Property and Equipment, net (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $3,900,000 | $2,400,000 | $1,000,000 |
Capital lease amortization expense | $1,900,000 | $607,000 | |
Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, useful life | 3 years | ||
Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment, useful life | 10 years |
Organization_and_Significant_A7
Organization and Significant Accounting Policies - Revenue Recognition and Sales and Marketing Expenses (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Revenue recognition, customer contract period, min | 3 months | ||
Revenue recognition, customer contract period, max | 36 months | ||
Sales commissions amortization period | 12 months | ||
Advertising expense | $1,800 | $454 | $464 |
Organization_and_Significant_A8
Organization and Significant Accounting Policies - Intangible Assets (Details) (Patents, USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets useful life | 10 years | |
Finite-lived intangible assets, accumulated amortization | $14,800 | $2,000 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||
2015 | 25,000 | |
2016 | 25,000 | |
2017 | 25,000 | |
2018 | 25,000 | |
2019 | 25,000 | |
Thereafter | $108,000 |
Revision_of_Prior_Period_Finan2
Revision of Prior Period Financial Statements - Revised Balance Sheet (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Deferred government grant obligation | $2,324 | $100 | ||
Total current liabilities | 66,730 | 43,425 | ||
Deferred government grant obligation | 3,424 | 5,552 | ||
Total liabilities | 108,732 | 80,731 | ||
Common units | 160 | |||
Appreciation and participation units | 3,637 | |||
Total members' equity (deficit) | -6,787 | 12,147 | -10,329 | |
Previously reported | ||||
Deferred government grant obligation | 0 | |||
Total current liabilities | 43,325 | |||
Deferred government grant obligation | 2,259 | |||
Total liabilities | 77,338 | |||
Common units | 482 | |||
Appreciation and participation units | 3,872 | |||
Total members' equity (deficit) | -3,394 | |||
Current period adjustment | ||||
Deferred government grant obligation | 100 | |||
Total current liabilities | 100 | |||
Deferred government grant obligation | 3,293 | |||
Total liabilities | 3,393 | |||
Common units | -322 | |||
Appreciation and participation units | -235 | |||
Total members' equity (deficit) | -3,393 | |||
Series A Preferred Units | ||||
Preferred units | -10,602 | |||
Series A Preferred Units | Previously reported | ||||
Preferred units | -9,711 | |||
Series A Preferred Units | Current period adjustment | ||||
Preferred units | -891 | |||
Series B Preferred Units | ||||
Preferred units | -6,910 | |||
Series B Preferred Units | Previously reported | ||||
Preferred units | -6,485 | |||
Series B Preferred Units | Current period adjustment | ||||
Preferred units | -425 | |||
Series C Preferred Units | ||||
Preferred units | 7,070 | |||
Series C Preferred Units | Previously reported | ||||
Preferred units | 8,590 | |||
Series C Preferred Units | Current period adjustment | ||||
Preferred units | ($1,520) |
Revision_of_Prior_Period_Finan3
Revision of Prior Period Financial Statements - Revised Statement of Operations (Details) (USD $) | 1 Months Ended | 3 Months Ended | 11 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 10, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenue | |||||||||||||
Subscription and support | $25,011 | $23,690 | $21,968 | $20,648 | $19,149 | $17,333 | $15,233 | $13,449 | $91,317 | $65,164 | $34,702 | ||
Professional services | 5,118 | 4,229 | 4,546 | 7,484 | 4,420 | 3,923 | 3,794 | 7,850 | 21,377 | 19,987 | 18,236 | ||
Total revenue | 30,129 | 27,919 | 26,514 | 28,132 | 23,569 | 21,256 | 19,027 | 21,299 | 112,694 | 85,151 | 52,938 | ||
Cost of revenue | |||||||||||||
Subscription and support | 6,097 | 5,387 | 5,029 | 4,669 | 4,179 | 3,951 | 3,607 | 3,392 | 21,182 | 15,129 | 9,262 | ||
Professional services | 3,864 | 3,152 | 2,882 | 2,798 | 2,309 | 2,065 | 2,267 | 2,879 | 12,696 | 9,520 | 9,780 | ||
Total cost of revenue | 9,961 | 8,539 | 7,911 | 7,467 | 6,488 | 6,016 | 5,874 | 6,271 | 33,878 | 24,649 | 19,042 | ||
Gross profit | 20,168 | 19,380 | 18,603 | 20,665 | 17,081 | 15,240 | 13,153 | 15,028 | 78,816 | 60,502 | 33,896 | ||
Operating expenses | |||||||||||||
Research and development | 11,911 | 11,175 | 10,772 | 10,287 | 8,669 | 8,830 | 8,522 | 8,095 | 44,145 | 34,116 | 18,385 | ||
Sales and marketing | 14,063 | 16,248 | 12,747 | 10,440 | 10,482 | 11,743 | 9,628 | 9,214 | 53,498 | 41,067 | 27,537 | ||
General and administrative | 5,797 | 4,572 | 5,186 | 4,228 | 3,826 | 4,023 | 2,982 | 3,770 | 19,783 | 14,601 | 16,177 | ||
Total operating expenses | 31,771 | 31,995 | 28,705 | 24,955 | 22,977 | 24,596 | 21,132 | 21,079 | 117,426 | 89,784 | 62,099 | ||
Loss from operations | -11,603 | -12,615 | -10,102 | -4,290 | -5,896 | -9,356 | -7,979 | -6,051 | -38,610 | -29,282 | -28,203 | ||
Interest expense | -763 | -700 | -316 | -265 | -7 | -255 | -94 | -10 | -2,044 | -366 | -1,521 | ||
Other income and (expense), net | -259 | -67 | -145 | 3 | 34 | 59 | -23 | 34 | -468 | 104 | -861 | ||
Loss before provision for income taxes | -12,625 | -13,382 | -10,563 | -4,552 | -5,869 | -9,552 | -8,096 | -6,027 | -41,122 | -29,544 | -30,585 | ||
Provision for income taxes | 32 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 32 | 0 | 0 | ||
Net loss | -5,909 | -12,657 | -13,382 | -10,563 | -4,552 | -5,869 | -9,552 | -8,096 | -6,027 | -35,246 | -41,154 | -29,544 | -30,585 |
Previously reported | |||||||||||||
Revenue | |||||||||||||
Subscription and support | 65,164 | 34,702 | |||||||||||
Professional services | 19,987 | 18,236 | |||||||||||
Total revenue | 85,151 | 52,938 | |||||||||||
Cost of revenue | |||||||||||||
Subscription and support | 14,881 | 9,222 | |||||||||||
Professional services | 9,406 | 9,777 | |||||||||||
Total cost of revenue | 24,287 | 18,999 | |||||||||||
Gross profit | 60,864 | 33,939 | |||||||||||
Operating expenses | |||||||||||||
Research and development | 33,400 | 18,342 | |||||||||||
Sales and marketing | 40,824 | 27,506 | |||||||||||
General and administrative | 14,402 | 16,146 | |||||||||||
Total operating expenses | 88,626 | 61,994 | |||||||||||
Loss from operations | -27,762 | -28,055 | |||||||||||
Interest expense | -366 | -1,521 | |||||||||||
Other income and (expense), net | 104 | -861 | |||||||||||
Loss before provision for income taxes | -28,024 | -30,437 | |||||||||||
Provision for income taxes | 0 | 0 | |||||||||||
Net loss | -28,024 | -30,437 | |||||||||||
Current period adjustment | |||||||||||||
Revenue | |||||||||||||
Subscription and support | 0 | 0 | |||||||||||
Professional services | 0 | 0 | |||||||||||
Total revenue | 0 | 0 | |||||||||||
Cost of revenue | |||||||||||||
Subscription and support | 248 | 40 | |||||||||||
Professional services | 114 | 3 | |||||||||||
Total cost of revenue | 362 | 43 | |||||||||||
Gross profit | -362 | -43 | |||||||||||
Operating expenses | |||||||||||||
Research and development | 716 | 43 | |||||||||||
Sales and marketing | 243 | 31 | |||||||||||
General and administrative | 199 | 31 | |||||||||||
Total operating expenses | 1,158 | 105 | |||||||||||
Loss from operations | -1,520 | -148 | |||||||||||
Interest expense | 0 | 0 | |||||||||||
Other income and (expense), net | 0 | 0 | |||||||||||
Loss before provision for income taxes | -1,520 | -148 | |||||||||||
Provision for income taxes | 0 | 0 | |||||||||||
Net loss | ($1,520) | ($148) |
Revision_of_Prior_Period_Finan4
Revision of Prior Period Financial Statements - Revised Statement of Cash Flows (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net loss | ($41,154) | ($29,544) | ($30,585) |
Other receivables | 155 | -686 | -33 |
Net cash used in operating activities | -3,505 | -10,452 | -5,763 |
Proceeds from government for training reimbursement | 194 | 1,520 | 357 |
Net cash provided by financing activities | 93,155 | 10,370 | 31,639 |
Previously reported | |||
Net loss | -28,024 | -30,437 | |
Other receivables | -686 | 176 | |
Net cash used in operating activities | -8,932 | -5,406 | |
Proceeds from government for training reimbursement | 0 | 0 | |
Net cash provided by financing activities | 8,850 | 31,282 | |
Current period adjustment | |||
Net loss | -1,520 | -148 | |
Other receivables | 0 | -209 | |
Net cash used in operating activities | -1,520 | -357 | |
Proceeds from government for training reimbursement | 1,520 | 357 | |
Net cash provided by financing activities | $1,520 | $357 |
Marketable_Securities_Schedule
Marketable Securities - Schedule of Marketable Securities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $101,131 | $15,515 | $24,979 | $10,029 |
Available-for-sale Securities [Abstract] | ||||
Unrealized Gains | 0 | |||
Unrealized Losses | -196 | |||
Cash and cash equivalents and available-for-sale securities, amortized cost | 18,923 | |||
Cash and cash equivalents and available-for-sale securities | 18,727 | |||
Domestic debt mutual funds | ||||
Available-for-sale Securities [Abstract] | ||||
Amortized Cost | 5,000 | |||
Unrealized Gains | 0 | |||
Unrealized Losses | -196 | |||
Aggregate Fair Value | 4,804 | |||
Money market funds | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | 97,085 | 13,923 | ||
Cash and cash equivalents, aggregate fair value | 97,085 | 13,923 | ||
Marketable Securities | Domestic debt mutual funds | ||||
Available-for-sale Securities [Abstract] | ||||
Amortized Cost | 5,000 | |||
Unrealized Gains | 0 | |||
Unrealized Losses | -196 | |||
Aggregate Fair Value | 4,804 | |||
Cash and Cash Equivalents | Money market funds | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | 13,923 | |||
Cash and cash equivalents, aggregate fair value | $13,923 |
Marketable_Securities_Continuo
Marketable Securities - Continuous Unrealized Loss Position (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Fair Value: | ||
Less than 12 months | $0 | |
12 months or greater | 4,804 | |
Unrealized Loss: | ||
Less than 12 months | 0 | |
12 months or greater | -196 | |
Domestic debt mutual funds | ||
Fair Value: | ||
Less than 12 months | 0 | |
12 months or greater | 4,804 | |
Unrealized Loss: | ||
Less than 12 months | 0 | |
12 months or greater | -196 | |
Other income (expense), net | Domestic debt mutual funds | ||
Unrealized Loss: | ||
Realized loss on the sale of available-for-sale securities | $136 |
Supplemental_Consolidated_Bala2
Supplemental Consolidated Balance Sheet and Statement of Operations Information - Other Receivables (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Receivables, Net, Current [Abstract] | ||
Government loan award (Note 7) | $0 | $2,000 |
Other receivables | 295 | 856 |
Total other receivables | $295 | $2,856 |
Supplemental_Consolidated_Bala3
Supplemental Consolidated Balance Sheet and Statement of Operations Information - Restricted Cash (Details) (Restricted Cash, Noncurrent, USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Restricted Cash, Noncurrent | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Cash collateral for lease on building | $101 | $154 |
Cash collateral for letter of credit | $300 | $25 |
Supplemental_Consolidated_Bala4
Supplemental Consolidated Balance Sheet and Statement of Operations Information - Property, Plant and Equipment (Details) (USD $) | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | $53,950 | $38,756 | ||
Less: accumulated depreciation and amortization | -7,685 | -4,041 | ||
Property and equipment, net | 46,265 | 34,715 | ||
Capital and financing leased assets, gross | 40,806 | 18,804 | ||
Less: accumulated amortization | -2,477 | -607 | ||
Capital and financing leases, net | 38,329 | 18,197 | ||
Buildings | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 37,380 | 19,900 | 17,056 | 17,100 |
Capital and financing leased assets, gross | 37,380 | 17,056 | ||
Computers, equipment and software | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 6,773 | 4,934 | ||
Computers and equipment | ||||
Property, Plant and Equipment [Line Items] | ||||
Capital and financing leased assets, gross | 3,034 | 1,356 | ||
Furniture and fixtures | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 7,024 | 4,470 | ||
Capital and financing leased assets, gross | 392 | 392 | ||
Vehicles | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 148 | 97 | ||
Leasehold improvements | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 1,105 | 523 | ||
Construction in process | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | $1,520 | $11,676 |
Supplemental_Consolidated_Bala5
Supplemental Consolidated Balance Sheet and Statement of Operations Information - Accrued Expenses and Other Current Liabilities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accrued Liabilities and Other Liabilities [Abstract] | ||
Accrued vacation | $2,949 | $2,175 |
Accrued commissions | 1,649 | 1,118 |
Accrued bonuses | 6,336 | 3,101 |
Self-insurance reserves | 800 | 692 |
Accrued other liabilities | 5,031 | 1,853 |
Accrued expenses and other current liabilities | $16,765 | $8,939 |
Supplemental_Consolidated_Bala6
Supplemental Consolidated Balance Sheet and Statement of Operations Information - Other Income (Expense), Net (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other Nonoperating Income (Expense) [Abstract] | |||||||||||
Interest income | $73 | $220 | $98 | ||||||||
Change in fair value of derivative | -193 | 0 | 3,271 | ||||||||
Loss on early extinguishment of convertible note | -111 | 0 | -4,206 | ||||||||
Other | -237 | -116 | -24 | ||||||||
Nonoperating Income (Expense) | ($259) | ($67) | ($145) | $3 | $34 | $59 | ($23) | $34 | ($468) | $104 | ($861) |
Fair_Value_Measurements_Assets
Fair Value Measurements - Assets and Liabilities Measured on Recurring Basis (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Domestic debt mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities - domestic debt mutual funds | $4,804 | |
Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents - money market funds | 97,085 | 13,923 |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets measured at fair value | 97,085 | 18,727 |
Recurring | Domestic debt mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities - domestic debt mutual funds | 4,804 | |
Recurring | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents - money market funds | 97,085 | 13,923 |
Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets measured at fair value | 97,085 | 18,727 |
Recurring | Level 1 | Domestic debt mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities - domestic debt mutual funds | 4,804 | |
Recurring | Level 1 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents - money market funds | 97,085 | 13,923 |
Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets measured at fair value | 0 | 0 |
Recurring | Level 2 | Domestic debt mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities - domestic debt mutual funds | 0 | |
Recurring | Level 2 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents - money market funds | 0 | 0 |
Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets measured at fair value | 0 | 0 |
Recurring | Level 3 | Domestic debt mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities - domestic debt mutual funds | 0 | |
Recurring | Level 3 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents - money market funds | $0 | $0 |
Fair_Value_Measurements_Level_
Fair Value Measurements - Level 3 Roll Forward (Details) (Derivative Financial Instruments, Liabilities, Embedded Derivative Financial Instruments, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Derivative Financial Instruments, Liabilities | Embedded Derivative Financial Instruments | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning of period | $0 | $0 |
Convertible notes - embedded derivative | 1,199 | 0 |
Change in fair value of derivative | 193 | 0 |
Share settlement of convertible debt | -1,392 | 0 |
Balance at end of period | $0 | $0 |
Fair_Value_Measurements_Other_
Fair Value Measurements - Other Fair Value Measurements (Details) (Level 3, USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Level 3 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Long-term debt fair value | $0.20 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Lease Commitments (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Property, Plant and Equipment [Line Items] | |||
Operating lease rent expense | $3,200,000 | $2,500,000 | $1,200,000 |
Capital leased assets | 40,806,000 | 18,804,000 | |
Computer Equipment and Furniture | |||
Property, Plant and Equipment [Line Items] | |||
Capital leased assets | $1,700,000 | $1,700,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies - Build to Suit (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
phase | ||||
Commitments and Contingencies Disclosure [Abstract] | ||||
Financing obligation number of phases | 2 | |||
Financing obligation, lessor committed fundings phase 1 | $11,800,000 | |||
Financing obligation, lessor committed fundings phase 2 | 11,100,000 | |||
Debt Instrument [Line Items] | ||||
Capital leased assets | 40,806,000 | 18,804,000 | ||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 53,950,000 | 38,756,000 | ||
Financing obligation, purchase option period | 3 years | |||
Buildings | ||||
Debt Instrument [Line Items] | ||||
Capital leased assets | 37,380,000 | 17,056,000 | ||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 37,380,000 | 17,056,000 | 19,900,000 | 17,100,000 |
Financing Lease Obligation | ||||
Debt Instrument [Line Items] | ||||
Capital leased assets | $11,100,000 | $11,800,000 |
Commitments_and_Contingencies_3
Commitments and Contingencies - Operating Minimum Lease Payments (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2015 | $2,432 |
2016 | 2,714 |
2017 | 2,701 |
2018 | 2,446 |
2019 | 1,592 |
Thereafter | 9,048 |
Total minimum lease payments | 20,933 |
Financing Obligations | |
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2015 | 2,541 |
2016 | 2,681 |
2017 | 2,681 |
2018 | 2,681 |
2019 | 2,681 |
Thereafter | 32,333 |
Total minimum lease payments | 45,598 |
Less: Amount representing interest | 23,238 |
Present value of capital lease and financing obligations | 22,360 |
Capital Leases | |
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2015 | 1,291 |
2016 | 900 |
2017 | 333 |
2018 | 18 |
2019 | 0 |
Thereafter | 0 |
Total minimum lease payments | 2,542 |
Less: Amount representing interest | 214 |
Present value of capital lease and financing obligations | $2,328 |
Commitments_and_Contingencies_4
Commitments and Contingencies - Government Grants (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
agreement | |||
employee | |||
Gain Contingencies [Line Items] | |||
Government training reimbursement number of agreements | 3 | ||
Government training reimbursement number of employees | 378 | ||
Proceeds from government for training reimbursement | $194,000 | $1,520,000 | $357,000 |
Gain (loss) on government grant reimbursement | 99,000 | 0 | 0 |
Deferred government grant obligation, current | 2,324,000 | 100,000 | |
Other Operating Income (Expense) | |||
Gain Contingencies [Line Items] | |||
Gain (loss) on government grant reimbursement | 99,000 | 0 | 0 |
Training Reimbursement | |||
Gain Contingencies [Line Items] | |||
Deferred government grant obligation | 3,500,000 | 3,400,000 | |
Deferred government grant obligation, current | $697,000 | $100,000 |
Commitments_and_Contingencies_5
Commitments and Contingencies - Forgivable Grant (Details) (USD $) | 0 Months Ended | 12 Months Ended | |
Feb. 01, 2011 | Dec. 31, 2013 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | |||
Debt face amount | $650,000 | ||
Other Commitments [Line Items] | |||
Deferred government grant obligation, current | 100,000 | 2,324,000 | |
Deferred government grant obligation, noncurrent | 5,552,000 | 3,424,000 | |
Forgivable Grant | |||
Other Commitments [Line Items] | |||
Deferred government grant obligation | 2,300,000 | ||
Deferred government grant obligation, current | 1,627,000 | ||
Deferred government grant obligation, noncurrent | 632,000 | ||
Forgivable Grant | February 2011, 6% IDED Forgivable Grant | |||
Debt Instrument [Line Items] | |||
Debt face amount | 2,300,000 | ||
Debt term | 5 years | ||
Debt stated interest rate | 6.00% | ||
Number of jobs required to create and retain for a specific period of time | 251 | ||
Number of previous jobs required to maintain | 6 | ||
Required investment in development plan | 31,600,000 | ||
Repayment amount per position | 8,799 | ||
Interest expense offset | $260,000 |
Debt_Convertible_Debt_Details
Debt - Convertible Debt (Details) (USD $) | 12 Months Ended | 6 Months Ended | 1 Months Ended | 0 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 16, 2014 | Dec. 31, 2011 | Mar. 31, 2012 | Dec. 16, 2014 | Jul. 31, 2014 | |
Debt Instrument [Line Items] | ||||||||
Debt face amount | $650,000 | |||||||
Proceeds from issuance of convertible notes | 5,000,000 | 0 | 2,455,000 | |||||
Payments of debt issuance costs | 113,000 | 0 | 0 | |||||
Loss on settlement of convertible notes | 111,000 | 0 | 4,206,000 | |||||
Convertible Debt | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest expense | 762,000 | |||||||
Extinguishment of debt amount | 13,500,000 | |||||||
Convertible Debt | Other income (expense), net | ||||||||
Debt Instrument [Line Items] | ||||||||
Gain (loss) on embedded derivatives, net | 3,300,000 | -193,000 | ||||||
Loss on settlement of convertible notes | 4,200,000 | |||||||
Convertible Debt | Series C Preferred Units | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt conversion shares issued | 3,006,442 | |||||||
Convertible Debt | December 2011, Convertible Promissory Notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt face amount | 10,100,000 | |||||||
Debt stated interest rate | 7.00% | |||||||
Proceeds from issuance of convertible notes | 10,100,000 | |||||||
Payments of debt issuance costs | 38,000 | |||||||
Debt instrument extension period | 2 years | |||||||
Debt convertible, threshold equity interest sold to new investors | 12,000,000 | |||||||
Debt convertible, triggered, days convertible | 30 days | |||||||
Debt convertible, percent of price per unit | 90.00% | |||||||
Fair value of embedded derivative liability | 3,800,000 | |||||||
Convertible Debt | March 2012, Convertible Promissory Notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt face amount | 2,500,000 | |||||||
Proceeds from issuance of convertible notes | 2,500,000 | |||||||
Payments of debt issuance costs | 10,000 | |||||||
Fair value of embedded derivative liability | 922,000 | |||||||
Convertible Debt | July 2013, 7% Subordinated Promissory Note | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt face amount | 5,000,000 | |||||||
Debt stated interest rate | 7.00% | |||||||
Debt convertible, percent of price per unit | 90.00% | |||||||
Debt convertible, percent of discount of price | 10.00% | |||||||
Debt convertible, paid in kind interest percentage | 10.00% | |||||||
Fair value of embedded derivative liability | 1,200,000 | |||||||
Interest expense | 400,000 | |||||||
Extinguishment of debt amount | 5,100,000 | |||||||
Debt conversion shares issued | 407,480 | |||||||
Conversion price (in dollars per share) | $12.60 | $12.60 | ||||||
Loss on settlement of convertible notes | $111,000 | |||||||
Lock-up agreement period | 180 days |
Debt_Debt_Narrative_Details
Debt - Debt Narrative (Details) (USD $) | 12 Months Ended | 0 Months Ended | |||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 15, 2010 | Feb. 01, 2011 | Jul. 14, 2011 | Aug. 31, 2009 | Apr. 30, 2010 | 20-May-10 | Dec. 20, 2013 | Oct. 31, 2013 | Mar. 06, 2013 | Aug. 31, 2014 | |
job | job | job | |||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | $650,000 | ||||||||||||
Current portion of long-term debt | 84,000 | 2,303,000 | |||||||||||
Long-term debt | 91,000 | 2,254,000 | |||||||||||
Loans Payable | August 2009, IDED Loans | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Number of jobs required to create and retain for a specific period of time | 20 | ||||||||||||
Amount due if jobs not created | 150,000 | ||||||||||||
Interest expense | 6,800 | 11,000 | 11,000 | ||||||||||
Loans Payable | August 2009, 5% IDED Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 100,000 | ||||||||||||
Debt stated interest rate | 5.00% | ||||||||||||
Loans Payable | August 2009, $150,000 IDED Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 150,000 | 150,000 | |||||||||||
Periodic payment minimum percentage of gross revenue | 2.00% | ||||||||||||
Periodic payment annual principal payment minimum | 25,000 | ||||||||||||
Periodic payment total expected payment | 225,000 | ||||||||||||
Expected principal payment in next fiscal year | 25,000 | ||||||||||||
Current portion of long-term debt | 17,000 | ||||||||||||
Long-term debt | 91,000 | ||||||||||||
Loans Payable | April 2010, 1.625% Percent City of Ames Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 100,000 | ||||||||||||
Debt stated interest rate | 1.63% | ||||||||||||
Number of jobs required to create for a specific period of time | 62 | ||||||||||||
Interest expense | 300 | 1,000 | 1,000 | ||||||||||
Loans Payable | May 2010, Non-Interest Bearing IDED Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 500,000 | 500,000 | |||||||||||
Current portion of long-term debt | 67,000 | ||||||||||||
Long-term debt | 0 | ||||||||||||
Number of jobs required to create and retain for a specific period of time | 62 | ||||||||||||
Forgivable Grant | February 2010, 6% IDED Forgivable Grant | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 150,000 | ||||||||||||
Debt stated interest rate | 6.00% | ||||||||||||
Debt term | 10 years | ||||||||||||
Interest expense | 9,000 | 11,000 | 9,000 | ||||||||||
Minimum percent of assets sold causing debt to no longer be forgivable | 51.00% | ||||||||||||
Forgivable Grant | February 2011, 6% IDED Forgivable Grant | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 2,300,000 | ||||||||||||
Debt stated interest rate | 6.00% | ||||||||||||
Debt term | 5 years | ||||||||||||
Number of jobs required to create and retain for a specific period of time | 251 | ||||||||||||
Interest expense | -260,000 | ||||||||||||
Forgivable Grant | October 2013, IEDA Loans | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 2,000,000 | ||||||||||||
Forgivable Grant | October 2013, IEDA Forgivable Loans | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt maximum amount available | 2,500,000 | ||||||||||||
Forgivable Grant | October 2013, Non-interest Bearing IEDA Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt maximum amount available | 2,500,000 | ||||||||||||
Line of Credit | Bankers Trust | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Interest expense | 0 | 0 | 0 | ||||||||||
Line of credit, maximum borrowing capacity | 1,000,000 | ||||||||||||
Line of credit outstanding | 0 | ||||||||||||
Line of Credit | Bankers Trust | Prime Rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt basis spread on variable rate | 1.50% | ||||||||||||
Line of Credit | Morgan Stanley | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Interest expense | 16,000 | 27,000 | |||||||||||
Line of credit, maximum borrowing capacity | 20,800,000 | ||||||||||||
Line of credit, current borrowing capacity | 530,000 | ||||||||||||
Line of credit, remaining borrowing capacity | 230,000 | ||||||||||||
Letter of credit oustanding | 300,000 | ||||||||||||
Line of credit facility interest rate at period end | 2.25% | ||||||||||||
Line of Credit | Silicon Valley Bank | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Interest expense | 28,000 | ||||||||||||
Line of credit, maximum borrowing capacity | 15,000,000 | ||||||||||||
Line of credit asset restrictions on cash | 5,000,000 | ||||||||||||
Line of credit outstanding | 0 | ||||||||||||
Line of Credit | Silicon Valley Bank | Prime Rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt basis spread on variable rate | 1.00% | ||||||||||||
Line of Credit | February 2011, 6% IDED Forgivable Grant | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Letter of credit oustanding | 2,300,000 | ||||||||||||
Line of Credit | October 2013, Non-interest Bearing IEDA Loan | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Letter of credit oustanding | 2,000,000 | ||||||||||||
Vehicle Financing Arrangements | 2012, 8.35% Vehicle Financing Arrangements | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt face amount | 85,000 | ||||||||||||
Debt stated interest rate | 8.35% | ||||||||||||
Interest expense | $3,200 | $5,400 | $2,000 |
Debt_Schedule_of_LongTerm_Debt
Debt - Schedule of Long-Term Debt (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2009 | 20-May-10 |
Debt Instrument [Line Items] | ||||
Original Principal | $650,000 | |||
Short-Term | 84,000 | 2,303,000 | ||
Long-Term | 91,000 | 2,254,000 | ||
Outstanding Principal | 175,000 | |||
Loans Payable | August 2009, $150,000 IDED Loan | ||||
Debt Instrument [Line Items] | ||||
Original Principal | 150,000 | 150,000 | ||
Short-Term | 17,000 | |||
Long-Term | 91,000 | |||
Outstanding Principal | 108,000 | |||
Loans Payable | May 2010, Non-Interest Bearing IDED Loan | ||||
Debt Instrument [Line Items] | ||||
Original Principal | 500,000 | 500,000 | ||
Short-Term | 67,000 | |||
Long-Term | 0 | |||
Outstanding Principal | $67,000 |
Stockholders_Equity_and_Member1
Stockholders' Equity and Members' Equity (Deficit) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 0 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 10, 2014 |
class | class | ||||
Class of Stock [Line Items] | |||||
Number of classes of common stock | 2 | 2 | |||
Issuance of stock/units, net of issuance costs | $90,427 | $7,145 | $29,919 | ||
Payment of equity issuance costs | 0 | 20 | 315 | ||
Class A Common Stock | |||||
Class of Stock [Line Items] | |||||
Common stock votes per share | 1 | 1 | |||
Class B Common Stock | |||||
Class of Stock [Line Items] | |||||
Common stock votes per share | 10 | 10 | |||
Rate of conversion | 1 | ||||
Series C Preferred Units | |||||
Class of Stock [Line Items] | |||||
Rate of conversion | 0.396 | ||||
Issuance of stock (in shares) | 1,433,115 | 6,046,830 | |||
Share price (in dollars per share) | $5 | $5 | |||
Issuance of stock/units, net of issuance costs | 7,100 | 29,900 | |||
Payment of equity issuance costs | $20 | $315 | |||
Distribution made to LLC member, dollars per unit | $5 | $5 | |||
Series B Preferred Units | |||||
Class of Stock [Line Items] | |||||
Rate of conversion | 0.453 | ||||
Distribution made to LLC member, dollars per unit | $1 | $1 | |||
Series A Preferred Units | |||||
Class of Stock [Line Items] | |||||
Rate of conversion | 0.396 | ||||
Distribution made to LLC member, dollars per unit | $0.20 | $0.20 | |||
Common Units | |||||
Class of Stock [Line Items] | |||||
Distribution made to LLC member, dollars per unit | $0.20 | $0.20 |
StockBased_Compensation_Narrat
Stock-Based Compensation - Narrative (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $7,385 | $3,370 | $8,129 |
Restricted Participation and Appreciation Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 50 | 224 | 6,900 |
Employee and Nonemployee Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 7,300 | 3,100 | 1,200 |
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $31 | ||
Class A Common Stock | 2014 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares available for grant | 3,905,650 | ||
Class A Common Stock | 2014 Equity Incentive Plan | Employee and Nonemployee Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 4 years | ||
Expiration period | 10 years |
StockBased_Compensation_Expens
Stock-Based Compensation - Expense (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | $7,385 | $3,370 | $8,129 |
Subscription and support | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | 502 | 200 | 80 |
Professional services | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | 337 | 171 | 144 |
Research and development | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | 1,757 | 762 | 194 |
Sales and marketing | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | 1,241 | 799 | 293 |
General and administrative | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation expense | $3,548 | $1,438 | $7,418 |
StockBased_Compensation_Assump
Stock-Based Compensation - Assumptions (Details) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Risk-free interest rate, min | 1.52% | 1.00% | 0.75% |
Risk-free interest rate, max | 2.80% | 2.89% | 1.78% |
Expected volatility, min | 45.84% | 51.09% | 51.35% |
Expected volatility, max | 52.50% | 53.84% | 53.09% |
Forfeiture rate | 0.89% | ||
Forfeiture rate, min | 0.00% | 0.00% | |
Forfeiture rate, max | 6.76% | 6.02% | |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Expected term (in years) | 5 years | 6 years 1 month 6 days | 6 years 1 month 6 days |
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Expected term (in years) | 10 years | 10 years | 10 years |
StockBased_Compensation_Stock_
Stock-Based Compensation - Stock Options (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Options (in shares): | |||
Outstanding beginning of the period | 3,411,237 | ||
Granted | 2,973,368 | ||
Forfeited | 147,885 | ||
Exercised | 146,782 | ||
Outstanding end of the period | 6,089,938 | 3,411,237 | |
Exercisable at end of the period | 2,934,720 | ||
Weighted-Average Exercise Price (in dollars per share): | |||
Outstanding beginning of the period | $4 | ||
Granted | $15.85 | ||
Forfeited | $10.43 | ||
Exercised | $3.96 | ||
Outstanding end of the period | $9.63 | $4 | |
Exercisable at the end of the period | $4.47 | ||
Outstanding, weighted-average remaining contractual term (years) | 7 years 9 months 18 days | 7 years 6 months | |
Exercisable, weighted-average remaining contractual term (years) | 6 years 6 months | ||
Outstanding, aggregate intrinsic value | $30,066,000 | $40,449,000 | |
Exercisable, aggregate intrinsic value | 26,869,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Options exercised intrinsic value | 1,700,000 | 638,000 | 73,000 |
Options grants in period, weighted average grant date fair value (in dollars per share) | $7.85 | $6.24 | $3.69 |
Options vested in period fair value | 5,100,000 | 2,300,000 | 795,000 |
Share-based compensation expense | 7,385,000 | 3,370,000 | 8,129,000 |
Employee and Nonemployee Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Options unrecognized compensation expense | 18,000,000 | ||
Options unrecognized compensation expense, period for recognition | 3 years 2 months 23 days | ||
Share-based compensation expense | 7,300,000 | 3,100,000 | 1,200,000 |
Nonemployee Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Share-based compensation expense | $1,800,000 | $1,600,000 | $676,000 |
StockBased_Compensation_Restri
Stock-Based Compensation - Restricted Stock (Details) (Non-employee Members, Board of Directors, Restricted Stock, USD $) | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 |
Non-employee Members, Board of Directors | Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares granted | 54,350 |
Award vesting period | 1 year |
Grants in period, weighted average grant date fair value (in dollars per share) | $13.80 |
Unrecognized compensation expense | $719 |
Unrecognized compensation expense, period for recognition | 11 months 16 days |
StockBased_Compensation_Restri1
Stock-Based Compensation - Restricted Participation and Appreciation Units (Details) (Restricted Participation and Appreciation Units, USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Restricted Participation and Appreciation Units | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity instruments other than options outstanding | 108,975 | ||
Grants in period, weighted average grant date fair value (in dollars per share) | $9.87 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $77 | $242 | $7,000 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Balance, beginning of the period | ($142) | ($42) | $0 |
Other comprehensive income (loss), before reclassification | 153 | -100 | -42 |
Reclassification of realized loss | 136 | ||
Balance, end of the period | 147 | -142 | -42 |
Accumulated translation adjustment | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Balance, beginning of the period | 54 | -2 | 0 |
Other comprehensive income (loss), before reclassification | 93 | 56 | -2 |
Reclassification of realized loss | 0 | ||
Balance, end of the period | 147 | 54 | -2 |
Accumulated unrealized holding losses on available-for-sale securities | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Balance, beginning of the period | -196 | -40 | 0 |
Other comprehensive income (loss), before reclassification | 60 | -156 | -40 |
Reclassification of realized loss | 136 | ||
Balance, end of the period | $0 | ($196) | ($40) |
Segments_Details
Segments (Details) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Segment Reporting [Abstract] | |||
Number of operating segments | 1 | ||
Geographic Concentration Risk | Revenue | United States | |||
Concentration Risk [Line Items] | |||
Concentration risk percentage | 94.70% | 95.80% | 98.30% |
Income_Taxes_Narrative_Details
Income Taxes - Narrative (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 10, 2014 |
Income Tax Disclosure [Abstract] | ||||||||||||
Deferred tax assets gross | $32,571 | $32,571 | $29,900 | |||||||||
Provision for income taxes | $32 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $32 | $0 | $0 |
Income_Taxes_Income_Before_Inc
Income Taxes - Income Before Income Tax, Domestic and Foreign (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest [Abstract] | |||||||||||
United States | ($40,363) | ($29,202) | ($30,003) | ||||||||
Foreign | -759 | -342 | -582 | ||||||||
Loss before provision for income taxes | ($12,625) | ($13,382) | ($10,563) | ($4,552) | ($5,869) | ($9,552) | ($8,096) | ($6,027) | ($41,122) | ($29,544) | ($30,585) |
Income_Taxes_Effective_Income_
Income Taxes - Effective Income Tax Reconciliation (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||||||||||
Federal statutory rate (as percent) | 35.00% | ||||||||||
Effect of: | |||||||||||
Tax benefit at federal statutory rate | ($14,393) | ||||||||||
State taxes, net of federal benefit | -347 | ||||||||||
Non-taxable flow-through earnings | 12,336 | ||||||||||
Foreign | -130 | ||||||||||
Recognition of deferred tax assets | -29,870 | ||||||||||
Valuation allowance | 32,440 | ||||||||||
Other | -4 | ||||||||||
Total income tax provision | $32 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $32 | $0 | $0 |
Income_Taxes_Deferred_Tax_Asse
Income Taxes - Deferred Tax Assets and Liabilities (Details) (USD $) | Dec. 31, 2014 | Dec. 10, 2014 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ||
Property and equipment | $56 | |
Accruals and reserves | 1,523 | |
Deferred rent | 354 | |
Compensation and benefits | 8,056 | |
Deferred revenue | 17,779 | |
Net operating loss and credits | 4,786 | |
Other | 17 | |
Total deferred tax assets | 32,571 | 29,900 |
Valuation allowance | -32,514 | |
Total deferred tax assets | 57 | |
Deferred tax liabilities: | ||
Other deferred tax liabilities | -57 | |
Deferred tax liabilities | -57 | |
Total | $0 |
Income_Taxes_Operating_Loss_Ca
Income Taxes - Operating Loss Carryforwards (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Federal | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | $11,500 | |
State | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 8,800 | |
Foreign | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | $900 | $398 |
Net_Loss_Per_Share_Earnings_Pe
Net Loss Per Share - Earnings Per Share Basic and Diluted (Details) (USD $) | 1 Months Ended | 3 Months Ended | 11 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 10, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Class of Stock [Line Items] | |||||||||||||
Net loss | ($5,909) | ($12,657) | ($13,382) | ($10,563) | ($4,552) | ($5,869) | ($9,552) | ($8,096) | ($6,027) | ($35,246) | ($41,154) | ($29,544) | ($30,585) |
Weighted average common shares outstanding - basic and diluted (in shares) | 32,156,060 | 31,376,603 | 26,390,099 | ||||||||||
Basic and diluted net loss per share (in dollars per share) | ($1.28) | ($0.94) | ($1.16) | ||||||||||
Class A Common Stock | |||||||||||||
Class of Stock [Line Items] | |||||||||||||
Net loss | -25,259 | -18,016 | -17,696 | ||||||||||
Weighted average common shares outstanding - basic and diluted (in shares) | 19,736,342 | 19,133,028 | 15,268,739 | ||||||||||
Basic and diluted net loss per share (in dollars per share) | ($1.28) | ($0.94) | ($1.16) | ||||||||||
Class B Common Stock | |||||||||||||
Class of Stock [Line Items] | |||||||||||||
Net loss | ($15,895) | ($11,528) | ($12,889) | ||||||||||
Weighted average common shares outstanding - basic and diluted (in shares) | 12,419,718 | 12,243,575 | 11,121,360 | ||||||||||
Basic and diluted net loss per share (in dollars per share) | ($1.28) | ($0.94) | ($1.16) |
Net_Loss_Per_Share_Antidilutiv
Net Loss Per Share - Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Shares subject to outstanding common stock options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share (in shares) | 2,383,188 | 2,289,560 | 1,338,432 |
Shares subject to unvested appreciation units and participation units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share (in shares) | 0 | 108,975 | 552,342 |
Shares subject to unvested restricted stock awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share (in shares) | 54,350 | 0 | 0 |
Unaudited_Quarterly_Results_of2
Unaudited Quarterly Results of Operations - Schedule of Quarterly Results (Details) (USD $) | 1 Months Ended | 3 Months Ended | 11 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 10, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenue | |||||||||||||
Subscription and support | $25,011 | $23,690 | $21,968 | $20,648 | $19,149 | $17,333 | $15,233 | $13,449 | $91,317 | $65,164 | $34,702 | ||
Professional services | 5,118 | 4,229 | 4,546 | 7,484 | 4,420 | 3,923 | 3,794 | 7,850 | 21,377 | 19,987 | 18,236 | ||
Total revenue | 30,129 | 27,919 | 26,514 | 28,132 | 23,569 | 21,256 | 19,027 | 21,299 | 112,694 | 85,151 | 52,938 | ||
Cost of revenue | |||||||||||||
Subscription and support | 6,097 | 5,387 | 5,029 | 4,669 | 4,179 | 3,951 | 3,607 | 3,392 | 21,182 | 15,129 | 9,262 | ||
Professional services | 3,864 | 3,152 | 2,882 | 2,798 | 2,309 | 2,065 | 2,267 | 2,879 | 12,696 | 9,520 | 9,780 | ||
Total cost of revenue | 9,961 | 8,539 | 7,911 | 7,467 | 6,488 | 6,016 | 5,874 | 6,271 | 33,878 | 24,649 | 19,042 | ||
Gross profit | 20,168 | 19,380 | 18,603 | 20,665 | 17,081 | 15,240 | 13,153 | 15,028 | 78,816 | 60,502 | 33,896 | ||
Operating expenses | |||||||||||||
Research and development | 11,911 | 11,175 | 10,772 | 10,287 | 8,669 | 8,830 | 8,522 | 8,095 | 44,145 | 34,116 | 18,385 | ||
Sales and marketing | 14,063 | 16,248 | 12,747 | 10,440 | 10,482 | 11,743 | 9,628 | 9,214 | 53,498 | 41,067 | 27,537 | ||
General and administrative | 5,797 | 4,572 | 5,186 | 4,228 | 3,826 | 4,023 | 2,982 | 3,770 | 19,783 | 14,601 | 16,177 | ||
Total operating expenses | 31,771 | 31,995 | 28,705 | 24,955 | 22,977 | 24,596 | 21,132 | 21,079 | 117,426 | 89,784 | 62,099 | ||
Loss from operations | -11,603 | -12,615 | -10,102 | -4,290 | -5,896 | -9,356 | -7,979 | -6,051 | -38,610 | -29,282 | -28,203 | ||
Interest expense | -763 | -700 | -316 | -265 | -7 | -255 | -94 | -10 | -2,044 | -366 | -1,521 | ||
Other income and (expense), net | -259 | -67 | -145 | 3 | 34 | 59 | -23 | 34 | -468 | 104 | -861 | ||
Loss before provision for income taxes | -12,625 | -13,382 | -10,563 | -4,552 | -5,869 | -9,552 | -8,096 | -6,027 | -41,122 | -29,544 | -30,585 | ||
Provision for income taxes | 32 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 32 | 0 | 0 | ||
Net loss | ($5,909) | ($12,657) | ($13,382) | ($10,563) | ($4,552) | ($5,869) | ($9,552) | ($8,096) | ($6,027) | ($35,246) | ($41,154) | ($29,544) | ($30,585) |