Clearwater Analytics (CWAN) 10-Q 12 Nov 21 2021 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2021	Nov. 12, 2021
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2021
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Trading Symbol	CWAN
Entity Registrant Name	Clearwater Analytics Holdings, Inc.
Entity Central Index Key	0001866368
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Current Reporting Status	No
Entity File Number	001-40838
Entity Tax Identification Number	87-1043711
Entity Address, Address Line One	777 W. Main Street
Entity Address, Address Line Two	Suite 900
Entity Address, City or Town	Boise
Entity Address, State or Province	ID
Entity Address, Postal Zip Code	83702
City Area Code	208
Local Phone Number	918-2400
Entity Interactive Data Current	Yes
Entity Incorporation, State or Country Code	DE
Document Quarterly Report	true
Document Transition Report	false
Title of 12(b) Security	Class A common stock, par value $0.001 per share
Security Exchange Name	NYSE
Entity Bankruptcy Proceedings, Reporting Current	true
Class A Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		47,366,089
Class B Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		11,151,110
Class C Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		47,377,587
Class D Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		130,083,755

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 245,094	$ 61,088
Accounts receivable, net	48,999	32,882
Prepaid expense and other current assets	11,110	7,550
Total current assets	305,203	101,520
Property and equipment, net	9,989	8,849
Deferred contract costs, non-current	4,773	4,580
Debt issuance costs, line of credit	971	420
Other non-current assets	5,672	190
Total assets	326,608	115,559
Current liabilities:
Accounts payable	1,472	1,340
Accrued expenses and other current liabilities	28,044	33,789
Notes payable, current portion	2,750	3,077
Total current liabilities	32,266	38,206
Notes payable, less current maturities and unamortized debt issuance costs	51,823	421,827
Other long-term liabilities	132	134
Total liabilities	84,221	460,167
Stockholders' Equity/ Members' Deficit
Members' deficit		(245,806)
Additional paid-in-capital	373,314	(98,860)
Accumulated other comprehensive income (loss)	(40)	58
Accumulated Deficit	(191,234)
Total stockholders' equity attributable to Clearwater Analytics Holdings, Inc.	182,275	(344,608)
Noncontrolling interests	60,112
Total stockholders' equity/ members' deficit	242,387	(344,608)
Total liabilities and Stockholders' Equity/ Members' Deficit	326,608	$ 115,559
Class A
Stockholders' Equity/ Members' Deficit
Common stock	47
Total stockholders' equity/ members' deficit	47
Class B
Stockholders' Equity/ Members' Deficit
Common stock	11
Total stockholders' equity/ members' deficit	11
Class C
Stockholders' Equity/ Members' Deficit
Common stock	47
Total stockholders' equity/ members' deficit	47
Class D
Stockholders' Equity/ Members' Deficit
Common stock	130
Total stockholders' equity/ members' deficit	$ 130

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (unaudited) (Parenthetical)	Sep. 30, 2021$ / sharesshares
Class A
Common stock, par value | $ / shares	$ 0.001
Common stock, shares authorized	1,500,000,000
Common stock, shares issued	47,366,089
Common stock, shares outstanding	47,366,089
Class B
Common stock, par value | $ / shares	$ 0.001
Common stock, shares authorized	500,000,000
Common stock, shares issued	11,151,110
Common stock, shares outstanding	11,151,110
Class C
Common stock, par value | $ / shares	$ 0.001
Common stock, shares authorized	500,000,000
Common stock, shares issued	47,377,587
Common stock, shares outstanding	47,377,587
Class D
Common stock, par value | $ / shares	$ 0.001
Common stock, shares authorized	500,000,000
Common stock, shares issued	130,083,755
Common stock, shares outstanding	130,083,755

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Income Statement [Abstract]
Revenue	$ 64,489	$ 53,355	$ 182,259	$ 148,464
Cost of revenue	17,785	12,325	47,683	39,216
Gross Profit, Total	46,704	41,030	134,576	109,248
Operating expenses:
Research and development	18,415	14,760	50,991	38,829
Sales and marketing	10,126	4,661	26,151	13,261
General and administrative	10,900	5,104	29,627	16,078
Total operating expenses	39,441	24,525	106,769	68,168
Income from operations	7,263	16,505	27,807	41,080
Interest expense, net	8,302	4,810	25,261	15,424
Loss on debt extinguishment	10,303		10,303
Other (income) expense, net	(130)	97	(65)	213
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total	(11,212)	11,598	(7,692)	25,443
Provision for income taxes	216	99	536	309
Net income (loss)	(11,428)	$ 11,499	(8,228)	$ 25,134
Less: Net income (loss) attributable to noncontrolling interests	(3,114)		86
Net loss attributable to Clearwater Analytics Holdings, Inc.	$ (8,314)		$ (8,314)
Net loss per share attributable to Class A and Class D common stockholders stock (Note 10) (1):
Basic and diluted	$ (0.05)		$ (0.05)
Weighted average shares of Class A and Class D common stock outstanding:
Basic	177,449,844		177,449,844
Diluted	235,978,541		235,978,541

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Operations (unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Total equity-based compensation expense	$ 7,683	$ 1,714	$ 19,239	$ 6,702
Cost of revenue
Total equity-based compensation expense	899	173	2,171	723
Research and development
Total equity-based compensation expense	2,226	487	5,912	1,866
Sales and marketing
Total equity-based compensation expense	1,655	212	3,782	944
General and administrative
Total equity-based compensation expense	$ 2,903	$ 842	$ 7,374	$ 3,169

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ (11,428)	$ 11,499	$ (8,228)	$ 25,134
Other comprehensive income (loss), net of taxes:
Foreign currency translation adjustment	(127)	79	(111)	(71)
Comprehensive income (loss)	(11,555)	$ 11,578	(8,339)	$ 25,063
Less: Comprehensive income (loss) attributable to non-controlling interests	(3,233)		(17)
Comprehensive loss attributable to Clearwater Analytics Holdings, Inc.	$ (8,322)		$ (8,322)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Changes in Equity (Deficit) (unaudited) - USD ($) $ in Thousands	Total	Activity prior to the Transactions	Activity subsequent to the Transactions	IPOEffect of the Transactions	CWAN Holdings, LLC	Class A	Class AEffect of the Transactions	Class AIPOEffect of the Transactions	Class B	Class BEffect of the Transactions	Class C	Class CEffect of the Transactions	Class D	Class DEffect of the Transactions	Class A and B UnitsCWAN Holdings, LLC	Members' Deficit	Members' DeficitCWAN Holdings, LLC	Members' DeficitCWAN Holdings, LLCActivity prior to the Transactions	Members' DeficitCWAN Holdings, LLCEffect of the Transactions	Additional Paid-In Capital	Additional Paid-In CapitalActivity prior to the Transactions	Additional Paid-In CapitalEffect of the Transactions	Additional Paid-In CapitalActivity subsequent to the Transactions	Additional Paid-In CapitalIPOEffect of the Transactions	Additional Paid-In CapitalCWAN Holdings, LLC	Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss)Activity prior to the Transactions	Accumulated Other Comprehensive Income (Loss)Effect of the Transactions	Accumulated Other Comprehensive Income (Loss)Activity subsequent to the Transactions	Accumulated Other Comprehensive Income (Loss)CWAN Holdings, LLC	Accumulated Deficit	Accumulated DeficitEffect of the Transactions	Accumulated DeficitActivity subsequent to the Transactions	Non-controlling Interest	Non-controlling InterestEffect of the Transactions	Non-controlling InterestActivity subsequent to the Transactions
Beginning Balance at Dec. 31, 2019					$ (200,722)												$ (201,576)								$ 867					$ (13)
Beginning balance, shares at Dec. 31, 2019															196,694,167
Equity-based compensation					3,304																				3,304
Foreign currency translation adjustment					(141)																									(141)
Net income (loss)					4,827											$ 3,411	4,827
Ending Balance at Mar. 31, 2020					(192,732)												(196,749)								4,171					(154)
Ending balance, shares at Mar. 31, 2020															196,694,167
Beginning Balance at Dec. 31, 2019					(200,722)												(201,576)								867					(13)
Beginning balance, shares at Dec. 31, 2019															196,694,167
Net income (loss)	$ 25,134
Ending Balance at Sep. 30, 2020					(169,100)												(176,442)								7,426					(84)
Ending balance, shares at Sep. 30, 2020															196,694,167
Beginning Balance at Mar. 31, 2020					(192,732)												(196,749)								4,171					(154)
Beginning balance, shares at Mar. 31, 2020															196,694,167
Equity-based compensation					1,684																				1,684
Foreign currency translation adjustment					(9)																									(9)
Net income (loss)					8,808												8,808
Ending Balance at Jun. 30, 2020					(182,249)												(187,941)								5,855					(163)
Ending balance, shares at Jun. 30, 2020															196,694,167
Repurchase of common units					424																				424
Repurchase of common units, shares															102,736
Exercise of options to purchase common units					(567)																				(567)
Exercise of options to purchase common units, shares															(102,736)
Equity-based compensation					1,714																				1,714
Foreign currency translation adjustment					79																									79
Net income (loss)	11,499				11,499												11,499
Ending Balance at Sep. 30, 2020					$ (169,100)												(176,442)								$ 7,426					$ (84)
Ending balance, shares at Sep. 30, 2020															196,694,167
Beginning Balance at Dec. 31, 2020	(344,608)																(245,806)			$ (98,860)						$ 58
Issuance of common units	1,560																			1,560
Repurchase of common units	(626)																			(626)
Options withheld for minimum tax obligations for net unit settlement	(587)																			(587)
Equity-based compensation	4,865																			4,865
Foreign currency translation adjustment	21																									21
Net income (loss)	3,411
Ending Balance at Mar. 31, 2021	(335,964)																(242,395)			(93,648)						79
Beginning Balance at Dec. 31, 2020	(344,608)																(245,806)			(98,860)						58
Net income (loss)	(8,228)
Ending Balance at Sep. 30, 2021	242,387					$ 47			$ 11		$ 47		$ 130							373,314						(40)					$ (191,234)			$ 60,112
Ending balance, shares at Sep. 30, 2021						47,366,089			11,151,110		47,377,587		130,083,755
Beginning Balance at Mar. 31, 2021	(335,964)																(242,395)			(93,648)						79
Exercise of options to purchase common units	251																			251
Equity-based compensation	6,691																			6,691
Foreign currency translation adjustment	(5)																									(5)
Net income (loss)	(211)																(211)
Ending Balance at Jun. 30, 2021	(329,238)																$ (242,606)			(86,706)						74
Issuance of common units				$ 577,087				$ 35																$ 577,052
Issuance of common units, shares								34,500,000
Exercise of options to purchase common units		$ 8																			$ 8
Options withheld for minimum tax obligations for net unit settlement		(1,598)																			(1,598)
Effect of organizational transactions, value							$ 13			$ 11		$ 47		$ 130					$ 242,977													$ (243,178)
Effect of organizational transactions, shares							12,866,089			11,151,110		47,377,587		130,083,755
Allocation of equity to non-controlling interest																						$ (122,813)						$ 11				$ 60,258			$ 62,545
Equity-based compensation		6,425	$ 1,258																		$ 6,425		$ 946													$ 312
Foreign currency translation adjustment		(117)	(10)																								$ (117)		$ (8)							(2)
Net income (loss)	(11,428)	$ (371)	$ (11,056)															$ (371)															$ (8,314)			$ (2,742)
Ending Balance at Sep. 30, 2021	$ 242,387					$ 47			$ 11		$ 47		$ 130							$ 373,314						$ (40)					$ (191,234)			$ 60,112
Ending balance, shares at Sep. 30, 2021						47,366,089			11,151,110		47,377,587		130,083,755

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
OPERATING ACTIVITIES
Net income (loss)	$ (8,228)	$ 25,134
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	2,204	1,603
Equity-based compensation	19,239	6,702
Amortization of deferred contract acquisition costs	2,404	1,566
Amortization of debt issuance costs, included in interest expense	1,474	1,944
Debt extinguishment costs	10,303
Changes in operating assets and liabilities:
Accounts receivable, net	(16,117)	(4,669)
Prepaid expenses and other assets	(8,717)	(156)
Accounts payable	194	(396)
Accrued expenses and other liabilities	432	(174)
Deferred commissions	(2,922)	(1,901)
Accrued sales tax liability	(6,249)
Deferred revenue	(783)	(371)
Accrued interest on debt	(2,293)	(3,246)
Other long-term liabilities		(1)
Net cash provided by (used in) operating activities	(9,059)	26,035
INVESTING ACTIVITIES
Purchases of property and equipment	(3,499)	(3,145)
Net cash used in investing activities	(3,499)	(3,145)
FINANCING ACTIVITIES
Proceeds from issuance of common unit options	1,560
Proceeds from exercise of options	259	424
Minimum tax withholding paid on behalf of employees for net unit settlement	(2,185)
Repurchase of common units	(626)	(567)
Repayments of borrowings	(434,231)	(20,787)
Payments of costs associated with early repayment of debt	(2,029)
Proceeds from borrowings	55,000
Payment of debt issuance costs	(1,400)
Proceeds from initial public offering, net of underwriting discounts	582,188
Payment of costs associated with offering	(1,850)
Net cash provided by (used in) financing activities	196,686	(20,930)
Effect of exchange rate changes on cash and cash equivalents	(122)	(71)
Net increase in cash and cash equivalents during the period	184,006	1,889
Cash and cash equivalents, beginning of period	61,088	20,254
Cash and cash equivalents, end of period	245,094	22,143
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for interest	25,847	16,780
Cash paid for income taxes	67	$ 241
NON-CASH INVESTING AND FINANCING ACTIVITIES
Purchase of property and equipment included in accounts payable and accrued expense	325
Direct costs incurred with the offering included in accounts payable and accrued expense	$ 3,251

Organization and Description of

Organization and Description of Business	9 Months Ended
	Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Description of Business	Note 1. Organization and Description of Business Clearwater Analytics Holdings, Inc. was incorporated as a Delaware corporation on May 18, 2021 , as a holding company for the purpose of facilitating its initial public offering (the “IPO”) and other related transactions in order to carry on the business of CWAN Holdings, LLC (“CWAN Holdings”) and its subsidiaries (together with Clearwater Analytics Holdings, Inc., the “Company” or “CAH, Inc.” or “Clearwater”). Prior to the IPO all business operations were conducted through Carbon Analytics Holdings, LLC, which changed its name to CWAN Holdings, LLC in conn ection with the IPO. Clearwater provides a Software as a Service (“SaaS”) solution for automated investment data aggregation, reconciliation, accounting and reporting services to insurers, investment managers, corporations, institutional investors and government entities. Following the IPO, the Company's principal asset consists of ownership of common units in CWAN Holdings. As the sole managing member of CWAN Holdings, Clearwater Analytics Holdings Inc. operates and controls all the business operations of Clearwater. Accordingly, although the Company has a minority economic interest in CWAN Holdings, the Company has the sole voting interest in, and control the management of CWAN Holdings. Our corporate structure following the IPO, as described above, is commonly referred to as an “Up-C” structure. The Company headquarters are located in Boise, ID, and we operate in four offices throughout the U.S. and five offices internationally. Initial Public Offering On September 28, 2021, the Company completed the IPO, in which it sold 34,500,000 shares of Class A common stock (including shares issued pursuant to the exercise in full of the underwriters’ option to purchase additional shares) at a public offering price of $ 18.00 per share for net proceeds of $ 582.2 million, after deducting underwriting discounts of $ 38.8 million (but excluding other offering expenses of $ 5.1 million). The Company used proceeds from the IPO to (i) purchase 34,500,000 common units of CWAN Holdings ( “LLC interests”) ; (ii) repay approximately $ 437.4 million of outstanding borrowings under the our credit agreement with Ares Capital Corporation and Golub Capital LLC (the “Previous Credit Agreement”) including prepayment premiums and accrued interest; (iii) pay $ 5.1 million of expenses related to the IPO; with the remaining proceeds intended to be used for general corporate purposes. Transactions In connection with the IPO, the Company completed the following organizational transactions (the “Transactions”):  the amendment and restatement of the limited liability company agreement of CWAN Holdings to, among other things, appoint Clearwater Analytics Holdings, Inc. as the sole managing member of CWAN Holdings and provide certain exchange and redemption rights to direct or indirect holders of interests in CWAN Holdings and/or our Class B Common Stock, Class C Common Stock and/or Class D common stock immediately following consummation of the Transactions, including the Principal Equity Owners, and certain of our directors and officers and their respective permitted transferees (the “Continuing Equity Owners”);  the amendment and restatement of the certificate of incorporation of Clearwater Analytics Holdings, Inc. to create Class A, B, C and D common stock;  the mergers of Blocker Entities into Clearwater Analytics Holdings, Inc and the issuance of Class A  the issue of 11,151,110 shares of Class B common stock to Continuing Equity Owners other than the Principal Equity Owners and 47,377,587 shares of Class C common stock to the Principal Equity Owners, on a one-to-one basis with the number of common units of CWAN Holdings. Holders of our Class B and Class C common stock, along with the holders of our Class A and Class D common stock have certain voting rights, but holders of our Class B and Class C common stock do not have an economic interest in the Company;  the issue of 130,083,755 shares of Class D common stock to the Principal Equity Owners, on a one-to-one basis , with the number of common units of CWAN Holdings. Holders of Class D common stock have certain voting rights and are entitled an economic interest in the Company;  the execution of the Tax Receivable Agreement, by and among Clearwater Analytics Holdings, Inc., CWAN Holdings, LLC and the other parties thereto (the “Tax Receivable Agreement” or “TRA”) (Note 13). Following the completion of the Transactions and IPO, and as of September 30, 2021, the Company owns 75.2 % of the interests in CWAN Holdings. Continuing Equity Owners which hold Class B and Class C common stock own the remaining 24.8 % of the interests in CWAN Holdings. The attributes of the Company's classes of common stock are summarized in the following table: Class of Common Stock Votes per Share Economic Rights Class A common stock 1 Yes Class B common stock 1 No Class C common stock 10 No Class D common stock 10 Yes

Basis of Presentation and Summa

Basis of Presentation and Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Basis of Presentation and Summary of Significant Accounting Policies	Note 2. Basis of Presentation and Summary of Significant Accounting Policies Basis of Presentation The consolidated financial statements and accompanying notes have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”). Principles of consolidation The consolidated financial statements include the accounts of the Company and its directly and indirectly wholly-owned or controlled subsidiaries. As the Transactions are considered transactions between entities under common control, the financial statements for periods prior to the IPO and the Transactions have been adjusted to combine the previously separate entities for presentation purposes. All intercompany balances and transactions have been eliminated through consolidation. Clearwater Analytics Holdings, Inc. consolidated the financial results of CWAN Holdings as Variable Interest Entity (“VIE”). Clearwater Analytics Holdings, Inc. owns the majority economic interest and has the power to control all the business and affairs of CWAN Holdings. Unaudited Interim Financial Information The accompanying interim condensed consolidated balance sheet as of September 30, 2021 and the condensed consolidated statements of operations, comprehensive income (loss), changes in equity (deficit), and cash flows for the three and nine month periods ended September 30, 2021 and 2020, and the related footnotes, are unaudited. These unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP. In management’s opinion, the unaudited interim condensed consolidated financial statements include all the adjustments necessary to state fairly the Company’s financial position as of September 30, 2021 and its results of operations and cash flows for the three and nine months ended September 30, 2021 and 2020. The results for the three and nine month period ended September 30, 2021 are not necessarily indicative of the results expected for the full year ending December 31, 2021, or any future period. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates, judgments and assumptions that affect the reported amounts of assets and liabilities and the related disclosures at the date of the consolidated financial statements, as well as the reported amounts of revenue and expenses during the periods presented. Actual results could differ materially from those estimates. Items subject to estimates and assumptions include the useful lives and recoverability of long-lived assets, the average period of benefit associated with deferred contract costs, allowances for doubtful accounts, sales reserves, accruals for sales tax liabilities, the fair value of equity awards, tax valuation allowance and probability of making payments under the TRA, among others. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable, the result of which forms the basis for making judgments about the carrying values of assets and liabilities, and measurement of revenues and expenses. To the extent there are material differences between these estimates, judgments, or assumptions and actual results, the Company’s condensed consolidated financial statements will be affected. Revenue Recognition The Company earns revenue primarily from providing access to its SaaS platform solution to its customers, and to a lesser degree, from services that support the implementation on the SaaS platform. The Company recognizes revenue when it satisfies performance obligations under the terms of the contract in an amount that reflects the consideration the Company expects to receive in exchange for the services. The Company determines the appropriate amount of revenue to be recognized using the following steps: (i) identification of contracts with customers, (ii) identification of the performance obligations in the contract, (iii) determination of transaction price, (iv) allocation of contract transaction price to the performance obligations, and (v) recognition of revenue when or as the Company satisfies a performance obligation. Often contracts contain more than one performance obligation. Performance obligations are the unit of accounting for revenue recognition and generally represent the distinct services that are promised to the customer. The Company typically bills its customers monthly in arrears based on a percentage of the average of the daily value of the assets within a customer’s accounts on the platform. Payment terms may vary by contract but generally include a requirement of payment within 30 days following the month in which services were provided. Customers generally have the right to cancel with 30 days ’ notice with no penalty. The Company’s SaaS services allow the customer to access the services without taking possession of the software. Non-refundable fees invoiced in advance of the delivery of the Company’s performance obligations are deemed set up activities and are deferred as a material right and recognized over time, typically 12 months . After set up activities, customers typically receive benefits from implementation services prior to the “go live” date, at which point they can use the platform as intended in the arrangement. We have determined these implementation services are generally a separate performance obligation. As the Company’s platform must stand ready to provide the services throughout the contract period, revenues are recognized as the services are provided over time beginning on the date the service is made available as intended in the arrangement. Costs Incurred to Obtain Revenue Contracts The Company’s incremental direct costs of obtaining a contract consist of sales commissions which are deferred and amortized ratably over the term of economic benefit, which the Company has determined to be four years . These deferred contract costs are classified as current or non-current based on the timing of when the Company expects to recognize the expense. The current and non-current portions of deferred commissions are included in prepaid expenses and other current assets, and deferred contract costs, non-current, respectively, in the Company’s condensed consolidated balance sheets. Recoverability of these costs is subject to various business risks. The Company compares the carrying value of these assets with the undiscounted future cash flows expected to be generated by them to determine if there is impairment. No impairment losses were recognized during the three and nine month periods ended September 30, 2021 and 2020. Deferred Revenue Deferred revenue (as reflected in accrued expenses and other current liabilities – see Note 5 to these Financial Statements) generally consists of non-refundable fees invoiced during the period in which the Company is performing set-up activities. Deferred revenue that will be recognized during the succeeding twelve-month period is recorded as current deferred revenue. Cash and Cash Equivalents Cash and cash equivalents consist of cash in banks and highly liquid investments, primarily money market funds, purchased with an original maturity of three months or less at the time of purchase. Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company maintains the vast majority of its cash with United States financial institutions of high credit quality. The Company performs periodic evaluations of the credit standing of such institutions. Accounts receivable are recorded net of an allowance for doubtful accounts. This allowance is based upon historical loss patterns, the number of days that billings are past due and an evaluation of the potential risk of loss associated with delinquent accounts. Receivables are written-off and charged against its recorded allowance when the Company has exhausted collection efforts without success. During the three and nine month periods ended September 30, 2021 and 2020, the Company did no t have any clients that contributed more than 10% of revenue. As of September 30, 2021 and December 31, 2020, the Company did no t have any clients that accounted for 10% or more of total accounts receivable. Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities and notes payable. Cash equivalents are stated at carrying value, which approximates fair value as of the balance sheet dates, due to the short period of time to maturity. Accounts receivable, accounts payable and accrued liabilities are stated at their carrying value, which approximates fair value due to the short time to the expected receipt or payment. The carrying amounts reported in the condensed consolidated balance sheets for the Company’s notes payable approximates fair value because the interest rate is variable and reflects current market values. As of September 30, 2021 and December 31, 2020, the Company has not elected the fair value option for any financial assets or liabilities for which such an election would have been permitted. The Company measures financial assets and liabilities at fair value at each reporting period using a fair value hierarchy that requires the use of observable inputs and minimizes the use of unobservable inputs. The Company defines fair value as the price that would be received from selling an asset or paid by the Company to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement:  Level I – Quoted prices in active markets for identical assets or liabilities.  Level II – Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.  Level III – Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability. The Company classifies its cash equivalents, which are made up of money market accounts, within Level 1 because the Company values these assets using quoted market prices. Property and Equipment, Net Property and equipment are stated at cost, less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets, which are generally three to five years . Leasehold improvements are amortized on a straight-line basis over the shorter of the remaining lease term or the estimated useful lives of related improvements. Expenditures for repairs and maintenance are charged to expense in the period incurred. Costs associated with the development of internal use software incurred during the application and development stage are capitalized and recorded as part of property and equipment, net. Costs related to preliminary project activities and post implementation activities are expensed as incurred. Upgrades and enhancements are capitalized if the expenditures will result in adding functionality to the software. Depreciation and amortization periods for property and equipment are as follows: Property and Equipment Estimated Useful Life Computer equipment 3 years Furniture and fixtures 3 - 5 years Internally developed software 4 years Leasehold improvements Lessor of estimated useful life or remaining lease term Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment when circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of these assets is measured by a comparison of the carrying amounts to the sum of the future undiscounted cash flows the assets are expected to generate. If a long-lived asset is considered impaired, the impairment equals the amount by which the carrying value of the asset exceeds its fair value. There were no events or changes in business circumstances during the three and nine month periods ended September 30, 2021, that indicated the carrying amounts of any long-lived assets were not fully recoverable. Lease Obligations The Company has entered into various operating lease agreements for its offices. The Company recognizes operating lease costs on a straight-line basis over the term of each agreement, taking into account provisions such as free or escalating base monthly rental payments or deferred payment terms. Cost of Revenue Cost of revenue consists of expenses that are related to delivery of revenue generating services, including expenses associated with client services, global delivery, reconciliation, and agreements related to the purchase of data used in the provision of the Company’s services. Certain personnel expenses associated with supporting these functions, including associated allocated overhead expenses, are also included in cost of revenue. Capitalized software costs are amortized using the straight-line method over the estimated economic life of the related software, which is generally four years , and are recorded as cost of revenue in the condensed consolidated statements of operations. Research and Development Research and development costs consist of personnel expenses, including salaries and benefits, bonuses, equity-based compensation and related overhead costs for employees engaged in the design, development and maintenance of the Company’s offerings and other internally used systems and applications. Equity-Based Compensation The Company measures and recognizes equity-based compensation expense for stock options based on the estimated fair value of equity-based awards on the date of grant using the Black-Scholes option-pricing model. The Company recognizes equity-based compensation expense over the requisite service period on a straight-line basis, which is generally consistent with the vesting of the awards, based on the estimated fair value of the equity-based awards issued to employees and directors that are expected to vest. Equity-based compensation that vests on a performance event, such as annual targets for the Company, begins to be recognized at the date that the performance event becomes probable, and compensation expense is recognized on a straight-line basis over any remaining service period. If there are any modifications of equity-based awards, the Company may be required to accelerate, increase, decrease, or reverse any equity-based compensation expense on the unvested awards. Income Taxes We use the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. Deferred tax assets are evaluated for future realization and reduced by a valuation allowance to the extent we believe it is more likely than not that they will not be realized. We consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, carryback potential if permitted under tax law, and results of recent operations. 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 recognition 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 consider many factors when evaluating our uncertain tax positions, which involve significant judgment and may require periodic adjustments. The resolution of these uncertain tax positions in a manner inconsistent with management’s expectations could have a material impact on our condensed consolidated financial statements. We recognize interest and penalties related to uncertain tax positions as a component of our provision for income taxes. Accrued interest and penalties are included with the related tax liability. We account for amounts payable under the TRA in accordance with Accounting Standards Codification (“ASC”) Topic 450, Contingencies. As such, subsequent changes to the measurement of the TRA liability are recognized in the statements of operations as a component of other income (expense), net. Debt Issuance Costs Debt issuance costs are amortized over the period the related obligation is outstanding using the effective interest method. Debt issuance costs related to the term note are included within notes payable on the condensed consolidated balance sheet. Debt issuance costs associated with the line of credit are included as a non-current asset on the condensed consolidated balance sheets. Amortization of debt issuance costs are included in interest expense in the condensed consolidated statements of operations. Comprehensive Income (Loss) Comprehensive income (loss) is comprised of two elements: net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) refers to income or (losses) that are recorded as an element of stockholders’ equity/ members’ deficit but are excluded from the Company’s net income (loss). For all periods presented, the Company’s other comprehensive income (loss) is comprised of foreign currency translation adjustments related to its foreign subsidiaries. Foreign Currency The functional currencies of the Company’s foreign subsidiaries are their local currencies. The assets and liabilities of the Company’s foreign subsidiaries are translated at the spot rate in effect at the applicable reporting date, and the condensed consolidated statements of operations are translated at the average exchange rates in effect during the applicable period. The resulting unrealized cumulative translation adjustment is recorded as a component of accumulated other comprehensive income (loss) in stockholders'/ members’ deficit. The Company has transactions in foreign currencies other than the functional currency. Transactions denominated in currencies other than the functional currency are recorded based on exchange rates at the time the transactions occur. Subsequent changes in exchange rates result in transaction gains and losses which are reflected in the condensed consolidated statements of operations as unrealized (based on the applicable period-end exchange rate) or realized upon settlement of the transactions. Foreign currency gains and losses resulting from transactions denominated in a currency other than the functional currency are included in interest and other expense, net in the condensed consolidated statements of operations. During the three months ended September 30, 2021 and 2020, the Company recognized net foreign currency losses of $ 130,000 and net foreign currency gain of $ 97,000 , respectively. During the nine month periods ended September 30, 2021 and 2020, the Company recognized net foreign currency losses of $ 65,000 and net foreign currency gain of $ 112,000 , respectively. Non-Controlling Interests The non-controlling interests balance represents the economic interests in CWAN Holdings held by Continuing Equity Owners, based on the portion of Class B and Class C common stock owned by Continuing Equity Owners. Income or loss is attributed to the non-controlling interests based on the weighted-average Class B and Class C common stock outstanding during the period. As of September 30, 2021, the non-controlling interests owned 24.8 % of CWAN Holdings. The non-controlling interests' ownership percentage can fluctuate over time as Continuing Equity Owners elect to exchange Class B and Class C common stock for Class A and Class D common stock of Clearwater Analytics Holdings, Inc. Net Loss Per Share Basic net loss per share is computed by dividing net loss attributable to Clearwater Analytics Holdings, Inc. for the period following the Transactions by the weighted-average number of shares of Class A and Class D common stock during the same period. Diluted net loss per share of Class A and Class D common stock is computed by dividing net income attributable to Clearwater Analytics Holdings, Inc., adjusted for the assumed exchange of all potentially dilutive instruments for Class A and Class D common stock, by the weighted-average number of shares of Class A and Class D common stock outstanding, adjusted to give effect to potentially dilutive elements. The dilutive effect of outstanding awards, if any, is reflected in diluted earnings per share by application of the treasury stock method or if-converted method, as applicabl e. Recently Adopted Accounting Pronouncements In August 2018, the FASB issued ASU No. 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework – Changes to Disclosure Requirements for Fair Value Measurement”. This update eliminates, adds and modifies certain disclosure requirements for fair value measurements. The Company adopted ASU 2018-13 on January 1, 2020 and the impact of the adoption was not material to the Company’s consolidated financial statements. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes”. The amendment removes certain exceptions to the general principles in Topic 740. The guidance will be effective for public companies for annual periods beginning after December 15, 2020, including interim periods therein. The Company is allowed to use the private company adoption timelines, and therefore the standard is effective for the Company for its annual period beginning January 1, 2022, and interim periods therein. Early adoption of the amendments is permitted, including adoption in any interim period for public business entities for periods for which financial statements have not yet been issued. We have adopted ASC No. 2019-12 during the third quarter of 2021 , and have reflected the adjustments as of the beginning of the year, and our adoption did not have a material impact on the consolidated financial statements. Recent Accounting Pronouncements Not Yet Adopted As an Emerging Growth Company, the Company has elected to defer compliance with new or revised financial accounting standards until the Company is required to comply with such standards based on adoption dates for non-issuers. In February 2016, the FASB issued ASU No. 2016-02, “Leases”. The new guidance requires lessees to recognize on the balance sheet the assets and liabilities for the assets and obligations created by those leases. The standard is effective for the Company beginning January 1, 2022. Early adoption is permitted. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, “Customer’s Accounting for Implementation Costs That is A Service Contract”. This update provides guidance for determining if a cloud computing arrangement is within the scope of internal-use software guidance and would require capitalization of certain implementation costs. The standard is effective for the Company beginning January 1, 2022. Early adoption is permitted. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements.

Revenue Recognition

Revenue Recognition	9 Months Ended
	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Revenue Recognition	Note 3. Revenue Recognition The Company is applying the optional exemption to not disclose transaction price allocated to the remaining performance obligations as the Company’s performance obligations are part of contracts that have an expected original duration of one year or less. Of the total revenue recognized for the three and nine months ended September 30, 2021, $ 47 thousand and $ 0.7 million was included in the deferred revenue balance as of December 31, 2020, respectively. Revenues recognized from performance obligations satisfied (or partially satisfied) in previous periods were not material. Revenue by geography as presented in Note 12 Segment and Geographic Information is determined based on the billing address of the customer.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 4. Fair Value Measurements The following tables set forth the fair value of the Company’s financial assets measured at fair value as of September 30, 2021 and December 31, 2020 in accordance with the fair value hierarchy (in thousands): September 30, 2021 Level I Level II Level III Total Financial Assets: Cash and cash equivalents: Money market funds $ 96,367 $ — $ — $ 96,367 Total assets measured at fair value $ 96,367 $ — $ — $ 96,367 December 31, 2020 Level I Level II Level III Total Financial Assets: Cash and cash equivalents: Money market funds $ 60,886 $ — $ — $ 60,886 Total assets measured at fair value $ 60,886 $ — $ — $ 60,886 During the nine months ended September 30, 2021 and year ended December 31, 2020, there were no transfers of assets or liabilities between Level 1, Level 2 and Level 3 of the fair value hierarchy.

Balance Sheet Components

Balance Sheet Components	9 Months Ended
	Sep. 30, 2021
Balance Sheet Related Disclosures [Abstract]
Balance Sheet Components	Note 5. Balance Sheet Components Accounts Receivable, net Accounts receivable, net consisted of the following (in thousands): September 30 December 31 2021 2020 Unbilled accounts receivable $ 24,226 $ 23,715 Billed accounts receivable 24,857 9,200 Allowance for doubtful accounts and reserves ( 84 ) ( 33 ) Accounts receivable, net $ 48,999 $ 32,882 The majority of invoices included within the unbilled accounts receivable balance are issued within the first few days of the month directly following the period of service. Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following (in thousands): September 30 December 31 2021 2020 Prepaid expenses $ 7,190 $ 4,141 Deferred costs, current portion 3,228 2,903 Other current assets 692 506 Prepaid expense and other current assets $ 11,110 $ 7,550 Property and Equipment, net Property and equipment, net consisted of the following (in thousands): September 30 December 31 2021 2020 Computer equipment $ 13,776 $ 12,248 Leasehold improvements 3,006 2,965 Furniture and fixtures 1,023 818 Internally developed software 3,504 1,538 Construction in progress 103 508 Total property and equipment 21,412 18,077 Less: accumulated depreciation ( 11,423 ) ( 9,228 ) Total property and equipment, net $ 9,989 $ 8,849 Depreciation expense was $ 0.8 million and $ 0.6 million for the three months ended September 30, 2021 and 2020, respectively. Depreciation expense was $ 2.2 million and $ 1.6 million for the nine months ended September 30, 2021 and 2020, respectively. Other Non-current Assets Other Non-current assets consisted of the following (in thousands): September 30 December 31 2021 2020 Prepaid management fee to Principal Equity Owners $ 5,009 $ — Long term deposits 179 112 Prepaid IT costs 484 78 Other non-current assets $ 5,672 $ 190 Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): September 30 December 31 2021 2020 Accrued sales tax liability $ 3,745 $ 9,994 Accrued interest 12 2,306 Accrued bonus 5,266 4,023 Accrued vendor liabilities 4,590 2,369 Accrued benefits and retirement 2,945 2,562 Deferred revenue 636 1,420 Accrued commissions 1,425 2,371 Deferred rent 1,457 1,238 Income tax payable 56 — Accrued reimbursement to unitholders — 4,880 Accrued offering costs 3,027 — Other current liabilities 4,885 2,626 Accrued expenses and other liabilities $ 28,044 $ 33,789

Credit Agreement

Credit Agreement	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Credit Agreement	Note 6. Credit Agreement Previous Credit Agreement On October 19, 2020, we entered into the Fifth Amendment to the Credit Agreement with Ares Capital Corporation and Golub Capital LLC. The agreement provided for a total term loan of $ 435 million and revolving line of credit of $ 30 million. Under the terms of the Fifth Amendment to the Credit Agreement, we were required to maintain certain customary affirmative and negative covenants, including covenants that limit our ability to, among other things, incur indebtedness, merge or consolidate, dispose of assets, make investments, make acquisitions, enter into transactions with affiliates, pay dividends or make distributions. We were also required to maintain compliance with a consolidated net leverage ratio. The line of credit and term note agreements also included customary events of default. The outstanding borrowings under the Fifth Amendment to the Credit Agreement of $ 432.7 million were repaid in full in September 2021 in connection with the closing of the IPO. The repayment of the borrowings resulted in a loss on extinguishment of $ 10.3 million. New Credit Agreement In connection with the closing of the IPO, Clearwater Analytics, LLC (the “Borrower”) has entered into a new credit agreement (the “New Credit Agreement”) with JPMorgan Chase Bank, N.A., that included a $ 55 million term loan facility (the “New Term Loan”) and a $ 125 million revolving facility (the “Revolving Facility”). The New Term Loan Revolving Facility will be used for working capital and other general corporate purposes (including acquisitions permitted under the New Credit Agreement). The interest rates applicable to the loans under the New Credit Agreement are based on a fluctuating rate of interest determined by reference to a base rate plus an applicable margin of 0.75 % or a LIBOR rate plus an applicable margin of 1.75 % , in each case with a step-up of 0.25 % if certain secured net leverage levels are not achieved. The applicable margin is adjusted after the completion of each full fiscal quarter based upon the pricing grid in the New Credit Agreement. The revolving commitment has an unused commitment fee of 25 basis points, stepping up to 30 basis points if certain secured net leverage levels are not achieved. Under the New Credit Agreement, the term loan amortizes at a rate of 5.00 % per annum, paid quarterly . The New Credit Agreement contains mandatory prepayments to the extent the company incurs certain indebtedness or receives proceeds from certain dispositions or casualty events. The obligations of the Borrower under the New Credit Agreement are anticipated to be jointly and severally guaranteed by its direct parent and certain of its subsidiaries (collectively, the “Guarantors”, and together with the Borrower, the “Loan Parties”). The obligations of the Loan Parties are anticipated to be secured by a first priority lien on substantially all of their assets, subject to customary exceptions. The New Credit Agreement contains customary affirmative and negative covenants, including, without limitation, covenants that restrict our ability to borrow money, grant liens, make investments, make restricted payments or dispose of assets, and customary events of default. Specifically, we are required to maintain a consolidated secured net indebtedness to consolidated EBITDA ratio of not more than 4.75 :1.00 as of the last day of each fiscal quarter commencing with the fiscal quarter ending December 31, 2021. Future maturities of debt as of September 30, 2021 are as follows: For the year ending December 31, 2021 (remaining three months) $ 688 2022 2,750 2023 2,750 2024 2,750 2025 2,750 Thereafter 43,312 Total principal debt 55,000 Unamortized loan costs ( 427 ) Net carrying amount $ 54,573

Employee Retirement Plan

Employee Retirement Plan	9 Months Ended
	Sep. 30, 2021
Retirement Benefits [Abstract]
Employee Retirement Plan	Note 7. Employee Retirement Plan The Company’s U.S. 401K and international pension plans are defined contribution plans (“the Plans”) that are available to employees that meet certain eligibility requirements. Company cash contributions to the Plans are based on a percentage of employee contributions subject to an annual limitation. The Company reserves the right to amend the Plans at any time. The Company made contributions of $ 1.1 million, $ 0.9 million, $ 3.2 million and $ 1.5 million during the three months ended September 30, 2021 and 2020, and nine months ended September 30, 2021 and 2020, respectively.

Leases

Leases	9 Months Ended
	Sep. 30, 2021
Leases [Abstract]
Leases	Note 8. Leases The Company leases office space for its headquarters in Boise, Idaho, sales offices in New York City, Washington D.C., Seattle, London, Paris, and Frankfurt, and client service offices in Edinburgh, U.K. and Noida, India under non-cancelable operating leases. The Boise, Idaho headquarters office has a 10-year lease with two optional 5-year renewal periods. Annual payments are $ 2.4 million, with a 2 % annual increase. The other sales and client service offices have annual payments of $ 1.0 million a year, some of which have contractual annual increases. The following is a schedule of future minimum lease payments under the Company’s non-cancellable leases as of September 30, 2021 (in thousands): For the year ending December 31, 2021 (remaining three months) $ 957 2022 3,947 2023 3,874 2024 3,680 2025 3,464 Thereafter 3,860 Total minimum lease payments $ 19,782 Rent expense was $ 1.0 million and $ 0.9 million for the three months ended September 30, 2021 and 2020, and $ 2.7 million and $ 2.5 million for the nine months ended September 30, 2021 and 2020, respectively.

Noncontrolling Interest

Noncontrolling Interest	9 Months Ended
	Sep. 30, 2021
Noncontrolling Interest [Abstract]
Noncontrolling Interest	Note 9. Noncontrolling Interest In connection with the Transactions, the Company became the sole managing member of CWAN Holdings, and has the sole voting interest in, and control of the management of, CWAN Holdings. As a result, the Company consolidates the financial results of CWAN Holdings. The noncontrolling interest on our consolidated balance sheet relates to the interests of CWAN Holdings held by the Continuing Equity Owners. Following the completion of the Transactions and IPO, and as of September 30, 2021, the Company owns 75.2 % of the interests in CWAN Holdings. Continuing Equity Owners which hold Class B and Class C common stock own the remaining 24.8 % of the interests in CWAN Holdings. The ownership of the LLC interests is summarized as follows: September 30, 2021 Shares Ownership % Clearwater Analytics Holdings, Inc. interest in CWAN Holdings 177,449,844 75.2 % Continuing Equity Owners' interest in CWAN Holdings 58,528,697 24.8 % 235,978,541 100.0 %

Loss Per Share

Loss Per Share	9 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
Loss Per Share	Note 10. Loss Per Share The following table sets forth reconciliations of the numerators and denominators used to compute basic and diluted loss per share of Class A and Class D common stock for the three and nine months ended September 30, 2021. The basic and diluted loss per share period for the three and nine months ended September 30, 2021, represents only the period from September 24, 2021 to September 30, 2021, which represents the period wherein we had outstanding Class A and Class D common stock (in thousands, except per share amounts): Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Numerator: Net loss $ ( 11,428 ) $ ( 8,228 ) Less: Net income (loss) attributable to CWAN Holdings prior to the Transactions ( 371 ) 2,829 Less: Net loss attributable to noncontrolling interests subsequent to the Transactions ( 2,742 ) ( 2,742 ) Net loss attributable to Clearwater Analytics Holdings, Inc. - basic ( 8,314 ) ( 8,314 ) Reallocation of net loss attributable to noncontrolling interests after the Transactions from the assumed exchange of Class B and Class C stock for Class A and Class D stock ( 2,742 ) ( 2,742 ) Net loss attributable to Clearwater Analytics Holdings, Inc. - diluted $ ( 11,056 ) $ ( 11,056 ) The following table sets forth the computation of basic and diluted net loss per share of Class A and Class D common stock (in thousands, except per share amounts): Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Class A Class D Class A Class D Basic net income (loss) attributable to Class A and Class D common stockholders Numerator: Allocation of net loss attributable to Clearwater Analytics, Inc. $ ( 2,219 ) $ ( 6,095 ) $ ( 2,219 ) $ ( 6,095 ) Denominator: Weighted average number of shares of Class A and Class D common stock outstanding - basic 47,366,089 130,083,755 47,366,089 130,083,755 Basic net loss per share attributable to Class and Class D common stockholders $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 ) Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Class A Class D Class A Class D Diluted net income (loss) attributable to Class A and Class D common stockholders Numerator: Undistributed earnings for basic computation $ ( 2,219 ) $ ( 6,095 ) $ ( 2,219 ) $ ( 6,095 ) Reallocation of earnings as a result of conversion of Class B to Class A shares and conversion Class C to Class D shares ( 522 ) ( 2,219 ) ( 522 ) ( 2,219 ) Reallocation of earnings as a result of conversion of Class D to Class A shares ( 8,314 ) ( 8,314 ) Allocation of undistributed earnings $ ( 11,055 ) $ ( 8,314 ) $ ( 11,055 ) $ ( 8,314 ) Denominator: Weighted average number of shares of Class A and Class D common stock outstanding - basic 47,366,089 130,083,755 47,366,089 130,083,755 Conversion of Class B stock to Class A stock, and conversion of Class C stock to Class D stock 11,151,110 47,377,587 11,151,110 47,377,587 Conversion of Class D to Class A common shares outstanding 177,461,342 — 177,461,342 — Weighted average number of shares of Class A and Class D common stock outstanding - diluted 235,978,541 177,461,342 235,978,541 177,461,342 Diluted net loss per share attributable to Class A and Class D common stockholders $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 ) Shares of the Company's Class B and Class C common stock do not participate in the earnings or losses of Clearwater Analytics Holdings, Inc. and are therefore not participating securities. As such, separate presentation of basic and diluted earnings per share of Class B and Class C common stock under the two-class method has not been presented. During the period from September 24, 2021 through September 30, 2021, the Company incurred net losses and, therefore, the effect of the Company’s potentially dilutive securities were not included in the calculation of diluted loss per share as the effect would be anti-dilutive. The following table contains share/unit total with a potentially dilutive impact: As of Stock options of Clearwater Analytics Holdings, Inc. 23,004,276 RSUs of Clearwater Analytics Holdings, Inc. 6,090,117 Total 29,094,393

Equity-Based Compensation

Equity-Based Compensation	9 Months Ended
	Sep. 30, 2021
Share-based Payment Arrangement [Abstract]
Equity-Based Compensation	Note 11. Equity-Based Compensation In September 2021, the Board of Directors of the Company (the “Board”) adopted the Clearwater Analytics Holdings, Inc. 2021 Omnibus Incentive Plan (the “2021 Plan”), pursuant to which employees, consultants and directors of our company and our affiliates performing services for us, including our executive officers, are eligible to receive awards. The 2021 Plan provides for the grant of stock options, stock appreciation rights (“SARs”), restricted stock, restricted stock units (“RSUs”), bonus stock, dividend equivalents, other stock-based awards, substitute awards, annual incentive awards and performance awards intended to align the interests of participants with those of our shareholders. A total of 45,369,737 shares of common stock are authorized for issuance under the 2021 Plan. In connection with the approval of the 2021 Plan, the 2017 Equity Incentive Plan (the “2017 Plan”) was terminated and all outstanding stock options and RSUs were transferred to the 2021 Plan. Options The following table summarizes the stock option activity for the nine months ended September 30, 2021 (in thousands, except per share data): Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Balance - December 31, 2020 14,893,136 $ 4.60 9.19 $ 116,029 Granted 10,140,898 12.88 Exercised ( 592,406 ) 4.08 2,315 Forfeited ( 1,437,352 ) 7.32 Balance - September 30, 2021 23,004,276 $ 9.54 8.19 $ 369,719 Options vested - September 30, 2021 6,174,103 $ 4.27 6.94 $ 131,742 Options vested and expected to vest - September 30, 2021 23,004,276 $ 9.54 8.19 $ 369,719 The weighted-average grant date fair value of stock options granted during the nine months ended September 30, 2021 was $ 5.13 per share. The aggregate intrinsic value as of September 30, 2021 disclosed in the above table is based on the difference between the exercise price of the stock option and the closing stock price on the NYSE on September 30, 2021. As of September 30, 2021, the total unrecognized compensation expense related to unvested options was $ 88.5 million, which is expected to be recognized over a weighted average period of 3.21 years. In general, options which vest over a four-year period are subject to time-based vesting conditions based on continuous employment over the four-year period: Time-based vesting – 25 % of the units awarded are eligible to vest on the first anniversary of employment, and 75 % are subsequently eligible to vest on a monthly basis over the remaining three-year period, subject to continued employment. In January 2020, the Company offered to option holders a one-time modification to reduce the exercise price of all equity options with exercise prices greater than $ 4.40 per unit to $ 4.40 , the ‘fair value’ at the date of modification. In total, 8,778,750 options had their exercise price reduced for 68 option holders who accepted the repricing. The option awards subject to repricing were accounted for as modified awards due to the change in exercise price of option awards as a result of the repricing. The incremental compensation charge resulting from the modification is $ 1.9 million. For vested option awards, $ 0.7 million was recognized on the date of modification and for unvested option awards $ 1.2 million will be recognized over the remaining requisite service period. In September 2021, the Company modified the vesting conditions of 12,493,241 unvested stock options, which had been issued prior to the nine months ended September 30, 2021. All unvested options that had a performance condition were modified to remove the performance condition. The options will continue to vest on the same schedule under the original terms of the awards. The modification resulted in incremental share-based compensation expense of $ 15.2 million, which is being recognized over the remaining term of the modified stock options. RSUs During June 2021, the Company began to grant RSUs to employees. In connection with the IPO, the Company granted 6,090,177 RSUs to employees. The summary of RSU activity is as follows (in thousands, except per share data): Units Activity Weighted Average Grant Date Fair Value Aggregate Intrinsic Value Unvested units as of December 31, 2020 — $ — $ — Granted 6,218,484 17.29 Released — — — Cancelled — — - — Unvested units as of September 30, 2021 6,218,484 $ 159,255 The aggregate intrinsic value disclosed in the above table is based on the closing stock price on the NYSE on September 30, 2021. As of September 30, 2021, there was $ 107.4 million of unrecognized equity-based compensation expense related to RSUs. In general, RSUs are either subject to time based vesting conditions, or both time based vesting conditions and performance based vesting, in each case based on continuous employment of the employee. Time-based vesting – units awarded are eligible to vest in substantially equal annual installments on each anniversary from the grant date over a four year period. Performance-based vesting – units awarded are eligible to vest in equal annual installments upon the achievement of annual targets tied to annual revenue growth over a three year period. All terms of performance conditions are established on grant date. Determination of Fair Value In the period prior to the IPO, the Company estimated the fair value of each stock option and RSU awarded on the date of grant using the Black-Scholes option-pricing model utilizing the assumptions noted below: Fair Value of Units – the fair value of the common unit underlying the equity-based awards was determined by the Company’s Board of Directors, with input from management and third-party valuations. Expected Term – the expected term represents the period that the awards are expected to be outstanding. The Company issues “plain vanilla,” awards and the Company determines the expected term using the simplified method. The simplified method deems the term to be the average of the time-to-vesting and the contractual life of the options. Expected Volatility – the expected unit price volatility for the Company’s units are determined by examining the historical volatilities of its public industry peers, as the Company does not have sufficient trading history of its common units. Risk-Free Interest Rate – the risk-free interest rate is calculated using the average of the published interest rates of U.S. Treasury zero-coupon issues with maturities that approximate the expected term. Dividend Rate – the dividend yield assumption is zero , although the Company made a special one-time dividend in conjunction with the recapitalization transaction, the Company has no history of making regular dividends, nor plans to make future dividend payments. The following assumptions were used to calculate the fair value of options granted to employees on the date of grant using the Black-Scholes option-pricing model: Nine Months Ended September 30, 2021 2020 Weighted-average grant date fair value per option $ 5.13 $ 1.44 Fair value of units $ 12.40 - $ 16.75 $ 4.40 - $ 5.64 Expected term (in years) 6.00 - 6.25 6.25 Expected volatility 40 % 30 % Risk-free interest rates 0.6 - 1.1 % 0.4 - 1.7 % In addition to the Black-Scholes assumptions discussed immediately above, the forfeiture rate may also have a significant impact on the related equity-based compensation. The forfeiture of options is recognized as forfeitures occur . In the period subsequent to the IPO, the Company estimated the fair value of each RSU awarded using the closing price on the date of the award being granted. The Company did not grant any stock options in the period subsequent to the IPO.

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2021
Segment Reporting [Abstract]
Segment Information	Note 12. Segment Information Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision group, in deciding how to allocate resources and assessing performance. The Company’s chief operating decision maker is the Company’s Chief Executive Officer (“CEO”). The Company’s CEO reviews financial information presented on a consolidated basis and makes decisions and allocates resources based on the Company as a whole. The Company has one business activity as a provider of a SaaS solution for investment data aggregation, accounting, analytics, and reporting services. Accordingly, the Company operates as one operating segment, and all required segment financial information is found in the consolidated financial statements. The following table presents the Company’s revenue disaggregated by geography, based on billing address of the customer (in thousands): Three Months Ended Nine Months Ended 2021 2020 2021 2020 United States $ 59,445 $ 48,211 $ 166,765 $ 134,579 Rest of World 5,044 5,144 15,494 13,885 Total revenue $ 64,489 $ 53,355 $ 182,259 $ 148,464 The Company has no significant long-lived assets held outside of the United States.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Note 13. Income Taxes As a result of the IPO, Clearwater Analytics Holdings, Inc. owns a portion of CWAN Holdings, which contains all operations of the business and is treated as a partnership for U.S. federal and most applicable state and local income tax purposes. As a partnership, CWAN Holdings is generally not subject to U.S. federal, state, and local income taxes. Any taxable income or loss generated by CWAN Holdings is passed through to and included in the taxable income or loss of its members in accordance with the terms of the operating agreement of CWAN Holdings. CWAN Holdings’ international wholly owned subsidiaries are subject to taxes in foreign jurisdictions. Clearwater Analytics Holdings, Inc. is taxed as a corporation and pays corporate federal, state, and local taxes on income allocated to it from CWAN Holdings based on Clearwater Analytics Holdings, Inc.’s economic interest held in CWAN Holdings. While the Company consolidates CWAN Holdings for financial reporting purposes, the Company will not be taxed on the earnings attributed to the noncontrolling interests. As a result, the income tax burden on the earnings taxed to the noncontrolling interests is not reported by the Company in its consolidated financial statements. Our tax provision for interim periods is determined using an estimated annual effective tax rate, adjusted for discrete items arising in the applicable quarter. In each quarter, we update the estimated annual effective tax rate and make a year-to-date adjustment to the provision. The estimated annual effective tax rate may be subject to significant volatility due to several factors, including our ability to accurately predict the proportion of our pretax income in multiple jurisdictions, certain book-tax differences, and exchanges from noncontrolling interests. Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Income (loss) before provision for income taxes $ ( 11,212 ) $ 11,598 $ ( 7,692 ) $ 25,443 Provision for income taxes 216 99 536 309 Effective tax rate ( 1.9 %) 0.9 % ( 7.0 %) 1.2 % For the three and nine months ended September 30, 2021, the Company’s effective tax rate was less than the statutory rate primarily because the Company is not liable for income taxes on the portion of CWAN Holdings earnings that are attributable to noncontrolling interests and the valuation allowance on the U.S. deferred tax assets. In addition, prior to the IPO, CWAN Holdings’ earnings were exempt from federal corporate income taxation due to its status as a partnership. For the three and nine months ended September 30, 2020, the Company’s effective tax rate was less than the statutory rate primarily because its earnings were exempt from federal corporate income taxation due to its status as a partnership. The Company regularly monitors its uncertain tax benefits, and as of September 30, 2021, there were no material uncertain tax benefits that, if realized, would affect the estimated annual effective tax rate, nor do we expect any significant changes within the next 12 months. The realization of tax benefits of net deferred tax assets is dependent upon future levels of taxable income, of an appropriate character, in the periods the items are expected to be deductible or taxable. Based on the available objective evidence during the three and nine months ended September 30, 2021, we believe that it is more likely than not that the tax benefits of the U.S. losses incurred may not be realized. Accordingly, we have recorded a full valuation allowance against the tax benefits of the U.S. losses incurred. We intend to maintain the full valuation allowance on the U.S. net deferred tax assets until sufficient positive evidence exists to support a reversal of, or decrease in, the valuation allowance. On March 11, 2021, the American Rescue Plan Act of 2021 (“American Rescue Plan Act”) was passed into law and amended portions of relevant tax laws. The American Rescue Plan Act did not have a significant impact on the provision for income taxes for the three and nine months ended September 30, 2021. Tax Receivable Agreement Liability Pursuant to our election under Section 754 of the Internal Revenue Code (the “Code”), we expect to obtain an increase in our share of the tax basis in the net assets of CWAN Holdings when its units are redeemed or exchanged. We intend to treat any redemptions and exchanges of CWAN Holdings units as direct purchases of the units for U.S. federal income tax purposes. These increases in tax basis may reduce the amounts that we would otherwise pay in the future to various tax authorities. They may also decrease gains (or increase losses) on future dispositions of certain capital assets to the extent the tax basis is allocated to those capital assets. In connection with the IPO and related transactions, we entered into a TRA that provides for the payment by us of 85 % of the amount of any tax benefits that we actually realize, or in some cases are deemed to realize, as a result of (i) increases in our share of the tax basis in the net assets of CWAN Holdings resulting from any redemptions or exchanges of CWAN Holdings units, (ii) tax basis increases attributable to payments made under the TRA, and (iii) deductions attributable to imputed interest pursuant to the TRA (the “TRA Payments”). We expect to benefit from the remaining 15 % of any tax benefits that we may actually realize. The TRA Payments are not conditioned upon any continued ownership interest in CWAN Holdings or the Company. The rights of each member of CWAN Holdings, that is a party to the TRA, are assignable to transferees of their respective CWAN Holdings units. The estimation of a liability under the TRA is, by its nature, imprecise and subject to significant assumptions regarding a number of factors, including (but not limited to) the amount and timing of taxable income generated by the Company each year as well as the tax rate then applicable. As a result of the IPO, the future tax benefits related to ownership exchanges as of September 30, 2021 are estimated to be $ 287 million, of which $ 244 million is estimated to be the associated TRA liability. As noted above, the Company evaluated the realizability of its U.S. deferred tax assets and has recorded a full valuation against those benefits. As a result, the Company determined that payments to TRA holders are not probable and no TRA liability has been recorded as of September 30, 2021. As noncontrolling interest holders exercise their right to exchange their units in CWAN Holdings, a TRA liability may be recorded based on 85 % of the estimated future tax benefits that the Company may realize as a result of increases in the tax basis of CWAN Holdings. The amount of the increase in the tax basis, the related estimated tax benefits, and the related TRA liability to be recorded will depend on the price of the Company’s Class A stock at the time of the relevant redemption or exchange. TRA Bonus Agreements In connection with the execution of the TRA agreement, the Company also entered into the “TRA Bonus Agreements” with certain executive officers. Under the terms of TRA Bonus Agreements, certain executive officers are eligible to receive a cash bonus payment (the “TRA Bonus”) pursuant to a change in control. As the Company has determined that payments to TRA holders are not probable and no TRA liability has been recorded as of September 30, 2021, no liability has been recorded for the TRA Bonus.

Transactions with Related Parti

Transactions with Related Parties	9 Months Ended
	Sep. 30, 2021
Related Party Transactions [Abstract]
Transactions with Related Parties	Note 14. Transactions with Related Parties During January 2021, the Company paid $ 9.6 million in relation to management fees to Principal Equity Owners which is recorded as prepaid management fees within prepaid expenses and other current assets and non-current assets. The prepaid management fees are being amortized over four years . In the three months ended September 30, 2021 and 2020, the Company recognized a management fee to Principal Equity Owners of $ 0.6 million and $ 0.2 million, respectively. In the nine months ended September 30, 2021 and 2020, the Company recognized a management fee to Principal Equity Owners of $ 1.7 million and $ 0.9 million, respectively.

Basis of Presentation and Sum_2

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The consolidated financial statements and accompanying notes have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”).
Principles of consolidation	Principles of consolidation The consolidated financial statements include the accounts of the Company and its directly and indirectly wholly-owned or controlled subsidiaries. As the Transactions are considered transactions between entities under common control, the financial statements for periods prior to the IPO and the Transactions have been adjusted to combine the previously separate entities for presentation purposes. All intercompany balances and transactions have been eliminated through consolidation. Clearwater Analytics Holdings, Inc. consolidated the financial results of CWAN Holdings as Variable Interest Entity (“VIE”). Clearwater Analytics Holdings, Inc. owns the majority economic interest and has the power to control all the business and affairs of CWAN Holdings.
Unaudited Interim Financial Information	Unaudited Interim Financial Information The accompanying interim condensed consolidated balance sheet as of September 30, 2021 and the condensed consolidated statements of operations, comprehensive income (loss), changes in equity (deficit), and cash flows for the three and nine month periods ended September 30, 2021 and 2020, and the related footnotes, are unaudited. These unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP. In management’s opinion, the unaudited interim condensed consolidated financial statements include all the adjustments necessary to state fairly the Company’s financial position as of September 30, 2021 and its results of operations and cash flows for the three and nine months ended September 30, 2021 and 2020. The results for the three and nine month period ended September 30, 2021 are not necessarily indicative of the results expected for the full year ending December 31, 2021, or any future period.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates, judgments and assumptions that affect the reported amounts of assets and liabilities and the related disclosures at the date of the consolidated financial statements, as well as the reported amounts of revenue and expenses during the periods presented. Actual results could differ materially from those estimates. Items subject to estimates and assumptions include the useful lives and recoverability of long-lived assets, the average period of benefit associated with deferred contract costs, allowances for doubtful accounts, sales reserves, accruals for sales tax liabilities, the fair value of equity awards, tax valuation allowance and probability of making payments under the TRA, among others. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable, the result of which forms the basis for making judgments about the carrying values of assets and liabilities, and measurement of revenues and expenses. To the extent there are material differences between these estimates, judgments, or assumptions and actual results, the Company’s condensed consolidated financial statements will be affected.
Revenue Recognition	Revenue Recognition The Company earns revenue primarily from providing access to its SaaS platform solution to its customers, and to a lesser degree, from services that support the implementation on the SaaS platform. The Company recognizes revenue when it satisfies performance obligations under the terms of the contract in an amount that reflects the consideration the Company expects to receive in exchange for the services. The Company determines the appropriate amount of revenue to be recognized using the following steps: (i) identification of contracts with customers, (ii) identification of the performance obligations in the contract, (iii) determination of transaction price, (iv) allocation of contract transaction price to the performance obligations, and (v) recognition of revenue when or as the Company satisfies a performance obligation. Often contracts contain more than one performance obligation. Performance obligations are the unit of accounting for revenue recognition and generally represent the distinct services that are promised to the customer. The Company typically bills its customers monthly in arrears based on a percentage of the average of the daily value of the assets within a customer’s accounts on the platform. Payment terms may vary by contract but generally include a requirement of payment within 30 days following the month in which services were provided. Customers generally have the right to cancel with 30 days ’ notice with no penalty. The Company’s SaaS services allow the customer to access the services without taking possession of the software. Non-refundable fees invoiced in advance of the delivery of the Company’s performance obligations are deemed set up activities and are deferred as a material right and recognized over time, typically 12 months . After set up activities, customers typically receive benefits from implementation services prior to the “go live” date, at which point they can use the platform as intended in the arrangement. We have determined these implementation services are generally a separate performance obligation. As the Company’s platform must stand ready to provide the services throughout the contract period, revenues are recognized as the services are provided over time beginning on the date the service is made available as intended in the arrangement.
Costs Incurred to Obtain Revenue Contracts	Costs Incurred to Obtain Revenue Contracts The Company’s incremental direct costs of obtaining a contract consist of sales commissions which are deferred and amortized ratably over the term of economic benefit, which the Company has determined to be four years . These deferred contract costs are classified as current or non-current based on the timing of when the Company expects to recognize the expense. The current and non-current portions of deferred commissions are included in prepaid expenses and other current assets, and deferred contract costs, non-current, respectively, in the Company’s condensed consolidated balance sheets. Recoverability of these costs is subject to various business risks. The Company compares the carrying value of these assets with the undiscounted future cash flows expected to be generated by them to determine if there is impairment. No impairment losses were recognized during the three and nine month periods ended September 30, 2021 and 2020.
Deferred Revenue	Deferred Revenue Deferred revenue (as reflected in accrued expenses and other current liabilities – see Note 5 to these Financial Statements) generally consists of non-refundable fees invoiced during the period in which the Company is performing set-up activities. Deferred revenue that will be recognized during the succeeding twelve-month period is recorded as current deferred revenue.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents consist of cash in banks and highly liquid investments, primarily money market funds, purchased with an original maturity of three months or less at the time of purchase.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company maintains the vast majority of its cash with United States financial institutions of high credit quality. The Company performs periodic evaluations of the credit standing of such institutions. Accounts receivable are recorded net of an allowance for doubtful accounts. This allowance is based upon historical loss patterns, the number of days that billings are past due and an evaluation of the potential risk of loss associated with delinquent accounts. Receivables are written-off and charged against its recorded allowance when the Company has exhausted collection efforts without success. During the three and nine month periods ended September 30, 2021 and 2020, the Company did no t have any clients that contributed more than 10% of revenue. As of September 30, 2021 and December 31, 2020, the Company did no t have any clients that accounted for 10% or more of total accounts receivable.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities and notes payable. Cash equivalents are stated at carrying value, which approximates fair value as of the balance sheet dates, due to the short period of time to maturity. Accounts receivable, accounts payable and accrued liabilities are stated at their carrying value, which approximates fair value due to the short time to the expected receipt or payment. The carrying amounts reported in the condensed consolidated balance sheets for the Company’s notes payable approximates fair value because the interest rate is variable and reflects current market values. As of September 30, 2021 and December 31, 2020, the Company has not elected the fair value option for any financial assets or liabilities for which such an election would have been permitted. The Company measures financial assets and liabilities at fair value at each reporting period using a fair value hierarchy that requires the use of observable inputs and minimizes the use of unobservable inputs. The Company defines fair value as the price that would be received from selling an asset or paid by the Company to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement:  Level I – Quoted prices in active markets for identical assets or liabilities.  Level II – Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.  Level III – Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability. The Company classifies its cash equivalents, which are made up of money market accounts, within Level 1 because the Company values these assets using quoted market prices.
Property and Equipment, Net	Property and Equipment, Net Property and equipment are stated at cost, less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets, which are generally three to five years . Leasehold improvements are amortized on a straight-line basis over the shorter of the remaining lease term or the estimated useful lives of related improvements. Expenditures for repairs and maintenance are charged to expense in the period incurred. Costs associated with the development of internal use software incurred during the application and development stage are capitalized and recorded as part of property and equipment, net. Costs related to preliminary project activities and post implementation activities are expensed as incurred. Upgrades and enhancements are capitalized if the expenditures will result in adding functionality to the software. Depreciation and amortization periods for property and equipment are as follows: Property and Equipment Estimated Useful Life Computer equipment 3 years Furniture and fixtures 3 - 5 years Internally developed software 4 years Leasehold improvements Lessor of estimated useful life or remaining lease term
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment when circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of these assets is measured by a comparison of the carrying amounts to the sum of the future undiscounted cash flows the assets are expected to generate. If a long-lived asset is considered impaired, the impairment equals the amount by which the carrying value of the asset exceeds its fair value. There were no events or changes in business circumstances during the three and nine month periods ended September 30, 2021, that indicated the carrying amounts of any long-lived assets were not fully recoverable.
Lease Obligations	Lease Obligations The Company has entered into various operating lease agreements for its offices. The Company recognizes operating lease costs on a straight-line basis over the term of each agreement, taking into account provisions such as free or escalating base monthly rental payments or deferred payment terms.
Cost of Revenue	Cost of Revenue Cost of revenue consists of expenses that are related to delivery of revenue generating services, including expenses associated with client services, global delivery, reconciliation, and agreements related to the purchase of data used in the provision of the Company’s services. Certain personnel expenses associated with supporting these functions, including associated allocated overhead expenses, are also included in cost of revenue. Capitalized software costs are amortized using the straight-line method over the estimated economic life of the related software, which is generally four years , and are recorded as cost of revenue in the condensed consolidated statements of operations.
Research and Development	Research and Development Research and development costs consist of personnel expenses, including salaries and benefits, bonuses, equity-based compensation and related overhead costs for employees engaged in the design, development and maintenance of the Company’s offerings and other internally used systems and applications.
Equity-Based Compensation	Equity-Based Compensation The Company measures and recognizes equity-based compensation expense for stock options based on the estimated fair value of equity-based awards on the date of grant using the Black-Scholes option-pricing model. The Company recognizes equity-based compensation expense over the requisite service period on a straight-line basis, which is generally consistent with the vesting of the awards, based on the estimated fair value of the equity-based awards issued to employees and directors that are expected to vest. Equity-based compensation that vests on a performance event, such as annual targets for the Company, begins to be recognized at the date that the performance event becomes probable, and compensation expense is recognized on a straight-line basis over any remaining service period. If there are any modifications of equity-based awards, the Company may be required to accelerate, increase, decrease, or reverse any equity-based compensation expense on the unvested awards.
Income Taxes	Income Taxes We use the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. Deferred tax assets are evaluated for future realization and reduced by a valuation allowance to the extent we believe it is more likely than not that they will not be realized. We consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, carryback potential if permitted under tax law, and results of recent operations. 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 recognition 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 consider many factors when evaluating our uncertain tax positions, which involve significant judgment and may require periodic adjustments. The resolution of these uncertain tax positions in a manner inconsistent with management’s expectations could have a material impact on our condensed consolidated financial statements. We recognize interest and penalties related to uncertain tax positions as a component of our provision for income taxes. Accrued interest and penalties are included with the related tax liability. We account for amounts payable under the TRA in accordance with Accounting Standards Codification (“ASC”) Topic 450, Contingencies. As such, subsequent changes to the measurement of the TRA liability are recognized in the statements of operations as a component of other income (expense), net.
Debt Issuance Costs	Debt Issuance Costs Debt issuance costs are amortized over the period the related obligation is outstanding using the effective interest method. Debt issuance costs related to the term note are included within notes payable on the condensed consolidated balance sheet. Debt issuance costs associated with the line of credit are included as a non-current asset on the condensed consolidated balance sheets. Amortization of debt issuance costs are included in interest expense in the condensed consolidated statements of operations.
Comprehensive Income (Loss)	Comprehensive Income (Loss) Comprehensive income (loss) is comprised of two elements: net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) refers to income or (losses) that are recorded as an element of stockholders’ equity/ members’ deficit but are excluded from the Company’s net income (loss). For all periods presented, the Company’s other comprehensive income (loss) is comprised of foreign currency translation adjustments related to its foreign subsidiaries.
Foreign Currency	Foreign Currency The functional currencies of the Company’s foreign subsidiaries are their local currencies. The assets and liabilities of the Company’s foreign subsidiaries are translated at the spot rate in effect at the applicable reporting date, and the condensed consolidated statements of operations are translated at the average exchange rates in effect during the applicable period. The resulting unrealized cumulative translation adjustment is recorded as a component of accumulated other comprehensive income (loss) in stockholders'/ members’ deficit. The Company has transactions in foreign currencies other than the functional currency. Transactions denominated in currencies other than the functional currency are recorded based on exchange rates at the time the transactions occur. Subsequent changes in exchange rates result in transaction gains and losses which are reflected in the condensed consolidated statements of operations as unrealized (based on the applicable period-end exchange rate) or realized upon settlement of the transactions. Foreign currency gains and losses resulting from transactions denominated in a currency other than the functional currency are included in interest and other expense, net in the condensed consolidated statements of operations. During the three months ended September 30, 2021 and 2020, the Company recognized net foreign currency losses of $ 130,000 and net foreign currency gain of $ 97,000 , respectively. During the nine month periods ended September 30, 2021 and 2020, the Company recognized net foreign currency losses of $ 65,000 and net foreign currency gain of $ 112,000 , respectively.
Non-Controlling Interests	Non-Controlling Interests The non-controlling interests balance represents the economic interests in CWAN Holdings held by Continuing Equity Owners, based on the portion of Class B and Class C common stock owned by Continuing Equity Owners. Income or loss is attributed to the non-controlling interests based on the weighted-average Class B and Class C common stock outstanding during the period. As of September 30, 2021, the non-controlling interests owned 24.8 % of CWAN Holdings. The non-controlling interests' ownership percentage can fluctuate over time as Continuing Equity Owners elect to exchange Class B and Class C common stock for Class A and Class D common stock of Clearwater Analytics Holdings, Inc.
Net Loss Per Share	Net Loss Per Share Basic net loss per share is computed by dividing net loss attributable to Clearwater Analytics Holdings, Inc. for the period following the Transactions by the weighted-average number of shares of Class A and Class D common stock during the same period. Diluted net loss per share of Class A and Class D common stock is computed by dividing net income attributable to Clearwater Analytics Holdings, Inc., adjusted for the assumed exchange of all potentially dilutive instruments for Class A and Class D common stock, by the weighted-average number of shares of Class A and Class D common stock outstanding, adjusted to give effect to potentially dilutive elements. The dilutive effect of outstanding awards, if any, is reflected in diluted earnings per share by application of the treasury stock method or if-converted method, as applicabl e.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In August 2018, the FASB issued ASU No. 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework – Changes to Disclosure Requirements for Fair Value Measurement”. This update eliminates, adds and modifies certain disclosure requirements for fair value measurements. The Company adopted ASU 2018-13 on January 1, 2020 and the impact of the adoption was not material to the Company’s consolidated financial statements. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes”. The amendment removes certain exceptions to the general principles in Topic 740. The guidance will be effective for public companies for annual periods beginning after December 15, 2020, including interim periods therein. The Company is allowed to use the private company adoption timelines, and therefore the standard is effective for the Company for its annual period beginning January 1, 2022, and interim periods therein. Early adoption of the amendments is permitted, including adoption in any interim period for public business entities for periods for which financial statements have not yet been issued. We have adopted ASC No. 2019-12 during the third quarter of 2021 , and have reflected the adjustments as of the beginning of the year, and our adoption did not have a material impact on the consolidated financial statements.
Recent Accounting Pronouncements Not Yet Adopted	Recent Accounting Pronouncements Not Yet Adopted As an Emerging Growth Company, the Company has elected to defer compliance with new or revised financial accounting standards until the Company is required to comply with such standards based on adoption dates for non-issuers. In February 2016, the FASB issued ASU No. 2016-02, “Leases”. The new guidance requires lessees to recognize on the balance sheet the assets and liabilities for the assets and obligations created by those leases. The standard is effective for the Company beginning January 1, 2022. Early adoption is permitted. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, “Customer’s Accounting for Implementation Costs That is A Service Contract”. This update provides guidance for determining if a cloud computing arrangement is within the scope of internal-use software guidance and would require capitalization of certain implementation costs. The standard is effective for the Company beginning January 1, 2022. Early adoption is permitted. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements.

Organization and Description _2

Organization and Description of Business (Tables)	9 Months Ended
	Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Summary of Classes of Common Stock	The attributes of the Company's classes of common stock are summarized in the following table: Class of Common Stock Votes per Share Economic Rights Class A common stock 1 Yes Class B common stock 1 No Class C common stock 10 No Class D common stock 10 Yes

Basis of Presentation and Sum_3

Basis of Presentation and Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Summary of Depreciation and Amortization for Property and Equipment	Depreciation and amortization periods for property and equipment are as follows: Property and Equipment Estimated Useful Life Computer equipment 3 years Furniture and fixtures 3 - 5 years Internally developed software 4 years Leasehold improvements Lessor of estimated useful life or remaining lease term

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Summary of Financial Assets Measured at Fair Value	The following tables set forth the fair value of the Company’s financial assets measured at fair value as of September 30, 2021 and December 31, 2020 in accordance with the fair value hierarchy (in thousands): September 30, 2021 Level I Level II Level III Total Financial Assets: Cash and cash equivalents: Money market funds $ 96,367 $ — $ — $ 96,367 Total assets measured at fair value $ 96,367 $ — $ — $ 96,367 December 31, 2020 Level I Level II Level III Total Financial Assets: Cash and cash equivalents: Money market funds $ 60,886 $ — $ — $ 60,886 Total assets measured at fair value $ 60,886 $ — $ — $ 60,886

Balance Sheet Components (Table

Balance Sheet Components (Tables)	9 Months Ended
	Sep. 30, 2021
Balance Sheet Related Disclosures [Abstract]
Schedule of Accounts Receivable, Net	Accounts receivable, net consisted of the following (in thousands): September 30 December 31 2021 2020 Unbilled accounts receivable $ 24,226 $ 23,715 Billed accounts receivable 24,857 9,200 Allowance for doubtful accounts and reserves ( 84 ) ( 33 ) Accounts receivable, net $ 48,999 $ 32,882
Schedule of Prepaid Expenses and Other Current Assets	Prepaid expenses and other current assets consisted of the following (in thousands): September 30 December 31 2021 2020 Prepaid expenses $ 7,190 $ 4,141 Deferred costs, current portion 3,228 2,903 Other current assets 692 506 Prepaid expense and other current assets $ 11,110 $ 7,550
Schedule of Property and Equipment, Net	Property and equipment, net consisted of the following (in thousands): September 30 December 31 2021 2020 Computer equipment $ 13,776 $ 12,248 Leasehold improvements 3,006 2,965 Furniture and fixtures 1,023 818 Internally developed software 3,504 1,538 Construction in progress 103 508 Total property and equipment 21,412 18,077 Less: accumulated depreciation ( 11,423 ) ( 9,228 ) Total property and equipment, net $ 9,989 $ 8,849
Schedule of Other Non-current Assets	Other Non-current assets consisted of the following (in thousands): September 30 December 31 2021 2020 Prepaid management fee to Principal Equity Owners $ 5,009 $ — Long term deposits 179 112 Prepaid IT costs 484 78 Other non-current assets $ 5,672 $ 190
Schedule of Accrued Expenses and Other Current Liabilities	Accrued expenses and other current liabilities consisted of the following (in thousands): September 30 December 31 2021 2020 Accrued sales tax liability $ 3,745 $ 9,994 Accrued interest 12 2,306 Accrued bonus 5,266 4,023 Accrued vendor liabilities 4,590 2,369 Accrued benefits and retirement 2,945 2,562 Deferred revenue 636 1,420 Accrued commissions 1,425 2,371 Deferred rent 1,457 1,238 Income tax payable 56 — Accrued reimbursement to unitholders — 4,880 Accrued offering costs 3,027 — Other current liabilities 4,885 2,626 Accrued expenses and other liabilities $ 28,044 $ 33,789

Credit Agreement (Tables)

Credit Agreement (Tables)	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Schedule of Future Maturities of Debt	Future maturities of debt as of September 30, 2021 are as follows: For the year ending December 31, 2021 (remaining three months) $ 688 2022 2,750 2023 2,750 2024 2,750 2025 2,750 Thereafter 43,312 Total principal debt 55,000 Unamortized loan costs ( 427 ) Net carrying amount $ 54,573

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2021
Leases [Abstract]
Schedule of Future Minimum Lease Payments under Non-cancellable Leases	The following is a schedule of future minimum lease payments under the Company’s non-cancellable leases as of September 30, 2021 (in thousands): For the year ending December 31, 2021 (remaining three months) $ 957 2022 3,947 2023 3,874 2024 3,680 2025 3,464 Thereafter 3,860 Total minimum lease payments $ 19,782

Noncontrolling Interest (Tables

Noncontrolling Interest (Tables)	9 Months Ended
	Sep. 30, 2021
Noncontrolling Interest [Abstract]
Schedule of Ownership of Noncontrolling Interest	The ownership of the LLC interests is summarized as follows: September 30, 2021 Shares Ownership % Clearwater Analytics Holdings, Inc. interest in CWAN Holdings 177,449,844 75.2 % Continuing Equity Owners' interest in CWAN Holdings 58,528,697 24.8 % 235,978,541 100.0 %

Loss Per Share (Tables)

Loss Per Share (Tables)	9 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
Schedule of Computation of Basic and Diluted Net Loss Per Share	The following table sets forth reconciliations of the numerators and denominators used to compute basic and diluted loss per share of Class A and Class D common stock for the three and nine months ended September 30, 2021. The basic and diluted loss per share period for the three and nine months ended September 30, 2021, represents only the period from September 24, 2021 to September 30, 2021, which represents the period wherein we had outstanding Class A and Class D common stock (in thousands, except per share amounts): Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Numerator: Net loss $ ( 11,428 ) $ ( 8,228 ) Less: Net income (loss) attributable to CWAN Holdings prior to the Transactions ( 371 ) 2,829 Less: Net loss attributable to noncontrolling interests subsequent to the Transactions ( 2,742 ) ( 2,742 ) Net loss attributable to Clearwater Analytics Holdings, Inc. - basic ( 8,314 ) ( 8,314 ) Reallocation of net loss attributable to noncontrolling interests after the Transactions from the assumed exchange of Class B and Class C stock for Class A and Class D stock ( 2,742 ) ( 2,742 ) Net loss attributable to Clearwater Analytics Holdings, Inc. - diluted $ ( 11,056 ) $ ( 11,056 ) The following table sets forth the computation of basic and diluted net loss per share of Class A and Class D common stock (in thousands, except per share amounts): Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Class A Class D Class A Class D Basic net income (loss) attributable to Class A and Class D common stockholders Numerator: Allocation of net loss attributable to Clearwater Analytics, Inc. $ ( 2,219 ) $ ( 6,095 ) $ ( 2,219 ) $ ( 6,095 ) Denominator: Weighted average number of shares of Class A and Class D common stock outstanding - basic 47,366,089 130,083,755 47,366,089 130,083,755 Basic net loss per share attributable to Class and Class D common stockholders $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 ) Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Class A Class D Class A Class D Diluted net income (loss) attributable to Class A and Class D common stockholders Numerator: Undistributed earnings for basic computation $ ( 2,219 ) $ ( 6,095 ) $ ( 2,219 ) $ ( 6,095 ) Reallocation of earnings as a result of conversion of Class B to Class A shares and conversion Class C to Class D shares ( 522 ) ( 2,219 ) ( 522 ) ( 2,219 ) Reallocation of earnings as a result of conversion of Class D to Class A shares ( 8,314 ) ( 8,314 ) Allocation of undistributed earnings $ ( 11,055 ) $ ( 8,314 ) $ ( 11,055 ) $ ( 8,314 ) Denominator: Weighted average number of shares of Class A and Class D common stock outstanding - basic 47,366,089 130,083,755 47,366,089 130,083,755 Conversion of Class B stock to Class A stock, and conversion of Class C stock to Class D stock 11,151,110 47,377,587 11,151,110 47,377,587 Conversion of Class D to Class A common shares outstanding 177,461,342 — 177,461,342 — Weighted average number of shares of Class A and Class D common stock outstanding - diluted 235,978,541 177,461,342 235,978,541 177,461,342 Diluted net loss per share attributable to Class A and Class D common stockholders $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 ) $ ( 0.05 )
Schedule of Share/Unit With Potentially Dilutive Impact	During the period from September 24, 2021 through September 30, 2021, the Company incurred net losses and, therefore, the effect of the Company’s potentially dilutive securities were not included in the calculation of diluted loss per share as the effect would be anti-dilutive. The following table contains share/unit total with a potentially dilutive impact: As of Stock options of Clearwater Analytics Holdings, Inc. 23,004,276 RSUs of Clearwater Analytics Holdings, Inc. 6,090,117 Total 29,094,393

Equity-Based Compensation (Tabl

Equity-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2021
Share-based Payment Arrangement [Abstract]
Summary of Stock Option Activity	The following table summarizes the stock option activity for the nine months ended September 30, 2021 (in thousands, except per share data): Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Balance - December 31, 2020 14,893,136 $ 4.60 9.19 $ 116,029 Granted 10,140,898 12.88 Exercised ( 592,406 ) 4.08 2,315 Forfeited ( 1,437,352 ) 7.32 Balance - September 30, 2021 23,004,276 $ 9.54 8.19 $ 369,719 Options vested - September 30, 2021 6,174,103 $ 4.27 6.94 $ 131,742 Options vested and expected to vest - September 30, 2021 23,004,276 $ 9.54 8.19 $ 369,719
Summary of RSU Activity	The summary of RSU activity is as follows (in thousands, except per share data): Units Activity Weighted Average Grant Date Fair Value Aggregate Intrinsic Value Unvested units as of December 31, 2020 — $ — $ — Granted 6,218,484 17.29 Released — — — Cancelled — — - — Unvested units as of September 30, 2021 6,218,484 $ 159,255
Schedule of Assumptions Used to Calculate Fair Value of Options Granted	The following assumptions were used to calculate the fair value of options granted to employees on the date of grant using the Black-Scholes option-pricing model: Nine Months Ended September 30, 2021 2020 Weighted-average grant date fair value per option $ 5.13 $ 1.44 Fair value of units $ 12.40 - $ 16.75 $ 4.40 - $ 5.64 Expected term (in years) 6.00 - 6.25 6.25 Expected volatility 40 % 30 % Risk-free interest rates 0.6 - 1.1 % 0.4 - 1.7 %

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2021
Segment Reporting [Abstract]
Summary of Revenue Disaggregated by Geography	The following table presents the Company’s revenue disaggregated by geography, based on billing address of the customer (in thousands): Three Months Ended Nine Months Ended 2021 2020 2021 2020 United States $ 59,445 $ 48,211 $ 166,765 $ 134,579 Rest of World 5,044 5,144 15,494 13,885 Total revenue $ 64,489 $ 53,355 $ 182,259 $ 148,464

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Summary of Income (Loss) Before Provision for Income Taxes, Provision for Income Taxes and Effective Tax rate	Our tax provision for interim periods is determined using an estimated annual effective tax rate, adjusted for discrete items arising in the applicable quarter. In each quarter, we update the estimated annual effective tax rate and make a year-to-date adjustment to the provision. The estimated annual effective tax rate may be subject to significant volatility due to several factors, including our ability to accurately predict the proportion of our pretax income in multiple jurisdictions, certain book-tax differences, and exchanges from noncontrolling interests. Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Income (loss) before provision for income taxes $ ( 11,212 ) $ 11,598 $ ( 7,692 ) $ 25,443 Provision for income taxes 216 99 536 309 Effective tax rate ( 1.9 %) 0.9 % ( 7.0 %) 1.2 %

Organization and Description _3

Organization and Description of Business - Additional Information (Details) $ / shares in Units, $ in Thousands	Sep. 28, 2021USD ($)$ / sharesshares	Sep. 30, 2021USD ($)Officesshares	Sep. 30, 2020USD ($)
Subsidiary, Sale of Stock [Line Items]
Entity incorporation date of incorporation		May 18, 2021
Number of entities operating within U.S. | Offices		4
Number of entities in which operates internationally | Offices		5
Proceeds from issuance of initial public offering		$ 582,188
Proceeds from issuance of common stock, net of underwriters discount		1,850
Repayment of borrowings		$ 434,231	$ 20,787
Previous Credit Agreement | Ares Capital Corporation and Golub Capital LLC
Subsidiary, Sale of Stock [Line Items]
Repayment of borrowings	$ 437,400
CWAN Holdings, LLC
Subsidiary, Sale of Stock [Line Items]
Purchase of common units | shares	34,500,000
Percentage of Ownership		75.20%
Percentage of continuing equity ownership interest		24.80%
Class A
Subsidiary, Sale of Stock [Line Items]
Common stock, shares issued | shares		47,366,089
Class B
Subsidiary, Sale of Stock [Line Items]
Common stock, shares issued | shares	11,151,110	11,151,110
Class C
Subsidiary, Sale of Stock [Line Items]
Common stock, shares issued | shares	47,377,587	47,377,587
Common stock basis	one-to-one basis
Class D
Subsidiary, Sale of Stock [Line Items]
Common stock, shares issued | shares	130,083,755	130,083,755
Common stock basis	one-to-one basis
IPO
Subsidiary, Sale of Stock [Line Items]
Share price | $ / shares	$ 18
Proceeds from issuance of initial public offering	$ 582,200
Proceeds from issuance of common stock, net of underwriters discount	38,800
Other offering expenses	$ 5,100
IPO | Class A
Subsidiary, Sale of Stock [Line Items]
Issuance of common stock | shares	34,500,000

Organization and Description _4

Organization and Description of Business - Summary of Classes of Common Stock (Details)	9 Months Ended
	Sep. 30, 2021
Class A Common Stock
Subsidiary, Sale of Stock [Line Items]
Votes per Share	1
Economic Rights	Yes
Class B Common Stock
Subsidiary, Sale of Stock [Line Items]
Votes per Share	1
Economic Rights	No
Class C Common Stock
Subsidiary, Sale of Stock [Line Items]
Votes per Share	10
Economic Rights	No
Class D Common Stock
Subsidiary, Sale of Stock [Line Items]
Votes per Share	10
Economic Rights	Yes

Basis of Presentation and Sum_4

Basis of Presentation and Summary of Significant Accounting Policies- Additional Information (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2021USD ($)Customer	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)Customer	Sep. 30, 2020USD ($)	Dec. 31, 2020Customer
Basis of Presentation and Summary of Significant Accounting Policies [Line Items]
General payment period from customers for credit sales			30 days
Notice period to cancel the service contract with no penalty			30 days
Economic benefit period of revenue contracts			4 years
Impairment losses | $	$ 0		$ 0
Estimated period to recognize deferred revenue			12 months
Number of customers more than 10% of revenue | Customer	0		0
Number of customers more than 10% of accounts receivables | Customer	0		0		0
Foreign currency transaction gain (loss) | $	$ (130,000)	$ 97,000	$ (65,000)	$ 112,000
CWAN Holdings
Basis of Presentation and Summary of Significant Accounting Policies [Line Items]
Percentage of non-controlling interest owners	24.80%		24.80%
Capitalized Software
Basis of Presentation and Summary of Significant Accounting Policies [Line Items]
Estimated useful lives of property and equipment			4 years
Maximum
Basis of Presentation and Summary of Significant Accounting Policies [Line Items]
Estimated useful lives of property and equipment			5 years
Minimum
Basis of Presentation and Summary of Significant Accounting Policies [Line Items]
Estimated useful lives of property and equipment			3 years
Expected realized income tax benefit tax authority			50.00%
ASU 2016-02
Basis of Presentation and Summary of Significant Accounting Policies [Line Items]
Change in accounting principle, accounting standards update, adopted [true false]	true		true
Change in accounting principle, accounting standards update, adoption date	Jan. 1, 2020		Jan. 1, 2020
Change in accounting principle, accounting standards update, immaterial effect [true false]	true		true
ASU 2019-12
Basis of Presentation and Summary of Significant Accounting Policies [Line Items]
Change in accounting principle, accounting standards update, adopted [true false]	true		true
Change in accounting principle, accounting standards update, adoption date	Sep. 30, 2021		Sep. 30, 2021
Change in accounting principle, accounting standards update, immaterial effect [true false]	true		true

Basis of Presentation and Sum_5

Basis of Presentation and Summary of Significant Accounting Policies - Summary of Depreciation and Amortization for Property and Equipment (Details)	9 Months Ended
	Sep. 30, 2021
Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	3 years
Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	5 years
Computer equipment
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	3 years
Furniture and fixtures | Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	3 years
Furniture and fixtures | Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	5 years
Internally developed software
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	4 years
Leasehold improvements
Property, Plant and Equipment [Line Items]
Estimated useful life of property and equipment description	Lessor of estimated useful life or remaining lease term

Revenue Recognition - Additiona

Revenue Recognition - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Deferred revenue recognized	$ 47	$ 700

Revenue Recognition - Additio_2

Revenue Recognition - Additional Information 1 (Details)	Sep. 30, 2021
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, expected timing of satisfaction, period	1 year

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Financial Assets Measured at Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Assets, Fair Value Disclosure [Abstract]
Total assets measured at fair value	$ 96,367	$ 60,886
Money market funds
Assets, Fair Value Disclosure [Abstract]
Cash and cash equivalents	96,367	60,886
Level 1
Assets, Fair Value Disclosure [Abstract]
Total assets measured at fair value	96,367	60,886
Level 1 | Money market funds
Assets, Fair Value Disclosure [Abstract]
Cash and cash equivalents	$ 96,367	$ 60,886

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Fair Value Disclosures [Abstract]
Fair value assets transferred between levels	$ 0	$ 0
Fair value Liabilities transferred between levels	$ 0	$ 0

Balance Sheet Components - Sche

Balance Sheet Components - Schedule of Accounts Receivable, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Receivables [Abstract]
Unbilled accounts receivable	$ 24,226	$ 23,715
Billed accounts receivable	24,857	9,200
Allowance for doubtful accounts and reserves	(84)	(33)
Accounts receivable, net	$ 48,999	$ 32,882

Balance Sheet Components - Sc_2

Balance Sheet Components - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid expenses	$ 7,190	$ 4,141
Deferred costs, current portion	3,228	2,903
Other current assets	692	506
Prepaid expense and other current assets	$ 11,110	$ 7,550

Balance Sheet Components - Sc_3

Balance Sheet Components - Schedule of Property and Equipment, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 21,412	$ 18,077
Less: accumulated depreciation	(11,423)	(9,228)
Total property and equipment, net	9,989	8,849
Computer equipment
Property, Plant and Equipment [Line Items]
Total property and equipment	13,776	12,248
Leasehold improvements
Property, Plant and Equipment [Line Items]
Total property and equipment	3,006	2,965
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Total property and equipment	1,023	818
Internally developed software
Property, Plant and Equipment [Line Items]
Total property and equipment	3,504	1,538
Construction in progress
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 103	$ 508

Balance Sheet Components - Addi

Balance Sheet Components - Additional Information - (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Balance Sheet Related Disclosures [Abstract]
Depreciation expense	$ 0.8	$ 0.6	$ 2.2	$ 1.6

Balance Sheet Components - Sc_4

Balance Sheet Components - Schedule of Other Non-current Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Other Assets, Noncurrent [Abstract]
Prepaid management fee to Principal Equity Owners	$ 5,009
Long term deposits	179	$ 112
Prepaid IT costs	484	78
Other non-current assets	$ 5,672	$ 190

Balance Sheet Components - Sc_5

Balance Sheet Components - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Accounts Payable and Accrued Liabilities, Current [Abstract]
Accrued sales tax liability	$ 3,745	$ 9,994
Accrued interest	12	2,306
Accrued bonus	5,266	4,023
Accrued vendor liabilities	4,590	2,369
Accrued benefits and retirement	2,945	2,562
Deferred revenue	636	1,420
Accrued commissions	1,425	2,371
Deferred rent	1,457	1,238
Income tax payable	56
Accrued reimbursement to unitholders		4,880
Accrued offering costs	3,027
Other current liabilities	4,885	2,626
Accrued expenses and other liabilities	$ 28,044	$ 33,789

Credit Agreement - Additional I

Credit Agreement - Additional Information (Details)	3 Months Ended	9 Months Ended
	Sep. 30, 2021USD ($)	Sep. 30, 2021USD ($)	Oct. 19, 2020USD ($)
Line of Credit Facility [Line Items]
Loss on extinguishment of debt	$ 10,303,000	$ 10,303,000
Previous Credit Agreement | Ares Capital Corporation and Golub Capital LLC
Line of Credit Facility [Line Items]
Outstanding borrowings			$ 432,700,000
Previous Credit Agreement | Ares Capital Corporation and Golub Capital LLC | Term Loan
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			435,000,000
Previous Credit Agreement | Ares Capital Corporation and Golub Capital LLC | Revolving Line of Credit
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 30,000,000
New Credit Agreement
Line of Credit Facility [Line Items]
Unused commitment fee percentage		0.25%
Debt instrument amortization percentage		5.00%
Debt instrument frequency of periodic payment		quarterly
New Credit Agreement | Maximum
Line of Credit Facility [Line Items]
Unused commitment fee percentage		0.30%
Secured net indebtedness to EBITDA ratio	4.75	4.75
New Credit Agreement | Base Rate
Line of Credit Facility [Line Items]
Debt instrument, description of variable rate basis		base rate plus an applicable margin of 0.75%
Debt instrument, basis spread on variable rate		0.75%
Step-up percentage of variable rate		0.25%
New Credit Agreement | LIBOR
Line of Credit Facility [Line Items]
Debt instrument, description of variable rate basis		LIBOR rate plus an applicable margin of 1.75%
Debt instrument, basis spread on variable rate		1.75%
Step-up percentage of variable rate		0.25%
New Credit Agreement | JPMorgan Chase Bank, N.A | Term Loan
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity	$ 55,000,000	$ 55,000,000
New Credit Agreement | JPMorgan Chase Bank, N.A | Revolving Line of Credit
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity	$ 125,000,000	$ 125,000,000

Credit Agreement - Schedule of

Credit Agreement - Schedule of Future Maturities of Debt (Details) $ in Thousands	Sep. 30, 2021USD ($)
Debt Disclosure [Abstract]
2021 (remaining three months)	$ 688
2022	2,750
2023	2,750
2024	2,750
2025	2,750
Thereafter	43,312
Total principal debt	55,000
Unamortized loan costs	(427)
Net carrying amount	$ 54,573

Employee Retirement Plan - Addi

Employee Retirement Plan - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Retirement Benefits [Abstract]
Contributions to retirement plan	$ 1.1	$ 0.9	$ 3.2	$ 1.5

Leases - Additional Information

Leases - Additional Information (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)RenewalOption	Sep. 30, 2020USD ($)
Lessee, Lease, Description [Line Items]
Rent expense	$ 1	$ 0.9	$ 2.7	$ 2.5
Other Sales and Client Service Offices
Lessee, Lease, Description [Line Items]
Operating lease annual payment			$ 1
Boise, Idaho
Lessee, Lease, Description [Line Items]
Lease, operating lease term	10 years		10 years
Number of lessee operating lease renewal option | RenewalOption			2
Lessee, operating lease, renewal term	5 years		5 years
Operating lease annual payment			$ 2.4
Percentage of contractual annual increase payment			2.00%

Leases - Schedule of Future Min

Leases - Schedule of Future Minimum Lease Payments under Non-cancellable Leases (Details) $ in Thousands	Sep. 30, 2021USD ($)
Leases [Abstract]
2021 (remaining three months)	$ 957
2022	3,947
2023	3,874
2024	3,680
2025	3,464
Thereafter	3,860
Total minimum lease payments	$ 19,782

Noncontrolling Interest - Addit

Noncontrolling Interest - Additional Information (Details) - CWAN Holdings, LLC	Sep. 30, 2021
Noncontrolling Interest [Line Items]
Percentage of Ownership	75.20%
Percentage of non-controlling interest owners	24.80%

Noncontrolling Interest - Sched

Noncontrolling Interest - Schedule of Ownership of Noncontrolling Interest (Details) - CWAN Holdings, LLC	Sep. 30, 2021shares
Noncontrolling Interest [Line Items]
Noncontrolling shares interest held by parent	177,449,844
Ownership shares by noncontrolling owners	58,528,697
Total shares economic interest ownership	235,978,541
Percentage of Ownership	75.20%
Percentage of continuing equity ownership interest	24.80%
Total economic interest ownership percentage	100.00%

Loss Per Share - Schedule of Co

Loss Per Share - Schedule of Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended				9 Months Ended
	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net loss	$ (11,428)	$ (211)	$ 3,411	$ 11,499	$ (8,228)	$ 25,134
Less: Net income (loss) attributable to CWAN Holdings prior to the Transactions	(371)				2,829
Less: Net loss attributable to noncontrolling interests subsequent to the Transactions	(2,742)				(2,742)
Net loss attributable to Clearwater Analytics Holdings, Inc. - basic	(8,314)				(8,314)
Reallocation of net loss attributable to noncontrolling interests after the Transactions from the assumed exchange of Class B and Class C stock for Class A and Class D stock	(2,742)				(2,742)
Net loss attributable to Clearwater Analytics Holdings, Inc. - diluted	(11,056)				(11,056)
Numerator:
Allocation of net loss attributable to Clearwater Analytics, Inc.	$ (8,314)				$ (8,314)
Denominator:
Weighted average number of shares of Class A and Class D common stock outstanding - basic	177,449,844				177,449,844
Denominator:
Basic	177,449,844				177,449,844
Weighted average number of shares of Class A and Class D common stock outstanding - diluted	235,978,541				235,978,541
Class A
Numerator:
Allocation of net loss attributable to Clearwater Analytics, Inc.	$ (2,219)				$ (2,219)
Denominator:
Weighted average number of shares of Class A and Class D common stock outstanding - basic	47,366,089				47,366,089
Basic net loss per share attributable to Class and Class D common stockholders	$ (0.05)				$ (0.05)
Numerator:
Undistributed earnings for basic computation	$ (2,219)				$ (2,219)
Reallocation of earnings as a result of conversion of Class B to Class A shares and conversion Class C to Class D shares	(522)				(522)
Reallocation of earnings as a result of conversion of Class D to Class A shares	(8,314)				(8,314)
Allocation of undistributed earnings	$ (11,055)				$ (11,055)
Denominator:
Basic	47,366,089				47,366,089
Conversion of Class B stock to Class A stock, and conversion of Class C stock to Class D stock	11,151,110				11,151,110
Conversion of Class D to Class A common shares outstanding	177,461,342				177,461,342
Weighted average number of shares of Class A and Class D common stock outstanding - diluted	235,978,541				235,978,541
Diluted net loss per share attributable to Class A and Class D common stockholders	$ (0.05)				$ (0.05)
Class D
Numerator:
Allocation of net loss attributable to Clearwater Analytics, Inc.	$ (6,095)				$ (6,095)
Denominator:
Weighted average number of shares of Class A and Class D common stock outstanding - basic	130,083,755				130,083,755
Basic net loss per share attributable to Class and Class D common stockholders	$ (0.05)				$ (0.05)
Numerator:
Undistributed earnings for basic computation	$ (6,095)				$ (6,095)
Reallocation of earnings as a result of conversion of Class B to Class A shares and conversion Class C to Class D shares	(2,219)				(2,219)
Allocation of undistributed earnings	$ (8,314)				$ (8,314)
Denominator:
Basic	130,083,755				130,083,755
Conversion of Class B stock to Class A stock, and conversion of Class C stock to Class D stock	47,377,587				47,377,587
Weighted average number of shares of Class A and Class D common stock outstanding - diluted	177,461,342				177,461,342
Diluted net loss per share attributable to Class A and Class D common stockholders	$ (0.05)				$ (0.05)

Loss Per Share - Schedule of Sh

Loss Per Share - Schedule of Share/Unit With Potentially Dilutive Impact (Details)	9 Months Ended
	Sep. 30, 2021shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total potentially dilutive impact	29,094,393
Stock options of Clearwater Analytics Holdings, Inc.
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total potentially dilutive impact	23,004,276
RSUs of Clearwater Analytics Holdings, Inc.
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total potentially dilutive impact	6,090,117

Equity-Based Compensation - Add

Equity-Based Compensation - Additional Information (Details) $ / shares in Units, $ in Millions	1 Months Ended			9 Months Ended
	Sep. 30, 2021USD ($)shares	Jun. 30, 2021shares	Jan. 31, 2020USD ($)StockOptionHolders$ / sharesshares	Sep. 30, 2021USD ($)$ / sharesshares	Dec. 31, 2019$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average grant date fair value | $ / shares				$ 5.13
Total unrecognized compensation expense | $	$ 88.5			$ 88.5
Weighted-average period to recognize expense				3 years 2 months 15 days
Stock options exercise price one time modification description				In January 2020, the Company offered to option holders a one-time modification to reduce the exercise price of all equity options with exercise prices greater than $4.40 per unit to $4.40, the ‘fair value’ at the date of modification.
Stock options exercise price | $ / shares			$ 4.40
Number of stock options accepted repricing | shares			8,778,750
Number of stock option holders accepted repricing | StockOptionHolders			68
Number of unvested stock options for which vesting conditions modified | shares	12,493,241			12,493,241
Dividend yield				0.00%
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options exercise price | $ / shares					$ 4.40
First Anniversary
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock option vesting rights, percentage				25.00%
Shares Vesting Monthly After First Anniversary
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards vesting period				3 years
Stock option vesting rights, percentage				75.00%
Vesting Conditions Based On Continuous Employment
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards vesting period				4 years
2021 Plan | Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized for issuance | shares	45,369,737			45,369,737
Option Awards Vested
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Incremental compensation charge resulting from modification | $			$ 0.7
Option Awards Unvested
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Incremental compensation charge resulting from modification | $			1.2
Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards vesting period				4 years
Incremental compensation charge resulting from modification | $	$ 15.2		$ 1.9
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted | shares				6,218,484
Unrecognized equity-based compensation expense | $	$ 107.4			$ 107.4
RSUs | IPO
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted | shares		6,090,177
Time Based RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards vesting period				4 years
Performance Based RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards vesting period				3 years

Equity-Based Compensation - Sum

Equity-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Share-based Payment Arrangement [Abstract]
Stock Options, Balance - December31, 2020	14,893,136
Stock Options, Granted	10,140,898
Stock Options, Exercised	(592,406)
Stock Options, Forfeited	(1,437,352)
Stock Options, Balance - September30, 2021	23,004,276	14,893,136
Stock Options, Options vested - September 30, 2021	6,174,103
Stock Options, Options vested and expected to vest-September 30, 2021	23,004,276
Weighted Average Exercise Price, Balance - December 31, 2020	$ 4.60
Weighted Average Exercise Price, Granted	12.88
Weighted Average Exercise Price, Exercised	4.08
Weighted Average Exercise Price, Forfeited	7.32
Weighted Average Exercise Price, Balance - September 30, 2021	9.54	$ 4.60
Weighted Average Exercise Price, Options vested - September 30, 2021	4.27
Weighted Average Exercise Price, Options vested and expected to vest - September 30, 2021	$ 9.54
Weighted Average Remaining Contractual Life (Years)	8 years 2 months 8 days	9 years 2 months 8 days
Weighted Average Remaining Contractual Life (Years), Options vested - September 30, 2021	6 years 11 months 8 days
Weighted Average Remaining Contractual Life (Years), Options vested and expected to vest - September 30, 2021	8 years 2 months 8 days
Aggregate Intrinsic Value, Balance - December 31, 2020	$ 116,029
Aggregate Intrinsic Value, Exercised	2,315
Aggregate Intrinsic Value, Balance - September 30, 2021	369,719	$ 116,029
Aggregate Intrinsic Value, Options vested - September 30, 2021	131,742
Aggregate Intrinsic Value, Options vested and expected to vest - September 30, 2021	$ 369,719

Equity-Based Compensation - S_2

Equity-Based Compensation - Summary of RSU Activity (Details) - RSUs $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2021USD ($)$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Units Activity, Granted	6,218,484
Units Activity, Unvested units as of September 30, 2021	6,218,484
Weighted Average Grant Date Fair Value, Granted | $ / shares	$ 17.29
Aggregate Intrinsic Value, Unvested units as of September 30, 2021 | $	$ 159,255

Equity-Based Compensation - Sch

Equity-Based Compensation - Schedule of Assumptions Used to Calculate Fair Value of Options Granted (Details) - $ / shares	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average grant date fair value per option	$ 5.13	$ 1.44
Expected term (in years)		6 years 3 months
Expected volatility	40.00%	30.00%
Risk-free interest rates, minimum	0.60%	0.40%
Risk-free interest rates, maximum	1.10%	1.70%
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair value of units	$ 12.40	$ 4.40
Expected term (in years)	6 years
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair value of units	$ 16.75	$ 5.64
Expected term (in years)	6 years 3 months

Segment Information - Additiona

Segment Information - Additional Information (Details)	9 Months Ended
	Sep. 30, 2021ActivitySegment
Segment Reporting [Abstract]
Number of business activities | Activity	1
Number of operating segments | Segment	1

Segment Information - Summary o

Segment Information - Summary of Revenue Disaggregated by Geography (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 64,489	$ 53,355	$ 182,259	$ 148,464
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	59,445	48,211	166,765	134,579
Rest of World
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 5,044	$ 5,144	$ 15,494	$ 13,885

Income Taxes - Summary of Incom

Income Taxes - Summary of Income (Loss) Before Provision for Income Taxes, Provision for Income Taxes and Effective Tax rate (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Income Tax Disclosure [Abstract]
Income (loss) before provision for income taxes	$ (11,212)	$ 11,598	$ (7,692)	$ 25,443
Provision for income taxes	$ 216	$ 99	$ 536	$ 309
Effective tax rate	(1.90%)	0.90%	(7.00%)	1.20%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($)	Sep. 28, 2021	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Percentage of estimated tax benefits to be realized	85.00%
Percentage of expected remaining tax benefits to be realized	15.00%
Estimated future tax benefit related to ownership exchanges		$ 287,000,000
Estimated future tax benefit related to ownership exchanges associated to TRA liability		244,000,000
Tax receivable agreement liability		0
Tax receivable agreement bonus liability		$ 0

Transactions with Related Par_2

Transactions with Related Parties - Additional Information (Details) - Principal Equity Owners - USD ($) $ in Millions	1 Months Ended	3 Months Ended		9 Months Ended
	Jan. 31, 2021	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Related Party Transaction [Line Items]
Payment relation to management fees	$ 9.6
Management fee		$ 0.6	$ 0.2	$ 1.7	$ 0.9
Prepaid management fees amortized period				4 years