Related Party Transactions

3 Months Ended

Dec. 31, 2013

Related Party Transactions [Abstract]

Related Party Transactions

Related Party Transactions

In 2009, the Company entered into an agreement with an entity that was also an investor in the Company. The agreement compensates the entity for customer referrals based on revenues generated by the Company related to those customers. Warrants to purchase 7 and 20 shares of our common stock were issued in the year ended September 30, 2013 and September 30, 2010, respectively, pursuant to the referral agreement. The Company is obligated under the referral agreement to issue to the entity warrants to purchase up to an additional 208 shares of common stock based on the achievement of various milestones. In addition, in 2010, the Company entered into a service agreement with the entity, pursuant to which it was paid $1,000 in advance for software development services to improve software owned by the entity. This payment was deferred and recognized as revenue as development services were provided. The deferred revenue balance accrued interest and was increased by a portion of the referral fees due to this entity (the "Credit Bank"); the remainder of the referral fees due was paid in cash. The Credit Bank balance was $911 as of September 30, 2013. Under the terms of the service agreement, the entity had the right to draw down from the Credit Bank after three years elapsed from the effective date of the agreement. As the entity had this right as of September 30, 2013, the Company classified $890 of the Credit Bank as a current liability and $21 as short-term deferred revenue. The amount of $21 in deferred revenue as of September 30, 2013 represented the revenue that the Company recognized in the three months ended December 31, 2013. During the three months ended December 31, 2013, the Company and the entity amended the referral agreement to dismantle the Credit Bank, pursuant to which the Company repaid the entity the entirety of the Credit Bank prior to the end of the quarter. The Company also provides hosting services to the entity for a fixed annual fee.