Cover
Cover | 9 Months Ended |
Sep. 30, 2020 | |
Cover [Abstract] | |
Document Type | S-1 |
Amendment Flag | false |
Entity Registrant Name | BigCommerce Holdings, Inc. |
Entity Central Index Key | 0001626450 |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | true |
Entity Ex Transition Period | true |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets | |||
Cash and cash equivalents | $ 178,846 | $ 7,795 | $ 12,793 |
Restricted cash | 1,133 | 1,355 | 1,104 |
Marketable securities | 23,367 | ||
Accounts receivable, net | 21,458 | 15,548 | 10,238 |
Prepaid expenses and other assets | 9,259 | 5,296 | 3,512 |
Deferred commissions | 2,224 | 1,677 | 2,106 |
Total current assets | 212,920 | 31,671 | 53,120 |
Property and equipment, net | 7,242 | 8,241 | 5,231 |
Right-of-use-assets | 12,345 | 14,065 | |
Deferred commissions, net of current portion | 2,995 | 2,087 | 753 |
Total assets | 235,502 | 56,064 | 59,104 |
Current liabilities | |||
Accounts payable | 5,566 | 3,881 | 5,463 |
Accrued liabilities | 2,584 | 5,849 | 2,618 |
Deferred revenue | 11,842 | 9,399 | 10,429 |
Current portion of long-term debt | 11,895 | 2,363 | 946 |
Current portion of operating lease liabilities | 3,074 | 2,718 | |
Other current liabilities | 17,516 | 9,704 | 7,934 |
Deferred rent and leasehold incentive obligations | 247 | ||
Total current liabilities | 52,477 | 33,914 | 27,637 |
Deferred revenue, net of current portion | 1,127 | 1,492 | 2,136 |
Long-term debt, net of current portion | 10,000 | 38,502 | 23,415 |
Operating lease liabilities, net of current portion | 13,400 | 15,705 | |
Deferred rent and leasehold incentive obligations, net of current portion | 946 | ||
Total liabilities | 77,004 | 89,613 | 54,134 |
Commitments and contingencies (Note 6) | |||
Stockholders' equity (deficit) | |||
Common stock | 7 | 2 | 2 |
Additional paid-in capital | 457,681 | 17,244 | 13,261 |
Accumulated other comprehensive loss | (14) | ||
Accumulated deficit | (299,190) | (274,549) | (224,725) |
Total stockholders' equity (deficit) | 158,498 | (257,303) | (211,476) |
Total liabilities, convertible preferred stock, and stockholders' equity (deficit) | $ 235,502 | 56,064 | 59,104 |
Convertible Preferred Stock | |||
Convertible preferred stock | |||
Convertible preferred stock | $ 223,754 | $ 216,446 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Common stock, shares par value | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Convertible Preferred Stock | |||
Convertible preferred stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Convertible preferred stock, shares authorized | 10,000,000 | 102,030,000 | 102,030,000 |
Convertible preferred stock, shares issued | 0 | 102,030,000 | 102,030,000 |
Convertible preferred stock, shares outstanding | 0 | 102,030,000 | 102,030,000 |
Convertible Preferred Stock | Previously Reported | |||
Convertible preferred stock, shares issued | 102,031,000 | ||
Convertible preferred stock, shares outstanding | 102,031,000 | ||
Voting Common Stock | |||
Common stock, shares authorized | 200,000,000 | 200,000,000 | |
Common stock, shares issued | 18,544,000 | 17,445,000 | |
Common stock, shares outstanding | 18,544,000 | 17,445,000 | |
Non-voting Common Stock | |||
Common stock, shares authorized | 30,000,000 | 30,000,000 | |
Common stock, shares issued | 0 | 0 | |
Common stock, shares outstanding | 0 | 0 | |
Series 1 Common Stock | |||
Common stock, shares authorized | 500,000,000 | ||
Common stock, shares issued | 62,757,000 | ||
Common stock, shares outstanding | 62,757,000 | ||
Series 2 Common Stock | |||
Common stock, shares authorized | 5,051,000 | ||
Common stock, shares issued | 5,051,000 | ||
Common stock, shares outstanding | 5,051,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement [Abstract] | ||||||
Revenue | $ 39,735 | $ 28,264 | $ 109,225 | $ 81,083 | $ 112,103 | $ 91,867 |
Cost of revenue | 8,593 | 6,806 | 23,910 | 18,958 | 27,023 | 21,937 |
Gross profit | 31,142 | 21,458 | 85,315 | 62,125 | 85,080 | 69,930 |
Operating expenses: | ||||||
Sales and marketing | 19,328 | 15,346 | 51,893 | 45,445 | 60,740 | 45,928 |
Research and development | 12,124 | 10,862 | 34,390 | 32,162 | 43,123 | 42,485 |
General and administrative | 9,745 | 5,527 | 23,925 | 15,748 | 22,204 | 19,497 |
Total operating expenses | 41,197 | 31,735 | 110,208 | 93,355 | 126,067 | 107,910 |
Loss from operations | (10,055) | (10,277) | (24,893) | (31,230) | (40,987) | (37,980) |
Interest income | 2 | 4 | 20 | 245 | 245 | 653 |
Interest expense | (741) | (359) | (2,655) | (1,129) | (1,612) | (1,489) |
Change in fair value of financial instruments | 4,413 | |||||
Other expense | (75) | (86) | (238) | (163) | (208) | (52) |
Loss before provision for income taxes | (10,869) | (10,718) | (23,353) | (32,277) | (42,562) | (38,868) |
Provision for income taxes | (14) | 7 | 6 | 21 | 28 | 10 |
Net loss | (10,855) | (10,725) | (23,359) | (32,298) | (42,590) | (38,878) |
Dividends and accretion of issuance costs on Series F preferred stock | 2,732 | (1,865) | (962) | (5,417) | (7,308) | (4,712) |
Net loss attributable to common stockholders | $ (8,123) | $ (12,590) | $ (24,321) | $ (37,715) | $ (49,898) | $ (43,590) |
Basic and diluted net loss per share attributable to common stockholders | $ (0.16) | $ (0.70) | $ (0.83) | $ (2.13) | $ (2.80) | $ (2.59) |
Weighted average shares used to compute basic and diluted net loss per share attributable to common stockholders | 49,355 | 17,959 | 29,145 | 17,681 | 17,834 | 16,807 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||||
Net loss | $ (10,855) | $ (10,725) | $ (23,359) | $ (32,298) | $ (42,590) | $ (38,878) |
Other comprehensive income (loss): | ||||||
Net unrealized gain (loss) on marketable debt securities | 14 | 14 | 14 | (14) | ||
Total comprehensive loss | $ (10,855) | $ (10,711) | $ (23,359) | $ (32,284) | $ (42,576) | $ (38,892) |
Consolidated Statements of Conv
Consolidated Statements of Convertible Preferred Stock and Stockholders' Equity (Deficit) - USD ($) shares in Thousands, $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Convertible Preferred Stock | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated DeficitCumulative Effect, Period of Adoption, Adjustment | Accumulated Other Comprehensive Loss |
Balance at Dec. 31, 2017 | $ (171,714) | $ 2 | $ 10,633 | $ (182,349) | ||||
Balance (Accounting Standards Update 2014-09) at Dec. 31, 2017 | $ 1,164 | $ 1,164 | ||||||
Temporary equity, shares at Dec. 31, 2017 | 78,402 | |||||||
Temporary equity, balance at Dec. 31, 2017 | $ 148,105 | |||||||
Balance, shares at Dec. 31, 2017 | 16,059 | |||||||
Issuance of Series F preferred stock, net of issuance costs | $ 63,629 | |||||||
Issuance of Series F preferred stock, net of issuance costs, shares | 23,628 | |||||||
Exercise of stock options | $ 607 | 607 | ||||||
Exercise of stock options, shares | 1,386 | 1,386 | ||||||
Stock-based compensation | $ 2,071 | 2,071 | ||||||
Accumulated dividend - Series F | (4,662) | (4,662) | ||||||
Temporary Equity, Accumulated dividend - Series F | $ 4,662 | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 50 | |||||||
Accretion of Series F issuance costs | (50) | (50) | ||||||
Unrealized gain (loss) on investments | (14) | $ (14) | ||||||
Net loss | (38,878) | (38,878) | ||||||
Balance at Dec. 31, 2018 | (211,476) | $ 2 | 13,261 | (224,725) | (14) | |||
Temporary equity, shares at Dec. 31, 2018 | 102,030 | |||||||
Temporary equity, balance at Dec. 31, 2018 | $ 216,446 | |||||||
Balance, shares at Dec. 31, 2018 | 17,445 | |||||||
Exercise of stock options | 132 | 132 | ||||||
Exercise of stock options, shares | 96 | |||||||
Stock-based compensation | 595 | 595 | ||||||
Accumulated dividend - Series F | (1,736) | (1,736) | ||||||
Temporary Equity, Accumulated dividend - Series F | 1,736 | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 18 | |||||||
Accretion of Series F issuance costs | (18) | (18) | ||||||
Net loss | (10,541) | (10,541) | ||||||
Balance at Mar. 31, 2019 | (223,044) | $ 2 | 13,970 | (237,002) | (14) | |||
Temporary equity, shares at Mar. 31, 2019 | 102,030 | |||||||
Temporary equity, balance at Mar. 31, 2019 | $ 218,200 | |||||||
Balance, shares at Mar. 31, 2019 | 17,541 | |||||||
Balance at Dec. 31, 2018 | (211,476) | $ 2 | 13,261 | (224,725) | (14) | |||
Temporary equity, shares at Dec. 31, 2018 | 102,030 | |||||||
Temporary equity, balance at Dec. 31, 2018 | $ 216,446 | |||||||
Balance, shares at Dec. 31, 2018 | 17,445 | |||||||
Unrealized gain (loss) on investments | 14 | |||||||
Net loss | (32,298) | |||||||
Balance at Sep. 30, 2019 | (246,475) | $ 2 | 15,908 | (262,385) | ||||
Temporary equity, shares at Sep. 30, 2019 | 102,030 | |||||||
Temporary equity, balance at Sep. 30, 2019 | $ 221,863 | |||||||
Balance, shares at Sep. 30, 2019 | 18,107 | |||||||
Balance at Dec. 31, 2018 | (211,476) | $ 2 | 13,261 | (224,725) | (14) | |||
Temporary equity, shares at Dec. 31, 2018 | 102,030 | |||||||
Temporary equity, balance at Dec. 31, 2018 | $ 216,446 | |||||||
Balance, shares at Dec. 31, 2018 | 17,445 | |||||||
Exercise of stock options | $ 901 | 901 | ||||||
Exercise of stock options, shares | 1,099 | 1,099 | ||||||
Stock-based compensation | $ 3,156 | 3,156 | ||||||
Accumulated dividend - Series F | (7,234) | (7,234) | ||||||
Temporary Equity, Accumulated dividend - Series F | 7,234 | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 74 | |||||||
Accretion of Series F issuance costs | (74) | (74) | ||||||
Unrealized gain (loss) on investments | 14 | 14 | ||||||
Net loss | (42,590) | (42,590) | ||||||
Balance at Dec. 31, 2019 | (257,303) | $ 2 | 17,244 | (274,549) | ||||
Balance (ASU 2016-13) at Dec. 31, 2019 | (364) | (364) | ||||||
Temporary equity, shares at Dec. 31, 2019 | 102,030 | |||||||
Temporary equity, balance at Dec. 31, 2019 | $ 223,754 | |||||||
Balance, shares at Dec. 31, 2019 | 18,544 | |||||||
Balance at Mar. 31, 2019 | (223,044) | $ 2 | 13,970 | (237,002) | (14) | |||
Temporary equity, shares at Mar. 31, 2019 | 102,030 | |||||||
Temporary equity, balance at Mar. 31, 2019 | $ 218,200 | |||||||
Balance, shares at Mar. 31, 2019 | 17,541 | |||||||
Exercise of stock options | 40 | 40 | ||||||
Exercise of stock options, shares | 360 | |||||||
Stock-based compensation | 821 | 821 | ||||||
Accumulated dividend - Series F | (1,780) | (1,780) | ||||||
Temporary Equity, Accumulated dividend - Series F | 1,780 | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 18 | |||||||
Accretion of Series F issuance costs | (18) | (18) | ||||||
Net loss | (11,032) | (11,032) | ||||||
Balance at Jun. 30, 2019 | (235,013) | $ 2 | 14,813 | (249,814) | (14) | |||
Temporary equity, shares at Jun. 30, 2019 | 102,030 | |||||||
Temporary equity, balance at Jun. 30, 2019 | $ 219,998 | |||||||
Balance, shares at Jun. 30, 2019 | 17,901 | |||||||
Exercise of stock options | 299 | 299 | ||||||
Exercise of stock options, shares | 206 | |||||||
Stock-based compensation | 815 | 815 | ||||||
Accumulated dividend - Series F | (1,846) | (1,846) | ||||||
Temporary Equity, Accumulated dividend - Series F | 1,846 | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 19 | |||||||
Accretion of Series F issuance costs | (19) | (19) | ||||||
Unrealized gain (loss) on investments | 14 | $ 14 | ||||||
Net loss | (10,725) | (10,725) | ||||||
Balance at Sep. 30, 2019 | (246,475) | $ 2 | 15,908 | (262,385) | ||||
Temporary equity, shares at Sep. 30, 2019 | 102,030 | |||||||
Temporary equity, balance at Sep. 30, 2019 | $ 221,863 | |||||||
Balance, shares at Sep. 30, 2019 | 18,107 | |||||||
Balance at Dec. 31, 2019 | (257,303) | $ 2 | 17,244 | (274,549) | ||||
Temporary equity, shares at Dec. 31, 2019 | 102,030 | |||||||
Temporary equity, balance at Dec. 31, 2019 | $ 223,754 | |||||||
Balance, shares at Dec. 31, 2019 | 18,544 | |||||||
Exercise of stock options | 404 | 404 | ||||||
Exercise of stock options, shares | 448 | |||||||
Stock-based compensation | 1,026 | 1,026 | ||||||
Accumulated dividend - Series F | (1,727) | (1,727) | ||||||
Temporary Equity, Accumulated dividend - Series F | 1,727 | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 18 | |||||||
Accretion of Series F issuance costs | (18) | (18) | ||||||
Warrants issued in connection with debt | 297 | 297 | ||||||
Net loss | (4,023) | (4,023) | ||||||
Balance at Mar. 31, 2020 | (261,708) | $ 2 | 18,953 | (280,663) | ||||
Temporary equity, shares at Mar. 31, 2020 | 102,030 | |||||||
Temporary equity, balance at Mar. 31, 2020 | $ 225,499 | |||||||
Balance, shares at Mar. 31, 2020 | 18,992 | |||||||
Balance at Dec. 31, 2019 | (257,303) | $ 2 | 17,244 | (274,549) | ||||
Balance (ASU 2016-13) at Dec. 31, 2019 | $ (364) | $ (364) | ||||||
Temporary equity, shares at Dec. 31, 2019 | 102,030 | |||||||
Temporary equity, balance at Dec. 31, 2019 | $ 223,754 | |||||||
Balance, shares at Dec. 31, 2019 | 18,544 | |||||||
Net loss | (23,359) | |||||||
Balance at Sep. 30, 2020 | 158,498 | $ 7 | 457,681 | (299,190) | ||||
Temporary equity, shares at Sep. 30, 2020 | 0 | |||||||
Balance, shares at Sep. 30, 2020 | 67,808 | |||||||
Balance at Mar. 31, 2020 | (261,708) | $ 2 | 18,953 | (280,663) | ||||
Temporary equity, shares at Mar. 31, 2020 | 102,030 | |||||||
Temporary equity, balance at Mar. 31, 2020 | $ 225,499 | |||||||
Balance, shares at Mar. 31, 2020 | 18,992 | |||||||
Exercise of stock options | 366 | 366 | ||||||
Exercise of stock options, shares | 351 | |||||||
Exercise of warrants | 126 | 126 | ||||||
Exercise of warrants, shares | 35 | |||||||
Stock-based compensation | 1,144 | 1,144 | ||||||
Accumulated dividend - Series F | (1,935) | (1,935) | ||||||
Temporary Equity, Accumulated dividend - Series F | 1,935 | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 18 | |||||||
Accretion of Series F issuance costs | (18) | (18) | ||||||
Net loss | (8,481) | (8,481) | ||||||
Balance at Jun. 30, 2020 | (270,506) | $ 2 | 20,571 | (291,079) | ||||
Temporary equity, shares at Jun. 30, 2020 | 102,030 | |||||||
Temporary equity, balance at Jun. 30, 2020 | $ 227,452 | |||||||
Balance, shares at Jun. 30, 2020 | 19,378 | |||||||
Exercise of stock options | 1,051 | 1,051 | ||||||
Exercise of stock options, shares | 511 | |||||||
Exercise of warrants, shares | 349 | |||||||
Stock-based compensation | 2,868 | 2,868 | ||||||
Issuance of common stock upon initial public offering, net of underwriting discounts and commissions and other offering costs | 171,129 | $ 1 | 171,128 | |||||
Issuance of common stock upon initial public offering, net of underwriting discounts and commissions and other offering costs, shares | 7,878 | |||||||
Conversion of redeemable preferred stock to common stock upon initial public offering | 211,902 | $ 3 | 211,899 | |||||
Temporary equity,Conversion of redeemable preferred stock to common stock upon initial public offering, shares | (102,030) | |||||||
Temporary equity,Conversion of redeemable preferred stock to common stock upon initial public offering | $ (211,902) | |||||||
Conversion of redeemable preferred stock to common stock upon initial public offering, shares | 34,442 | |||||||
Conversion of redeemable convertible debt to common stock upon initial public offering | 50,173 | $ 1 | 50,172 | |||||
Conversion of redeemable convertible debt to common stock upon initial public offering, shares | 5,250 | |||||||
Accumulated dividend - Series F | 2,744 | 2,744 | ||||||
Temporary Equity, Accumulated dividend - Series F | (2,744) | |||||||
Payment of Series F Dividend | (12,814) | |||||||
Temporary Equity, Accretion of Series F issuance costs | $ 8 | |||||||
Accretion of Series F issuance costs | (8) | (8) | ||||||
Net loss | (10,855) | (10,855) | ||||||
Balance at Sep. 30, 2020 | $ 158,498 | $ 7 | $ 457,681 | $ (299,190) | ||||
Temporary equity, shares at Sep. 30, 2020 | 0 | |||||||
Balance, shares at Sep. 30, 2020 | 67,808 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities | ||||
Net loss | $ (23,359) | $ (32,298) | $ (42,590) | $ (38,878) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||||
Depreciation and amortization | 2,377 | 1,751 | 2,569 | 1,844 |
Amortization of discount on debt | 480 | 41 | 54 | 49 |
Stock-based compensation | 5,038 | 2,231 | 3,156 | 2,071 |
Allowance for credit losses | 1,198 | 741 | 988 | 341 |
Accretion on discount to marketable securities | (69) | (69) | (190) | |
Change in fair value of financial instrument | (4,413) | |||
Changes in operating assets and liabilities: | ||||
Accounts receivable | (7,473) | (3,587) | (6,297) | (4,627) |
Prepaid expenses | (3,675) | 1,612 | (1,786) | (294) |
Deferred commissions | (1,454) | (2,482) | (903) | (804) |
Accounts payable | 1,685 | (1,050) | (1,582) | 291 |
Accrued and other current liabilities | 4,319 | 2,920 | 8,164 | 2,351 |
Deferred revenue | 2,077 | (920) | (1,673) | 6,908 |
Deferred rent and leasehold incentive obligations | 347 | |||
Net cash used in operating activities | (23,200) | (31,110) | (39,969) | (30,591) |
Cash flows from investing activities: | ||||
Purchase of marketable securities | (33,566) | |||
Purchase of property and equipment | (1,378) | (5,326) | (5,579) | (3,326) |
Maturity of marketable securities | 23,450 | 23,450 | 10,375 | |
Net cash (used in) provided by investing activities | (1,378) | 18,124 | 17,871 | (26,517) |
Cash flows from financing activities: | ||||
Proceeds from issuance of preferred stock, net of issuance costs | 63,629 | |||
Proceeds from exercise of stock options | 1,947 | 471 | 901 | 607 |
Payment of dividends | (12,814) | |||
Proceeds from issuance of common stock upon initial public offering, net of underwriting discounts and commissions and other offering costs | 171,128 | |||
Proceeds from debt | 41,861 | 8,591 | 18,500 | 4,500 |
Repayment of debt | (6,715) | (1,538) | (2,050) | (4,500) |
Net cash provided by financing activities | 195,407 | 7,524 | 17,351 | 64,236 |
Net change in cash and cash equivalents and restricted cash | 170,829 | (5,462) | (4,747) | 7,128 |
Cash and cash equivalents and restricted cash, beginning of period | 9,150 | 13,897 | 13,897 | 6,769 |
Cash and cash equivalents and restricted cash, end of period | 179,979 | 8,435 | 9,150 | 13,897 |
Supplemental cash flow information | ||||
Cash paid for taxes, net of refunds | 0 | 0 | ||
Cash paid for interest | 1,519 | $ 1,117 | $ 1,626 | $ 1,250 |
Noncash investing and financing activities: | ||||
Conversion of convertible preferred stock into common stock upon initial public offering | 211,902 | |||
Conversion of convertible debt into common stock upon initial public offering | $ 50,173 |
Overview
Overview | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Overview | 1. Overview BigCommerce is leading a new era of ecommerce. Our software-as-a-service ease-of-use, point-of-sale We provide a comprehensive platform for launching and scaling an ecommerce operation, including store design, catalog management, hosting, checkout, order management, reporting, and pre-integration business-to-consumer business-to-business. Our headquarters and principal place of business are in Austin, Texas. We were formed in Australia in December 2003 under the name Interspire Pty Ltd and reorganized into a corporation in Delaware under the name BigCommerce Holdings, Inc. in February 2013. References in these consolidated financial statements to “we,” “us,” “our,” the “Company,” or “BigCommerce” refer to BigCommerce Holdings, Inc. and its subsidiaries, unless otherwise stated. Stock Split and Initial Public Offering On July 24, 2020, we filed with the Secretary of State of the State of Delaware an amendment to our certificate of incorporation that effected a one-for-three 10-Q On August 4, 2020, we completed our initial public offering (IPO), in which we issued and sold 7,877,500 shares of our Series 1 common stock, including 1,027,500 shares of Series 1 common stock that were sold pursuant to the exercise in full of the underwriters’ option to purchase additional shares of Series 1 common stock at $24.00 per share. The IPO resulted in net proceeds of $171.1 million after deducting underwriting discounts, commissions and other offering costs. Existing stockholders sold an additional 2,495,000 shares of Series 1 common stock, including 325,435 shares of Series 1 common stock that were sold pursuant to the exercise in full of the underwriters’ option to purchase additional shares of Series 1 common stock at $24.00 per share. We did not receive any proceeds from the sale of shares by the selling stockholders in the IPO. | 1. Overview BigCommerce is leading a new era of ecommerce. Our software-as-a-service ease-of-use, point-of-sale We provide a comprehensive platform for launching and scaling an ecommerce operation, including store design, catalog management, hosting, checkout, order management, reporting, and pre-integration business-to-consumer business-to-business. Our headquarters and principal place of business are in Austin, Texas. We were formed in Australia in December 2003 under the name Interspire Pty Ltd and reorganized into a corporation in Delaware under the name BigCommerce Holdings, Inc. in February 2013. References in these consolidated financial statements to “we,” “us,” “our,” the “Company,” or “BigCommerce” refer to BigCommerce Holdings, Inc. and its subsidiaries, unless otherwise stated. In our audited financial statements for the year ended December 31, 2018, we previously reported having substantial doubt as to our ability to continue as a going concern. Subsequent to December 31, 2019, we amended our loan agreement to add a convertible term loan of $35.0 million. With this additional financing we alleviated our substantial doubt to continue as a going concern. Based upon our current operating plan, we believe we have sufficient resources to fund operations through at least the second quarter of 2021. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Summary of Significant Accounting Policies | 2. Summary of significant accounting policies Basis of presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods indicated. Operating results for the three and nine months ended September 30, 2020 are not necessarily indicative of results that may be expected for any other interim period or for the year ending December 31, 2020. The accompanying interim financial statements should be read in conjunction with the consolidated financial statements and related notes thereto included in the Company’s final prospectus filed with the SEC pursuant to Rule 424(b)(4) under the Securities Act of 1933, as amended, on August 5, 2020 (“Prospectus”). Basis of consolidation The accompanying consolidated financial statements include our accounts and the accounts of our wholly-owned subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation. Our fiscal year ends on December 31. Use of estimates The preparation of consolidated financial statements in conformity with GAAP requires certain financial instruments to be recorded at fair value; requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenue and expenses during the reporting periods. Significant estimates, judgments, and assumptions in these consolidated financial statements include: allocating variable consideration for revenue recognition; the amortization period for deferred commissions; the allowance for credit losses; a determination of the deferred tax asset valuation allowance and the valuation of our common stock used to determine stock-based compensation expense prior to our IPO. Because of the use of estimates inherent in the financial reporting process and given the additional or unforeseen effects from the COVID-19 COVID-19, non-essential. COVID-19 Segment and geographic information Our chief operating decision maker is our chief executive officer. Our chief executive officer reviews the financial information presented on a consolidated basis for purposes of making operating decisions, allocating resources, and evaluating financial performance. Accordingly, we have determined that we operate as a single operating and reportable segment. Revenue by geographic region was as follows: Three months ended Nine months ended (Unaudited, in thousands) 2020 2019 2020 2019 Revenue: Americas—U.S. $ 31,483 $ 22,842 $ 87,099 $ 66,022 Americas—other 1,422 949 3,827 2,722 EMEA 3,180 1,899 8,493 5,260 APAC 3,650 2,574 9,806 7,079 Total revenue $ 39,735 $ 28,264 $ 109,225 $ 81,083 Long-lived assets by geographic region was as follows: September 30, December 31, (in thousands) 2020 2019 (Unaudited) Long-lived assets: Americas—U.S. $ 6,703 $ 7,699 Americas—other — — EMEA — — APAC 539 542 Total long-lived assets $ 7,242 $ 8,241 Cash and cash equivalents We consider all highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. Cash equivalents consist of money market funds and investment securities and are stated at fair value. Restricted cash We maintain a portion of amounts collected through our online payment processor with the online payment processor as a security deposit for future chargebacks. Additionally, we have amounts on deposit with certain financial institutions that serve as collateral for letters of credit and lease deposits. Marketable securities All marketable securities have been classified as available-for-sale Accounts receivable Accounts receivable are stated at net realizable value and include unbilled receivables. Unbilled receivables arise primarily when we provide subscriptions services in advance of billing. Accounts receivable are net of an allowance for credit losses, are not collateralized, and do not bear interest. Payment terms range from due immediately to due within 60 days. The accounts receivable balance at September 30, 2020 and December 31, 2019 included unbilled receivables of $5.7 million and $4.0 million, respectively. We assess the collectability of outstanding accounts receivable on an ongoing basis and maintain an allowance for credit losses for accounts receivable deemed uncollectable. Upon adoption of ASU 2016-13, 2016-13 The allowance for credit losses consisted of the following: (Unaudited, in thousands) Balance at December 31, 2019 $ 1,167 Cumulative effect adjustment upon adoption 364 Provision for expected credit losses 589 Accounts written off (236 ) Balance at March 31, 2020 1,884 Provision for expected credit losses 355 Accounts written off (583 ) Balance at June 30, 2020 1,656 Provision for expected credit losses 254 Accounts written off (49 ) Balance at September 30, 2020 $ 1,861 Property and equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the estimated useful lives or the related lease terms (if shorter). The estimated useful lives of property and equipment are as follows: Estimated Useful Life Computer equipment 3 years Computer software 3 years Furniture and fixtures 5 years Leasehold improvements 1-10 years Maintenance and repairs that do not enhance or extend the asset’s useful life are charged to operating expenses as incurred. The carrying values of property and equipment are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, we compare the projected undiscounted future cash flows associated with groups of assets used in combination over their estimated useful lives against their respective carrying amounts. If projected undiscounted future cash flows are less than the carrying value of the asset group, impairment is recorded for any excess of the carrying amount over the fair value of those assets in the period in which the determination is made. Research and development and internal use software Research and development expenses consist primarily of personnel and related expenses for our research and development staff, which include: salaries, benefits, bonuses, and stock-based compensation; the cost of certain third-party contractors; and allocated overhead. Expenditures for research and development, other than internal use software costs, are expensed as incurred. Software development costs associated with internal use software, which are incurred during the application development phase and meet other requirements under the guidance are capitalized. To date, software costs eligible for capitalization have not been significant. Concentration of credit risks, significant clients, and suppliers Financial instruments that potentially subject us to concentrations of credit risk consist of cash and cash equivalents, marketable securities, restricted cash, and accounts receivable. Our investment policy limits investments to high credit quality securities issued by the U.S. government, U.S. government-sponsored agencies, and highly rated corporate securities, subject to certain concentration limits and restrictions on maturities. Our cash and cash equivalents and restricted cash are held by financial institutions that management believes are of high credit quality. Amounts on deposit may at times exceed federally insured limits. We have not experienced any losses on our deposits of cash and cash equivalents. We are exposed to credit risk in the event of default by the financial institutions holding our cash and cash equivalents and bond issuers. Accounts receivable are derived from sales to our customers and our strategic technology partners who operate in a variety of sectors. We do not require collateral. Estimated credit losses are provided for in the consolidated financial statements and historically have been within management’s expectations. For the nine months ended September 30, 2020 and 2019 one of our strategic partners accounted for 15% and 13% of our revenue, respectively, and accounted for 20% of our accounts receivable balance at September 30, 2020. Advertising costs We expense advertising costs as incurred. Advertising costs were $9.0 million and $9.0 million for the nine months ended September 30, 2020 and 2019, respectively. Leases We determine if an arrangement is a lease or contains a lease at inception. At the commencement date of a lease, we recognize a liability to make lease payments and an asset representing the right to use the underlying asset during the lease term. The lease liability is measured at the present value of lease payments over the lease term. As our leases typically do not provide an implicit rate, we use our incremental borrowing rate for most leases. The right-of-use Lease terms may include options to extend or terminate the lease. We record a ROU asset and a lease liability when it is reasonably certain that we will exercise that option. Operating lease costs are recognized on a straight-line basis over the lease term. We also lease office space under short-term arrangements and have elected not to include these arrangements in the ROU asset or lease liabilities. Income taxes We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax balances are adjusted to reflect tax rates based on currently enacted tax laws, which will be in effect in the years in which the temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period of the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that those assets will be realized. To date, we have provided a valuation allowance against all of our deferred tax assets as we believe the objective and verifiable evidence of our historical pretax net losses outweighs any positive evidence of its forecasted future results. We will continue to monitor the positive and negative evidence, and we will adjust the valuation allowance as sufficient objective positive evidence becomes available. We account for uncertain tax positions in accordance with ASC 740, “Income Taxes”, which clarifies the accounting for uncertainty in tax positions. These provisions require recognition of the impact of a tax position in our financial statements only if it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, based on the technical merits. Any interest and penalties related to uncertain tax positions will be reflected as a component of income tax expense. Stock-based compensation We issue stock options and restricted stock units (“RSUs”). Stock-based compensation related to stock options is measured at the date of grant and is recognized on a straight-line basis over the service period, net of estimated forfeitures. We use the Black-Scholes option-pricing model to estimate the fair value of stock options awarded at the date of grant. Stock-based compensation related to restricted stock units is measured at the date of grant and recognized using the accelerated attribution method, net of forfeitures, over the remaining service period. Accounting pronouncements In June 2018, the FASB Issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, In June 2016, the FASB issued ASU 2016-13, available-for-sale COVID-19 In August 2018, the FASB issued ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use 350-40) internal-use internal-use In December 2019, the FASB issued ASU No. 2019-12, 2019-12 2019-12 2019-12 2019-12 | 2. Summary of significant accounting policies Basis of presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Basis of consolidation The accompanying consolidated financial statements include our accounts and the accounts of our wholly-owned subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation. Our fiscal year ends on December 31. Use of estimates The preparation of consolidated financial statements in conformity with GAAP requires certain financial instruments to be recorded at fair value; requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenue and expenses during the reporting periods. Significant estimates, judgments, and assumptions in these consolidated financial statements include: allocating variable consideration for revenue recognition; the amortization period for deferred commissions; the allowance for credit losses; a determination of the deferred tax asset valuation allowance and the valuation of our common stock used to determine stock-based compensation expense. Because of the use of estimates inherent in the financial reporting process and given the additional or unforeseen effects from the COVID-19 COVID-19, non-essential. COVID-19 Stock split On July 24, 2020, our board of directors and stockholders approved an amendment to our certificate of incorporation that effected a one-for-three Segment and geographic information Our chief operating decision maker is our chief executive officer. Our chief executive officer reviews the financial information presented on a consolidated basis for purposes of making operating decisions, allocating resources, and evaluating financial performance. Accordingly, we have determined that we operate as a single operating and reportable segment. Revenue by geographic region was as follows: Year ended December 31, (in thousands) 2019 2018 Revenue: Americas—U.S. $ 91,057 $ 75,025 Americas—other 3,761 3,000 EMEA 7,370 6,123 APAC 9,915 7,719 Total revenue $ 112,103 $ 91,867 Long-lived assets by geographic region was as follows: Year ended December 31, (in thousands) 2019 2018 Long-lived assets: Americas—U.S. $ 7,699 $ 4,864 Americas—other — — EMEA — — APAC 542 367 Total long-lived assets $ 8,241 $ 5,231 Cash and cash equivalents We consider all highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. Cash equivalents consist of money market funds and investment securities and are stated at fair value. Restricted cash We maintain a portion of amounts collected through our online payment processor with the online payment processor as a security deposit for future chargebacks. Additionally, we have amounts on deposit with certain financial institutions that serve as collateral for letters of credit and lease deposits. Marketable securities All marketable securities have been classified as available-for-sale Accounts receivable Accounts receivable are stated at net realizable value and include unbilled receivables. Unbilled receivables arise primarily when we provide subscriptions services in advance of billing. Accounts receivable are net of an allowance for credit losses, are not collateralized, and do not bear interest. Payment terms range from due immediately to due within 60 days. The accounts receivable balance at December 31, 2019 and 2018 included unbilled receivables of $4.0 million and $2.6 million, respectively. The allowance for doubtful accounts is our best estimate of the amount of probable credit losses. We determine the allowance for doubtful accounts based on our analysis of historical bad debts, customer concentrations, credit history, and general economic trends. Account balances are written off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. Significant judgments and estimates are made and used in connection with establishing allowances for doubtful accounts in any accounting period. The allowance for doubtful accounts consisted of the following: (in thousands) Balance at December 31, 2017 $ 376 Bad-debt 341 Accounts written off (120 ) Balance at December 31, 2018 597 Bad-debt 988 Accounts written off (418 ) Balance at December 31, 2019 $ 1,167 Property and equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the estimated useful lives or the related lease terms (if shorter). The estimated useful lives of property and equipment are as follows: Estimated Computer equipment 3 years Computer software 3 years Furniture and fixtures 5 years Leasehold improvements 1-10 years Maintenance and repairs that do not enhance or extend the asset’s useful life are charged to operating expenses as incurred. The carrying values of property and equipment are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, we compare the projected undiscounted future cash flows associated with groups of assets used in combination over their estimated useful lives against their respective carrying amounts. If projected undiscounted future cash flows are less than the carrying value of the asset group, impairment is recorded for any excess of the carrying amount over the fair value of those assets in the period in which the determination is made. Research and development and internal use software Research and development expenses consist primarily of personnel and related expenses for our research and development staff, which include: salaries, benefits, bonuses, and stock-based compensation; the cost of certain third-party contractors; and allocated overhead. Expenditures for research and development, other than internal use software costs, are expensed as incurred. Software development costs associated with internal use software, which are incurred during the application development phase and meet other requirements under the guidance are capitalized. To date, software costs eligible for capitalization have not been significant. Concentration of credit risks, significant clients, and suppliers Financial instruments that potentially subject us to concentrations of credit risk consist of cash and cash equivalents, marketable securities, restricted cash, and accounts receivable. Our investment policy limits investments to high credit quality securities issued by the U.S. government, U.S. government-sponsored agencies, and highly rated corporate securities, subject to certain concentration limits and restrictions on maturities. Our cash and cash equivalents and restricted cash are held by financial institutions that management believes are of high credit quality. Amounts on deposit may at times exceed federally insured limits. We have not experienced any losses on our deposits of cash and cash equivalents. We are exposed to credit risk in the event of default by the financial institutions holding our cash and cash equivalents and bond issuers. Accounts receivable are derived from sales to our customers and our strategic technology partners who operate in a variety of sectors. We do not require collateral. Estimated credit losses are provided for in the consolidated financial statements and historically have been within management’s expectations. One of our strategic partners accounted for 12% of our revenue for the years ended December 31, 2019 and 2018, and accounted for 20% and 22% of our accounts receivable balance at December 31, 2019 and 2018, respectively. Foreign currency Our functional and reporting currency and the functional and reporting currency of our subsidiaries is the U.S. dollar. Monetary assets and liabilities denominated in foreign currencies are re-measured Non-monetary re-measurement Revenue recognition Our sources of revenue consist of subscription solutions fees and partner and services fees. These services allow customers to access our hosted software over the contract period. The customer is not allowed to take possession of the software or transfer the software. Our revenue arrangements do not contain general rights of refund in the event of cancellations. The following table disaggregates our revenue by major source: Year ended (in thousands) 2019 2018 Subscription solutions $ 82,689 $ 70,484 Partner and services 29,414 21,383 Total revenue $ 112,103 $ 91,867 Subscription solutions Subscription solutions revenue consists primarily of platform subscription fees from all plans. It also includes recurring professional services and sales of SSL certificates. Subscription solutions are charged monthly, quarterly, or annually for our customers to sell their products and process transactions on our platform. Subscription solutions are generally charged per online store and are based on the store’s subscription plan. Monthly subscription fees for Pro and Enterprise plans are adjusted if a customer’s gross merchandise volume or orders processed are above specified plan thresholds on a trailing twelve-month basis. For most subscription solutions arrangements, we have determined we meet the variable consideration allocation exception and, therefore, recognize fixed monthly fees or a pro-rata Professional services, which primarily consist of education packages, launch services, solutions architecting, implementation consulting, and catalog transfer services, are generally billed and recognized as revenue when delivered. Contracts with our retail customers are generally month-to-month, non-cancellable Partner and services Our partner and services revenue consists of revenue share, partner technology integrations, and marketing services provided to partners. Revenue share relates to fees earned by our partners from customers using our platform, where we have an arrangement with such partner to share such fees as they occur. Revenue share is recognized at the time the earning activity is complete, which is generally monthly. Revenue for partner technology integrations is recorded on a straight-line basis over the life of the contract commencing when the integration has been completed. Fees for marketing services are recognized either at the time the earning activity is complete, or ratably over the length of the contract, depending on the nature of the obligations in the contract. Payments received in advance of services being rendered are recorded as deferred revenue and recognized when the obligation is completed. We also derive revenue from the sales of website themes and applications upon delivery. We recognize revenue share, and revenue from the sales of third-party applications, on a net basis as we have determined that we are the agent in our arrangements with third-party application providers. All other revenue is recognized on a gross basis, as we have determined we are the principal in these arrangements. Contracts with multiple performance obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Our subscription contracts are generally comprised of a single performance obligation to provide access to our platform, but can include additional performance obligations. For contracts with multiple performance obligations where the contracted price differs from the standalone selling price (“SSP”) for any distinct good or service, we may be required to allocate the contract’s transaction price to each performance obligation using our best estimate of SSP. Contracts with our technology solution partners often include multiple performance obligations. In determining whether integration services are distinct from hosting services we consider various factors. These considerations included the level of integration, interdependency, and interrelation between the implementation and hosting service, as well as any promises in the contract. We have concluded that the integration services included in contracts with hosting obligations are not distinct. As a result, we defer any arrangement fees for integration services and recognize such amounts over the life of the hosting obligation. Additional consideration for some partner contracts varies based on the level of customer activity on the platform. We have determined we meet the variable consideration allocation exception and therefore recognize these variable fees in the period they are earned. Judgment is required to determine the SSP for each distinct performance obligation. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The primary method used to estimate SSP is the expected cost-plus margin approach, which considers margins achieved on standalone sales of similar products, market data related to historical margins within an industry, industry sales price averages, market conditions, and profit objectives. Cost of revenue Cost of revenue consists primarily of personnel-related costs, including: stock-based compensation expenses for customer support and professional services personnel; costs of maintaining and securing our infrastructure and platform; amortization expense associated with capitalized internal-use Deferred revenue Deferred revenue primarily consists of amounts that have been billed to or received from customers in advance of performing the associated services. We recognize revenue from deferred revenue when the services are performed and the corresponding revenue recognition criteria are met. The net decrease in the deferred revenue balance for the year ended December 31, 2019 is primarily due to the recognition of revenue related to a large upfront payment on a multi-year arrangement that was entered into in prior years. Amounts recognized from deferred revenue represent primarily revenue from the sale of subscription solutions, integration, and marketing services. As of December 31, 2019, we had $47.8 million of remaining performance obligations, which represents contracted revenue minimums that have not yet been recognized, including amounts that will be invoiced and recognized as revenue in future periods. We expect to recognize approximately 60% of the remaining performance obligations as revenue in the next 12 months, and the remaining balance in the periods thereafter. Deferred commissions Certain sales commissions earned by our sales force are considered incremental and recoverable costs of obtaining a contract with a customer. Sales commissions are not paid on subscription renewals. We amortize deferred sales commissions ratably over the estimated period of our relationship with customers of approximately four years. Based on historical experience, we determine the average life of our customer relationship by taking into consideration our customer contracts and the estimated technological life of our platform and related significant features. We include amortization of deferred commissions in Sales and marketing expense in the consolidated statements of operations. We periodically review the carrying amount of deferred commissions to determine whether events or changes in circumstances have occurred that could impact the period of benefit of these deferred costs. We did not recognize an impairment of deferred commissions during the years ended December 31, 2019 and December 31, 2018. Sales commissions of $2.5 million and $2.0 million were deferred for the years ended December 31, 2019 and 2018, respectively; and deferred commission amortization expense was $1.6 million and $1.2 million for the years ended December 31, 2019 and 2018, respectively. Advertising costs We expense advertising costs as incurred. Advertising expenses were approximately $11.8 million and $8.9 million for the years ended December 31, 2019 and 2018, respectively. Leases We determine if an arrangement is a lease or contains a lease at inception. At the commencement date of a lease, we recognize a liability to make lease payments and an asset representing the right to use the underlying asset during the lease term. The lease liability is measured at the present value of lease payments over the lease term. As our leases typically do not provide an implicit rate, we use our incremental borrowing rate for most leases. The right-of-use Lease terms may include options to extend or terminate the lease. We record a ROU asset and a lease liability when it is reasonably certain that we will exercise that option. Operating lease costs are recognized on a straight-line basis over the lease term. We also lease office space under short-term arrangements and have elected not to include these arrangements in the ROU asset or lease liabilities. Income taxes We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax balances are adjusted to reflect tax rates based on currently enacted tax laws, which will be in effect in the years in which the temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period of the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that those assets will be realized. To date, we have provided a valuation allowance against all of our deferred tax assets as we believe the objective and verifiable evidence of our historical pretax net losses outweighs any positive evidence of its forecasted future results. We will continue to monitor the positive and negative evidence, and we will adjust the valuation allowance as sufficient objective positive evidence becomes available. We account for uncertain tax positions in accordance with ASC 740, “Income Taxes”, which clarifies the accounting for uncertainty in tax positions. These provisions require recognition of the impact of a tax position in our financial statements only if that position is more likely than not of being sustained upon examination by taxing authorities, based on the technical merits of the position. Any interest and penalties related to uncertain tax positions will be reflected as a component of income tax expense. Stock-based compensation Stock-based compensation is measured at the date of grant and is recognized on a straight-line basis over the service period, net of estimated forfeitures. We use the Black-Scholes option-pricing model to estimate the fair value of stock options awarded at the date of grant. Accounting pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) 2018-10, Codification Improvements to Topic 842 (Leases) 2018-11, Targeted Improvements No. 2016-02 No. 2019-01, 2016-02 non-lease Right-of-Use In June 2018, the FASB Issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, In June 2016, the FASB issued ASU 2016-13, available-for-sale In August 2018, the FASB issued ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use 350-40) internal-use internal-use consolidated financial statements upon adoption. In December 2019, the FASB issued ASU No. 2019-12, 2019-12 2019-12 2019-12 2019-12 |
Cash Equivalents and Marketable
Cash Equivalents and Marketable Securities | 12 Months Ended |
Dec. 31, 2019 | |
Cash and Cash Equivalents [Abstract] | |
Cash Equivalents and Marketable Securities | 3. Cash equivalents and marketable securities The following table summarizes the estimated fair value of our cash equivalents and marketable securities: December 31, 2018 (in thousands) Amortized Gross Gross Estimated Cash equivalents: Money market funds $ 3,755 $ — $ — $ 3,755 Reverse repurchase agreements 3,000 — — 3,000 Total cash equivalents $ 6,755 $ — $ — $ 6,755 Marketable securities: Commercial paper $ 8,961 $ — $ — $ 8,961 Corporate securities 14,420 — (14 ) 14,406 Total marketable securities $ 23,381 $ — $ (14 ) $ 23,367 We did not have any cash equivalents or marketable securities as of December 31, 2019. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | ||
Fair Value Measurements | 4. Fair value measurements Financial instruments carried at fair value include cash and cash equivalents, restricted cash, marketable securities, and embedded put options. The carrying amount of accounts receivable approximates fair value due to their relatively short maturities. For assets and liabilities measured at fair value, fair value is the price to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. When determining fair value, we consider the principal or most advantageous market in which it would transact, and assumptions that market participants would use when pricing asset or liabilities. The accounting standard for fair value establishes a fair value hierarchy based on three levels of inputs, the first two of which are considered observable and the last unobservable. The standard requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels of inputs that may be used to measure fair value are as follows: • Level 1—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. • Level 2—Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. • Level 3—Inputs are unobservable that are significant to the fair value of the asset or liability and are developed based on the best information available in the circumstances, which might include our data. The fair value of debt was measured using Level 2 inputs and approximated its carrying value. We did not have any cash equivalents or marketable securities as of September 30, 2020 and December 31, 2019. | 4. Fair value measurements Financial instruments carried at fair value include cash and cash equivalents, restricted cash and marketable securities. The carrying amount of accounts receivable, accounts payable, and accrued liabilities approximate fair value due to their relatively short maturities. For assets and liabilities measured at fair value, fair value is the price to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. When determining fair value, we consider the principal or most advantageous market in which it would transact, and assumptions that market participants would use when pricing asset or liabilities. The accounting standard for fair value establishes a fair value hierarchy based on three levels of inputs, the first two of which are considered observable and the last unobservable. The standard requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels of inputs that may be used to measure fair value are as follows: • Level 1—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. • Level 2—Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. • Level 3—Inputs are unobservable that are significant to the fair value of the asset or liability and are developed based on the best information available in the circumstances, which might include our data. The fair value of debt was measured using Level 2 inputs and approximated its carrying value. The following table summarizes the estimated fair value of our cash equivalents and marketable securities: As of December 31, 2018 (in thousands) (Level 1) (Level 2) (Level 3) Total Financial assets: Money market funds $ 3,755 $ — $ — $ 3,755 Reverse repurchase agreements — 3,000 — 3,000 Commercial paper — 8,961 — 8,961 Corporate securities — 14,406 — 14,406 Total financial assets $ 3,755 $ 26,367 $ — $ 30,122 We did not have any cash equivalents or marketable securities as of December 31, 2019. |
Property and Equipment
Property and Equipment | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | ||
Property and Equipment | 5. Property and equipment Property and equipment, which includes software purchased or developed for internal use, is composed of the following: As of As of (in thousands) 2020 2019 Computer software $ 2,043 $ 1,788 Computer equipment 7,660 6,816 Furniture and fixtures 2,380 2,198 Leasehold improvements 7,935 7,834 20,018 18,636 Less: accumulated depreciation and amortization (12,776 ) (10,395 ) Property and equipment, net $ 7,242 $ 8,241 Depreciation expense on property and equipment was $2.4 million and $1.8 million for the nine months ended September 30, 2020 and 2019, respectively and $0.7 million and $0.6 million for the three months ended September 30, 2020 and 2019, respectively. | 5. Property and equipment Property and equipment, which includes software purchased or developed for internal use, is composed of the following: As of December 31, (in thousands) 2019 2018 Computer software $ 1,788 $ 1,193 Computer equipment 6,816 5,309 Furniture and fixtures 2,198 1,549 Leasehold improvements 7,834 5,235 18,636 13,286 Less: accumulated depreciation and amortization (10,395 ) (8,055 ) Property and equipment, net $ 8,241 $ 5,231 Depreciation expense on property and equipment was $2.6 million and $1.8 million during 2019 and 2018, respectively. |
Commitments, Contingencies, and
Commitments, Contingencies, and Leases | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Commitments Contingencies And Leases [Abstract] | ||
Commitments, Contingencies, and Leases | 6. Commitments, contingencies, and leases Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties, and other sources are recorded when it is probable that a liability has been incurred and that the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. From time to time, we are subject to various claims that arise in the normal course of business. In the opinion of management, we are unaware of any pending or unasserted claims that would have a material adverse effect on our financial position, liquidity, or results. Certain executive officers are entitled to payments in the event of termination of employment in connection with a certain change in control. Our certificate of incorporation and certain contractual arrangements provide for indemnification of our officers and directors for certain events or occurrences. We maintain a directors and officers insurance policy to provide coverage in the event of a claim against an officer of director. Historically, we have not been obligated to make any payments for indemnification obligations, and no liabilities have been recorded for these obligations on the consolidated balance sheets as of September 30, 2020 or December 31, 2019. Leases We lease certain facilities under operating lease agreements that expire at various dates through 2028. Some of these arrangements contain renewal options and require us to pay taxes, insurance and maintenance costs. Renewal options were not included in the ROU asset and lease liability calculation. Operating and short-term rent expenses was $0.9 million and $1.0 million for each of the three-month periods ended September 30, 2020 and 2019, respectively, and $2.7 million for both nine-month periods ended September 30, 2020 and 2019. Short-term rent expense was not material for any of the periods presented. Supplemental lease information Cash flow information (in thousands) Nine months ended Nine months September 30, Cash paid for operating lease liabilities $ 2,684 $ 2,345 Right-of-use $ — $ 2,834 Operating lease information Nine months Nine months Weighted-average remaining lease-term 6.17 7.1 Weighted-average discount rate 5.46 % 5.52 % The future maturities of operating lease liabilities are as follows: (in thousands) September 30, 2020 2020 (October 1st through December 31st) $ 959 2021 3,903 2022 3,037 2023 2,459 2024 2,227 Thereafter 6,934 Total minimum lease payments $ 19,519 Less imputed interest (3,069 ) Total lease liabilities $ 16,450 | 6. Commitments, contingencies, and leases We had unconditional purchase obligations as of December 31, 2019, as follows: (in thousands) 2020 $ 2,603 2021 6,587 2022 4,333 2023 and thereafter — Total $ 13,523 Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties, and other sources are recorded when it is probable that a liability has been incurred and that the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. From time to time, we are subject to various claims that arise in the normal course of business. In the opinion of management, we are unaware of any pending or unasserted claims that would have a material adverse effect on our financial position, liquidity, or results. Certain executive officers are entitled to payments in the event of termination of employment in connection with a certain change in control. Our certificate of incorporation and certain contractual arrangements provide for indemnification of our officers and directors for certain events or occurrences. We maintain a directors and officers insurance policy to provide coverage in the event of a claim against an officer of director. Historically, we have not been obligated to make any payments for indemnification obligations, and no liabilities have been recorded for these obligations on the consolidated balance sheets as of December 31, 2019 and 2018. Leases We lease certain facilities under operating lease agreements that expire at various dates through 2028. Some of these arrangements contain renewal options and require us to pay taxes, insurance and maintenance costs. Renewal options were not included in the ROU asset and lease liability calculation. We adopted ASC Topic 842, Leases, on January 1, 2019. Operating and short-term rent expense was $3.2 million and $0.3 million, respectively, for the year ended December 31, 2019. Operating rent expense was $2.5 million for the year ended December 31, 2018. We elected the practical expedient to not provide comparable presentation for periods prior to adoption. Supplemental lease information Cash flow information (in thousands) Year ended Cash paid for operating lease liabilities $ 3,224 Right-of-use $ 2,714 Operating lease information Year ended Weighted-average remaining lease-term 6.8 years Weighted-average discount rate 5.50% The future maturities of operating lease liabilities are as follows: (in thousands) December 31, 2020 $ 3,643 2021 3,903 2022 3,037 2023 2,459 2024 2,227 Thereafter 6,934 Total minimum lease payments $ 22,203 Less imputed interest (3,780 ) Total lease liabilities $ 18,423 |
Other Liabilities
Other Liabilities | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Other Liabilities Disclosure [Abstract] | ||
Other Liabilities | 7. Other liabilities The following table summarizes the components of other current liabilities: As of Year Ended (in thousands) 2020 2019 Sales tax payable $ 644 $ 551 Payroll and payroll related expenses 13,324 6,126 Other 3,548 3,027 Other current liabilities $ 17,516 $ 9,704 | 7. Other liabilities The following table summarizes the components of other current liabilities: Year ended (in thousands) 2019 2018 Sales tax payable $ 551 $ 1,195 Payroll and payroll related expenses 6,126 4,831 Other 3,027 1,908 Other current liabilities $ 9,704 $ 7,934 |
Debt
Debt | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Debt Disclosure [Abstract] | ||
Debt | 8. Debt Convertible Term Loans On October 27, 2017, we entered into a contingent convertible debt agreement (the “Convertible Term Loan”) with Silicon Valley Bank (“SVB”) providing for a term loan of $20.0 million. In conjunction with our IPO on August 5, 2020, the bank exercised its purchase right and repaid $1.1 million of previously paid principal This balance, combined with the unpaid principal balance of $18.9 was converted into 2,179,360 shares of Series 1 common stock. No further borrowings are allowed under this convertible debt agreement. Interest was calculated on the outstanding principal, with interest payable monthly. The initial interest rate was equal to the prime rate and changes to a rate of prime plus 2.0% on and after January 1, 2020, a rate of prime plus 4.0% on and after January 1, 2021, and a rate of prime plus 6.0% on and after January 1, 2022. The weighted-average effective interest rate was 5.8%, and 5.6% during the nine-month periods ended September 30, 2020 and 2019, respectively. Quarterly principal payments of $125 thousand were due and payable from June 1, 2018 through maturity. On February 28, 2020 we entered into a contingent convertible term loan (the “2020 Convertible Loan”) with SVB, providing for a convertible term loan in an amount of $35.0 million. In conjunction with our IPO on August 5, 2020, the outstanding principal balance of $35 million was converted into 3,070,174 shares of Series 1 common stock. No further borrowings are allowed under this convertible debt agreement. Interest was calculated on the outstanding principal, with interest payable monthly. The 2020 Convertible Term Loan bears interest at (a) 4.5% prior to January 1, 2022, (b) 6.5% from January 1, 2022 and prior to January 1, 2023, (c) 8.5% from January 1, 2023 and prior to January 1, 2024, and (d) 10.5% from and after January 1, 2024. In addition to the conversion shares on the outstanding principal, this instrument required a deficiency payment if the value of the conversion shares does not meet an applicable required minimum return of (a) 1.25 if converted within 18 months of the agreement, (b) 1.32 if converted between 18 months and 24 months, and (c) 1.55 if converted between 24 months and maturity. The deficiency payment, at the election of the holder, would be settled either (i) by issuance of additional shares of common stock equal to the difference between the minimum return and the conversion value or (ii) in cash in a single installment in the amount of such difference. Management determined that the required minimum return as defined above represented, in substance, an embedded lenders’ put option designed to provide the investor with a fixed monetary amount, settleable in either additional shares or cash. Management determined that this put option should be separated and accounted for as a derivative primarily because the put option met the net settlement criterion and the settlement provisions were not consistent with a fixed-for-fixed The put option, with an initial fair value of approximately $4.4 million, was recorded as a derivative liability on the accompanying balance sheet and a corresponding discount to the 2020 Convertible Term Loan. The discount was accreted to interest expense on the consolidated statement of operations over the term of the 2020 Convertible Term Loan using the effective interest method. The net balance outstanding under the terms of this agreement was netted against the outstanding principal balance upon conversion to Series 1 Common Stock upon completion of our IPO. We recorded interest expense related to this instrument of $0.1 million and $0.4 million during the three and nine-month periods ended September 30, 2020, respectively. The estimated fair value of the put option was determined using a multi-scenario probability weighted expected return method analysis in which the future probability of exit events was weighted for its respective probability. Key assumptions included time to exit event, fair value of common stock, and a discount rate. At March 31, 2020, we determined the put option had no fair value due to an increase in market conditions that would make any amounts due under the redemption feature remote. As a result, we recorded a gain in the amount of $4.4 million in the three-month period ending March 31, 2020, which was recorded in the accompanying consolidated statements of operations. This instrument was extinguished upon the conversion of the 2020 Convertible Term Debt upon completion of our IPO. Credit Facility On October 27, 2017, we amended and restated our loan and security agreement (as amended, the “Credit Facility”) with SVB. The Credit Facility provided a $20.0 million revolving line of credit (the “Revolving Line”) and a $5.0 million term loan (the “2018 Term Loan”). On June 4, 2019, we amended the Credit Facility to increase the Revolving Line by $5.0 million to $25.0 million. On February 28, 2020, we amended and restated our loan and security agreement (the “A&R Credit Facility”) with SVB. The A&R Credit Facility reduces the amount available under the Revolving Line by $5.0 million to $20.0 million with a further reduction in availability to $10.0 million scheduled for September 30, 2020. On September 29, 2020, we entered into an agreement with SVB to defer the reduction in amounts available under the Revolving Line from $20.0 million to $10.0 million from September 30, 2020 to December 31, 2020. We accounted for the February 28, 2020 amendment and restatement transaction as an extinguishment of debt pursuant to ASC 470-50. The Revolving Line has a maturity date of October 27, 2021. The Revolving Line bore interest at a rate equal to the prime rate, and the weighted-average effective interest rate was 3.7%, and 5.6% for the nine months ended September 30, 2020 and 2019, respectively. Interest is calculated on the outstanding principal and is payable monthly. As of September 30, 2020, and December 31, 2019, we had $20.0 million, and $18.5 million outstanding under the Revolving Line, respectively. Borrowings from the 2018 Term Loan mature 36 months after each draw. The 2018 Term Loan bore interest at a rate equal to the prime rate plus 0.25% and, the weighted-average effective interest rate was 4.3%, and 5.8% for the nine months ended September 30, 2020 and 2019, respectively. Interest is calculated on the outstanding principal and is payable monthly. Monthly principal payments commenced on October 1, 2018 with a maturity date of October 1, 2021. The principal amortizes equally from the time of the draw to the maturity date. As of September 30, 2020, and December 31, 2019, we had $1.9 million, and $3.3 million outstanding under the 2018 Term Loan, respectively. In conjunction with our entry into the A&R Credit Facility, our financial covenants were amended. We are required to maintain a revenue growth rate of 118% each quarter compared to the same quarter in the prior year. The other covenant requires us to maintain a minimum liquidity ratio of 1.5:1. The liquidity ratio is calculated as unrestricted and unencumbered cash plus sixty percent of net accounts receivable to balance outstanding under the Revolving Line. We were in compliance with all covenants as of September 30, 2020. Mezzanine Facility Loan On February 28, 2020, we entered into a mezzanine loan and security agreement (the “Mezzanine Facility”) with WestRiver Innovation Lending Fund VIII, L.P. (“WestRiver”) providing for a term loan of $10.0 million. The Mezzanine Facility maturity date is March 1, 2023. Our obligations under the Mezzanine Facility are secured by substantially all of our assets. The Mezzanine Facility contains restrictive covenants, including limits on additional indebtedness, liens, asset dispositions, dividends, investments, and distributions. Borrowings under the Mezzanine Facility bear interest at the greater of (i) 10.0% or (ii) the prime rate then in effect plus 5.25%. Interest is calculated on the outstanding principal on a 360-day In connection with the Mezzanine Facility, we issued warrants to purchase up to 99,000 shares of common stock with an exercise price of $9.21 per share with the warrants expiring on March 1, 2023. The warrant was exercisable for half of the shares. The warrant did not become exercisable for the remaining half of the shares because we did not draw down under the Mezzanine Facility and our ability to draw down under the Mezzanine Facility terminated. The portion of the warrant that was exercisable was exercised in August 2020 and the portion that did not become exercisable terminated upon the termination of the Mezzanine Facility. Upon issuance of the warrants, we recorded the fair value of the first tranche of warrants at $0.3 million. The value of the warrants issued was recorded as a discount on the carrying value of the debt instruments, which was amortized to interest expense over the life of the debt instruments as an adjustment to (increase in) the effective interest rate. Debt fees Lender fees that were paid upfront to the lenders and debt issuance fees paid to third parties are recorded as a discount from the debt carrying amount and are being amortized to interest expense over the life of the debt. Interest expense related to debt discount amortization was not material for any of the periods presented. Net unamortized fees were not material as of September 30, 2020. Net unamortized fees as of December 31, 2019 amounted to $0.9 million. | 8. Debt Convertible term loan On October 27, 2017, we entered into a contingent convertible debt agreement (the “Convertible Term Loan”) with Silicon Valley Bank (“SVB”) providing for a term loan of $20.0 million. The Convertible Term Loan maturity date is October 27, 2022. Interest is calculated on the outstanding principal, with interest payable monthly. The initial interest rate was equal to the prime rate and changes to a rate of prime plus 2.0% on and after January 1, 2020, a rate of prime plus 4.0% on and after January 1, 2021, and a rate of prime plus 6.0% on and after January 1, 2022. The weighted-average effective interest rate was 5.4% and 4.9% during the years ended December 31, 2019 and 2018. Quarterly principal payments of $125 thousand are due and payable from June 1, 2018 through maturity. As of December 31, 2019, and 2018, we had $19.1 million and $19.6 million outstanding under the Convertible Term Loan, respectively. The conversion feature grants the bank rights to convert part or all of the outstanding principal, plus accrued and unpaid interest into shares of Series F preferred stock at a conversion price of $3.059 per share. The conversion rights may be exercised at the lenders’ option in the event of a change of control, initial public offering, or when the note matures. The Convertible Term Loan also provides lenders rights to purchase Series F preferred stock at $3.059 per share in an aggregate amount of principal previously repaid. The conversion rights and the purchase rights expire after the Convertible Term Loan’s maturity date. Credit facility On October 27, 2017, we amended and restated our loan and security agreement (as amended, the “Credit Facility”) with SVB. As of December 31, 2018, the Credit Facility provided a $20.0 million revolving line of credit (the “Revolving Line”) and a $5.0 million term loan (the “2018 Term Loan”). On June 4, 2019, we amended the Credit Facility to increase the Revolving Line by $5.0 million to $25.0 million. Advances under the Credit Facility are collateralized by all of our assets. The Credit Facility includes two financial covenants. One requires us to maintain a revenue growth rate of 110% each quarter compared to the same quarter in the prior year. The other covenant requires us to maintain a minimum of $10 million in cash plus available amounts under the Credit Facility. We were in compliance with all covenants as of December 31, 2019. Revolving line The Revolving Line has a maturity date of October 27, 2021. The Revolving Line bore interest at a rate equal to the prime rate, and the weighted-average effective interest rate was 5.3% and 5.2% during the years ended December 31, 2019 and 2018, respectively. Interest is calculated on the outstanding principal and is payable monthly. As of December 31, 2019 and 2018, we had $18.5 million and $3.5 million outstanding under the Revolving Line, respectively. 2018 term loan Borrowings from the 2018 Term Loan mature 36 months after each draw. The 2018 Term Loan bore interest at a rate equal to the prime rate plus 0.25% and, the weighted-average effective interest rate was 5.3% and 5.2% during the years ended December 31, 2019 and 2018, respectively. Interest is calculated on the outstanding principal and is payable monthly. Monthly principal payments commenced on October 1, 2018. The principal amortizes equally from the time of the draw to the maturity date. As of December 31, 2019, and 2018, we had $3.3 million and $1.4 million outstanding under the 2018 Term Loan, respectively. Debt fees Lender fees that were paid upfront to the lenders and debt issuance fees paid to third parties are recorded as a discount from the debt carrying amount and are being amortized to interest expense over the life of the debt. Interest expense related to debt discount amortization was $0.1 million and $0.1 million for each of the years ended December 31, 2019 and 2018, respectively. Net unamortized fees as of each of December 31, 2019 and 2018 amounted to $0.1 million and $0.1 million. In connection with debt acquired prior to 2017, we issued warrants to purchase 255 thousand shares of common stock with a weighted-average exercise price of $4.20 per share. The exercise prices of the warrants range from $1.65 to $5.55 per share. Warrants to purchase 17 thousand shares of common stock expire on July 12, 2023, with the remainder expiring on September 30, 2024. The warrant holder may, at any time, exercise the warrants, in whole or in part, by delivering to us the original warrant, together with a duly executed notice of exercise and the exercise price. Upon issuance of the warrants, we recorded the fair value of the warrants at $0.5 million. The value of the warrants issued was recorded as a discount on the carrying value of the debt instruments, which was amortized to interest expense over the life of the debt instruments as an adjustment to (increase in) the effective interest rate in prior years. The maturities of debt are as follows: (in thousands) December 31, 2020 $ 2,394 2021 20,431 2022 18,125 2023 — 2024 and thereafter — Total debt $ 40,950 Less: Current portion $ (2,363 ) Discount on long-term debt $ (85 ) Noncurrent portion of debt 38,502 |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Equity [Abstract] | ||
Stockholders' Equity (Deficit) | 9. Stockholders’ equity (deficit) Equity Incentive Plans – Stock Options During the nine months ended September 30, 2020, the Company granted an aggregate of 1,352,000 shares of stock options, with a weighted average exercise price of $14.44 per share. The fair value of options granted was estimated at the date of grant using the Black-Scholes option-pricing model with the following assumptions (i) expected term of 6.0 years, (ii) expected volatility of 50%, (iii) risk-free interest rate .71% and (iv) expected dividend yield of 0%. As of September 30, 2020, there was $10.9 million of unamortized stock-based compensation cost related to unvested stock options, which the Company expects to recognize over a weighted-average period of 2.8 years. Restricted Stock Units In May 2020, our board of directors granted an aggregate of 1,216,000 RSUs to officers and employees pursuant to the 2013 Plan with a per share fair value of $15.51. The RSUs vest and settle upon the satisfaction of both a service condition and a liquidity event condition. The service condition for the awards is satisfied over four years. The liquidity event condition is satisfied upon the occurrence of a qualifying event, defined as the effectiveness of an initial public offering or the consummation of a change of control transaction. The qualifying event occurred on August 5, 2020 with the completion of our IPO and the RSU’s vest over the remaining service period of 4 years from the date of grant, subject to the continued employment of the employees. In September 2020, we began issuing RSU’s to certain employees pursuant to the BigCommerce Holdings, Inc. 2020 Equity Incentive Plan (“2020 Plan”). During the nine months ended September 30, 2020, we granted an aggregate of 147,000 RSUs with a weighted grant-date fair value of $87.79. The RSUs vest over the requisite service period of 4 years from the date of grant, subject to the continued employment of the employees. As of September 30, 2020, there was $13.6 million of unamortized stock-based compensation costs related to unvested RSUs, which the Company expects to recognize over a weighted-average period of 3.7 years. Stock-based compensation expense was included in the following line items in the accompanying condensed consolidated statements of operations during the periods presented (in thousands): Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Cost of revenue $ 179 $ 62 $ 334 $ 121 Sales and marketing 871 241 1,511 572 Research and development 582 186 1,216 415 General and administrative 1,236 326 1,977 1,123 Total stock-based compensation expense $ 2,868 $ 815 $ 5,038 $ 2,231 Preferred stock As of December 31, 2019, we had six outstanding series of redeemable convertible preferred stock. These preferred shares were classified as temporary equity within the Company’s consolidated balance sheet as of December 31, 2019. Immediately upon closing of our IPO, the outstanding preferred stock was automatically converted into an aggregate of 29,390,733 shares of Series 1 common stock and 5,050,555 shares of Series 2 common stock. Under terms of Series F preferred stock, dividends were required to be paid at 10 percent, which could be adjusted for the holder’s actual rate of return upon redemption. Upon completion of our IPO with an offering price of $24 per share, we met the threshold for a reduction of dividends and reduced the required dividend rate to 8 percent. Due to this reduction in rate, we recorded a dividend benefit for the three-month period ended September 30, 2020. We utilized a portion of the proceeds from the IPO to pay the cumulative dividends of $12.8 million to the holders of our Series F preferred stock. As of September 30, 2020, there was no preferred stock issued or outstanding. | 9. Stockholders’ equity (deficit) 2013 Stock plan In February 2013, we established the 2013 Stock Option Plan (the “2013 Plan”). Pursuant to the 2013 Plan, the exercise price for incentive stock options is at least 100% of the fair market value on the date of grant, or for employees owning in excess of 10% of the voting power of all classes of stock, 110% of the fair market value on the date of grant. Options expire ten years from the date of grant, or for employees owning in excess of 10% of the voting power of all classes of stock, five years for incentive stock options. The term of each option shall not be more than ten years from the date of grant thereof, except the term of each Incentive Stock Option shall not be more than five years from the date of grant thereof in the case of any participant who owns directly, or by attribution shares possessing, more than 10% of the total combined voting power of all classes of our shares or shares of any parent or subsidiary corporations. Vesting periods are determined by the board of directors; however, options generally vest 25% one year after the date of grant, with the remaining balance vesting on a pro rata basis monthly for 36 months. As of December 31, 2019, the total number of shares reserved for issuance under the 2013 Plan was 9,596, of which 9,327 shares were subject to outstanding option awards. Stock options We use the Black-Scholes option-pricing model to estimate the fair value of our share-based payment awards. The Black-Scholes option-pricing model requires estimates regarding the risk-free rate of return, dividend yields, expected life of the award, and estimated forfeitures of awards during the service period. The calculation of expected volatility is based on historical volatility for comparable industry peer groups over periods of time equivalent to the expected life of each stock option grant. As we are not publicly traded, we believe that comparable industry peer groups provide a reasonable measurement of volatility in order to calculate a reasonable estimate of fair value of each stock award. The expected term is calculated based on the weighted average of the remaining vesting term and the remaining contractual life of each award. We based the estimate of risk-free rate on the U.S. Treasury yield curve in effect at the time of grant or modification. We have never paid cash dividends and do not currently intend to pay cash dividends, and thus have assumed a dividend yield of zero. We estimate the fair value of common stock at the time of grant of the option by considering a number of objective and subjective factors, including independent third-party valuations of our common stock, operating and financial performance, the lack of liquidity of capital stock, and general and industry-specific economic outlook, among other factors. We estimate potential forfeitures of stock grants and adjust compensation cost recorded accordingly. The estimate of forfeitures will be adjusted over the requisite service period to the extent that actual forfeitures differ, or are expected to differ, from such estimates. Changes in estimated forfeitures will be recognized through a cumulative catch-up The following table summarizes the weighted-average grant date value of options and the assumptions used to develop their fair value. Year ended December 31, 2019 2018 Weighted-average grant date fair value of options $ 1.20 $ 0.42 Risk-free interest rate 1.51%—2.53 % 2.43%—3.09 % Expected volatility 46.70%—47.87 % 47.22%—49.13 % Expected life in years 5.52—6.08 years 5.00—6.08 years Dividend yield — — A summary of the changes in common stock options issued under all of the existing stock option plans is as follows: (in thousands, except per share amounts) Shares Weighted average of exercise prices Weighted average of remaining term (years) Aggregate intrinsic value Options outstanding at December 31, 2017 6,444 $ 0.66 8.36 $ 8,019 Granted 4,655 2.76 — — Exercised (1,386 ) 0.45 — — Forfeited (707 ) 1.29 — — Options outstanding at December 31, 2018 9,006 $ 1.71 8.60 $ 13,327 Granted 2,266 3.45 — — Exercised (1,099 ) 1.17 — — Forfeited (846 ) 1.98 — — Options outstanding at December 31, 2019 9,327 $ 2.22 8.17 $ 65,294 Vested and expected to vest at December 31, 2019(1) 8,588 $ 2.10 8.04 $ 61,144 Vested at December 31, 2019 3,699 $ 1.35 7.08 $ 29,092 (1) The expected-to-vest pre-vesting The total intrinsic value of options exercised during the years ended December 31, 2019 and 2018 was $5.6 million and $2.6 million, respectively. The intrinsic value was calculated as the difference between the estimated fair value of our common stock at exercise, as determined by the board of directors, and the exercise price of the in-the-money options. At December 31, 2019 and 2018, there was an estimated $9.4 million and $6.2 million, respectively, of total unrecognized compensation costs related to stock-based compensation arrangements. These costs will be recognized over a weighted-average period of three years. Total stock-based compensation expense recognized was as follows: Year ended (in thousands) 2019 2018 Cost of revenue $ 191 $ 82 Sales and marketing 838 388 Research and development 666 432 General and administrative 1,461 1,169 Total stock-based compensation expense $ 3,156 $ 2,071 Preferred stock As of December 31, 2019, the holders of preferred stock (“Series A Stock,” “Series B Stock,” “Series C Stock,” “Series D Stock,” “Series D-1 E-1 (in thousands) Shares authorized Shares Shares Liquidation Series A Stock 15,000 15,000 $ 5,000 $ 15,000 Series B Stock 10,611 10,611 3,537 20,116 Series C Stock 16,393 16,393 5,604 40,000 Series D Stock 14,451 14,451 5,082 50,000 Series D-1 1,445 1,445 508 5,000 Series E Stock 20,307 20,307 6,769 39,000 Series E-1 195 195 65 400 Series F Stock 23,628 23,628 7,877 68,662 Total Preferred Stock 102,030 102,030 $ 34,442 $ 238,178 Dividends Holders of Series F Stock are entitled to receive cumulative dividends. Dividends on shares of Series F Stock (the “Series F Dividend”) accrue on a daily basis and compound quarterly at a per annum rate of 10% of the Series F Stock original issue price of $2.7086 per share (the “Series F Original Issue Price”). Except for the limited instances identified in our currently effective amended and restated certificate of incorporation with respect to the Series F Stock, we have no obligation to pay any dividends, except when, as and if declared by the board of directors. No dividends on any share of other series of preferred stock or common stock can be paid until the full Series F Dividend then accrued has been paid in full. In the event that the holders of Series F Stock receive proceeds per share of Series F Stock in cash or freely tradeable securities as a result of any deemed liquidation event or any conversion to common stock at the option of the holder or a mandatory conversion event of at least: (a) $6.7715 per share of Series F Stock, then the Series F Dividend shall be reduced from 10% to 9% per annum effective as of the date of issuance, or (b) $8.1258, then the Series F Dividend shall be reduced from 10% to 8% per annum effective as of the date of issuance. As of December 31, 2019, we accrued $11.9 million of dividends for holders of our Series F Stock, or $0.50 per share. On July 24, 2020, concurrently with the effectiveness of the one-for-three Holders of all other series of preferred stock are entitled to participate in dividends on common stock when, as and if declared by the board of directors, based on the number of shares of common stock held on an as-converted Liquidation In the event of any voluntary or involuntary liquidation, dissolution, winding up or deemed liquidation event, the holders of each series of preferred stock are entitled to be paid out of our assets available for distribution to our stockholders before any payment shall be made to the holders of our common stock in the following order: (i) first, the holders of shares of Series F Stock, an amount equal to the Series F Original Issue Price, plus any dividends (other than the Series F Dividend) declared but unpaid, (ii) second, to the holders of Series E Stock and Series E-1 D-1 Conversion Each share of preferred stock (other than the Series D-1 E-1 D-1 E-1 D-1 E-1 one-for-three non-voting D-1 one-to-one Voting Holders of preferred stock are entitled to voting rights equal to holders of common stock, except for holders of Series D-1 E-1 non-voting Redemption Series F Stockholders are allowed to request redemption of their shares on the earlier of: (i) the five-year anniversary of the original issue date of the Series F Stock or (ii) the consummation of an initial public offering of our capital stock that is not a Qualified IPO. Our merger or consolidation into another entity in which our stockholders own less than 50% of the voting stock of the surviving company or the sale, transfer or lease of substantially all of our assets shall be deemed a liquidation, dissolution or winding up, and, as a result, a redemption event. As the redemption event is outside of our control, all shares of preferred stock have been presented outside of permanent equity. We have also concluded that since the shares of preferred stock are not mandatorily redeemable, but rather are only contingently redeemable, and given that the redemption event is not certain to occur, the shares have not been accounted for as a liability in any of the periods presented. |
Income Taxes
Income Taxes | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||
Income Taxes | 10. Income taxes Our provision for income taxes is based on estimated effective tax rates derived from an estimate of annual consolidated earnings before taxes, adjusted for nondeductible expenses, other permanent items, and any applicable income tax credits. The difference in the 21% U.S. statutory tax rate and the annual forecasted effective tax rate is primarily a result of the jurisdictional mix of earnings and losses as well as valuation allowances offsetting the benefit of forecasted losses in the U.S., Australia, and the United Kingdom. Forecasted tax expense is related to non-U.S. The effective tax rates for the three months ended September 30, 2020 and 2019 were 0.13 % and (0.07) % respectively. The effective tax rates for the nine months ended September 30, 2020 and 2019 were (0.03) % and (0.07) % respectively. We file tax returns in the U.S., including various state and local returns, and in other foreign jurisdictions including the Australia and the United Kingdom. We believe adequate provision has been made for all income tax uncertainties. We are not currently under audit in any filing jurisdiction. Fiscal years 2016 through 2019 remain open to examination by the major taxing jurisdictions to which we are subject. Carry forward attributes that were generated in tax years prior to fiscal year 2016 remain open to adjustment until the statute of limitations closes for the tax year in which the attributes are utilized. | 10. Income taxes Pretax earnings from continuing operations consist of the following: Year ended (in thousands) 2019 2018 United States $ (38,720 ) $ (38,471 ) Non-U.S. (3,842 ) (397 ) Total pre-tax $ (42,562 ) $ (38,868 ) Our components of the provision for income taxes are as follows: Year ended (in thousands) 2019 2018 Income tax provision (benefit) Current: Federal $ $ State 25 10 Foreign 3 — Total current $ 28 $ 10 Deferred: Federal — — State — — Foreign — — Total deferred — — Total provision (benefit) $ 28 $ 10 Our provision for income taxes attributable to continuing operations differs from the expected tax expense (benefit) amount computed by applying the U.S. statutory federal income tax rate of 21% to income from continuing operations before income taxes. The variance is a result of the application of a valuation allowance for net deferred assets, including NOL carryforwards and credits generated in Australia, the UK, and the United States. Income tax expense for the period is a result of the Texas “Gross Margin” tax in the case of the state tax expense and taxable profits in Ireland and Singapore in the case of the foreign tax expense. Year ended December 31, (in thousands) 2019 2018 U.S. federal taxes at statutory rate 21.00 % 21.00 % State taxes, net of federal benefit 3.25 3.45 Foreign tax rate differentials 0.33 (0.15 ) Research and development credit 3.24 (0.46 ) Stock-based compensation 0.38 (0.83 ) Permanent differences, other (3.77 ) (1.83 ) Change in valuation allowance (24.50 ) (22.30 ) Other — 1.09 Effective tax rate -0.07 % -0.03 % The Tax Cuts and Jobs Act of 2017 (the “TJCA”) subjects a U.S. shareholder to current tax on certain earnings of foreign subsidiaries under a provision commonly known as GILTI (global intangible low-taxed Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of deferred taxes are as follows: December 31, (in thousands) 2019 2018 Deferred tax assets: Net operating loss and credit carryforwards $ 36,373 $ 37,274 Deferred lease obligation 3,854 45 Deferred revenue 871 632 Depreciation and amortization 9,144 9,820 Share-based compensation 682 376 Other 702 1,129 Gross deferred tax assets $ 51,626 $ 49,276 Valuation allowance (46,784 ) (47,835 ) Deferred tax liabilities: Capitalized software costs (478 ) (351 ) Deferred commission (752 ) (645 ) Deferred lease right-of-use (2,887 ) — Prepaid expenses and other (725 ) (445 ) Gross deferred tax liabilities (4,842 ) (1,441 ) Net deferred tax assets $ — $ — At December 31, 2019, we had NOL carryforwards for U.S. federal income tax purposes of approximately $118.2 million. Of this total, $69.9 million is related to tax years 2018 and 2019 that do not have an expiration, as a result of the TCJA. The remaining $48.4 million of U.S. federal NOL carryforwards are available to offset future U.S. federal taxable income and begin to expire in 2036. At December 31, 2019, we had NOL carryforwards for certain state income tax purposes of approximately $37.3 million. These state NOL carryforwards are available to offset future state taxable income and begin to expire in 2036. At December 31, 2019, we had foreign NOL carryforwards in Australia and the U.K., combined, of approximately $6.9 million, which are available to offset future foreign taxable income and that do not have an expiration. At December 31, 2019, we did not provide any U.S. income or foreign withholding taxes related to certain foreign subsidiaries’ undistributed earnings, as such earnings have been retained and are intended to be indefinitely reinvested. The majority of our foreign operations are in excess tax basis over book basis positions. It is not practicable to estimate the amount of taxes that would be payable upon remittance of these earnings, because such tax, if any, is dependent upon circumstances existing if and when remittance occur. At December 31, 2019, we had research and development tax credit carryforwards of approximately $3.9 million, which are available to offset future U.S. federal income tax. These U.S. federal tax credits begin to expire in 2034. At December 31, 2019 and December 31, 2018, we did not believe it is more likely than not that our net deferred tax assets will be realized. Therefore, we recorded a full valuation allowance with respect to all net deferred tax assets. During 2019, the valuation allowance was decreased by approximately $1.1 million. Although the U.S. NOL carryforwards increased, which would have also increased the change in the valuation allowance, certain limitations on the foreign NOL carryforwards and tax credits offset the increases and resulted in a net decrease of the valuation allowance. The impact will likely be subject to ongoing technical guidance and accounting interpretation, that we will continue to monitor and assess. We file U.S. federal, state and foreign income tax returns in jurisdictions with varying statutes of limitations. The 2016 through 2019 tax years generally remain open and subject to examination by U.S. federal, state and foreign tax authorities. The 2016 tax year generally remains open and subject to examination by foreign tax authorities. Losses generated in any year since inception remain open to adjustment until the statute of limitations closes for the tax year in which the NOL carryforwards are utilized. We are not currently under audit in any taxing jurisdictions. As of December 31, 2019, we had no recorded unrecognized tax benefits that would impact our effective tax rate. Our practice is to recognize interest and/or penalties related to income tax matters in income tax expense. During 2019 and 2018, we did not recognize any material interest or penalties. |
Net Loss per Share
Net Loss per Share | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Earnings Per Share [Abstract] | ||
Net Loss per Share | 11. Net loss per share Net loss per share Basic and diluted net loss per common share is presented in conformity with the two-class as-if Basic net loss per share attributable to common stockholders is computed by dividing net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. Because we have reported a net loss for both the three and nine-months ended September 30, 2020, and 2019, the number of shares used to calculate diluted net loss per share of common stock attributable to common stockholders is the same as the number of shares used to calculate basic net loss per share of common stock attributable to common stockholders for the period presented because the potentially dilutive shares would have been antidilutive if included in the calculation. The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted-average shares outstanding because such securities have an antidilutive impact due to losses reported: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Preferred stock as-converted — 34,442 — 34,442 Stock options outstanding 9,391 9,422 9,391 9,422 Restricted stock units 1,363 — 1,363 — Warrants to purchase common stock — 364 — 364 Convertible debt — 2,180 — 2,180 Total potentially dilutive securities 10,754 46,408 10,754 46,408 | 11. Net loss per share Net loss per share Basic and diluted net loss per common share is presented in conformity with the two-class as-if Basic net loss per share attributable to common stockholders is computed by dividing net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. Because we have reported a net loss for 2019 and 2018, the number of shares used to calculate diluted net loss per share of common stock attributable to common stockholders is the same as the number of shares used to calculate basic net loss per share of common stock attributable to common stockholders for the period presented because the potentially dilutive shares would have been antidilutive if included in the calculation. The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted-average shares outstanding because such securities have an antidilutive impact due to losses reported: Year ended (in thousands) 2019 2018 Preferred stock as-converted 34,442 34,442 Stock options outstanding 9,327 9,006 Warrants to purchase common stock 364 352 Convertible debt 2,180 2,180 Total potentially dilutive securities 46,313 45,980 |
Subsequent Events
Subsequent Events | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Subsequent Events [Abstract] | ||
Subsequent Events | 12. Subsequent events On November 3, 2020, the Company terminated the Mezzanine Facility effective as of November 6, 2020. The Mezzanine Facility remained undrawn as of September 30, 2020 at the expiration of the draw period and was terminated as a result of such expiration. | 12. Subsequent events Debt On February 28, 2020, we amended and restated our loan and security agreement with SVB (the “A&R Credit Facility”). The A&R Credit Facility reduces the amount available under the Revolving Line by $5.0 million to $20.0 million. The reduction is effective concurrent with the funding of the 2020 Convertible Loan. On September 30, 2020, the amount available under the Revolving Line will be reduced to $10.0 million. The A&R Credit Facility includes two financial covenants that require us to maintain a minimum liquidity ratio of 1.5:1 and minimum recurring revenue growth rate. The liquidity ratio is calculated as unrestricted and unencumbered cash plus sixty percent of net accounts receivable to balance outstanding under the Revolving Line. The minimum recurring revenue covenant requires us to maintain a revenue growth rate of 118% each quarter compared to the same quarter in the prior year. On February 28, 2020 we entered into a contingent convertible term loan (the “2020 Convertible Loan”) with SVB, providing for a convertible term loan in an amount of $35.0 million. The 2020 Convertible Loan matures on February 28, 2025. The interest rate for the 2020 Convertible Term Loan is (a) 4.5% prior to January 1, 2022, (b) 6.5% from January 1, 2022 and prior to January 1, 2023, (c) 8.5% from January 1, 2023 and prior to January 1, 2024, and (d) 10.5% from and after January 1, 2024. Interest is calculated on the outstanding principal on a 360-day one-for-three On February 28, 2020, we entered into a mezzanine loan and security agreement (the “Mezzanine Facility”) with WestRiver Innovation Lending Fund VIII, L.P. (“WestRiver”) providing for a term loan of $10.0 million. We have not drawn any amounts under the Mezzanine Facility. The Mezzanine Facility maturity date is March 1, 2023. Our obligations under the Mezzanine Facility are secured by substantially all of our assets. The Mezzanine Facility contains restrictive covenants, including limits on additional indebtedness, liens, asset dispositions, dividends, investments, and distributions. Borrowings under the Mezzanine Facility bear interest at the greater of (i) 10.0% or (ii) the prime rate then in effect plus 5.25%. Interest is calculated on the outstanding principal on a 360-day Amended and restated certificate of incorporation On February 28, 2020, we amended and restated our certificate of incorporation to create two classes of common stock. Series 1 is voting common stock, and Series 2 is non-voting non-voting |
Revenue recognition and deferre
Revenue recognition and deferred costs | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue recognition and deferred costs | 3. Revenue recognition and deferred costs Revenue recognition Our sources of revenue consist of subscription solutions fees and partner and services fees. These services allow customers to access our hosted software over the contract period. The customer is not allowed to take possession of the software or transfer the software. Our revenue arrangements do not contain general rights of refund in the event of cancellations. The following table disaggregates our revenue by major source: Three months ended Nine months ended (Unaudited, in thousands) 2020 2019 2020 2019 Subscription solutions $ 26,545 $ 21,021 $ 74,041 $ 60,406 Partner and services 13,190 7,243 35,184 20,677 Total revenue $ 39,735 $ 28,264 $ 109,225 $ 81,083 Subscription solutions Subscription solutions revenue consists primarily of platform subscription fees from all plans. It also includes recurring professional services and sales of SSL certificates. Subscription solutions are charged monthly, quarterly, or annually for our customers to sell their products and process transactions on our platform. Subscription solutions are generally charged per online store and are based on the store’s subscription plan. Monthly subscription fees for Pro and Enterprise plans are adjusted if a customer’s gross merchandise volume or orders processed are above specified plan thresholds on a trailing twelve-month basis. For most subscription solutions arrangements, we have determined we meet the variable consideration allocation exception and, therefore, recognize fixed monthly fees or a pro-rata portion of quarterly or annual fees and any transaction fees as revenue in the month they are earned. A portion of our Enterprise subscription plans include an upfront promotional period in order to incentivize the customer to enter into a subscription arrangement. For these Enterprise arrangements, the total subscription fee is recognized on a straight-line basis over the term of the contract. Professional services, which primarily consist of education packages, launch services, solutions architecting, implementation consulting, and catalog transfer services, are generally billed and recognized as revenue when delivered. Contracts with our retail customers are generally month-to-month, while contracts with our enterprise customers generally range from one to three years. Contracts are typically non-cancellable and do not contain refund-type provisions. Revenue is presented net of sales tax and other taxes we collect on behalf of governmental authorities. Partner and services Our partner and services revenue consists of revenue share, partner technology integrations, and marketing services provided to partners. Revenue share relates to fees earned by our partners from customers using our platform, where we have an arrangement with such partner to share such fees as they occur. Revenue share is recognized at the time the earning activity is complete, which is generally monthly. Revenue for partner technology integrations is recorded on a straight-line basis over the life of the contract commencing when the integration has been completed. Fees for marketing services are recognized either at the time the earning activity is complete, or ratably over the length of the contract, depending on the nature of the obligations in the contract. Payments received in advance of services being rendered are recorded as deferred revenue and recognized when the obligation is completed. We also derive revenue from the sales of website themes and applications upon delivery. We recognize revenue share, and revenue from the sales of third-party applications, on a net basis as we have determined that we are the agent in our arrangements with third-party application providers. All other revenue is recognized on a gross basis, as we have determined we are the principal in these arrangements. Contracts with multiple performance obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Our subscription contracts are generally comprised of a single performance obligation to provide access to our platform, but can include additional performance obligations. For contracts with multiple performance obligations where the contracted price differs from the standalone selling price (“SSP”) for any distinct good or service, we may be required to allocate the contract’s transaction price to each performance obligation using our best estimate of SSP. Contracts with our technology solution partners often include multiple performance obligations. In determining whether integration services are distinct from hosting services we consider various factors. These considerations included the level of integration, interdependency, and interrelation between the implementation and hosting service, as well as any promises in the contract. We have concluded that the integration services included in contracts with hosting obligations are not distinct. As a result, we defer any arrangement fees for integration services and recognize such amounts over the life of the hosting obligation. Additional consideration for some partner contracts varies based on the level of customer activity on the platform. We have determined we meet the variable consideration allocation exception and therefore recognize these variable fees in the period they are earned. Judgment is required to determine the SSP for each distinct performance obligation. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The primary method used to estimate SSP is the expected cost-plus margin approach, which considers margins achieved on standalone sales of similar products, market data related to historical margins within an industry, industry sales price averages, market conditions, and profit objectives. Cost of revenue Cost of revenue consists primarily of personnel-related costs, including: stock-based compensation expenses for customer support and professional services personnel; costs of maintaining and securing our infrastructure and platform; amortization expense associated with capitalized internal-use Deferred revenue Deferred revenue primarily consists of amounts that have been billed to or received from customers in advance of performing the associated services. We recognize revenue from deferred revenue when the services are performed, and the corresponding revenue recognition criteria are met. The net increase in the deferred revenue balance for the nine months ended September 30, 2020 is primarily due to increases in SaaS related subscriptions. Amounts recognized from deferred revenue represent primarily revenue from the sale of subscription solutions, integration, and marketing services. As of September 30, 2020, we had $76.0 million of remaining performance obligations, which represents contracted revenue minimums that have not yet been recognized, including amounts that will be invoiced and recognized as revenue in future periods. We expect to recognize approximately 53% of the remaining performance obligations as revenue in the following 12-month Deferred commissions Certain sales commissions earned by our sales force are considered incremental and recoverable costs of obtaining a contract with a customer. Sales commissions are not paid on subscription renewals. We amortize deferred sales commissions ratably over the estimated period of our relationship with customers of approximately four years. Based on historical experience, we determine the average life of our customer relationship by taking into consideration our customer contracts and the estimated technological life of our platform and related significant features. We include amortization of deferred commissions in Sales and marketing expense in the consolidated statements of operations. We periodically review the carrying amount of deferred commissions to determine whether events or changes in circumstances have occurred that could impact the period of benefit of these deferred costs. We did not recognize an impairment of deferred commissions for the nine months ended September 30, 2020 and 2019. Sales commissions of $2.9 million and $1.8 million were deferred for the nine months ended September 30, 2020 and 2019, respectively; and deferred commission amortization expense was $1.5 million and $1.1 million for the nine months ended September 30, 2020 and 2019, respectively. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Basis of presentation | Basis of presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods indicated. Operating results for the three and nine months ended September 30, 2020 are not necessarily indicative of results that may be expected for any other interim period or for the year ending December 31, 2020. The accompanying interim financial statements should be read in conjunction with the consolidated financial statements and related notes thereto included in the Company’s final prospectus filed with the SEC pursuant to Rule 424(b)(4) under the Securities Act of 1933, as amended, on August 5, 2020 (“Prospectus”). | Basis of presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). |
Basis of consolidation | Basis of consolidation The accompanying consolidated financial statements include our accounts and the accounts of our wholly-owned subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation. Our fiscal year ends on December 31. | Basis of consolidation The accompanying consolidated financial statements include our accounts and the accounts of our wholly-owned subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation. Our fiscal year ends on December 31. |
Use of estimates | Use of estimates The preparation of consolidated financial statements in conformity with GAAP requires certain financial instruments to be recorded at fair value; requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenue and expenses during the reporting periods. Significant estimates, judgments, and assumptions in these consolidated financial statements include: allocating variable consideration for revenue recognition; the amortization period for deferred commissions; the allowance for credit losses; a determination of the deferred tax asset valuation allowance and the valuation of our common stock used to determine stock-based compensation expense prior to our IPO. Because of the use of estimates inherent in the financial reporting process and given the additional or unforeseen effects from the COVID-19 COVID-19, non-essential. COVID-19 | Use of estimates The preparation of consolidated financial statements in conformity with GAAP requires certain financial instruments to be recorded at fair value; requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenue and expenses during the reporting periods. Significant estimates, judgments, and assumptions in these consolidated financial statements include: allocating variable consideration for revenue recognition; the amortization period for deferred commissions; the allowance for credit losses; a determination of the deferred tax asset valuation allowance and the valuation of our common stock used to determine stock-based compensation expense. Because of the use of estimates inherent in the financial reporting process and given the additional or unforeseen effects from the COVID-19 COVID-19, non-essential. COVID-19 |
Stock split | Stock split On July 24, 2020, our board of directors and stockholders approved an amendment to our certificate of incorporation that effected a one-for-three | |
Segment and geographic information | Segment and geographic information Our chief operating decision maker is our chief executive officer. Our chief executive officer reviews the financial information presented on a consolidated basis for purposes of making operating decisions, allocating resources, and evaluating financial performance. Accordingly, we have determined that we operate as a single operating and reportable segment. Revenue by geographic region was as follows: Three months ended Nine months ended (Unaudited, in thousands) 2020 2019 2020 2019 Revenue: Americas—U.S. $ 31,483 $ 22,842 $ 87,099 $ 66,022 Americas—other 1,422 949 3,827 2,722 EMEA 3,180 1,899 8,493 5,260 APAC 3,650 2,574 9,806 7,079 Total revenue $ 39,735 $ 28,264 $ 109,225 $ 81,083 Long-lived assets by geographic region was as follows: September 30, December 31, (in thousands) 2020 2019 (Unaudited) Long-lived assets: Americas—U.S. $ 6,703 $ 7,699 Americas—other — — EMEA — — APAC 539 542 Total long-lived assets $ 7,242 $ 8,241 | Segment and geographic information Our chief operating decision maker is our chief executive officer. Our chief executive officer reviews the financial information presented on a consolidated basis for purposes of making operating decisions, allocating resources, and evaluating financial performance. Accordingly, we have determined that we operate as a single operating and reportable segment. Revenue by geographic region was as follows: Year ended December 31, (in thousands) 2019 2018 Revenue: Americas—U.S. $ 91,057 $ 75,025 Americas—other 3,761 3,000 EMEA 7,370 6,123 APAC 9,915 7,719 Total revenue $ 112,103 $ 91,867 Long-lived assets by geographic region was as follows: Year ended December 31, (in thousands) 2019 2018 Long-lived assets: Americas—U.S. $ 7,699 $ 4,864 Americas—other — — EMEA — — APAC 542 367 Total long-lived assets $ 8,241 $ 5,231 |
Cash and cash equivalents | Cash and cash equivalents We consider all highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. Cash equivalents consist of money market funds and investment securities and are stated at fair value. | Cash and cash equivalents We consider all highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. Cash equivalents consist of money market funds and investment securities and are stated at fair value. |
Restricted cash | Restricted cash We maintain a portion of amounts collected through our online payment processor with the online payment processor as a security deposit for future chargebacks. Additionally, we have amounts on deposit with certain financial institutions that serve as collateral for letters of credit and lease deposits. | Restricted cash We maintain a portion of amounts collected through our online payment processor with the online payment processor as a security deposit for future chargebacks. Additionally, we have amounts on deposit with certain financial institutions that serve as collateral for letters of credit and lease deposits. |
Marketable securities | Marketable securities All marketable securities have been classified as available-for-sale | Marketable securities All marketable securities have been classified as available-for-sale |
Accounts receivable | Accounts receivable Accounts receivable are stated at net realizable value and include unbilled receivables. Unbilled receivables arise primarily when we provide subscriptions services in advance of billing. Accounts receivable are net of an allowance for credit losses, are not collateralized, and do not bear interest. Payment terms range from due immediately to due within 60 days. The accounts receivable balance at September 30, 2020 and December 31, 2019 included unbilled receivables of $5.7 million and $4.0 million, respectively. We assess the collectability of outstanding accounts receivable on an ongoing basis and maintain an allowance for credit losses for accounts receivable deemed uncollectable. Upon adoption of ASU 2016-13, 2016-13 The allowance for credit losses consisted of the following: (Unaudited, in thousands) Balance at December 31, 2019 $ 1,167 Cumulative effect adjustment upon adoption 364 Provision for expected credit losses 589 Accounts written off (236 ) Balance at March 31, 2020 1,884 Provision for expected credit losses 355 Accounts written off (583 ) Balance at June 30, 2020 1,656 Provision for expected credit losses 254 Accounts written off (49 ) Balance at September 30, 2020 $ 1,861 | Accounts receivable Accounts receivable are stated at net realizable value and include unbilled receivables. Unbilled receivables arise primarily when we provide subscriptions services in advance of billing. Accounts receivable are net of an allowance for credit losses, are not collateralized, and do not bear interest. Payment terms range from due immediately to due within 60 days. The accounts receivable balance at December 31, 2019 and 2018 included unbilled receivables of $4.0 million and $2.6 million, respectively. The allowance for doubtful accounts is our best estimate of the amount of probable credit losses. We determine the allowance for doubtful accounts based on our analysis of historical bad debts, customer concentrations, credit history, and general economic trends. Account balances are written off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. Significant judgments and estimates are made and used in connection with establishing allowances for doubtful accounts in any accounting period. The allowance for doubtful accounts consisted of the following: (in thousands) Balance at December 31, 2017 $ 376 Bad-debt 341 Accounts written off (120 ) Balance at December 31, 2018 597 Bad-debt 988 Accounts written off (418 ) Balance at December 31, 2019 $ 1,167 |
Property and equipment | Property and equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the estimated useful lives or the related lease terms (if shorter). The estimated useful lives of property and equipment are as follows: Estimated Useful Life Computer equipment 3 years Computer software 3 years Furniture and fixtures 5 years Leasehold improvements 1-10 years Maintenance and repairs that do not enhance or extend the asset’s useful life are charged to operating expenses as incurred. The carrying values of property and equipment are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, we compare the projected undiscounted future cash flows associated with groups of assets used in combination over their estimated useful lives against their respective carrying amounts. If projected undiscounted future cash flows are less than the carrying value of the asset group, impairment is recorded for any excess of the carrying amount over the fair value of those assets in the period in which the determination is made. | Property and equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the estimated useful lives or the related lease terms (if shorter). The estimated useful lives of property and equipment are as follows: Estimated Computer equipment 3 years Computer software 3 years Furniture and fixtures 5 years Leasehold improvements 1-10 years Maintenance and repairs that do not enhance or extend the asset’s useful life are charged to operating expenses as incurred. The carrying values of property and equipment are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, we compare the projected undiscounted future cash flows associated with groups of assets used in combination over their estimated useful lives against their respective carrying amounts. If projected undiscounted future cash flows are less than the carrying value of the asset group, impairment is recorded for any excess of the carrying amount over the fair value of those assets in the period in which the determination is made. |
Research and development and internal use software | Research and development and internal use software Research and development expenses consist primarily of personnel and related expenses for our research and development staff, which include: salaries, benefits, bonuses, and stock-based compensation; the cost of certain third-party contractors; and allocated overhead. Expenditures for research and development, other than internal use software costs, are expensed as incurred. Software development costs associated with internal use software, which are incurred during the application development phase and meet other requirements under the guidance are capitalized. To date, software costs eligible for capitalization have not been significant. | Research and development and internal use software Research and development expenses consist primarily of personnel and related expenses for our research and development staff, which include: salaries, benefits, bonuses, and stock-based compensation; the cost of certain third-party contractors; and allocated overhead. Expenditures for research and development, other than internal use software costs, are expensed as incurred. Software development costs associated with internal use software, which are incurred during the application development phase and meet other requirements under the guidance are capitalized. To date, software costs eligible for capitalization have not been significant. |
Concentration of credit risks, significant clients, and suppliers | Concentration of credit risks, significant clients, and suppliers Financial instruments that potentially subject us to concentrations of credit risk consist of cash and cash equivalents, marketable securities, restricted cash, and accounts receivable. Our investment policy limits investments to high credit quality securities issued by the U.S. government, U.S. government-sponsored agencies, and highly rated corporate securities, subject to certain concentration limits and restrictions on maturities. Our cash and cash equivalents and restricted cash are held by financial institutions that management believes are of high credit quality. Amounts on deposit may at times exceed federally insured limits. We have not experienced any losses on our deposits of cash and cash equivalents. We are exposed to credit risk in the event of default by the financial institutions holding our cash and cash equivalents and bond issuers. Accounts receivable are derived from sales to our customers and our strategic technology partners who operate in a variety of sectors. We do not require collateral. Estimated credit losses are provided for in the consolidated financial statements and historically have been within management’s expectations. For the nine months ended September 30, 2020 and 2019 one of our strategic partners accounted for 15% and 13% of our revenue, respectively, and accounted for 20% of our accounts receivable balance at September 30, 2020. | Concentration of credit risks, significant clients, and suppliers Financial instruments that potentially subject us to concentrations of credit risk consist of cash and cash equivalents, marketable securities, restricted cash, and accounts receivable. Our investment policy limits investments to high credit quality securities issued by the U.S. government, U.S. government-sponsored agencies, and highly rated corporate securities, subject to certain concentration limits and restrictions on maturities. Our cash and cash equivalents and restricted cash are held by financial institutions that management believes are of high credit quality. Amounts on deposit may at times exceed federally insured limits. We have not experienced any losses on our deposits of cash and cash equivalents. We are exposed to credit risk in the event of default by the financial institutions holding our cash and cash equivalents and bond issuers. Accounts receivable are derived from sales to our customers and our strategic technology partners who operate in a variety of sectors. We do not require collateral. Estimated credit losses are provided for in the consolidated financial statements and historically have been within management’s expectations. One of our strategic partners accounted for 12% of our revenue for the years ended December 31, 2019 and 2018, and accounted for 20% and 22% of our accounts receivable balance at December 31, 2019 and 2018, respectively. |
Foreign currency | Foreign currency Our functional and reporting currency and the functional and reporting currency of our subsidiaries is the U.S. dollar. Monetary assets and liabilities denominated in foreign currencies are re-measured Non-monetary re-measurement | |
Revenue recognition | Revenue recognition Our sources of revenue consist of subscription solutions fees and partner and services fees. These services allow customers to access our hosted software over the contract period. The customer is not allowed to take possession of the software or transfer the software. Our revenue arrangements do not contain general rights of refund in the event of cancellations. The following table disaggregates our revenue by major source: Year ended (in thousands) 2019 2018 Subscription solutions $ 82,689 $ 70,484 Partner and services 29,414 21,383 Total revenue $ 112,103 $ 91,867 Subscription solutions Subscription solutions revenue consists primarily of platform subscription fees from all plans. It also includes recurring professional services and sales of SSL certificates. Subscription solutions are charged monthly, quarterly, or annually for our customers to sell their products and process transactions on our platform. Subscription solutions are generally charged per online store and are based on the store’s subscription plan. Monthly subscription fees for Pro and Enterprise plans are adjusted if a customer’s gross merchandise volume or orders processed are above specified plan thresholds on a trailing twelve-month basis. For most subscription solutions arrangements, we have determined we meet the variable consideration allocation exception and, therefore, recognize fixed monthly fees or a pro-rata Professional services, which primarily consist of education packages, launch services, solutions architecting, implementation consulting, and catalog transfer services, are generally billed and recognized as revenue when delivered. Contracts with our retail customers are generally month-to-month, non-cancellable Partner and services Our partner and services revenue consists of revenue share, partner technology integrations, and marketing services provided to partners. Revenue share relates to fees earned by our partners from customers using our platform, where we have an arrangement with such partner to share such fees as they occur. Revenue share is recognized at the time the earning activity is complete, which is generally monthly. Revenue for partner technology integrations is recorded on a straight-line basis over the life of the contract commencing when the integration has been completed. Fees for marketing services are recognized either at the time the earning activity is complete, or ratably over the length of the contract, depending on the nature of the obligations in the contract. Payments received in advance of services being rendered are recorded as deferred revenue and recognized when the obligation is completed. We also derive revenue from the sales of website themes and applications upon delivery. We recognize revenue share, and revenue from the sales of third-party applications, on a net basis as we have determined that we are the agent in our arrangements with third-party application providers. All other revenue is recognized on a gross basis, as we have determined we are the principal in these arrangements. Contracts with multiple performance obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Our subscription contracts are generally comprised of a single performance obligation to provide access to our platform, but can include additional performance obligations. For contracts with multiple performance obligations where the contracted price differs from the standalone selling price (“SSP”) for any distinct good or service, we may be required to allocate the contract’s transaction price to each performance obligation using our best estimate of SSP. Contracts with our technology solution partners often include multiple performance obligations. In determining whether integration services are distinct from hosting services we consider various factors. These considerations included the level of integration, interdependency, and interrelation between the implementation and hosting service, as well as any promises in the contract. We have concluded that the integration services included in contracts with hosting obligations are not distinct. As a result, we defer any arrangement fees for integration services and recognize such amounts over the life of the hosting obligation. Additional consideration for some partner contracts varies based on the level of customer activity on the platform. We have determined we meet the variable consideration allocation exception and therefore recognize these variable fees in the period they are earned. Judgment is required to determine the SSP for each distinct performance obligation. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The primary method used to estimate SSP is the expected cost-plus margin approach, which considers margins achieved on standalone sales of similar products, market data related to historical margins within an industry, industry sales price averages, market conditions, and profit objectives. | |
Cost of revenue | Cost of revenue Cost of revenue consists primarily of personnel-related costs, including: stock-based compensation expenses for customer support and professional services personnel; costs of maintaining and securing our infrastructure and platform; amortization expense associated with capitalized internal-use | |
Deferred revenue | Deferred revenue Deferred revenue primarily consists of amounts that have been billed to or received from customers in advance of performing the associated services. We recognize revenue from deferred revenue when the services are performed and the corresponding revenue recognition criteria are met. The net decrease in the deferred revenue balance for the year ended December 31, 2019 is primarily due to the recognition of revenue related to a large upfront payment on a multi-year arrangement that was entered into in prior years. Amounts recognized from deferred revenue represent primarily revenue from the sale of subscription solutions, integration, and marketing services. As of December 31, 2019, we had $47.8 million of remaining performance obligations, which represents contracted revenue minimums that have not yet been recognized, including amounts that will be invoiced and recognized as revenue in future periods. We expect to recognize approximately 60% of the remaining performance obligations as revenue in the next 12 months, and the remaining balance in the periods thereafter. | |
Deferred commissions | Deferred commissions Certain sales commissions earned by our sales force are considered incremental and recoverable costs of obtaining a contract with a customer. Sales commissions are not paid on subscription renewals. We amortize deferred sales commissions ratably over the estimated period of our relationship with customers of approximately four years. Based on historical experience, we determine the average life of our customer relationship by taking into consideration our customer contracts and the estimated technological life of our platform and related significant features. We include amortization of deferred commissions in Sales and marketing expense in the consolidated statements of operations. We periodically review the carrying amount of deferred commissions to determine whether events or changes in circumstances have occurred that could impact the period of benefit of these deferred costs. We did not recognize an impairment of deferred commissions during the years ended December 31, 2019 and December 31, 2018. Sales commissions of $2.5 million and $2.0 million were deferred for the years ended December 31, 2019 and 2018, respectively; and deferred commission amortization expense was $1.6 million and $1.2 million for the years ended December 31, 2019 and 2018, respectively. | |
Advertising costs | Advertising costs We expense advertising costs as incurred. Advertising costs were $9.0 million and $9.0 million for the nine months ended September 30, 2020 and 2019, respectively. | Advertising costs We expense advertising costs as incurred. Advertising expenses were approximately $11.8 million and $8.9 million for the years ended December 31, 2019 and 2018, respectively. |
Leases | Leases We determine if an arrangement is a lease or contains a lease at inception. At the commencement date of a lease, we recognize a liability to make lease payments and an asset representing the right to use the underlying asset during the lease term. The lease liability is measured at the present value of lease payments over the lease term. As our leases typically do not provide an implicit rate, we use our incremental borrowing rate for most leases. The right-of-use Lease terms may include options to extend or terminate the lease. We record a ROU asset and a lease liability when it is reasonably certain that we will exercise that option. Operating lease costs are recognized on a straight-line basis over the lease term. We also lease office space under short-term arrangements and have elected not to include these arrangements in the ROU asset or lease liabilities. | Leases We determine if an arrangement is a lease or contains a lease at inception. At the commencement date of a lease, we recognize a liability to make lease payments and an asset representing the right to use the underlying asset during the lease term. The lease liability is measured at the present value of lease payments over the lease term. As our leases typically do not provide an implicit rate, we use our incremental borrowing rate for most leases. The right-of-use Lease terms may include options to extend or terminate the lease. We record a ROU asset and a lease liability when it is reasonably certain that we will exercise that option. Operating lease costs are recognized on a straight-line basis over the lease term. We also lease office space under short-term arrangements and have elected not to include these arrangements in the ROU asset or lease liabilities. |
Income taxes | Income taxes We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax balances are adjusted to reflect tax rates based on currently enacted tax laws, which will be in effect in the years in which the temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period of the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that those assets will be realized. To date, we have provided a valuation allowance against all of our deferred tax assets as we believe the objective and verifiable evidence of our historical pretax net losses outweighs any positive evidence of its forecasted future results. We will continue to monitor the positive and negative evidence, and we will adjust the valuation allowance as sufficient objective positive evidence becomes available. We account for uncertain tax positions in accordance with ASC 740, “Income Taxes”, which clarifies the accounting for uncertainty in tax positions. These provisions require recognition of the impact of a tax position in our financial statements only if it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, based on the technical merits. Any interest and penalties related to uncertain tax positions will be reflected as a component of income tax expense. | Income taxes We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax balances are adjusted to reflect tax rates based on currently enacted tax laws, which will be in effect in the years in which the temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period of the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that those assets will be realized. To date, we have provided a valuation allowance against all of our deferred tax assets as we believe the objective and verifiable evidence of our historical pretax net losses outweighs any positive evidence of its forecasted future results. We will continue to monitor the positive and negative evidence, and we will adjust the valuation allowance as sufficient objective positive evidence becomes available. We account for uncertain tax positions in accordance with ASC 740, “Income Taxes”, which clarifies the accounting for uncertainty in tax positions. These provisions require recognition of the impact of a tax position in our financial statements only if that position is more likely than not of being sustained upon examination by taxing authorities, based on the technical merits of the position. Any interest and penalties related to uncertain tax positions will be reflected as a component of income tax expense. |
Stock-based compensation | Stock-based compensation We issue stock options and restricted stock units (“RSUs”). Stock-based compensation related to stock options is measured at the date of grant and is recognized on a straight-line basis over the service period, net of estimated forfeitures. We use the Black-Scholes option-pricing model to estimate the fair value of stock options awarded at the date of grant. Stock-based compensation related to restricted stock units is measured at the date of grant and recognized using the accelerated attribution method, net of forfeitures, over the remaining service period. | Stock-based compensation Stock-based compensation is measured at the date of grant and is recognized on a straight-line basis over the service period, net of estimated forfeitures. We use the Black-Scholes option-pricing model to estimate the fair value of stock options awarded at the date of grant. |
Accounting pronouncements | Accounting pronouncements In June 2018, the FASB Issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, In June 2016, the FASB issued ASU 2016-13, available-for-sale COVID-19 In August 2018, the FASB issued ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use 350-40) internal-use internal-use In December 2019, the FASB issued ASU No. 2019-12, 2019-12 2019-12 2019-12 2019-12 | Accounting pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) 2018-10, Codification Improvements to Topic 842 (Leases) 2018-11, Targeted Improvements No. 2016-02 No. 2019-01, 2016-02 non-lease Right-of-Use In June 2018, the FASB Issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, In June 2016, the FASB issued ASU 2016-13, available-for-sale In August 2018, the FASB issued ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use 350-40) internal-use internal-use consolidated financial statements upon adoption. In December 2019, the FASB issued ASU No. 2019-12, 2019-12 2019-12 2019-12 2019-12 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Schedule of Revenue by Geographic Region | Accordingly, we have determined that we operate as a single operating and reportable segment. Revenue by geographic region was as follows: Three months ended Nine months ended (Unaudited, in thousands) 2020 2019 2020 2019 Revenue: Americas—U.S. $ 31,483 $ 22,842 $ 87,099 $ 66,022 Americas—other 1,422 949 3,827 2,722 EMEA 3,180 1,899 8,493 5,260 APAC 3,650 2,574 9,806 7,079 Total revenue $ 39,735 $ 28,264 $ 109,225 $ 81,083 | Accordingly, we have determined that we operate as a single operating and reportable segment. Revenue by geographic region was as follows: Year ended December 31, (in thousands) 2019 2018 Revenue: Americas—U.S. $ 91,057 $ 75,025 Americas—other 3,761 3,000 EMEA 7,370 6,123 APAC 9,915 7,719 Total revenue $ 112,103 $ 91,867 |
Schedule of Long-lived Assets by Geographic Region | Long-lived assets by geographic region was as follows: September 30, December 31, (in thousands) 2020 2019 (Unaudited) Long-lived assets: Americas—U.S. $ 6,703 $ 7,699 Americas—other — — EMEA — — APAC 539 542 Total long-lived assets $ 7,242 $ 8,241 | Long-lived assets by geographic region was as follows: Year ended December 31, (in thousands) 2019 2018 Long-lived assets: Americas—U.S. $ 7,699 $ 4,864 Americas—other — — EMEA — — APAC 542 367 Total long-lived assets $ 8,241 $ 5,231 |
Schedule of Allowance for Credit Losses | The allowance for credit losses consisted of the following: (Unaudited, in thousands) Balance at December 31, 2019 $ 1,167 Cumulative effect adjustment upon adoption 364 Provision for expected credit losses 589 Accounts written off (236 ) Balance at March 31, 2020 1,884 Provision for expected credit losses 355 Accounts written off (583 ) Balance at June 30, 2020 1,656 Provision for expected credit losses 254 Accounts written off (49 ) Balance at September 30, 2020 $ 1,861 | The allowance for doubtful accounts consisted of the following: (in thousands) Balance at December 31, 2017 $ 376 Bad-debt 341 Accounts written off (120 ) Balance at December 31, 2018 597 Bad-debt 988 Accounts written off (418 ) Balance at December 31, 2019 $ 1,167 |
Schedule of Estimated Useful Lives of Property and Equipment | The estimated useful lives of property and equipment are as follows: Estimated Useful Life Computer equipment 3 years Computer software 3 years Furniture and fixtures 5 years Leasehold improvements 1-10 years | The estimated useful lives of property and equipment are as follows: Estimated Computer equipment 3 years Computer software 3 years Furniture and fixtures 5 years Leasehold improvements 1-10 years |
Revenue recognition and defer_2
Revenue recognition and deferred costs (Tables) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | ||
Schedule of Disaggregate Revenue by Major Source | The following table disaggregates our revenue by major source: Three months ended Nine months ended (Unaudited, in thousands) 2020 2019 2020 2019 Subscription solutions $ 26,545 $ 21,021 $ 74,041 $ 60,406 Partner and services 13,190 7,243 35,184 20,677 Total revenue $ 39,735 $ 28,264 $ 109,225 $ 81,083 | The following table disaggregates our revenue by major source: Year ended (in thousands) 2019 2018 Subscription solutions $ 82,689 $ 70,484 Partner and services 29,414 21,383 Total revenue $ 112,103 $ 91,867 |
Cash Equivalents and Marketab_2
Cash Equivalents and Marketable Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of Cash Equivalents and Marketable Securities | The following table summarizes the estimated fair value of our cash equivalents and marketable securities: December 31, 2018 (in thousands) Amortized Gross Gross Estimated Cash equivalents: Money market funds $ 3,755 $ — $ — $ 3,755 Reverse repurchase agreements 3,000 — — 3,000 Total cash equivalents $ 6,755 $ — $ — $ 6,755 Marketable securities: Commercial paper $ 8,961 $ — $ — $ 8,961 Corporate securities 14,420 — (14 ) 14,406 Total marketable securities $ 23,381 $ — $ (14 ) $ 23,367 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value of Cash Equivalents and Marketable Securities | The following table summarizes the estimated fair value of our cash equivalents and marketable securities: As of December 31, 2018 (in thousands) (Level 1) (Level 2) (Level 3) Total Financial assets: Money market funds $ 3,755 $ — $ — $ 3,755 Reverse repurchase agreements — 3,000 — 3,000 Commercial paper — 8,961 — 8,961 Corporate securities — 14,406 — 14,406 Total financial assets $ 3,755 $ 26,367 $ — $ 30,122 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | ||
Schedule of Property and Equipment | Property and equipment, which includes software purchased or developed for internal use, is composed of the following: As of As of (in thousands) 2020 2019 Computer software $ 2,043 $ 1,788 Computer equipment 7,660 6,816 Furniture and fixtures 2,380 2,198 Leasehold improvements 7,935 7,834 20,018 18,636 Less: accumulated depreciation and amortization (12,776 ) (10,395 ) Property and equipment, net $ 7,242 $ 8,241 | Property and equipment, which includes software purchased or developed for internal use, is composed of the following: As of December 31, (in thousands) 2019 2018 Computer software $ 1,788 $ 1,193 Computer equipment 6,816 5,309 Furniture and fixtures 2,198 1,549 Leasehold improvements 7,834 5,235 18,636 13,286 Less: accumulated depreciation and amortization (10,395 ) (8,055 ) Property and equipment, net $ 8,241 $ 5,231 |
Commitments, Contingencies, a_2
Commitments, Contingencies, and Leases (Tables) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Commitments Contingencies And Leases [Abstract] | ||
Schedule of Unconditional Purchase Obligations | We had unconditional purchase obligations as of December 31, 2019, as follows: (in thousands) 2020 $ 2,603 2021 6,587 2022 4,333 2023 and thereafter — Total $ 13,523 | |
Supplemental Lease Information | Supplemental lease information Cash flow information (in thousands) Nine months ended Nine months September 30, Cash paid for operating lease liabilities $ 2,684 $ 2,345 Right-of-use $ — $ 2,834 Operating lease information Nine months Nine months Weighted-average remaining lease-term 6.17 7.1 Weighted-average discount rate 5.46 % 5.52 % | Supplemental lease information Cash flow information (in thousands) Year ended Cash paid for operating lease liabilities $ 3,224 Right-of-use $ 2,714 Operating lease information Year ended Weighted-average remaining lease-term 6.8 years Weighted-average discount rate 5.50% |
Schedule of Future Maturities of Operating Lease Liabilities | The future maturities of operating lease liabilities are as follows: (in thousands) September 30, 2020 2020 (October 1st through December 31st) $ 959 2021 3,903 2022 3,037 2023 2,459 2024 2,227 Thereafter 6,934 Total minimum lease payments $ 19,519 Less imputed interest (3,069 ) Total lease liabilities $ 16,450 | The future maturities of operating lease liabilities are as follows: (in thousands) December 31, 2020 $ 3,643 2021 3,903 2022 3,037 2023 2,459 2024 2,227 Thereafter 6,934 Total minimum lease payments $ 22,203 Less imputed interest (3,780 ) Total lease liabilities $ 18,423 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Other Liabilities Disclosure [Abstract] | ||
Components of Other Current Liabilities | The following table summarizes the components of other current liabilities: As of Year Ended (in thousands) 2020 2019 Sales tax payable $ 644 $ 551 Payroll and payroll related expenses 13,324 6,126 Other 3,548 3,027 Other current liabilities $ 17,516 $ 9,704 | The following table summarizes the components of other current liabilities: Year ended (in thousands) 2019 2018 Sales tax payable $ 551 $ 1,195 Payroll and payroll related expenses 6,126 4,831 Other 3,027 1,908 Other current liabilities $ 9,704 $ 7,934 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Debt Maturities | The maturities of debt are as follows: (in thousands) December 31, 2020 $ 2,394 2021 20,431 2022 18,125 2023 — 2024 and thereafter — Total debt $ 40,950 Less: Current portion $ (2,363 ) Discount on long-term debt $ (85 ) Noncurrent portion of debt 38,502 |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) (Tables) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Equity [Abstract] | ||
Summary of Stock Options Valuation Assumptions | The following table summarizes the weighted-average grant date value of options and the assumptions used to develop their fair value. Year ended December 31, 2019 2018 Weighted-average grant date fair value of options $ 1.20 $ 0.42 Risk-free interest rate 1.51%—2.53 % 2.43%—3.09 % Expected volatility 46.70%—47.87 % 47.22%—49.13 % Expected life in years 5.52—6.08 years 5.00—6.08 years Dividend yield — — | |
Summary of Changes in Stock Options Activity | A summary of the changes in common stock options issued under all of the existing stock option plans is as follows: (in thousands, except per share amounts) Shares Weighted average of exercise prices Weighted average of remaining term (years) Aggregate intrinsic value Options outstanding at December 31, 2017 6,444 $ 0.66 8.36 $ 8,019 Granted 4,655 2.76 — — Exercised (1,386 ) 0.45 — — Forfeited (707 ) 1.29 — — Options outstanding at December 31, 2018 9,006 $ 1.71 8.60 $ 13,327 Granted 2,266 3.45 — — Exercised (1,099 ) 1.17 — — Forfeited (846 ) 1.98 — — Options outstanding at December 31, 2019 9,327 $ 2.22 8.17 $ 65,294 Vested and expected to vest at December 31, 2019(1) 8,588 $ 2.10 8.04 $ 61,144 Vested at December 31, 2019 3,699 $ 1.35 7.08 $ 29,092 (1) The expected-to-vest pre-vesting | |
Summary of Stock-Based Compensation Expense | Stock-based compensation expense was included in the following line items in the accompanying condensed consolidated statements of operations during the periods presented (in thousands): Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Cost of revenue $ 179 $ 62 $ 334 $ 121 Sales and marketing 871 241 1,511 572 Research and development 582 186 1,216 415 General and administrative 1,236 326 1,977 1,123 Total stock-based compensation expense $ 2,868 $ 815 $ 5,038 $ 2,231 | Total stock-based compensation expense recognized was as follows: Year ended (in thousands) 2019 2018 Cost of revenue $ 191 $ 82 Sales and marketing 838 388 Research and development 666 432 General and administrative 1,461 1,169 Total stock-based compensation expense $ 3,156 $ 2,071 |
Schedule of Preferred Stock | As of December 31, 2019, the holders of preferred stock (“Series A Stock,” “Series B Stock,” “Series C Stock,” “Series D Stock,” “Series D-1 E-1 (in thousands) Shares authorized Shares Shares Liquidation Series A Stock 15,000 15,000 $ 5,000 $ 15,000 Series B Stock 10,611 10,611 3,537 20,116 Series C Stock 16,393 16,393 5,604 40,000 Series D Stock 14,451 14,451 5,082 50,000 Series D-1 1,445 1,445 508 5,000 Series E Stock 20,307 20,307 6,769 39,000 Series E-1 195 195 65 400 Series F Stock 23,628 23,628 7,877 68,662 Total Preferred Stock 102,030 102,030 $ 34,442 $ 238,178 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Pretax Earnings from Continuing Operations | Pretax earnings from continuing operations consist of the following: Year ended (in thousands) 2019 2018 United States $ (38,720 ) $ (38,471 ) Non-U.S. (3,842 ) (397 ) Total pre-tax $ (42,562 ) $ (38,868 ) |
Schedule Components of Provision for Income Taxes | Our components of the provision for income taxes are as follows: Year ended (in thousands) 2019 2018 Income tax provision (benefit) Current: Federal $ $ State 25 10 Foreign 3 — Total current $ 28 $ 10 Deferred: Federal — — State — — Foreign — — Total deferred — — Total provision (benefit) $ 28 $ 10 |
ScheduleOf Effective Income Tax Rate Reconciliation | Income tax expense for the period is a result of the Texas “Gross Margin” tax in the case of the state tax expense and taxable profits in Ireland and Singapore in the case of the foreign tax expense. Year ended December 31, (in thousands) 2019 2018 U.S. federal taxes at statutory rate 21.00 % 21.00 % State taxes, net of federal benefit 3.25 3.45 Foreign tax rate differentials 0.33 (0.15 ) Research and development credit 3.24 (0.46 ) Stock-based compensation 0.38 (0.83 ) Permanent differences, other (3.77 ) (1.83 ) Change in valuation allowance (24.50 ) (22.30 ) Other — 1.09 Effective tax rate -0.07 % -0.03 % |
Significant Components of Deferred Taxes | Significant components of deferred taxes are as follows: December 31, (in thousands) 2019 2018 Deferred tax assets: Net operating loss and credit carryforwards $ 36,373 $ 37,274 Deferred lease obligation 3,854 45 Deferred revenue 871 632 Depreciation and amortization 9,144 9,820 Share-based compensation 682 376 Other 702 1,129 Gross deferred tax assets $ 51,626 $ 49,276 Valuation allowance (46,784 ) (47,835 ) Deferred tax liabilities: Capitalized software costs (478 ) (351 ) Deferred commission (752 ) (645 ) Deferred lease right-of-use (2,887 ) — Prepaid expenses and other (725 ) (445 ) Gross deferred tax liabilities (4,842 ) (1,441 ) Net deferred tax assets $ — $ — |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Earnings Per Share [Abstract] | ||
Schedule of Antidilutive Securities Outstanding Excluded from Computation of Diluted Weighted-Average Shares Outstanding | The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted-average shares outstanding because such securities have an antidilutive impact due to losses reported: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Preferred stock as-converted — 34,442 — 34,442 Stock options outstanding 9,391 9,422 9,391 9,422 Restricted stock units 1,363 — 1,363 — Warrants to purchase common stock — 364 — 364 Convertible debt — 2,180 — 2,180 Total potentially dilutive securities 10,754 46,408 10,754 46,408 | The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted-average shares outstanding because such securities have an antidilutive impact due to losses reported: Year ended (in thousands) 2019 2018 Preferred stock as-converted 34,442 34,442 Stock options outstanding 9,327 9,006 Warrants to purchase common stock 364 352 Convertible debt 2,180 2,180 Total potentially dilutive securities 46,313 45,980 |
Overview - Additional Informati
Overview - Additional Information (Detail) | Aug. 04, 2020USD ($)$ / sharesshares | Jul. 24, 2020$ / sharesshares | Sep. 30, 2020USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2018$ / shares |
Overview [Line Items] | |||||
Entity incorporation date | Feb. 28, 2013 | ||||
Common stock, par value | $ / shares | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||
Net proceeds after deducting underwriting discounts and commissions | $ | $ 171,128,000 | ||||
Initial Public Offering | |||||
Overview [Line Items] | |||||
Reverse stock split | One-for-three | ||||
Reverse stock split, conversion ratio | 0.3333 | ||||
Preferred stock authorized shares | 109,030,573 | ||||
Common stock, par value | $ / shares | $ 0.0001 | ||||
Proceeds from issuance of stock | $ | $ 0 | ||||
Series 1 Common Stock | |||||
Overview [Line Items] | |||||
Common stock authorized shares | 500,000,000 | ||||
Stock sold at underwriters option | 62,757,000 | ||||
Net proceeds after deducting underwriting discounts and commissions | $ | $ 171,100,000 | ||||
Series 1 Common Stock | Initial Public Offering | |||||
Overview [Line Items] | |||||
Common stock authorized shares | 205,000,000 | ||||
Issuance of common stock upon initial public offering, net of underwriting discounts and commissions and other offering costs, shares | 7,877,500 | ||||
Stock sold at underwriters option | 1,027,500 | ||||
Stock issued price per share | $ / shares | $ 24 | $ 24 | |||
Series 1 Common Stock | Underwriters Option to Purchase Additional Shares | |||||
Overview [Line Items] | |||||
Stock sold at underwriters option | 325,435 | ||||
Stock issued price per share | $ / shares | $ 24 | ||||
Additional shares sold by existing shareholders | 2,495,000 | ||||
Series 2 Common Stock | |||||
Overview [Line Items] | |||||
Common stock authorized shares | 5,051,000 | ||||
Stock sold at underwriters option | 5,051,000 | ||||
Series 2 Common Stock | Initial Public Offering | |||||
Overview [Line Items] | |||||
Common stock authorized shares | 45,000,000 | ||||
Convertible Term Loan | |||||
Overview [Line Items] | |||||
Debt principal amount | $ | $ 35,000,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) $ / shares in Units, $ in Thousands | Jul. 24, 2020$ / sharesshares | Jan. 01, 2020USD ($) | Sep. 30, 2020USD ($)Customer$ / sharesshares | Sep. 30, 2019USD ($)Customer | Dec. 31, 2019USD ($)Customer$ / shares | Dec. 31, 2018USD ($)Customer$ / shares | Jan. 01, 2019USD ($) |
Summary Of Significant Accounting Policies [Line Items] | |||||||
Common stock, par value | $ / shares | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||||
Accounts receivable including unbilled receivables | $ 5,700 | $ 4,000 | $ 2,600 | ||||
Concentration risk, number of customer | Customer | 1 | 1 | 1 | 1 | |||
Sales commissions | $ 2,500 | $ 2,000 | |||||
Deferred commission amortization expense | 1,600 | 1,200 | |||||
Advertising expenses | $ 9,000 | $ 9,000 | 11,800 | $ 8,900 | |||
Right-of-Use assets | 12,345 | 14,065 | |||||
Lease liabilities | $ 16,450 | $ 18,423 | |||||
Customer Concentration Risk | Revenue | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Concentration risk, percentage | 15.00% | 13.00% | 12.00% | 12.00% | |||
Customer Concentration Risk | Accounts Receivable | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Concentration risk, percentage | 20.00% | 20.00% | 22.00% | ||||
ASU 2016-02 | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Right-of-Use assets | $ 8,800 | ||||||
Lease liabilities | $ 11,000 | ||||||
ASU 2016-13 | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Increase in the allowance for credit losses | $ 400 | ||||||
ASU 2018-07 | |||||||
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 2018-15 | |||||||
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 | |||||||
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, 2019 | Jan. 1, 2019 | |||||
Change in Accounting Principle, Accounting Standards Update, Immaterial Effect [true false] | true | true | |||||
Initial Public Offering | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Reverse stock split | One-for-three | ||||||
Reverse stock split, conversion ratio | 0.3333 | ||||||
Preferred stock authorized shares | shares | 109,030,573 | ||||||
Common stock, par value | $ / shares | $ 0.0001 | ||||||
Initial Public Offering | Subsequent Event [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Reverse stock split | One-for-three | ||||||
Reverse stock split, conversion ratio | 0.3333 | ||||||
Preferred stock authorized shares | shares | 109,030,573 | ||||||
Common stock, par value | $ / shares | $ 0.0001 | ||||||
Series 1 Common Stock | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Common stock authorized shares | shares | 500,000,000 | ||||||
Series 1 Common Stock | Initial Public Offering | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Common stock authorized shares | shares | 205,000,000 | ||||||
Series 1 Common Stock | Initial Public Offering | Subsequent Event [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Common stock authorized shares | shares | 205,000,000 | ||||||
Series 2 Common Stock | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Common stock authorized shares | shares | 5,051,000 | ||||||
Series 2 Common Stock | Initial Public Offering | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Common stock authorized shares | shares | 45,000,000 | ||||||
Series 2 Common Stock | Initial Public Offering | Subsequent Event [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Common stock authorized shares | shares | 45,000,000 | ||||||
Minimum | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Account receivable payment terms | Due immediately | Due immediately | |||||
Maximum | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Account receivable payment terms | Due within 60 days | Due within 60 days |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Revenue by Geographic Region (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues From External Customers And Long Lived Assets [Line Items] | ||||||
Total revenue | $ 39,735 | $ 28,264 | $ 109,225 | $ 81,083 | $ 112,103 | $ 91,867 |
Americas - U.S. | ||||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||||
Total revenue | 31,483 | 22,842 | 87,099 | 66,022 | 91,057 | 75,025 |
Americas - other | ||||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||||
Total revenue | 1,422 | 949 | 3,827 | 2,722 | 3,761 | 3,000 |
EMEA | ||||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||||
Total revenue | 3,180 | 1,899 | 8,493 | 5,260 | 7,370 | 6,123 |
APAC | ||||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||||
Total revenue | $ 3,650 | $ 2,574 | $ 9,806 | $ 7,079 | $ 9,915 | $ 7,719 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Long-lived Assets by Geographic Region (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Revenues From External Customers And Long Lived Assets [Line Items] | |||
Total long-lived assets | $ 7,242 | $ 8,241 | $ 5,231 |
Americas - U.S. | |||
Revenues From External Customers And Long Lived Assets [Line Items] | |||
Total long-lived assets | 6,703 | 7,699 | 4,864 |
APAC | |||
Revenues From External Customers And Long Lived Assets [Line Items] | |||
Total long-lived assets | $ 539 | $ 542 | $ 367 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Allowance for Credit Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||
Beginning Balance | $ 1,656 | $ 1,884 | $ 1,167 | $ 1,167 | $ 597 | $ 597 | $ 376 |
Allowance for credit losses | 254 | 355 | 589 | 1,198 | $ 741 | 988 | 341 |
Accounts written off | (49) | (583) | (236) | (418) | (120) | ||
Ending Balance | $ 1,861 | $ 1,656 | 1,884 | 1,861 | 1,167 | $ 597 | |
Cumulative Effect, Period of Adoption, Adjustment | ASU 2016-13 | |||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||
Beginning Balance | $ 364 | $ 364 | |||||
Ending Balance | $ 364 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Schedule of Estimated Useful Lives of Property and Equipment (Detail) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Computer Equipment | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful lives of property and equipment | 3 years | 3 years |
Computer Software | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful lives of property and equipment | 3 years | 3 years |
Furniture and Fixtures | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful lives of property and equipment | 5 years | 5 years |
Leasehold Improvements | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful lives of property and equipment | 1 year | 1 year |
Leasehold Improvements | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful lives of property and equipment | 10 years | 10 years |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Schedule of Disaggregate Revenue by Major Source (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | $ 39,735 | $ 28,264 | $ 109,225 | $ 81,083 | $ 112,103 | $ 91,867 |
Subscription solutions | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | 82,689 | 70,484 | ||||
Partner and Services | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | $ 13,190 | $ 7,243 | $ 35,184 | $ 20,677 | $ 29,414 | $ 21,383 |
Revenue Recognition and Defer_3
Revenue Recognition and Deferred Costs - Additional Information (Detail) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | ||
Disaggregation Of Revenue [Line Items] | ||
Remaining performance obligations | $ 47.8 | |
Percentage of revenue recognized | 60.00% | |
Remaining performance obligations, satisfaction period | 12 months | |
Revenue, expected recognition period, explanation | We expect to recognize approximately 60% of the remaining performance obligations as revenue in the next 12 months, and the remaining balance in the periods thereafter. | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-10-01 | ||
Disaggregation Of Revenue [Line Items] | ||
Remaining performance obligations | $ 76 | |
Percentage of revenue recognized | 53.00% | |
Remaining performance obligations, satisfaction period | 12 months | |
Revenue, expected recognition period, explanation | We expect to recognize approximately 53% of the remaining performance obligations as revenue in the following 12-month periods, and the remaining balance in the periods thereafter. |
Cash equivalents and marketab_3
Cash equivalents and marketable securities - Schedule of cash equivalents and marketable securities (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Cash Equivalents [Member] | |
Cash, Cash Equivalents and Investments [Line Items] | |
Amortized cost | $ 6,755 |
Gross unrealized gains | 0 |
Estimated fair value | 6,755 |
Marketable Equity Securities [Member] | |
Cash, Cash Equivalents and Investments [Line Items] | |
Amortized cost | 23,381 |
Gross unrealized gains | 0 |
Gross unrealized losses | (14) |
Estimated fair value | 23,367 |
Money Market Funds [Member] | Cash Equivalents [Member] | |
Cash, Cash Equivalents and Investments [Line Items] | |
Amortized cost | 3,755 |
Gross unrealized gains | 0 |
Estimated fair value | 3,755 |
Reverse repurchase agreements [Member] | Cash Equivalents [Member] | |
Cash, Cash Equivalents and Investments [Line Items] | |
Amortized cost | 3,000 |
Gross unrealized gains | 0 |
Estimated fair value | 3,000 |
Commercial Paper [Member] | Marketable Equity Securities [Member] | |
Cash, Cash Equivalents and Investments [Line Items] | |
Amortized cost | 8,961 |
Gross unrealized gains | 0 |
Estimated fair value | 8,961 |
Corporate Debt Securities [Member] | Marketable Equity Securities [Member] | |
Cash, Cash Equivalents and Investments [Line Items] | |
Amortized cost | 14,420 |
Gross unrealized gains | 0 |
Gross unrealized losses | (14) |
Estimated fair value | $ 14,406 |
Cash equivalents and marketab_4
Cash equivalents and marketable securities - Additional Information (Detail) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Cash and Cash Equivalents [Abstract] | ||
Cash equivalents | $ 0 | $ 0 |
Marketable securities | $ 0 | $ 0 |
Fair Value - Schedule of fair v
Fair Value - Schedule of fair value of cash equivalents and marketable securities (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Financial assets: | |
Total financial assets | $ 30,122 |
Money Market Funds [Member] | |
Financial assets: | |
Total financial assets | 3,755 |
Reverse repurchase agreements [Member] | |
Financial assets: | |
Total financial assets | 3,000 |
Commercial Paper [Member] | |
Financial assets: | |
Total financial assets | 8,961 |
Corporate Debt Securities [Member] | |
Financial assets: | |
Total financial assets | 14,406 |
Fair Value, Inputs, Level 1 [Member] | |
Financial assets: | |
Total financial assets | 3,755 |
Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member] | |
Financial assets: | |
Total financial assets | 3,755 |
Fair Value, Inputs, Level 2 [Member] | |
Financial assets: | |
Total financial assets | 26,367 |
Fair Value, Inputs, Level 2 [Member] | Reverse repurchase agreements [Member] | |
Financial assets: | |
Total financial assets | 3,000 |
Fair Value, Inputs, Level 2 [Member] | Commercial Paper [Member] | |
Financial assets: | |
Total financial assets | 8,961 |
Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member] | |
Financial assets: | |
Total financial assets | $ 14,406 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Property Plant And Equipment [Line Items] | |||
Property and equipment, gross | $ 20,018 | $ 18,636 | $ 13,286 |
Less: accumulated depreciation and amortization | (12,776) | (10,395) | (8,055) |
Property and equipment, net | 7,242 | 8,241 | 5,231 |
Computer Software | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment, gross | 2,043 | 1,788 | 1,193 |
Computer Equipment | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment, gross | 7,660 | 6,816 | 5,309 |
Furniture and Fixtures | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment, gross | 2,380 | 2,198 | 1,549 |
Leasehold Improvements | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment, gross | $ 7,935 | $ 7,834 | $ 5,235 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | ||||||
Depreciation expense on property and equipment | $ 0.7 | $ 0.6 | $ 2.4 | $ 1.8 | $ 2.6 | $ 1.8 |
Commitment, Contingencies, and
Commitment, Contingencies, and Leases - Schedule of Unconditional Purchase Obligations (Detail) $ in Thousands | Dec. 31, 2019USD ($) |
Commitments Contingencies And Leases [Abstract] | |
2020 | $ 2,603 |
2021 | 6,587 |
2022 | 4,333 |
Total | $ 13,523 |
Commitment, Contingencies, an_2
Commitment, Contingencies, and Leases - Additional Information (Detail) - USD ($) | Jan. 01, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Commitments Contingencies And Leases [Abstract] | |||||||
Liability related to indemnification obligations | $ 0 | $ 0 | $ 0 | $ 0 | |||
Operating lease, expiration year | 2028 | 2028 | |||||
Operating and short-term rent expense | $ 300,000 | $ 900,000 | $ 1,000,000 | $ 2,700,000 | $ 2,700,000 | $ 3,200,000 | $ 2,500,000 |
Commitment, Contingencies, an_3
Commitment, Contingencies, and Leases - Schedule of Cash Flow Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Commitments Contingencies And Leases [Abstract] | |||
Cash paid for operating lease liabilities | $ 2,684 | $ 2,345 | $ 3,224 |
Right-of-use assets obtained in exchange for operating lease obligations | $ 2,834 | $ 2,714 |
Commitment, Contingencies, an_4
Commitment, Contingencies, and Leases - Schedule of Operating Lease Information (Detail) | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Commitments Contingencies And Leases [Abstract] | |||
Weighted-average remaining lease-term | 6 years 2 months 1 day | 6 years 9 months 18 days | 7 years 1 month 6 days |
Weighted-average discount rate | 5.46% | 5.50% | 5.52% |
Commitment, Contingencies, an_5
Commitment, Contingencies, and Leases - Schedule of Future Maturities of Operating Lease Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Commitments Contingencies And Leases [Abstract] | ||
2020 (October 1st through December 31st) | $ 959 | |
Lessee, Operating Lease, Liability, to be Paid, Year One | 3,903 | $ 3,643 |
Lessee, Operating Lease, Liability, to be Paid, Year Two | 3,037 | 3,903 |
Lessee, Operating Lease, Liability, to be Paid, Year Three | 2,459 | 3,037 |
Lessee, Operating Lease, Liability, to be Paid, Year Four | 2,227 | 2,459 |
Lessee, Operating Lease, Liability, to be Paid, Year Five | 2,227 | |
Thereafter | 6,934 | |
Thereafter | 6,934 | |
Total minimum lease payments | 19,519 | 22,203 |
Less imputed interest | (3,069) | (3,780) |
Total lease liabilities | $ 16,450 | $ 18,423 |
Other Liabilities - Components
Other Liabilities - Components of Other Current Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Other Liabilities Disclosure [Abstract] | |||
Sales tax payable | $ 644 | $ 551 | $ 1,195 |
Payroll and payroll related expenses | 13,324 | 6,126 | 4,831 |
Other | 3,548 | 3,027 | 1,908 |
Other current liabilities | $ 17,516 | $ 9,704 | $ 7,934 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | Feb. 28, 2020 | Oct. 27, 2017 | Feb. 28, 2020 | Sep. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2019 | Jun. 04, 2019 |
Interest expense related to debt discount amortization | $ 100,000 | $ 100,000 | ||||||||
Net unamortized fees | $ 100,000 | $ 100,000 | ||||||||
Warrants to purchase | 255,000 | |||||||||
Weighted-average exercise price | $ 4.20 | |||||||||
Warrants to purchase description | Warrants to purchase 17 thousand shares of common stock expire on July 12, 2023, with the remainder expiring on September 30, 2024. | |||||||||
Fair value of the warrants | $ 500,000 | |||||||||
Unpaid principal amount conversion to shares | $ 50,173,000 | |||||||||
Gain on fair value of put option | $ 4,400,000 | $ 4,413,000 | ||||||||
Revolving Line | A&R Credit Facility | ||||||||||
Credit facility, covenant to maintain revenue growth rate of each quarter compared to same quarter in prior year | 118.00% | |||||||||
Credit facility, covenant terms | We are required to maintain a revenue growth rate of 118% each quarter compared to the same quarter in the prior year. The other covenant requires us to maintain a minimum liquidity ratio of 1.51. The liquidity ratio is calculated as unrestricted and unencumbered cash plus sixty percent of net accounts receivable to balance outstanding under the Revolving Line. | |||||||||
Credit facility, covenant compliance | We were in compliance with all covenants as of September 30, 2020. | |||||||||
Credit facility maximum borrowing capacity | $ 20,000,000 | $ 20,000,000 | $ 10,000,000 | $ 10,000,000 | ||||||
Credit facility, increase (decrease) in borrowing capacity | $ 5,000,000 | |||||||||
Credit facility, covenant to maintain minimum liquidity ratio | 150.00% | |||||||||
WestRiver | Mezzanine facility | ||||||||||
Debt instrument, maturity date | Mar. 1, 2023 | |||||||||
Credit facility, outstanding amount | 0 | $ 0 | ||||||||
Credit facility, maturity date | Nov. 6, 2020 | |||||||||
Credit facility, interest rate terms | Borrowings under the Mezzanine Facility bear interest at the greater of (i) 10.0% or (ii) the prime rate then in effect plus 5.25%. Interest is calculated on the outstanding principal on a 360-day year basis, payable monthly. | |||||||||
Warrants, exercise price per share | $ 9.21 | $ 9.21 | ||||||||
Warrants expiration date | Mar. 1, 2023 | Mar. 1, 2023 | ||||||||
Fair value of warrants issued | $ 300,000 | $ 300,000 | ||||||||
WestRiver | Prime Rate | Mezzanine facility | ||||||||||
Variable interest rate | 5.25% | |||||||||
Silicon Valley Bank | ||||||||||
Weighted average interest rate | 5.40% | 4.90% | ||||||||
Quarterly principal payments | $ 125,000 | |||||||||
Credit facility, outstanding amount | $ 19,100,000 | $ 19,600,000 | ||||||||
Initial public offering completion date | Aug. 5, 2020 | |||||||||
Credit facility, covenant to maintain revenue growth rate of each quarter compared to same quarter in prior year | 110.00% | |||||||||
Credit facility, covenant to maintain minimum cash balance | $ 10,000,000 | |||||||||
Credit facility, covenant terms | The Credit Facility includes two financial covenants. One requires us to maintain a revenue growth rate of 110% each quarter compared to the same quarter in the prior year. The other covenant requires us to maintain a minimum of $10 million in cash plus available amounts under the Credit Facility. | |||||||||
Credit facility, covenant compliance | We were in compliance with all covenants as of September 30, 2020. | |||||||||
Credit facility, weighted-average effective interest rate | 5.30% | 5.20% | ||||||||
Credit facility, maturity period | 36 months | |||||||||
Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 0.25% | |||||||||
Silicon Valley Bank | Revolving Line | ||||||||||
Debt principal amount | $ 20,000,000 | |||||||||
Debt instrument, maturity date | Oct. 27, 2022 | |||||||||
Weighted average interest rate | 5.30% | 5.20% | ||||||||
Credit facility, outstanding amount | $ 20,000,000 | $ 20,000,000 | $ 18,500,000 | $ 3,500,000 | ||||||
Credit facility, maturity date | Oct. 27, 2021 | |||||||||
Credit facility, weighted-average effective interest rate | 3.70% | 3.70% | 5.60% | |||||||
Credit facility maximum borrowing capacity | $ 20,000,000 | $ 25,000,000 | ||||||||
Line of credit facility increase the amended | $ 5,000,000 | |||||||||
Minimum | ||||||||||
Exercise price | $ 1.65 | |||||||||
Minimum | WestRiver | Mezzanine facility | ||||||||||
Credit facility maximum borrowing capacity | 10,000,000 | $ 10,000,000 | ||||||||
Maximum | ||||||||||
Exercise price | $ 5.55 | |||||||||
Maximum | WestRiver | Mezzanine facility | ||||||||||
Fair value of warrants issued | 99,000 | 99,000 | ||||||||
2018 Term Loan | Silicon Valley Bank | ||||||||||
Credit facility, outstanding amount | $ 1,900,000 | $ 1,900,000 | $ 3,300,000 | $ 1,400,000 | ||||||
Credit facility, maturity date | Oct. 1, 2021 | |||||||||
Credit facility, weighted-average effective interest rate | 4.30% | 4.30% | 5.80% | |||||||
Credit facility, maturity period | 36 months | |||||||||
Credit facility maximum borrowing capacity | $ 5,000,000 | |||||||||
Convertible Term Loan | ||||||||||
Debt principal amount | 35,000,000 | |||||||||
Convertible Term Loan | Silicon Valley Bank | ||||||||||
Weighted average interest rate | 5.80% | 5.80% | 5.60% | |||||||
Quarterly principal payments | $ 125,000 | |||||||||
2020 Convertible Loan | ||||||||||
Derivative liability | $ 4,400,000 | $ 4,400,000 | ||||||||
Interest expense | $ 100,000 | $ 400,000 | ||||||||
2020 Convertible Loan | Silicon Valley Bank | ||||||||||
Debt principal amount | $ 35,000,000 | $ 35,000,000 | ||||||||
Previously Reported | ||||||||||
Net unamortized fees | $ 900,000 | |||||||||
Series F Preferred Stock | ||||||||||
Convertible notes conversion price per share | $ 3.059 | |||||||||
Series 1 Common Stock | ||||||||||
Initial public offering completion date | Aug. 5, 2020 | |||||||||
Repayment of paid principal amount | $ 1,100,000 | |||||||||
Unpaid principal amount conversion to shares | $ 18,900,000 | |||||||||
Conversion of debt to shares | shares | 2,179,360 | |||||||||
Series 1 Common Stock | ||||||||||
Initial public offering completion date | Aug. 5, 2020 | |||||||||
Unpaid principal amount conversion to shares | $ 35,000,000 | |||||||||
Conversion of debt to shares | shares | 3,070,174 | |||||||||
After January 1, 2020 | Convertible Term Loan | Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 2.00% | |||||||||
After January 1, 2021 | Convertible Term Loan | Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 4.00% | |||||||||
Prior to January 1, 2022 | Convertible Term Loan | Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 6.00% | |||||||||
Prior to January 1, 2022 | 2020 Convertible Loan | Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 4.50% | |||||||||
From January 1, 2022 and Prior to January 1, 2023 | 2020 Convertible Loan | Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 6.50% | |||||||||
From January 1, 2023 and Prior to January 1, 2024 | 2020 Convertible Loan | Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 8.50% | |||||||||
From and After January 1, 2024 | 2020 Convertible Loan | Silicon Valley Bank | Prime Rate | ||||||||||
Variable interest rate | 10.50% | |||||||||
Converted Within 18 Months | ||||||||||
Conversion of required minimum return | 1.25 | |||||||||
Converted Between 18 Months and 24 Months | ||||||||||
Conversion of required minimum return | 1.32 | |||||||||
Converted Between 24 Months and Maturity | ||||||||||
Conversion of required minimum return | 1.55 |
Debt - Schedule of Debt Maturit
Debt - Schedule of Debt Maturities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Disclosure [Abstract] | |||
2020 | $ 2,394 | ||
2021 | 20,431 | ||
2022 | 18,125 | ||
2023 | 0 | ||
2024 and thereafter | 0 | ||
Total debt | 40,950 | ||
Less: Current portion | $ (11,895) | (2,363) | $ (946) |
Discount on long-term debt | (85) | ||
Noncurrent portion of debt | $ 10,000 | $ 38,502 | $ 23,415 |
Stockholders' Equity (Deficit_2
Stockholders' Equity (Deficit) - Additional Information (Detail) - USD ($) | Aug. 05, 2020 | Jul. 24, 2020 | Feb. 28, 2013 | May 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Aug. 04, 2020 | Feb. 28, 2020 | Dec. 31, 2017 |
Class Of Stock [Line Items] | ||||||||||
Outstanding option | 9,327,000 | 9,006,000 | 6,444,000 | |||||||
Fair value assumptions, expected dividend yield | 0.00% | 0.00% | ||||||||
Total intrinsic value of options exercised during the period | $ 5,600,000 | $ 2,600,000 | ||||||||
Weighted-average grant date fair value of options granted | 8,100,000 | 6,300,000 | ||||||||
Unamortized stock-based compensation cost related to unvested stock options | $ 10,900,000 | $ 9,400,000 | $ 6,200,000 | |||||||
Weighted-average period for recognition of unamortized stock-based compensation cost | 2 years 9 months 18 days | 3 years | ||||||||
Stock options granted | 1,352,000 | 2,266,000 | 4,655,000 | |||||||
Weighted average exercise price of stock options granted | $ 14.44 | $ 3.45 | $ 2.76 | |||||||
Fair value assumptions, expected term | 6 years | |||||||||
Fair value assumptions, expected volatility rate | 50.00% | |||||||||
Fair value assumptions, risk-free interest rate | 0.71% | |||||||||
Preferred stock issued | 0 | |||||||||
Preferred stock outstanding | 0 | |||||||||
Minimum | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Fair value assumptions, expected dividend yield | ||||||||||
Fair value assumptions, expected term | 5 years 6 months 7 days | 5 years | ||||||||
Fair value assumptions, expected volatility rate | 46.70% | 47.22% | ||||||||
Fair value assumptions, risk-free interest rate | 1.51% | 2.43% | ||||||||
Maximum | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Fair value assumptions, expected dividend yield | ||||||||||
Percentage of voting stock of stockholders | 50.00% | |||||||||
Fair value assumptions, expected term | 6 years 29 days | 6 years 29 days | ||||||||
Fair value assumptions, expected volatility rate | 47.87% | 49.13% | ||||||||
Fair value assumptions, risk-free interest rate | 2.53% | 3.09% | ||||||||
Initial Public Offering | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Reverse stock split | One-for-three | |||||||||
Subsequent Event [Member] | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Stock issued price per share | $ 3.80 | |||||||||
Subsequent Event [Member] | Initial Public Offering | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Reverse stock split | One-for-three | |||||||||
2013 Stock Option Plan | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Exercise price for incentive stock options as percentage of fair market value on grant date | 100.00% | |||||||||
Stock option expiration period | 10 years | |||||||||
Stock option vesting percentage | 25.00% | |||||||||
Shares reserved for issuance | 9,596 | |||||||||
Outstanding option | 9,327 | |||||||||
2013 Stock Option Plan | More Than Ten Percent Voting Power [Member] | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Exercise price for incentive stock options as percentage of fair market value on grant date | 110.00% | |||||||||
Stock option expiration period | 5 years | |||||||||
2013 Stock Option Plan | Share-based Payment Arrangement, Tranche One [Member] | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Vesting period | 1 year | |||||||||
2013 Stock Option Plan | Share-based Payment Arrangement, Tranche Two [Member] | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Vesting period | 36 months | |||||||||
Series F Preferred Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 10.00% | 10.00% | ||||||||
Dividend per share | $ 2.7086 | |||||||||
Dividend term | In the event that the holders of Series F Stock receive proceeds per share of Series F Stock in cash or freely tradeable securities as a result of any deemed liquidation event or any conversion to common stock at the option of the holder or a mandatory conversion event of at least: (a) $6.7715 per share of Series F Stock, then the Series F Dividend shall be reduced from 10% to 9% per annum effective as of the date of issuance | |||||||||
Accrued dividends | $ 11,900,000 | |||||||||
Accrued dividends per share | $ 0.50 | |||||||||
Initial conversion price | $ 2.7086 | |||||||||
Adjusted dividend rate | 8.00% | |||||||||
Cumulative dividends | $ 12,800,000 | |||||||||
Series F Preferred Stock | $6.7715 Per Share of Series F Stock | Minimum | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 9.00% | |||||||||
Dividend per share | $ 6.7715 | |||||||||
Series F Preferred Stock | $8.1258 Per Share of Series F Stock | Minimum | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 8.00% | |||||||||
Dividend per share | $ 8.1258 | |||||||||
Series F Preferred Stock | Initial Public Offering | Minimum | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Implied value per share | $ 4.0629 | |||||||||
Series A Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 50.00% | |||||||||
Dividend per share | $ 1 | |||||||||
Preferred stock dividend | $ 0 | |||||||||
Initial conversion price | $ 1 | |||||||||
Series B Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 50.00% | |||||||||
Dividend per share | $ 1.8896 | |||||||||
Preferred stock dividend | $ 0 | |||||||||
Initial conversion price | $ 1.8896 | |||||||||
Series C Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 50.00% | |||||||||
Dividend per share | $ 2.4400 | |||||||||
Preferred stock dividend | $ 0 | |||||||||
Initial conversion price | $ 2.3793 | |||||||||
Preferred stock conversion basis | Common stock on a greater than one-to-one basis | |||||||||
Series D Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 50.00% | |||||||||
Dividend per share | $ 3.4600 | |||||||||
Preferred stock dividend | $ 0 | |||||||||
Initial conversion price | $ 3.2794 | |||||||||
Preferred stock conversion basis | Common stock on a greater than one-to-one basis | |||||||||
Series D-1 Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 50.00% | |||||||||
Dividend per share | $ 3.4600 | |||||||||
Preferred stock dividend | $ 0 | |||||||||
Initial conversion price | $ 3.2794 | |||||||||
Preferred stock conversion basis | Common stock on a greater than one-to-one basis | |||||||||
Series E Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 50.00% | |||||||||
Dividend per share | $ 1.9242 | |||||||||
Preferred stock dividend | $ 0 | |||||||||
Initial conversion price | $ 1.9242 | |||||||||
Series E-1 Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Dividend rate | 50.00% | |||||||||
Dividend per share | $ 1.9242 | |||||||||
Preferred stock dividend | $ 0 | |||||||||
Initial conversion price | $ 1.9242 | |||||||||
Preferred Stock (other than Series D-1 Stock and Series E-1 Stock) | Minimum | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Net proceeds (after underwriting discount and commissions | $ 50,000,000 | |||||||||
Series 1 Common Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Conversion of stock, converted into aggregate shares | 29,390,733 | |||||||||
Series 1 Common Stock | Initial Public Offering | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Stock issued price per share | $ 24 | $ 24 | ||||||||
Series 2 Common Stock | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Conversion of stock, converted into aggregate shares | 5,050,555 | |||||||||
Restricted Stock Units (RSUs) | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Unamortized stock-based compensation costs | $ 13,600,000 | |||||||||
Unamortized stock-based compensation costs, weighted-average period | 3 years 8 months 12 days | |||||||||
Restricted Stock Units (RSUs) | 2013 Stock Option Plan | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Vesting period | 4 years | |||||||||
Awards granted to officers and employees | 1,216,000 | |||||||||
Awards granted to officers and employees, fair value per share | $ 15.51 | |||||||||
Service condition for awards satisfied period | 4 years | |||||||||
Restricted Stock Units (RSUs) | 2020 Equity Incentive Plan | ||||||||||
Class Of Stock [Line Items] | ||||||||||
Vesting period | 4 years | |||||||||
Awards granted to officers and employees | 147,000 | |||||||||
Awards granted to officers and employees, fair value per share | $ 87.79 |
Stockholders' equity (deficit_3
Stockholders' equity (deficit) - Summarizes the weighted-average grant date value of options (Detail) - $ / shares | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Weighted-average grant date fair value of options | $ 1.20 | $ 0.42 | |
Risk-free interest rate | 0.71% | ||
Expected volatility | 50.00% | ||
Expected life in years | 6 years | ||
Dividend yield | 0.00% | 0.00% | |
Minimum | |||
Risk-free interest rate | 1.51% | 2.43% | |
Expected volatility | 46.70% | 47.22% | |
Expected life in years | 5 years 6 months 7 days | 5 years | |
Dividend yield | |||
Maximum | |||
Risk-free interest rate | 2.53% | 3.09% | |
Expected volatility | 47.87% | 49.13% | |
Expected life in years | 6 years 29 days | 6 years 29 days | |
Dividend yield |
Stockholders' equity (deficit_4
Stockholders' equity (deficit) - Summary of changes in common stock options issued under existing stock option plans (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Equity [Abstract] | ||||
Option outstanding at beginning of period (in shares) | 9,327 | 9,006 | 6,444 | |
Option outstanding, granted (in shares) | 1,352 | 2,266 | 4,655 | |
Option outstanding, exercised (in shares) | (1,099) | (1,386) | ||
Option outstanding, forfeited (in shares) | (846) | (707) | ||
Options outstanding at ending of period (in shares) | 9,327 | 9,006 | 6,444 | |
Weighted average of exercise prices at beginning of period (in dollars per share) | $ 2.22 | $ 1.71 | $ 0.66 | |
Options outstanding, vested and expected to vest | 8,588 | |||
Weighted average of exercise prices, granted (in dollars per share) | $ 14.44 | $ 3.45 | 2.76 | |
Options outstanding, vested (in shares) | 3,699 | |||
Weighted average of exercise prices, exercised (in dollars per share) | $ 1.17 | 0.45 | ||
Weighted average of exercise prices, forfeited (in dollars per share) | 1.98 | 1.29 | ||
Weighted average of exercise prices at end of period (in dollars per share) | 2.22 | $ 1.71 | $ 0.66 | |
Weighted average of exercise prices, vested and expected to vest (in dollars per share) | 2.10 | |||
Weighted average of exercise prices, vested (in dollars per share) | $ 1.35 | |||
Weighted average of remaining term (years) | 8 years 2 months 1 day | 8 years 7 months 6 days | 8 years 4 months 9 days | |
Weighted average of remaining term, vested and expected to vest at December 31, 2019 (years) | 8 years 14 days | |||
Weighted average of remaining term, vested at December 31, 2019 (years) | 7 years 29 days | |||
Aggregate intrinsic value, options outstanding | $ 65,294 | $ 13,327 | $ 8,019 | |
Aggregate intrinsic value, vested and expected to vest at December 31, 2019 | 61,144 | |||
Aggregate intrinsic value, vested at December 31, 2019 | $ 29,092 |
Stockholders' Equity (Deficit_5
Stockholders' Equity (Deficit) - Summary of Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Total stock-based compensation expense | $ 2,868 | $ 815 | $ 5,038 | $ 2,231 | $ 3,156 | $ 2,071 |
Cost of Revenue | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Total stock-based compensation expense | 179 | 62 | 334 | 121 | 191 | 82 |
Sales and Marketing | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Total stock-based compensation expense | 871 | 241 | 1,511 | 572 | 838 | 388 |
Research and Development | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Total stock-based compensation expense | 582 | 186 | 1,216 | 415 | 666 | 432 |
General and Administrative | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Total stock-based compensation expense | $ 1,236 | $ 326 | $ 1,977 | $ 1,123 | $ 1,461 | $ 1,169 |
Stockholders' Equity (Deficit_6
Stockholders' Equity (Deficit) - Summary of Holders of Preferred Stock (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Series A Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 15,000,000 | ||||||||
Total Preferred Stock, Shares outstanding | 15,000,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 5,000 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 15,000 | ||||||||
Series B Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 10,611,000 | ||||||||
Total Preferred Stock, Shares outstanding | 10,611,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 3,537 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 20,116 | ||||||||
Series C Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 16,393,000 | ||||||||
Total Preferred Stock, Shares outstanding | 16,393,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 5,604 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 40,000 | ||||||||
Series D Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 14,451,000 | ||||||||
Total Preferred Stock, Shares outstanding | 14,451,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 5,082 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 50,000 | ||||||||
Series D-1 Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 1,445,000 | ||||||||
Total Preferred Stock, Shares outstanding | 1,445,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 508 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 5,000 | ||||||||
Series E Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 20,307,000 | ||||||||
Total Preferred Stock, Shares outstanding | 20,307,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 6,769 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 39,000 | ||||||||
Series E-1 Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 195,000 | ||||||||
Total Preferred Stock, Shares outstanding | 195,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 65 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 400 | ||||||||
Series F Preferred Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 23,628,000 | ||||||||
Total Preferred Stock, Shares outstanding | 23,628,000 | ||||||||
Total Preferred Stock, Shares outstanding as converted to common stock | $ 7,877 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 68,662 | ||||||||
Convertible Preferred Stock | |||||||||
Class Of Stock [Line Items] | |||||||||
Total Preferred Stock, Shares authorized | 10,000,000 | 102,030,000 | 102,030,000 | ||||||
Total Preferred Stock, Shares outstanding | 0 | 102,030,000 | 102,030,000 | 102,030,000 | 102,030,000 | 102,030,000 | 102,030,000 | 102,030,000 | 78,402,000 |
Total Preferred Stock, Shares outstanding as converted to common stock | $ 34,442 | ||||||||
Total Preferred Stock, Liquidation amounts | $ 238,178 |
Income Taxes - Pretax earnings
Income Taxes - Pretax earnings from continuing operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Pre-tax Income [Line Items] | ||
Total pre-tax earnings | $ (42,562) | $ (38,868) |
Americas - U.S. | ||
Pre-tax Income [Line Items] | ||
Total pre-tax earnings | (38,720) | (38,471) |
Americas - other | ||
Pre-tax Income [Line Items] | ||
Total pre-tax earnings | $ (3,842) | $ (397) |
Income Taxes - Components of Pr
Income Taxes - Components of Provision for income taxes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||||||
Federal | $ 0 | $ 0 | ||||
State | 25 | 10 | ||||
Foreign | 3 | |||||
Total current | 28 | 10 | ||||
Deferred: | ||||||
Federal | 0 | 0 | ||||
State | 0 | 0 | ||||
Foreign | 0 | 0 | ||||
Total deferred | 0 | 0 | ||||
Total provision (benefit) | $ (14) | $ 7 | $ 6 | $ 21 | $ 28 | $ 10 |
Income Taxes - Schedule Income
Income Taxes - Schedule Income tax expense for the period (Detail) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||||||
U.S. federal taxes at statutory rate | 21.00% | 21.00% | 21.00% | |||
State taxes, net of federal benefit | 3.25% | 3.45% | ||||
Foreign tax rate differentials | 0.33% | (0.15%) | ||||
Research and development credit | 3.24% | (0.46%) | ||||
Stock-based compensation | 0.38% | (0.83%) | ||||
Permanent differences, other | (3.77%) | (1.83%) | ||||
Change in valuation allowance | (24.50%) | (22.30%) | ||||
Other | 1.09% | |||||
Effective tax rate | 13.00% | (7.00%) | (3.00%) | (7.00%) | (0.07%) | (0.03%) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | Dec. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Income Tax Disclosure [Abstract] | |||||||
Operating Loss Carryforwards, Domestic | $ 118,200,000 | $ 118,200,000 | |||||
Operating Loss Carryforwards Domestic Prior Year | 69,900,000 | 69,900,000 | |||||
Deferred Tax Assets Operating Loss Carryforwards Domestic to Future Period | $ 48,400,000 | 48,400,000 | |||||
Operating Loss Carryforwards, Expiration Period | 2036 | ||||||
State credit carryforwards | $ 37,300,000 | $ 37,300,000 | |||||
Net operating loss expiration year | 2036 | ||||||
Operating Loss Carryforwards, Foreign | 6,900,000 | $ 6,900,000 | |||||
Research and development tax credit carryforwards | 3,900,000 | $ 3,900,000 | |||||
Tax Credits Begin To Expiration Year | 2034 | ||||||
Decrease in valuation allowance | 1,100,000 | $ 1,100,000 | |||||
Unrecognized tax benefit | $ 0 | $ 0 | |||||
U.S. statutory tax rate | 21.00% | 21.00% | 21.00% | ||||
Effective tax rate | 13.00% | (7.00%) | (3.00%) | (7.00%) | (0.07%) | (0.03%) |
Net Loss per Share - Additional
Net Loss per Share - Additional Information (Detail) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Total undistributed loss is allocated to preferred stock, diluted | $ 0 | $ 0 |
Total undistributed loss is allocated to preferred stock, basic | $ 0 | $ 0 |
Series F Preferred Stock | ||
Dividend rate | 10.00% | 10.00% |
Net Loss per Share - Schedule o
Net Loss per Share - Schedule of Antidilutive Securities Outstanding Excluded from Computation of Diluted Weighted-Average Shares Outstanding (Detail) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 10,754 | 46,408 | 10,754 | 46,408 | 46,313 | 45,980 |
Convertible Preferred Stock | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 34,442 | 34,442 | ||||
Share-based Payment Arrangement, Option | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 9,391 | 9,422 | 9,391 | 9,422 | ||
Restricted Stock Units (RSUs) | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 1,363 | 1,363 | ||||
Warrant | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 364 | 364 | ||||
Convertible Debt Securities | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 2,180 | 2,180 | ||||
Convertible Preferred Stock | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 34,442 | 34,442 | ||||
Share-based Payment Arrangement, Option | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 9,327 | 9,006 | ||||
Warrant | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 364 | 352 | ||||
Convertible Debt Securities | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Antidilutive securities outstanding excluded from computation of diluted weighted-average shares outstanding | 2,180 | 2,180 |
Subsequent events - Additional
Subsequent events - Additional Information (Detail) $ / shares in Units, shares in Thousands | Jul. 24, 2020$ / shares | Feb. 28, 2020USD ($)$ / sharesshares | Oct. 27, 2017USD ($) | Feb. 28, 2020USD ($)$ / sharesshares | Sep. 30, 2020USD ($) | Dec. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2019 | Jun. 04, 2019USD ($) |
Initial Public Offering | |||||||||
Subsequent Event [Line Items] | |||||||||
Reverse stock split description | One-for-three | ||||||||
Reverse stock split, conversion ratio | 0.3333 | ||||||||
Mezzanine facility | WestRiver | |||||||||
Subsequent Event [Line Items] | |||||||||
Debt instrument, maturity date | Mar. 1, 2023 | ||||||||
Credit facility, interest rate terms | Borrowings under the Mezzanine Facility bear interest at the greater of (i) 10.0% or (ii) the prime rate then in effect plus 5.25%. Interest is calculated on the outstanding principal on a 360-day year basis, payable monthly. | ||||||||
Warrant price per share | $ / shares | $ 9.21 | $ 9.21 | |||||||
Mezzanine facility | WestRiver | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 5.25% | ||||||||
Revolving Line | A&R Credit Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility, increase (decrease) in borrowing capacity | $ 5,000,000 | ||||||||
Credit facility maximum borrowing capacity | $ 20,000,000 | 20,000,000 | $ 10,000,000 | ||||||
Credit facility, covenant to maintain minimum liquidity ratio | 150.00% | ||||||||
Credit facility, covenant to maintain revenue growth rate of each quarter compared to same quarter in prior year | 118.00% | ||||||||
Silicon Valley Bank | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility, covenant to maintain revenue growth rate of each quarter compared to same quarter in prior year | 110.00% | ||||||||
Credit facility, weighted-average effective interest rate | 5.30% | 5.20% | |||||||
Silicon Valley Bank | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 0.25% | ||||||||
Silicon Valley Bank | 2020 Convertible Loan | |||||||||
Subsequent Event [Line Items] | |||||||||
Debt principal amount | $ 35,000,000 | 35,000,000 | |||||||
Silicon Valley Bank | Revolving Line | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility maximum borrowing capacity | $ 20,000,000 | $ 25,000,000 | |||||||
Debt principal amount | $ 20,000,000 | ||||||||
Debt instrument, maturity date | Oct. 27, 2022 | ||||||||
Credit facility, weighted-average effective interest rate | 3.70% | 5.60% | |||||||
Minimum | Mezzanine facility | WestRiver | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility maximum borrowing capacity | $ 10,000,000 | $ 10,000,000 | |||||||
Prior to January 1, 2022 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 4.50% | ||||||||
From January 1, 2022 and Prior to January 1, 2023 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 6.50% | ||||||||
From January 1, 2023 and Prior to January 1, 2024 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 8.50% | ||||||||
From and After January 1, 2024 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 10.50% | ||||||||
Subsequent Event [Member] | |||||||||
Subsequent Event [Line Items] | |||||||||
Conversion price per share | $ / shares | $ 3.80 | $ 3.80 | |||||||
Subsequent Event [Member] | Initial Public Offering | |||||||||
Subsequent Event [Line Items] | |||||||||
Convertible notes conversion price per share | $ / shares | $ 11.40 | ||||||||
Reverse stock split description | One-for-three | ||||||||
Reverse stock split, conversion ratio | 0.3333 | ||||||||
Subsequent Event [Member] | Mezzanine facility | WestRiver | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility maximum borrowing capacity | $ 10,000,000 | $ 10,000,000 | |||||||
Credit facility, interest rate terms | Borrowings under the Mezzanine Facility bear interest at the greater of (i) 10.0% or (ii) the prime rate then in effect plus 5.25%. Interest is calculated on the outstanding principal on a 360-day year basis, payable monthly. | ||||||||
Warrant price per share | $ / shares | $ 9.21 | $ 9.21 | |||||||
Subsequent Event [Member] | Mezzanine facility | WestRiver | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 5.25% | ||||||||
Subsequent Event [Member] | Revolving Line | A&R Credit Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility, increase (decrease) in borrowing capacity | $ 10,000,000 | ||||||||
Credit facility maximum borrowing capacity | $ 20,000,000 | $ 20,000,000 | $ 10,000,000 | ||||||
Subsequent Event [Member] | Silicon Valley Bank | A&R Credit Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility, covenant to maintain minimum liquidity ratio | 150.00% | ||||||||
Credit facility, covenant to maintain revenue growth rate of each quarter compared to same quarter in prior year | 118.00% | ||||||||
Subsequent Event [Member] | Silicon Valley Bank | Revolving Line | |||||||||
Subsequent Event [Line Items] | |||||||||
Debt principal amount | $ 35,000,000 | $ 35,000,000 | |||||||
Debt instrument, maturity date | Feb. 28, 2025 | ||||||||
Subsequent Event [Member] | Minimum | Mezzanine facility | WestRiver | |||||||||
Subsequent Event [Line Items] | |||||||||
Credit facility, weighted-average effective interest rate | 10.00% | 10.00% | |||||||
Subsequent Event [Member] | Maximum | Mezzanine facility | WestRiver | |||||||||
Subsequent Event [Line Items] | |||||||||
Warrants to purchase shares of common stock | shares | 100 | 100 | |||||||
Subsequent Event [Member] | Prior to January 1, 2022 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 4.50% | ||||||||
Subsequent Event [Member] | From January 1, 2022 and Prior to January 1, 2023 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 6.50% | ||||||||
Subsequent Event [Member] | From January 1, 2023 and Prior to January 1, 2024 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 8.50% | ||||||||
Subsequent Event [Member] | From and After January 1, 2024 | Silicon Valley Bank | 2020 Convertible Loan | Prime Rate | |||||||||
Subsequent Event [Line Items] | |||||||||
Variable interest rate | 10.50% |
Revenue Recognition and Defer_4
Revenue Recognition and Deferred Costs - Schedule of Disaggregate Revenue by Major Source (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation Of Revenue [Line Items] | ||||||
Total revenue | $ 39,735 | $ 28,264 | $ 109,225 | $ 81,083 | $ 112,103 | $ 91,867 |
Subscription Solutions | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total revenue | 26,545 | 21,021 | 74,041 | 60,406 | ||
Partner and Services | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total revenue | $ 13,190 | $ 7,243 | $ 35,184 | $ 20,677 | $ 29,414 | $ 21,383 |
Revenue Recognition and Defer_5
Revenue Recognition and Deferred Costs II - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | ||
Impairment of deferred commissions | $ 0 | $ 0 |
Deferred sales commissions | 2,900,000 | 1,800,000 |
Deferred commission amortization expense | $ 1,500,000 | $ 1,100,000 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value Disclosures [Abstract] | ||
Cash equivalents | $ 0 | $ 0 |
Marketable securities | $ 0 | $ 0 |