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Document and Entity Information - USD ($) $ in Millions	12 Months Ended
Document and Entity Information - USD ($) $ in Millions	Dec. 31, 2018	Mar. 04, 2019	Jun. 29, 2018
Document And Entity Information [Abstract]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	FY
Trading Symbol	RDVT
Entity Registrant Name	RED VIOLET, INC.
Entity Central Index Key	0001720116
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Non-accelerated Filer
Entity Shell Company	false
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Common Stock, Shares Outstanding		10,266,613
Entity Public Float			$ 48.6

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 9,950	$ 65
Accounts receivable, net	2,265	1,650
Prepaid expenses and other current assets	934	559
Total current assets	13,149	2,274
Property and equipment, net	852	1,091
Intangible assets, net	19,971	15,353
Goodwill	5,227	5,227
Other non-current assets	628	1,180
Total assets	39,827	25,125
Current liabilities:
Accounts payable	2,246	2,578
Accrued expenses and other current liabilities	1,277	4,778
Deferred revenue	26	33
Total liabilities	3,549	7,389
Shareholders' equity:
Preferred stock—$0.001 par value, 10,000,000 and 0 authorized, and 0 shares issued and outstanding, at December 31, 2018 and 2017, respectively
Common stock—$0.001 par value, 200,000,000 and 5,000 shares authorized, and 10,266,613 and 1,000 shares issued and outstanding, at December 31, 2018 and 2017, respectively	10
Additional paid-in capital	41,052
Accumulated deficit	(4,784)
Member's capital		17,736
Total shareholders' equity	36,278	17,736
Total liabilities and shareholders' equity	$ 39,827	$ 25,125

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2018	Dec. 31, 2017
Statement Of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	0
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	200,000,000	5,000
Common stock, shares issued	10,266,613	1,000
Common stock, shares outstanding	10,266,613	1,000

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Income Statement [Abstract]
Revenue	$ 16,302	$ 8,578
Costs and expenses:
Cost of revenue (exclusive of depreciation and amortization)	8,638	7,066
Sales and marketing expenses	4,754	4,394
General and administrative expenses	8,405	17,480
Depreciation and amortization	1,996	1,138
Total costs and expenses	23,793	30,078
Loss from operations	(7,491)	(21,500)
Interest income, net	84
Other income, net	539
Loss before income taxes	(6,868)	(21,500)
Net loss	$ (6,868)	$ (21,500)
Loss per share:
Basic and diluted	$ (0.67)	$ (2.09)
Weighted average number of shares outstanding:
Basic and diluted	10,266,613	10,266,613

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY AND MEMBER'S CAPITAL - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Member's capital
Beginning balance at Dec. 31, 2016	$ 15,217				$ 15,217
Incorporation of red violet, shares		1,000
Contribution by Fluent, Inc., including allocation of expenses	20,364				20,364
Share-based compensation	3,655				3,655
Net loss	(21,500)				(21,500)
Ending balance at Dec. 31, 2017	$ 17,736				17,736
Ending balance, shares at Dec. 31, 2017	1,000	1,000
Contribution by Fluent, Inc., including allocation of expenses	$ 24,264				24,264
Share-based compensation	1,146		$ 800		346
Net loss	(6,868)			$ (4,784)	(2,084)
Spin-off from Fluent, Inc.		$ 10	40,252		$ (40,262)
Spin-off from Fluent, Inc., shares		10,265,613
Ending balance at Dec. 31, 2018	$ 36,278	$ 10	$ 41,052	$ (4,784)
Ending balance, shares at Dec. 31, 2018	10,266,613	10,266,613

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (6,868)	$ (21,500)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	1,996	1,138
Share-based compensation expense	709	2,871
Write-off of long-lived assets	63
Provision for bad debts	294	287
Allocation of expenses from Fluent, Inc.	325	3,646
Changes in assets and liabilities:
Accounts receivable	(909)	(1,243)
Prepaid expenses and other current assets	(375)	222
Other non-current assets	552	270
Accounts payable	(332)	106
Accrued expenses and other current liabilities	(3,501)	3,839
Deferred revenue	(7)	(47)
Net cash used in operating activities	(8,053)	(10,411)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment	(90)	(515)
Capitalized costs included in intangible assets	(5,911)	(5,953)
Net cash used in investing activities	(6,001)	(6,468)
CASH FLOWS FROM FINANCING ACTIVITIES:
Capital contributed by Fluent, Inc.	23,939	16,718
Net cash provided by financing activities	23,939	16,718
Net increase (decrease) in cash and cash equivalents	9,885	(161)
Cash and cash equivalents at beginning of period	65	226
Cash and cash equivalents at end of period	9,950	65
SUPPLEMENTAL DISCLOSURE INFORMATION
Share-based compensation capitalized in intangible assets	$ 437	$ 784

Principal Activities and Organization

12 Months Ended

Dec. 31, 2018

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Principal Activities and Organization

1. Principal activities and organization

(a) Principal activities

Red Violet, Inc. (“we,” “us,” “our,” “red violet,” or the “Company”), a Delaware corporation, is a software and services company specializing in big data analysis, providing cloud-based mission-critical information solutions to enterprises in a variety of industries. Our mission is to transform data into intelligence utilizing our proprietary technology platform to solve complex problems for our clients. Harnessing the power of data fusion and powerful analytics, we transform data into intelligence, in a fast and efficient manner, so that our clients can spend their time on what matters most -- running their organizations with confidence. Through our intelligent platform, CORE^TM, we uncover the relevance of disparate data points utilizing our analytical capabilities to provide real-time and insightful views of people, businesses, assets and their interrelationships. We empower clients across markets and industries to better execute all aspects of their business, from managing risk, identifying fraud and abuse, and ensuring legislative compliance, to debt recovery.

We provide unique and compelling solutions essential to the daily workflow of organizations within both the public and private sectors. Our cloud-based data fusion platform, combined with our massive database consisting of public-records, proprietary and publicly-available data, as well as a unique repository of self-reported information on millions of consumers, enables the delivery of differentiated products and solutions used for a variety of essential functions. These essential functions include identification and authentication, and investigation and validation.

We have only one operating segment, as defined by ASC 280, “Segment Reporting.”

(b) Organization

On March 26, 2018, Fluent, Inc. (“Fluent”), formerly known as Cogint, Inc., a Delaware corporation, completed a spin-off (the “Spin-off”) of its risk management business from its digital marketing business by way of a distribution of all the shares of common stock of Fluent’s wholly-owned subsidiary, red violet, to Fluent’s stockholders of record as of March 19, 2018 (the “Record Date”) and certain warrant holders. The distribution occurred by way of a pro rata stock distribution to such common stock and warrant holders, each of whom received one share of red violet’s common stock for every 7.5 shares of Fluent’s common stock held on the Record Date or to which they were entitled to under their warrants, which resulted in a distribution of a total of 10,266,613 shares of red violet common stock. Upon the Spin-off, red violet owns Fluent subsidiaries that previously operated Fluent’s risk management business.

As a result of the Spin-off, red violet is an independent public company and red violet’s common stock began regular-way trading on The NASDAQ Capital Market under the symbol “RDVT” on March 27, 2018.

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2018

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

2. Summary of significant accounting policies

(a) Basis of preparation and liquidity

The accompanying consolidated financial statements have been prepared by red violet in accordance with accounting principles generally accepted in the United States (“US GAAP”).

red violet accounted for the Spin-off in accordance with ASC 805-50-30-5 Initial Measurement- Transactions Between Entities Under Common Control – Transfer Date Measurement and therefore the net assets transferred from Fluent to red violet upon the Spin-off were reflected in red violet’s consolidated financial statements at Fluent’s carrying values at the time of the Spin-off.

The Company reported a net loss of $6,868 and $21,500 for the years ended December 31, 2018 and 2017, respectively. Net cash used in operating activities was $8,053 and $10,411 for the years ended December 31, 2018 and 2017, respectively. As of December 31, 2018, the Company had an accumulated deficit of $4,784.

As of December 31, 2018, the Company had available cash and cash equivalents of $9,950, an increase of $9,885 from $65 as of December 31, 2017. Based on this available cash and cash equivalents, and the projections of growth in revenue and operating results in the coming year, the Company believes that it will have sufficient cash resources to finance its operations and expected capital expenditures for the next twelve months.

Reclassifications

Certain prior period items, accounts payable and accrued expenses and other current liabilities, have been reclassified to conform to the current period presentation.

Principles of consolidation

The consolidated financial statements include the financial statements of the Company and its subsidiaries. All significant transactions among the Company and its subsidiaries have been eliminated upon consolidation.

Although the Spin-off was completed on March 26, 2018, the Company has reflected the Spin-off in these financial statements as if it occurred on March 31, 2018 as the Company determined that the impact is not material to the consolidated financial statements.

The financial statements present the consolidated results of operations, financial condition, and cash flows of red violet and its subsidiaries. For periods prior to the Spin-off, these financial statements were prepared on a consolidated and combined basis because certain of the entities were under common control. All intercompany accounts and transactions have been eliminated between the consolidated and combined entities.

The historical consolidated and combined financial results presented prior to the Spin-off may not be indicative of the results that would have been achieved by the Company had it operated as a separate, standalone entity prior to the Spin-off. The consolidated and combined financial statements presented prior to the Spin-off do not reflect any changes that were expected to occur in the Company’s operations in connection with or as a result of the Spin-off.

(b) Use of estimates

The preparation of consolidated financial statements in accordance with US GAAP requires red violet’s management to make estimates and assumptions relating to the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant items subject to such estimates and assumptions include the allowance for doubtful accounts, useful lives of property and equipment and intangible assets, recoverability of the carrying amount of goodwill and intangible assets, share-based compensation and income tax provision. These estimates are often based on complex judgments and assumptions that management believes to be reasonable but are inherently uncertain and unpredictable. Actual results could differ from these estimates.

Cash and cash equivalents consist of cash on hand and bank deposits with original maturities of three months or less, which are unrestricted as to withdrawal and use.

The Company’s cash and bank deposits were held in major financial institutions located in the United States, which management believes have high credit ratings. The cash and bank deposits held in the United States, denominated in USD, amounted to $9,950 and $65 as of December 31, 2018 and 2017, respectively.

Financial instruments and related items, which potentially subject the Company to concentrations of credit risk, consist principally of cash investments. The Company places its temporary cash instruments with well-known financial institutions within the United States, and, at times, may maintain balances in United States banks in excess of the $250 US Federal Deposit Insurance Corporation insurance limit. The Company monitors the credit ratings of the financial institutions to mitigate this risk.

(d) Accounts receivable

Accounts receivable are due from customers and are generally unsecured, which consist of amounts earned but not yet collected. None of the Company’s accounts receivable bear interest.

The allowance for doubtful accounts is management’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable. Management determines the allowance based on reviews of customer-specific facts and economic conditions. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any off-balance-sheet credit exposure related to its customers. The amount of the allowance for doubtful accounts was $77 and $228 as of December 31, 2018 and 2017, respectively.

(e) Property and equipment

Property and equipment are stated at cost, net of accumulated depreciation or amortization. Expenditures for maintenance, repairs, and minor renewals are charged to expense in the period incurred. Betterments and additions are capitalized. Property and equipment are depreciated on the straight-line basis over the estimated useful lives of the assets. Leasehold improvements are depreciated over the shorter of their estimated useful lives or lease terms that are reasonably assured. The estimated useful lives of property and equipment are as follows:



Computer and network equipment			5-7 years
Furniture, fixtures and office equipment			5 years
Leasehold improvements			7 years

When items of property and equipment are retired or otherwise disposed of, loss/income is charged or credited for the difference between the net book value and proceeds received thereon.

(f) Intangible assets other than goodwill

The Company’s intangible assets are initially recorded at the capitalized actual costs incurred, their acquisition cost, or fair value if acquired as part of a business combination, and amortized on a straight-line basis over their respective estimated useful lives, which are the periods over which the assets are expected to contribute directly or indirectly to the future cash flows of the Company. The Company’s intangible assets represent software developed for internal use. Intangible assets have estimated useful lives of 5-10 years.

In accordance with ASC 350-40, “Software — internal use software,” the Company capitalizes eligible costs, including salaries and staff benefits, share-based compensation expense, traveling expenses incurred by relevant employees, and other relevant costs of developing internal-use software that are incurred in the application development stage when developing or obtaining software for internal use. Once the software developed for internal use is ready for its intended use, it is amortized on a straight-line basis over its useful life.

(g) Goodwill

Goodwill represents the cost in excess of the fair value of the net assets acquired in a business combination. As of December 31, 2018 and 2017, the balance of goodwill of $5,227 was as a result of the acquisition of Interactive Data, LLC (“Interactive Data”), a wholly-owned subsidiary of red violet, effective on October 2, 2014.

In accordance with ASC 350, “Intangibles - Goodwill and Other,” goodwill is tested at least annually for impairment, or when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable, by assessing qualitative factors or performing a quantitative analysis in determining whether it is more likely than not that its fair value exceeds the carrying value. A quantitative step one assessment involves determining the fair value of each reporting unit using market participant assumptions. On October 1, 2017, the Company early adopted ASU 2017-04, “Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment,” which eliminates step two from the goodwill impairment test. Under ASU 2017-04, an entity should recognize an impairment charge for the amount by which the carrying amount of a reporting unit exceeds its fair value up to the amount of goodwill allocated to that reporting unit.

The measurement date of our annual goodwill impairment test is October 1. On October 1, 2018, we performed a qualitative assessment on the reporting unit and, based on this assessment, no events have occurred to indicate that it is more likely than not that the fair value of the reporting unit is less than its carry amount. On October 1, 2017, we performed a quantitative assessment on the reporting unit and the result of our assessment indicated that the estimated fair value of the reporting unit exceeds its carrying value. We concluded that goodwill was not impaired as of December 31, 2018 and 2017.

For purposes of reviewing impairment and the recoverability of goodwill, we must make various assumptions regarding estimated future cash flows and other factors in determining the fair values, including market multiples, discount rates, etc.

(h) Impairment of long-lived assets

Finite-lived intangible assets are amortized over their respective useful lives and, along with other long-lived assets, are evaluated for impairment periodically whenever events or changes in circumstances indicate that their related carrying amounts may not be recoverable in accordance with ASC 360-10-15, “Impairment or Disposal of Long-Lived Assets.” In evaluating long-lived assets for recoverability, including finite-lived intangibles and property and equipment, the Company uses its best estimate of future cash flows expected to result from the use of the asset and eventual disposition in accordance with ASC 360-10-15. To the extent that estimated future undiscounted cash inflows attributable to the asset, less estimated future undiscounted cash outflows, are less than the carrying amount, an impairment loss is recognized in an amount equal to the difference between the carrying value of such asset and its fair value. Assets to be disposed of and for which there is a committed plan of disposal, whether through sale or abandonment, are reported at the lower of carrying value or fair value less costs to sell.

Asset recoverability is an area involving management judgment, requiring assessment as to whether the carrying value of assets can be supported by the undiscounted future cash flows. In calculating the future cash flows, certain assumptions are required to be made in respect of highly uncertain matters such as revenue growth rates, gross margin percentages and terminal growth rates.

We concluded there was no impairment as of December 31, 2018 and 2017.

(i) Fair value of financial instruments

ASC 820, “Fair Value Measurements and Disclosures,” establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market.

These tiers include:

•

Level 1 – defined as observable inputs such as quoted prices in active markets;

•

Level 2 – defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and

•

Level 3 – defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The fair value of the Company’s cash and cash equivalents, receivables and payables approximate their carrying amount because of the short-term nature of these instruments.

(j) Revenue recognition

On January 1, 2018, we adopted Topic 606, as defined in Note 2(s) below, using the modiﬁed retrospective method applied to all contracts that were not completed contracts at the date of initial application. There was no impact on the opening accumulated deﬁcit as of January 1, 2018 due to the adoption of Topic 606.

Revenue is generally recognized on (a) a transactional basis determined by the customers’ usage, (b) a monthly fee or (c) a combination of both. Revenue pursuant to transactions determined by the customers’ usage is recognized when the transaction is complete, and either party may terminate the transactional agreement at any time. Revenue pursuant to contracts containing a monthly fee is recognized ratably over the contract period, which is generally 12 months, and the contract shall automatically renew for additional, successive 12-month terms unless written notice of intent not to renew is provided by one party to the other at least 30 days or 60 days prior to the expiration of the then current term.

For the year ended December 31, 2018, 58% of total revenue was attributable to customers with pricing contracts versus 42% attributable to transactional customers. For the year ended December 31, 2017, 36% of total revenue was attributable to customers with pricing contracts versus 64% attributable to transactional customers. Pricing contracts are generally annual contracts or longer, with auto renewal.

We market our services primarily through our own sales force. We also market our services through indirect channels such as resellers, who sell directly to businesses and consumers, which account for a small portion of revenue.

Revenue is recognized when control of goods or services is transferred to our customers, in an amount that reﬂects the consideration we expect to be entitled to in exchange for those goods or services. Our performance obligation is to provide on demand solutions to our customers by leveraging our proprietary technology and applying machine learning and advanced analytics to our massive data repository. The pricing for the customer contracts is based on usage, a monthly fee, or a combination of both.

Available within Topic 606, we have applied the portfolio approach practical expedient in accounting for customer revenue as one collective group, rather than individual contracts. Based on our historical knowledge of the contracts contained in this portfolio and the similar nature and characteristics of the customers, we have concluded the financial statement effects are not materially different than if accounting for revenue on a contract by contract basis.

Revenue is recognized over a period of time since the performance obligation is delivered in a series. Our customers simultaneously receive and consume the benefits provided by the Company’s performance as and when provided. Furthermore, we have elected the “right to invoice” practical expedient, available within Topic 606, as our measure of progress, since we have a right to payment from a customer in an amount that corresponds directly with the value of our performance completed-to-date. The Company's revenue arrangements do not contain significant financing components.

If a customer pays consideration before we transfer services to the customer, those amounts are classiﬁed as deferred revenue. As of December 31, 2018, the balance of deferred revenue was $26, all of which is expected to be realized in the next 12 months. In relation to the deferred revenue balance as of December 31, 2017, $33 was recognized into revenue during the year ended December 31, 2018.

As of December 31, 2018, approximately $877 of revenue is expected to be recognized in the future for outstanding performance obligations, primarily related to pricing contracts that have a term of more than 12 months. Approximately $644 of revenue will be recognized in 2019 and the remainder in 2020. The actual timing of recognition may vary due to factors outside of the Company’s control. The Company excludes variable consideration related entirely to wholly unsatisfied performance obligations and contracts and recognizes such variable consideration based upon the right to invoice the customer.

Sales commissions are incurred and recorded on an ongoing basis over the term of the customer relationship. These costs are recorded in sales and marketing expenses.

In addition, we elected the practical expedient to not disclose the value of unsatisﬁed performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which we recognize revenue at the amount to which we have the right to invoice for services performed.

(k) Cost of revenue (exclusive of depreciation and amortization)

Our cost of revenue primarily includes data acquisition costs and other cost of revenue. Data acquisition costs consist primarily of the cost to acquire data either on a transactional basis or through flat-fee data licensing agreements, including unlimited usage agreements. Data acquisition costs are recognized based on a straight-line amortization method. Other cost of revenue includes expenses related to third-party infrastructure fees.

(l) Advertising and promotion costs

Advertising and promotion costs are charged to operations as incurred. Advertising and promotion costs, included in sales and marketing expenses amounted to $198 and $110 for the years ended December 31, 2018 and 2017, respectively.

(m) Share-based compensation

The Company accounts for share-based compensation to employees in accordance with ASC 718, “Compensation—Stock Compensation.” Under ASC 718, the Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award and generally recognizes the costs on a straight-line basis over the period the employee is required to provide service in exchange for the award, which generally is the vesting period. For awards with performance conditions, we begin recording share-based compensation when achieving the performance criteria is probable.

The estimated number of stock awards that will ultimately vest requires judgment, and to the extent actual results or updated estimates differ from our current estimates, such amount will be recorded as a cumulative adjustment in the period estimates are revised. Changes in our estimates and assumptions may cause us to realize material changes in share-based compensation expense in the future.

We have issued share-based awards with performance-based vesting criteria. Achievement of the milestones must be probable before we begin recording share-based compensation expense. At each reporting date, we review the likelihood that these awards will vest and if the vesting is deemed probable, we begin to recognize compensation expense at that time. In the period that achievement of the performance-based criteria is deemed probable, US GAAP requires the immediate recognition of all previously unrecognized compensation since the original grant date. As a result, compensation expense recorded in the period that achievement is deemed probable could include a substantial amount of previously unrecorded compensation expense related to the prior periods. If ultimately performance goals are not met, for any share-based awards where vesting was previously deemed probable, previously recognized compensation cost will be reversed.

During the second quarter of 2018, we early adopted ASU 2018-07, “Improvements to Nonemployee Share-Based Payment Accounting,” which generally expands the scope of ASC 718, Compensation – Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees and to supersede the guidance in ASC 505-50, Equity-Based Payments to Non-employees, which previously included the accounting for nonemployee awards.

(n) Income taxes

The Company accounts for income taxes in accordance with ASC 740, “Income Taxes,” which requires the use of the asset and liability method of accounting for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled.

The effect on deferred tax assets and liabilities of a change in tax rates or laws is recognized in income in the period that the change in tax rates or laws is enacted. A valuation allowance is provided to reduce the amount of deferred tax assets if it is considered more likely than not that some portion or all of the deferred tax assets will not be realized.

On December 22, 2017, the tax reform legislation commonly known as the Tax Cuts and Jobs Act of 2017 (the “Act”) was enacted, resulting in significant modifications to existing law, including lowering the U.S. corporate statutory income tax rate to 21%, among other changes. As a full valuation allowance was recognized in 2018 and 2017, the Act did not have any material net impact on our consolidated financial statements, however, certain income tax disclosures, including the re-measurement of deferred tax assets and liabilities and related valuation allowance, and the effective income tax rate reconciliation, were affected.

ASC 740 clarifies the accounting for uncertain tax positions. This interpretation requires that an entity recognizes in the consolidated financial statements the impact of a tax position, if that position is more likely than not of being sustained upon examination, based on the technical merits of the position. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company’s accounting policy is to accrue interest and penalties related to uncertain tax positions, if and when required, as interest expense and a component of other expenses, respectively, in the consolidated statements of operations.

(o) Loss per share

Basic loss per share is computed by dividing net loss by the weighted average number of common shares outstanding during the periods. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock and is calculated using the treasury stock method for stock options and unvested shares. Common equivalent shares are excluded from the calculation in the loss periods as their effects would be anti-dilutive.

(p) Contingencies

In the ordinary course of business, the Company is subject to loss contingencies that cover a wide range of matters. An estimated loss from a loss contingency such as a legal proceeding or claim is accrued if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. In determining whether a loss should be accrued, the Company evaluates, among other factors, the degree of probability and the ability to make a reasonable estimate of the amount of loss.

(q) Segment reporting

The Company has only one operating segment, as defined by ASC 280, “Segment Reporting.”

(r) Significant concentrations and risks

Concentration of credit risk

Assets that potentially subject the Company to significant concentration of credit risk primarily consist of cash and cash equivalents, and accounts receivable. As of December 31, 2018 and 2017, all of the Company’s cash and cash equivalents were deposited in financial institutions located in the United States, which management believes are of high credit quality. Accounts receivable are typically unsecured and are derived from revenue earned from customers. The risk with respect to accounts receivable is mitigated by credit evaluations the Company performs on its customers and its ongoing monitoring process of outstanding balances.

Concentration of customers

For the year ended December 31, 2018, one individual customer accounted for 11% of the total revenue. For the year ended December 31, 2017, there was no individual customer that accounted for more than 10% of the total revenue.

As of December 31, 2018 and 2017, there was no individual customer that accounted for more than 10% of the Company’s accounts receivable, net.

Concentration of suppliers

Our products and services depend extensively upon continued access to and receipt of data from external sources, including data received from the major credit bureaus, including our largest data supplier. The Company’s other data suppliers include strategic partners, as well as various government and public records repositories. Our largest data supplier, with whom we have expanded our relationship while securing favorable business terms over the years, accounted for approximately 46% of our total data acquisition costs for the year ended December 31, 2018, compared to approximately 43% for the year ended December 31, 2017. The initial term of the agreement, as amended, with this supplier ends April 30, 2022, and continues thereafter on a month-to-month basis unless and until either party provides the other with a minimum of 30 days’ written notice of termination. During the term of the agreement, either party has the right to terminate the agreement: (i) in the event of the other party’s failure to cure a material breach, and (ii) in the event of the other party’s insolvency. In addition, this supplier may terminate this agreement by providing not less than 150 days’ advance written notice to us and we may terminate this agreement by providing not less than 24 months’ advance written notice to this supplier. The remaining minimum purchase commitments through the end of the initial term is $14.9 million. If we are unable to maintain our relationship with our largest data supplier, our ability to provide products and services could be negatively impacted, as we would need to secure comparable data on similar terms, which would require significant time, expense, and resources, and may in the short-term adversely affect our reputation, business, financial condition and results of operations and, if we are unable to establish a similar relationship with other data suppliers over time, could have a long-term material impact on our business and financial condition.

As of December 31, 2018 and 2017, one data supplier accounted for 42% and 25% of the Company’s total accounts payable.

(s) Recently issued accounting standards

As an emerging growth company, the Company has left open the opportunity to take advantage of the extended transition period provided to emerging growth companies in Section 13(a) of the Exchange Act, however, it is the Company’s present intention to adopt any applicable new accounting standards timely.

In May 2014, Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09 (“ASU 2014-09”), “Revenue from Contracts with Customers (Topic 606).” The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In August 2015, FASB issued ASU No. 2015-14, “Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date,” which delays the effective date of ASU 2014-09 by one year. FASB also agreed to allow entities to choose to adopt the standard as of the original effective date. In March 2016, FASB issued ASU No. 2016-08, “Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net)” (“ASU 2016-08”), which clarifies the implementation guidance on principal versus agent considerations. The guidance includes indicators to assist an entity in evaluating whether it controls the good or the service before it is transferred to the customer. The new revenue recognition standard is effective for public entities for annual reporting periods beginning after December 15, 2017, and interim periods therein, that is, the first quarter of 2018. The new standard also permits two methods of adoption: retrospectively to each prior reporting period presented (full retrospective method), or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial application (the modified retrospective method). We adopted Topic 606 as of January 1, 2018 using the modified retrospective method, and the adoption did not have a material impact on our consolidated balance sheets, statements of operations, or cash flows. Refer to Note 2(j) above for further details.

In February 2016, FASB issued ASU No. 2016-02 (“ASU 2016-02”), “Leases (Topic 842),” which generally requires companies to recognize operating and financing lease liabilities and corresponding right-of-use assets on the balance sheet. In July 2018, FASB issued ASU No. 2018-10, “Codification Improvements to Topic 842, Leases,” and ASU No. 2018-11, “Leases (Topic 842): Targeted Improvements.” Topic 842 will be effective for public entities and private entities in the first quarter of 2019 and the first quarter of 2020, respectively, on a modified retrospective basis and early adoption is permitted. We plan to adopt Topic 842 in the first quarter of 2019. Based on our assessment, we expect to record a right-of-use asset and a total operating lease obligation on our consolidated balance sheet of approximately $3.0 million and $3.4 million, respectively, upon the adoption.

In June 2018, FASB issued ASU No. 2018-07 (“ASU 2018-07”), “Improvements to Nonemployee Share-Based Payment Accounting,” which generally expands the scope of ASC 718, Compensation – Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees and to supersede the guidance in ASC 505-50, Equity-Based Payments to Non-employees, which previously included the accounting for nonemployee awards. This guidance became effective for public business entities for fiscal years beginning after December 15, 2018, including interim periods, on a modified retrospective basis and early adoption was permitted. We early adopted ASU 2018-07 during the second quarter of 2018 and there was no material impact on our consolidated financial statements and related disclosures.

In August 2018, FASB issued ASU No. 2018-15 (“ASU 2018-15”), “Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract,” which requires an entity (customer) in a hosting arrangement that is a service contract to follow the guidance in Subtopic 350-40 to determine which implementation costs to capitalize as an asset related to the service contract and which costs to expense. It also requires the entity (customer) to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement, which includes reasonably certain renewals. This guidance will be effective for the Company for annual reporting periods beginning after December 15, 2020, on a retrospective or prospective basis and early adoption is permitted. We are evaluating the effect that this guidance will have on our consolidated financial statements and related disclosures.

In June 2016, FASB issued ASU No. 2016-13 (“ASU 2016-13”), “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” In November 2018, FASB issued ASU No. 2018-19, “Codification Improvements to Topic 326, Financial Instruments-Credit Losses,” which amends the scope and transition requirements of ASU 2016-13. Topic 326 requires a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions and reasonable and supportable forecasts that affect the collectability of the reported amount. Topic 326 will become effective for public companies beginning January 1, 2020, with early adoption permitted, on a modified retrospective approach. We are currently evaluating the impact this guidance will have on our consolidated financial statements.

Loss Per Share

12 Months Ended

Dec. 31, 2018

Earnings Per Share [Abstract]

Loss Per Share

3. Loss per share

Prior to the Spin-off, the financial information of red violet represented the consolidated and combined figures of red violet and its subsidiaries. red violet only had 1,000 shares of common stock outstanding, all of which Fluent owned. On March 26, 2018, upon the Spin-off of red violet, an aggregate of 10,266,613 shares of red violet common stock were distributed to Fluent stockholders and certain warrant holders. This number of shares remained outstanding at December 31, 2018, and it is utilized to calculate the basic and diluted loss per share for the years ended December 31, 2018 and 2017, as shown in the table below.

	Year Ended December 31,
(In thousands, except share data)	2018			2017
Numerator:
Net loss	$	(6,868	)	$	(21,500	)
Denominator:
Weighted average shares outstanding - Basic and diluted		10,266,613			10,266,613
Loss per share:
Basic and diluted:	$	(0.67	)	$	(2.09	)

A total of 2,121,000 shares of unvested restricted stock units (“RSUs”) granted during the year ended December 31, 2018 have been excluded from the diluted loss per share calculation as the impact is anti-dilutive for the year ended December 31, 2018.

Accounts Receivable, Net

12 Months Ended

Dec. 31, 2018

Receivables [Abstract]

Accounts Receivable, Net

4. Accounts receivable, net

Accounts receivable, net consist of the following:

(In thousands)	December 31, 2018			December 31, 2017
Accounts receivable	$	2,342		$	1,878
Less: Allowance for doubtful accounts		(77	)		(228	)
Total accounts receivable, net	$	2,265		$	1,650

The movement of allowance for doubtful accounts is shown below:

	Year Ended December 31,
(In thousands)	2018			2017
Beginning balance	$	228		$	111
Charges to expenses		294			287
Write-offs		(445	)		(170	)
Ending balance	$	77		$	228

Provision for bad debts of $294 and $287 was provided for the years ended December 31, 2018 and 2017, respectively.

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

Property and Equipment, Net

12 Months Ended

Dec. 31, 2018

Property Plant And Equipment [Abstract]

Property and Equipment, Net

5. Property and equipment, net

Property and equipment, net consist of the following:

(In thousands)	December 31, 2018			December 31, 2017
Computer and network equipment	$	680		$	876
Furniture, fixtures and office equipment		803			801
Leasehold improvements		53			52
Total cost		1,536			1,729
Less: Accumulated depreciation		(684	)		(638	)
Property and equipment, net	$	852		$	1,091

Depreciation of property and equipment of $266 and $272 was recorded for the years ended December 31, 2018 and 2017, respectively.

Intangible Assets, Net

12 Months Ended

Dec. 31, 2018

Intangible Assets Net Excluding Goodwill [Abstract]

Intangible Assets, Net

6. Intangible assets, net

Intangible assets other than goodwill consist of the following:

December 31, 2018

December 31, 2017

(In thousands)

Amortization

Period

Gross Amount

Accumulated Amortization

Net

Gross Amount

Accumulated Amortization

Net

Software developed for internal use

5-10 years

22,990

(3,019

)

19,971

16,642

(1,289

)

15,353

The gross amount associated with software developed for internal use represents capitalized costs of internally-developed software, including eligible salaries and staff benefits, share-based compensation, traveling expenses incurred by relevant employees, and other relevant costs.

Amortization expenses of $1,730 and $866 were included in depreciation and amortization expense for the years ended December 31, 2018 and 2017, respectively. As of December 31, 2018, intangible assets of $3,831, included in the gross amounts of software developed for internal use, have not started amortization, as they are not ready for their intended use.

The Company capitalized costs of internally-developed software of $6,348 and $6,737 during the years ended December 31, 2018 and 2017, respectively.

As of December 31, 2018, estimated amortization expenses related to the Company’s intangible assets for 2019 through 2024 and thereafter are as follows:

(In thousands)
Year	December 31, 2018
2019	$	2,564
2020		2,564
2021		2,562
2022		2,561
2023		2,486
2024 and thereafter		7,234
Total	$	19,971

Accrued Expenses and Other Current Liabilities

12 Months Ended

Dec. 31, 2018

Payables And Accruals [Abstract]

Accrued Expenses and Other Current Liabilities

7. Accrued expenses and other current liabilities

Accrued expenses and other current liabilities consist of the following:

(In thousands)	December 31, 2018		December 31, 2017
Employees compensation expenses	$	284	$	400
Accrued data acquisition costs		273		80
Deferred rent		345		275
Litigation settlement payable		-		4,000
Miscellaneous expenses payable		375		23
Total	$	1,277	$	4,778

Litigation settlement payable as of December 31, 2017 represents the remaining balance of litigation settlement, as discussed below, which was fully paid out in 2018.

On July 22, 2017, the Company entered into a settlement agreement with TransUnion and TransUnion Risk and Alternative Data Solutions, Inc. (“TRADS”), settling all litigation with TransUnion and TRADS. Company subsidiary, IDI Holdings, LLC, paid $7,000 to TRADS over the course of one year to settle all these matters. The Company recorded the expense of $7,000 in general and administrative expenses during the second quarter of 2017.

Other Income, Net

12 Months Ended

Dec. 31, 2018

Other Income And Expenses [Abstract]

Other Income, Net

8. Other income, net

For the year ended December 31, 2018, other income, net consisted primarily of transition service income of $218 and the insurance proceeds of $350 in relation to previously settled litigation with TRADS.

Income Taxes

12 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Income Taxes

9. Income taxes

red violet is a “C” corporation, while its subsidiaries are all limited liability companies. Before the Spin-off, red violet and its subsidiaries were consolidated with Fluent for U.S. federal income tax purposes. However, for purposes of these financial statements, the income tax provisions prior to the Spin-off were prepared assuming the entities filed separate tax returns.

The Company is subject to federal and state income taxes in the United States. The income taxes on loss before income taxes consisted of the following:

	Year Ended December 31,
(In thousands)	2018			2017
Current
Federal and state	$	-		$	-
Deferred
Federal		7,979			(740	)
State		1,543			(1,151	)
Valuation allowance		(9,522	)		1,891
		-			-
Provision for income tax	$	-		$	-

On December 22, 2017, the Act was enacted, with the statutory federal income tax rate lowered to 21%, among other changes, effective on January 1, 2018. As a full valuation allowance was provided as of December 31, 2018 and 2017, the Act does not have a material net impact on our consolidated financial statements, however, certain income tax disclosures, including the re-measurement of deferred tax assets and liabilities and related valuation allowance, and the effective income tax rate reconciliation, are affected.

The Company’s effective income tax benefit differed from the U.S. corporate statutory income tax rate for the years ended December 31, 2018 and 2017. A reconciliation is as follows:

	Year Ended December 31,
(In thousands)	2018					2017
Tax on loss before income taxes	$	(1,442	)	21.0	%	$	(7,310	)	34.0	%
Effect of state taxes (net of federal tax benefit)		1,543		-22.5	%		(769	)	3.6	%
Excess tax benefit from share-based compensation		-		0.0	%		288		-1.3	%
Other permanent differences		11		-0.2	%		58		-0.2	%
Deferred remeasurement for tax rate change		-		0.0	%		5,842		-27.2	%
Effect of the Spin-off from Fluent		9,410		-137.0	%		-		0.0	%
Valuation allowance		(9,522	)	138.7	%		1,891		-8.9	%
Income tax benefit	$	-		0.0	%	$	-		0.0	%

Components of deferred tax assets and liabilities consist of the following:

(In thousands)	December 31, 2018			December 31, 2017
Deferred tax assets:
Net operating loss carryforwards	$	3,836		$	10,931
Share-based compensation		128			563
Accounts receivable		18			59
Accrued expenses and other current liabilities		128			1,113
		4,110			12,666
Valuation allowance		(2,318	)		(11,840	)
		1,792			826
Deferred tax liabilities:
Intangible assets		1,660			662
Property and equipment		132			164
		1,792			826
Net deferred income tax	$	-		$	-

As of December 31, 2018, the Company had federal and state net operating loss carryforwards of $16,360 and $8,411, respectively, which begin to expire in 2034, except that $8,816 of federal net operating loss carryforwards incurred in 2018 could be carried forward indefinitely. The decrease in the net operating loss carryforwards in 2018 is due to the net operating loss carryforwards that stayed with Fluent upon the Spin-off. The Company’s net operating losses may be subject to annual Section 382 limitations due to ownership changes that could impact the future realization. The Company uses ASC 740 ordering when determining when excess tax benefits have been realized.

ASC 740 requires a valuation allowance to reduce the deferred tax assets reported if, based on the weight of the evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. On a periodic basis, management evaluates and determines the amount of valuation allowance required and adjusts such valuation allowance accordingly. Primarily due to cumulative pre-tax losses, management determined a valuation allowance of $2,318 and $11,840 was necessary as of December 31, 2018 and 2017, respectively, to reduce the deferred tax assets to the amount that is more likely than not to be realized. The change in the valuation allowance was a reduction of $9,522 for the year ended December 31, 2018 and an increase of $1,891 for the year ended December 31, 2017.

The Company assesses its income tax positions and records tax benefits for all years subject to examination based upon its evaluation of the facts, circumstances and information available at the reporting date. For those tax positions where it is more-likely-than-not that a tax benefit will be sustained, the Company has recorded the largest amount of tax benefit with a greater than 50% likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where it is not more-likely-than-not that a tax benefit will be sustained, no tax benefit has been recognized in the Company’s financial statements.

The Company continually evaluates expiring statutes of limitations, audits, proposed settlements, changes in tax law and new authoritative rulings. All of the Company’s income tax filings since 2015 remain open for tax examinations.

The Company does not have any unrecognized tax benefits as of December 31, 2018 and 2017.

Common Stock and Preferred Stock

12 Months Ended

Dec. 31, 2018

Equity [Abstract]

Common Stock and Preferred Stock

10. Common stock and preferred stock

Common stock

As of December 31, 2018 and 2017, the number of authorized shares of common stock was 200,000,000 and 5,000, with a par value of $0.001 per share, respectively, of which, 10,266,613 and 1,000 shares of common stock were issued and outstanding, respectively.

On March 26, 2018, Fluent completed the Spin-off of its risk management business from its digital marketing business by way of a distribution of all the shares of common stock of red violet to Fluent’s stockholders of record as of March 19, 2018, the Record Date, and certain warrant holders, which resulted in a distribution of a total of 10,266,613 shares of red violet common stock.

Preferred stock

As of December 31, 2018, we had 10,000,000 shares of preferred stock with par value of $0.001 per share authorized, and there were no shares of preferred stock issued or outstanding. There was no preferred stock authorized as of December 31, 2017.

Share-based Compensation

12 Months Ended

Dec. 31, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Share-based Compensation

11. Share-based compensation

On March 22, 2018, the board of directors of red violet and Fluent, in its capacity as sole stockholder of red violet prior to the Spin-off, approved the Red Violet, Inc. 2018 Stock Incentive Plan, (the “2018 Plan”), which became effective immediately prior to the Spin-off. A total of 3,000,000 shares of common stock were authorized to be issued under the 2018 Plan. The primary purpose of the 2018 Plan is to attract, retain, reward and motivate certain individuals by providing them with an opportunity to acquire or increase a proprietary interest in the Company and to incentivize them to expend maximum effort for the growth and success of the Company, so as to strengthen the mutuality of the interests between such individuals and the stockholders of the Company.

As of December 31, 2018, there were 879,000 shares of common stock reserved for issuance under the 2018 Plan.

Details of unvested RSUs activity during the year ended December 31, 2018 were as follows:

	Number of units			Weighted average grant-date fair value
Unvested as of December 31, 2017		-		$	-
Granted		2,145,500		$	7.65
Forfeited		(24,500	)	$	7.53
Unvested as of December 31, 2018		2,121,000		$	7.65

On March 29, 2018, an aggregate of 56,000 RSUs were granted to certain nonemployee directors, at a grant date fair value of $6.10 per share, under the 2018 Plan, with vesting periods ranging from one to three years.

In July 2018, an aggregate of 602,000 RSUs were granted to certain employees of the Company, at a grant date fair value ranging from $7.53 to $8.60 per share, under the 2018 Plan, with vesting periods ranging from three to four years.

On September 5, 2018, the Company’s compensation committee approved the grant of an aggregate of 1,487,500 RSUs, subject to both time- and performance-based requirements, to certain of its executive officers and directors, at a grant date fair value of $7.69 per share, under the 2018 Plan, with a three-year vesting period. Such RSU grants shall not vest unless and until the Company has, for any fiscal quarter in which the RSUs are outstanding, (i) gross revenue determined in accordance with the Company’s reviewed or audited financial statements in excess of $7.0 million for such fiscal quarter, (ii) positive adjusted EBITDA, as determined based on amounts derived from the Company’s reviewed or audited financial statements for such fiscal quarter, and (iii) the participant continues to provide services to the Company either as an employee, director or consultant on the last date of the quarter that the performance criteria is met (collectively, the “Performance Criteria”). If the Performance Criteria are met, the RSUs will vest one-third annually on each of July 1, 2019, July 1, 2020 and July 1, 2021 (“Time-Based Vesting Requirement”). In the event of a change of control, all RSUs which have not vested on the date of such change of control shall immediately vest even if the Performance Criteria has not been met. No amortization of share-based compensation expense has been recognized during the year ended December 31, 2018 in relation to RSUs with Performance Criteria, because, as of December 31, 2018, the Company determined that it is not probable that the Performance Criteria will be met.

As of December 31, 2018, unrecognized share-based compensation expense associated with the granted RSUs, excluding those RSUs with Performance Criteria, amounted to $3,980, which is expected to be recognized over a weighted average period of 2.8 years.

Share-based compensation was allocated to the following accounts in the consolidated financial statements for the years ended December 31, 2018 and 2017:

	Year Ended December 31,
(In thousands)	2018		2017
Sales and marketing expenses	$	158	$	259
General and administrative expenses		551		2,612
Share-based compensation expense		709		2,871
Capitalized in intangible assets		437		784
Total	$	1,146	$	3,655

The amounts recorded included an allocation of share-based compensation related to the share-based awards granted by Fluent to Company employees or non-employees prior to the Spin-off.

Related Party Transactions

12 Months Ended

Dec. 31, 2018

Related Party Transactions

12. Related party transactions

The contribution by Fluent, Inc., recorded in the consolidated statements of changes in shareholders’ equity and member’s capital, represents cash funding provided or the portion of certain expenses allocated by Fluent to red violet, on or prior to the Spin-off.

These allocated expenses are primarily corporate employee salaries and benefits of the functional groups (inclusive of executive management, accounting, administrative and information technology) and corporate administrative expenses (inclusive of legal services, accounting and finance services and other corporate and infrastructure services). Corporate employee salaries and benefits were allocated on the basis of time spent, and corporate administrative expenses were allocated on the basis of relative percentage of services utilized or benefit received. red violet recorded expenses of $325 and $3,646 for the years ended December 31, 2018 and 2017, respectively, as a result of the allocation of expenses from Fluent. Upon the Spin-off, Fluent no longer allocates any expenses to red violet.

In addition, share-based compensation of $344 and $3,655 for the years ended December 31, 2018 and 2017, respectively, relating to the share-based awards granted by Fluent prior to the Spin-off, were recorded.

Management believes the assumptions and allocations underlying the consolidated financial statements are reasonable and appropriate under the circumstances. The expense allocations have been determined on a basis considered to be a reasonable reflection of the utilization of services provided to or the benefit received by red violet during the periods presented relative to the total costs and expenses incurred by Fluent. However, these expenses may not be reflective of the expenses that would have been recorded had red violet been an entity that operated independently of Fluent, and not been a subsidiary of Fluent. Consequently, future results of operations of red violet after the Spin-off will include costs and expenses that may be materially different than red violet’s historical results of operations, financial position, and cash flows. Accordingly, the financial statements for these periods are not indicative of red violet’s future results of operations, financial position, and cash flow.

MDB Agreement and Services Agreement

On April 26, 2018, the Company entered into a consulting agreement with MDB Management, Inc. (“MDB”), a company owned by Michael Brauser, a greater than 10% shareholder of the Company and the then chairman of the Company’s board of directors, and one of his sons, for MDB to provide consulting services to the Company (“MDB Agreement”), which was terminated by mutual agreement of the parties on August 7, 2018. The Company recognized consulting service fees relating to the MDB Agreement of a total of $90 during the year ended December 31, 2018. On August 7, 2018, the Company entered into an executive chairman services agreement with Mr. Brauser, the then Executive Chairman of the Company, pursuant to which Mr. Brauser will be providing recommendations on organizational and capital structure, future acquisitions and strategic transactions (“Services Agreement”), for a term of one year, automatically renewing for additional one-year periods unless either party provides written notice to the other of its intent not to renew not fewer than 30 days prior to the expiration of the then current term. Mr. Brauser remains a consultant to the Company and continues to provide services under the existing Services Agreement after his resignation as Executive Chairman and as a member of the board of directors effective on September 9, 2018. Under the Services Agreement, Mr. Brauser receives cash compensation of $30 per month and is entitled to participate in the Company’s incentive compensation plan. The Company recognized consulting service fees relating to the Services Agreement of a total of $180 during the year ended December 31, 2018.

Commitments and Contingencies

12 Months Ended

Dec. 31, 2018

Commitments And Contingencies Disclosure [Abstract]

Commitments and Contingencies

13. Commitments and contingencies

(a) Operating lease commitments

The Company recorded rental expenses of $981 and $681 for the years ended December 31, 2018 and 2017, respectively. As of December 31, 2018, future minimum rental payments under non-cancellable operating leases having initial or remaining lease terms of more than one year are as follows:

(In thousands)
Year	December 31, 2018
2019	$	686
2020		705
2021		724
2022		743
2023		765
2024 and thereafter		619
Total	$	4,242

(b) Capital commitment

The Company incurred data costs of $5,550 and $4,280 for the years ended December 31, 2018 and 2017, respectively, under certain data licensing agreements. As of December 31, 2018, future material capital commitments under certain data licensing agreements were $21,752, shown as follows:

(In thousands)
Year	December 31, 2018
2019	$	7,005
2020		7,480
2021		5,615
2022		1,652
Total	$	21,752

We have employment agreements with certain executives, mainly including our Chief Executive Officer, President and Chief Financial Officer, which provide for compensation and certain other benefits and for severance payments under certain circumstances.

(d) Contingency

On June 21, 2018, the U.S. Supreme Court in South Dakota v. Wayfair, Inc. et al, overturned prior law which required physical presence for nexus and endorsed economic nexus as a basis for South Dakota to require online merchants to collect and remit sales taxes, even if the business does not have an in-state physical presence (the "Wayfair Decision"). As of the year ended December 31, 2018, more than thirty states have enacted their own interpretation of the Wayfair Decision. The Company collects and remits sales tax in certain states, as a result of the Wayfair Decision and as a result of our continued overall compliance and review practice related to our sales and use tax obligations. In addition, the Company is currently undergoing a state sales and use tax examination. Based upon our analysis of potential sales and use tax labilities, we determined that there were no matters that required an accrual as of the balance sheet date, December 31, 2018. In addition, we do not believe that any adverse decision regarding sales and use tax lability would result in any material impact on the Company’s operations.

We may be involved in litigation from time to time in the ordinary course of business. We do not believe that the ultimate resolution of any such matters will have a material adverse effect on our business, financial condition, results of operations or cash flows. However, the results of such matters cannot be predicted with certainty and we cannot assure you that the ultimate resolution of any legal or administrative proceeding or dispute will not have a material adverse effect on our business, financial condition, results of operations and cash flows.

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2018

Accounting Policies [Abstract]

Basis of Preparation and Liquidity

(a) Basis of preparation and liquidity

The accompanying consolidated financial statements have been prepared by red violet in accordance with accounting principles generally accepted in the United States (“US GAAP”).

Reclassifications

Certain prior period items, accounts payable and accrued expenses and other current liabilities, have been reclassified to conform to the current period presentation.

Principles of consolidation

Use of Estimates

(b) Use of estimates

Cash and Cash Equivalents

Cash and cash equivalents consist of cash on hand and bank deposits with original maturities of three months or less, which are unrestricted as to withdrawal and use.

Accounts Receivable

(d) Accounts receivable

Accounts receivable are due from customers and are generally unsecured, which consist of amounts earned but not yet collected. None of the Company’s accounts receivable bear interest.

Property and Equipment

(e) Property and equipment



Computer and network equipment			5-7 years
Furniture, fixtures and office equipment			5 years
Leasehold improvements			7 years

When items of property and equipment are retired or otherwise disposed of, loss/income is charged or credited for the difference between the net book value and proceeds received thereon.

Intangible Assets Other Than Goodwill

(f) Intangible assets other than goodwill

Goodwill

(g) Goodwill

Impairment of Long-lived Assets

(h) Impairment of long-lived assets

We concluded there was no impairment as of December 31, 2018 and 2017.

Fair Value of Financial Instruments

(i) Fair value of financial instruments

These tiers include:

•

Level 1 – defined as observable inputs such as quoted prices in active markets;

•

Level 2 – defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and

•

Level 3 – defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The fair value of the Company’s cash and cash equivalents, receivables and payables approximate their carrying amount because of the short-term nature of these instruments.

Revenue Recognition

(j) Revenue recognition

Sales commissions are incurred and recorded on an ongoing basis over the term of the customer relationship. These costs are recorded in sales and marketing expenses.

Cost of Revenue (Exclusive of Depreciation and Amortization)

(k) Cost of revenue (exclusive of depreciation and amortization)

Advertising and Promotion Costs

(l) Advertising and promotion costs

Share-based Compensation

(m) Share-based compensation

(n) Income taxes

(o) Loss per share

(p) Contingencies

(q) Segment reporting

The Company has only one operating segment, as defined by ASC 280, “Segment Reporting.”

Significant Concentrations and Risks

(r) Significant concentrations and risks

Concentration of credit risk

Concentration of customers

As of December 31, 2018 and 2017, there was no individual customer that accounted for more than 10% of the Company’s accounts receivable, net.

Concentration of suppliers

As of December 31, 2018 and 2017, one data supplier accounted for 42% and 25% of the Company’s total accounts payable.

Recently Issued Accounting Standards

(s) Recently issued accounting standards

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2018

Accounting Policies [Abstract]

Estimated Useful Lives of Property and Equipment

The estimated useful lives of property and equipment are as follows:



Computer and network equipment			5-7 years
Furniture, fixtures and office equipment			5 years
Leasehold improvements			7 years

Loss Per Share (Tables)

12 Months Ended

Dec. 31, 2018

Earnings Per Share [Abstract]

Schedule of Basic and Diluted Loss Per Share

This number of shares remained outstanding at December 31, 2018, and it is utilized to calculate the basic and diluted loss per share for the years ended December 31, 2018 and 2017, as shown in the table below.

	Year Ended December 31,
(In thousands, except share data)	2018			2017
Numerator:
Net loss	$	(6,868	)	$	(21,500	)
Denominator:
Weighted average shares outstanding - Basic and diluted		10,266,613			10,266,613
Loss per share:
Basic and diluted:	$	(0.67	)	$	(2.09	)

Accounts Receivable, Net (Tables)

12 Months Ended

Dec. 31, 2018

Receivables [Abstract]

Summary of Accounts Receivable, Net

Accounts receivable, net consist of the following:

(In thousands)	December 31, 2018			December 31, 2017
Accounts receivable	$	2,342		$	1,878
Less: Allowance for doubtful accounts		(77	)		(228	)
Total accounts receivable, net	$	2,265		$	1,650

Summary of Movement of Allowance for Doubtful Accounts

The movement of allowance for doubtful accounts is shown below:

	Year Ended December 31,
(In thousands)	2018			2017
Beginning balance	$	228		$	111
Charges to expenses		294			287
Write-offs		(445	)		(170	)
Ending balance	$	77		$	228

Property and Equipment, Net (Tables)

12 Months Ended

Dec. 31, 2018

Property Plant And Equipment [Abstract]

Property and Equipment, Net

Property and equipment, net consist of the following:

(In thousands)	December 31, 2018			December 31, 2017
Computer and network equipment	$	680		$	876
Furniture, fixtures and office equipment		803			801
Leasehold improvements		53			52
Total cost		1,536			1,729
Less: Accumulated depreciation		(684	)		(638	)
Property and equipment, net	$	852		$	1,091

Intangible Assets, Net (Tables)

12 Months Ended

Dec. 31, 2018

Intangible Assets Net Excluding Goodwill [Abstract]

Intangible Assets Other than Goodwill

Intangible assets other than goodwill consist of the following:

December 31, 2018

December 31, 2017

(In thousands)

Amortization

Period

Gross Amount

Accumulated Amortization

Net

Gross Amount

Accumulated Amortization

Net

Software developed for internal use

5-10 years

22,990

(3,019

)

19,971

16,642

(1,289

)

15,353

Schedule of Estimated Amortization Expenses

As of December 31, 2018, estimated amortization expenses related to the Company’s intangible assets for 2019 through 2024 and thereafter are as follows:

(In thousands)
Year	December 31, 2018
2019	$	2,564
2020		2,564
2021		2,562
2022		2,561
2023		2,486
2024 and thereafter		7,234
Total	$	19,971

Accrued Expenses and Other Current Liabilities (Tables)

12 Months Ended

Dec. 31, 2018

Payables And Accruals [Abstract]

Schedule of Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consist of the following:

(In thousands)	December 31, 2018		December 31, 2017
Employees compensation expenses	$	284	$	400
Accrued data acquisition costs		273		80
Deferred rent		345		275
Litigation settlement payable		-		4,000
Miscellaneous expenses payable		375		23
Total	$	1,277	$	4,778

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Schedule of Benefit for Income Taxes

The Company is subject to federal and state income taxes in the United States. The income taxes on loss before income taxes consisted of the following:

	Year Ended December 31,
(In thousands)	2018			2017
Current
Federal and state	$	-		$	-
Deferred
Federal		7,979			(740	)
State		1,543			(1,151	)
Valuation allowance		(9,522	)		1,891
		-			-
Provision for income tax	$	-		$	-

Reconciliation of Effective Income Tax Benefit

The Company’s effective income tax benefit differed from the U.S. corporate statutory income tax rate for the years ended December 31, 2018 and 2017. A reconciliation is as follows:

	Year Ended December 31,
(In thousands)	2018					2017
Tax on loss before income taxes	$	(1,442	)	21.0	%	$	(7,310	)	34.0	%
Effect of state taxes (net of federal tax benefit)		1,543		-22.5	%		(769	)	3.6	%
Excess tax benefit from share-based compensation		-		0.0	%		288		-1.3	%
Other permanent differences		11		-0.2	%		58		-0.2	%
Deferred remeasurement for tax rate change		-		0.0	%		5,842		-27.2	%
Effect of the Spin-off from Fluent		9,410		-137.0	%		-		0.0	%
Valuation allowance		(9,522	)	138.7	%		1,891		-8.9	%
Income tax benefit	$	-		0.0	%	$	-		0.0	%

Schedule of Components of Deferred Tax Assets and Liabilities

Components of deferred tax assets and liabilities consist of the following:

(In thousands)	December 31, 2018			December 31, 2017
Deferred tax assets:
Net operating loss carryforwards	$	3,836		$	10,931
Share-based compensation		128			563
Accounts receivable		18			59
Accrued expenses and other current liabilities		128			1,113
		4,110			12,666
Valuation allowance		(2,318	)		(11,840	)
		1,792			826
Deferred tax liabilities:
Intangible assets		1,660			662
Property and equipment		132			164
		1,792			826
Net deferred income tax	$	-		$	-

Share-based Compensation (Tables)

12 Months Ended

Dec. 31, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Schedule of Unvested Restricted Stock Units

Details of unvested RSUs activity during the year ended December 31, 2018 were as follows:

	Number of units			Weighted average grant-date fair value
Unvested as of December 31, 2017		-		$	-
Granted		2,145,500		$	7.65
Forfeited		(24,500	)	$	7.53
Unvested as of December 31, 2018		2,121,000		$	7.65

Summary of Allocated Share-based Compensation

Share-based compensation was allocated to the following accounts in the consolidated financial statements for the years ended December 31, 2018 and 2017:

	Year Ended December 31,
(In thousands)	2018		2017
Sales and marketing expenses	$	158	$	259
General and administrative expenses		551		2,612
Share-based compensation expense		709		2,871
Capitalized in intangible assets		437		784
Total	$	1,146	$	3,655

Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2018

Commitments And Contingencies Disclosure [Abstract]

Future Minimum Rental Payments Under Non-cancellable Operating Leases

(In thousands)
Year	December 31, 2018
2019	$	686
2020		705
2021		724
2022		743
2023		765
2024 and thereafter		619
Total	$	4,242

Future Minimum Capital Payments Under Certain Data Licensing Agreements

(In thousands)
Year	December 31, 2018
2019	$	7,005
2020		7,480
2021		5,615
2022		1,652
Total	$	21,752

Principal Activities and Organization - Additional Information (Details)	12 Months Ended
	Dec. 31, 2018 Segment	Mar. 26, 2018 shares
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Operating segments \| Segment	1
Spin-off completed date	Mar. 26, 2018
Spin-off record date	Mar. 19, 2018
Common stock distribution ratio at spin-off	13.33%
Common stock shares distributed at spin-off \| shares		10,266,613

Summary of Significant Accounting Policies - Additional Information (Details)	12 Months Ended
	Dec. 31, 2018 USD ($) Segment Customer Supplier	Dec. 31, 2017 USD ($) Customer Supplier	Mar. 31, 2019 USD ($)	Dec. 31, 2016 USD ($)
Summary Of Significant Accounting Policies [Line Items]
Net loss	$ (6,868,000)	$ (21,500,000)
Net cash used in operating activities	(8,053,000)	(10,411,000)
Accumulated deficit	(4,784,000)
Cash and cash equivalents	9,950,000	65,000		$ 226,000
Net increase in cash and cash equivalents	$ 9,885,000	(161,000)
Cash and cash equivalents maturity description	three months or less
FDIC Insurance limit	$ 250,000
Allowance for doubtful accounts	77,000	228,000		$ 111,000
Goodwill	5,227,000	5,227,000
Goodwill impairment	0	0
Impairment of long lived assets	$ 0	0
Deferred revenue recognition period	12 months
Additional automatic renewal period of contract	12 months
Description of written notice of intent for renewal of contract term	Revenue pursuant to contracts containing a monthly fee is recognized ratably over the contract period, which is generally 12 months, and the contract shall automatically renew for additional, successive 12-month terms unless written notice of intent not to renew is provided by one party to the other at least 30 days or 60 days prior to the expiration of the then current term.
Deferred revenue	$ 26,000	33,000
Deferred revenue realization period	12 months
Revenue recognized, previously reported as deferred	$ 33,000
Estimated revenue expected to be recognized in the future	$ 877,000
Period over which subscription contract terms exceed	12 months
Advertising and promotion costs	$ 198,000	$ 110,000
U.S. corporate statutory income tax rate	21.00%	34.00%
Percentage of tax benefits likelihood of being realized upon settlement of tax authority	greater than 50%
Operating segments \| Segment	1
ASU 2016-02 \| Scenario Forecast
Summary Of Significant Accounting Policies [Line Items]
Right of use assets			$ 3,000,000
Total operating lease obligation			$ 3,400,000
Customer Concentration Risk \| Sales Revenue, Net
Summary Of Significant Accounting Policies [Line Items]
Major customers \| Customer	1	0
Concentration risk	11.00%	10.00%
Customer Concentration Risk \| Accounts Receivable
Summary Of Significant Accounting Policies [Line Items]
Major customers \| Customer	0	0
Concentration risk	10.00%	10.00%
Supplier Concentration Risk
Summary Of Significant Accounting Policies [Line Items]
Initial term of agreement expiration date with supplier	Apr. 30, 2022
Each party's written notice of termination after the initial term	30 days
The Company's written notice of termination during the initial term	24 months
Supplier's written notice of termination during the initial term	150 days
Remaining minimum purchase commitments through end of initial term	$ 14,900,000
Supplier Concentration Risk \| Cost of Total Data Acqusition
Summary Of Significant Accounting Policies [Line Items]
Concentration risk	46.00%	43.00%
Supplier Concentration Risk \| Total Accounts Payable \| Data Supplier One
Summary Of Significant Accounting Policies [Line Items]
Concentration risk	42.00%	25.00%
Number of major suppliers \| Supplier	1	1
Customers With Pricing Contracts
Summary Of Significant Accounting Policies [Line Items]
Percentage of Revenue	58.00%	36.00%
Transactional Customers
Summary Of Significant Accounting Policies [Line Items]
Percentage of Revenue	42.00%	64.00%
Interactive Data
Summary Of Significant Accounting Policies [Line Items]
Goodwill	$ 5,227,000	$ 5,227,000
Maximum
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life of intangible assets	10 years
Minimum
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life of intangible assets	5 years
United States
Summary Of Significant Accounting Policies [Line Items]
Cash and cash equivalents	$ 9,950,000	$ 65,000

Summary of Significant Accounting Policies - Estimated Useful Lives of Property and Equipment (Details)	12 Months Ended
	Dec. 31, 2018
Computer and Network Equipment \| Maximum
Property, Plant and Equipment [Line Items]
Estimated life of property and equipment	7 years
Computer and Network Equipment \| Minimum
Property, Plant and Equipment [Line Items]
Estimated life of property and equipment	5 years
Furniture, Fixtures and Office Equipment
Property, Plant and Equipment [Line Items]
Estimated life of property and equipment	5 years
Leasehold Improvements
Property, Plant and Equipment [Line Items]
Estimated life of property and equipment	7 years

Summary of Significant Accounting Policies - Additional Information (Details 1) $ in Thousands	Dec. 31, 2018 USD ($)
Summary Of Significant Accounting Policies [Line Items]
Estimated revenue expected to be recognized in the future	$ 877
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-01-01
Summary Of Significant Accounting Policies [Line Items]
Estimated revenue expected to be recognized in the future	$ 644
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2020-01-01
Summary Of Significant Accounting Policies [Line Items]
Estimated revenue expected to be recognized in the future
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year

Loss Per Share - Additional Information (Details) - shares	12 Months Ended
	Dec. 31, 2018	Mar. 26, 2018	Dec. 31, 2017
Earnings Per Share [Line Items]
Common stock, shares outstanding	10,266,613		1,000
Common stock shares distributed at spin-off		10,266,613
Restricted Stock Units (RSUs)
Earnings Per Share [Line Items]
Shares excluded from the diluted loss per share calculation	2,121,000

Loss Per Share - Schedule of Basic and Diluted Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Earnings Per Share [Abstract]
Net loss	$ (6,868)	$ (21,500)
Weighted average shares outstanding - Basic and diluted	10,266,613	10,266,613
Loss per share:
Basic and diluted:	$ (0.67)	$ (2.09)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Accounts Receivable, Net - Summary of Accounts Receivable, Net (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Receivables [Abstract]
Accounts receivable	$ 2,342	$ 1,878
Less: Allowance for doubtful accounts	(77)	(228)	$ (111)
Total accounts receivable, net	$ 2,265	$ 1,650

Accounts Receivable, Net - Summary of Movement of Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Receivables [Abstract]
Beginning balance	$ 228	$ 111
Charges to expenses	294	287
Write-offs	(445)	(170)
Ending balance	$ 77	$ 228

Accounts Receivable, Net - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Receivables [Abstract]
Provision for bad debts	$ 294	$ 287

Property and Equipment, Net - Property and Equipment, Net (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Property, Plant and Equipment [Line Items]
Total cost of property and equipment	$ 1,536	$ 1,729
Less: Accumulated depreciation	(684)	(638)
Property and equipment, net	852	1,091
Computer and Network Equipment
Property, Plant and Equipment [Line Items]
Total cost of property and equipment	680	876
Furniture, Fixtures and Office Equipment
Property, Plant and Equipment [Line Items]
Total cost of property and equipment	803	801
Leasehold Improvements
Property, Plant and Equipment [Line Items]
Total cost of property and equipment	$ 53	$ 52

Property and Equipment, Net - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Property Plant And Equipment [Abstract]
Depreciation of property and equipment	$ 266	$ 272

Intangible Assets, Net - Intangible Assets Other than Goodwill (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Finite Lived Intangible Assets [Line Items]
Intangible Assets, Net	$ 19,971	$ 15,353
Minimum
Finite Lived Intangible Assets [Line Items]
Amortization Period	5 years
Maximum
Finite Lived Intangible Assets [Line Items]
Amortization Period	10 years
Software Developed for Internal Use
Finite Lived Intangible Assets [Line Items]
Intangible Assets, Gross Amount	$ 22,990	16,642
Intangible Assets, Accumulated Amortization	(3,019)	(1,289)
Intangible Assets, Net	$ 19,971	$ 15,353
Software Developed for Internal Use \| Minimum
Finite Lived Intangible Assets [Line Items]
Amortization Period	5 years
Software Developed for Internal Use \| Maximum
Finite Lived Intangible Assets [Line Items]
Amortization Period	10 years

Intangible Assets, Net - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Finite Lived Intangible Assets [Line Items]
Amortization expenses	$ 1,730	$ 866
Internally-developed Software
Finite Lived Intangible Assets [Line Items]
Intangible assets that have not started amortization	3,831
Capitalized costs of internally-developed software	$ 6,348	$ 6,737

Intangible Assets, Net - Schedule of Estimated Amortization Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Intangible Assets Net Excluding Goodwill [Abstract]
2019	$ 2,564
2020	2,564
2021	2,562
2022	2,561
2023	2,486
2024 and thereafter	7,234
Intangible Assets, Net	$ 19,971	$ 15,353

Accrued Expenses and Other Current Liabilities - Schedule of Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Payables And Accruals [Abstract]
Employees compensation expenses	$ 284	$ 400
Accrued data acquisition costs	273	80
Deferred rent	345	275
Litigation settlement payable		4,000
Miscellaneous expenses payable	375	23
Total	$ 1,277	$ 4,778

Accrued Expenses and Other Current Liabilities - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Jun. 30, 2017	Dec. 31, 2018	Dec. 31, 2017
Accrued Expenses And Other Current Liabilities [Line Items]
General and administrative expenses		$ 8,405	$ 17,480
IDI Holdings, LLC.
Accrued Expenses And Other Current Liabilities [Line Items]
Litigation settlement			$ 7,000
General and administrative expenses	$ 7,000

Other Income, Net - Additional Information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2018 USD ($)
Other Income And Expenses [Abstract]
Transition service income	$ 218
Insurance proceeds	$ 350

Income Taxes - Schedule of Benefit for Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Deferred
Federal	$ 7,979	$ (740)
State	1,543	(1,151)
Valuation allowance	$ (9,522)	$ 1,891

Income Taxes - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Income Taxes [Line Items]
Statutory federal income tax rate	21.00%	34.00%
Operating loss carryforward, expiration year	2034
Operating loss carryforwards valuation allowance	$ 2,318,000	$ 11,840,000
(Decrease) increase in valuation allowance	$ (9,522,000)	1,891,000
Percentage of tax benefits likelihood of being realized upon settlement of tax authority	greater than 50%
Unrecognized tax benefits	$ 0	$ 0
Domestic Tax Authority
Income Taxes [Line Items]
Net operating loss carryforwards	16,360,000
Net operating loss carryforwards, carried forward indefinitely	8,816,000
State and Local Jurisdiction
Income Taxes [Line Items]
Net operating loss carryforwards	$ 8,411,000

Income Taxes - Effective Income Tax Benefit Differed from Statutory Federal Income Tax Rate (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Income Tax Expense Benefit Continuing Operations Income Tax Reconciliation [Abstract]
Tax on loss before income taxes	$ (1,442)	$ (7,310)
Effect of state taxes (net of federal tax benefit)	1,543	(769)
Excess tax benefit from share-based compensation		288
Other permanent differences	11	58
Deferred remeasurement for tax rate change		5,842
Effect of the Spin-off from Fluent	9,410
Valuation allowance	$ (9,522)	$ 1,891
U.S. corporate statutory income tax rate	21.00%	34.00%
Effect of state taxes (net of federal tax benefit)	(22.50%)	3.60%
Excess tax benefit from share-based compensation	0.00%	(1.30%)
Other permanent differences	(0.20%)	(0.20%)
Deferred remeasurement for tax rate change	0.00%	(27.20%)
Effect of the Spin-off from Fluent	(137.00%)	0.00%
Valuation allowance	138.70%	(8.90%)
Income tax benefit	0.00%	0.00%

Income Taxes - Schedule of Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Deferred tax assets:
Net operating loss carryforwards	$ 3,836	$ 10,931
Share-based compensation	128	563
Accounts receivable	18	59
Accrued expenses and other current liabilities	128	1,113
Deferred tax assets, gross, Total	4,110	12,666
Valuation allowance	(2,318)	(11,840)
Deferred tax assets, net of valuation allowance	1,792	826
Deferred tax liabilities:
Intangible assets	1,660	662
Property and equipment	132	164
Deferred tax liabilities, gross, Total	$ 1,792	$ 826

Common Stock and Preferred Stock - Additional Information (Details) - $ / shares	12 Months Ended
	Dec. 31, 2018	Mar. 26, 2018	Dec. 31, 2017
Equity [Abstract]
Common stock, shares authorized	200,000,000		5,000
Common stock, par value	$ 0.001		$ 0.001
Common stock, shares issued	10,266,613		1,000
Common stock, shares outstanding	10,266,613		1,000
Spin-off transaction completed date	Mar. 26, 2018
Spin-off transaction record date	Mar. 19, 2018
Common stock shares distributed at spin-off		10,266,613
Preferred stock, shares authorized	10,000,000		0
Preferred stock, par value	$ 0.001		$ 0.001
Preferred stock, shares issued	0		0
Preferred stock, shares outstanding	0		0

Share-based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended	12 Months Ended
	Sep. 05, 2018	Mar. 29, 2018	Jul. 31, 2018	Dec. 31, 2018	Dec. 31, 2017	Mar. 22, 2018
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Amortization of share based compensation expense				$ 709	$ 2,871
Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted stock units granted				2,145,500
Grant date fair value per share				$ 7.65
Unrecognized share-based compensation costs in respect of granted RSUs, excluding RSUs with Performance Criteria				$ 3,980
Unrecognized share-based compensation weighted average period				2 years 9 months 18 days
2018 Stock Incentive Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of common stock authorized						3,000,000
Common stock reserved for future issuance				879,000
2018 Stock Incentive Plan \| Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted stock units granted			602,000
2018 Stock Incentive Plan \| Restricted Stock Units (RSUs) \| Non-employee Directors
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted stock units granted		56,000
Grant date fair value per share		$ 6.10
2018 Stock Incentive Plan \| Restricted Stock Units (RSUs) \| Executive Officers and Directors
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted stock units granted	1,487,500
Grant date fair value per share	$ 7.69
Vesting period	3 years
Gross revenue threshold limit for vesting of grants	$ 7,000
Amortization of share based compensation expense				$ 0
2018 Stock Incentive Plan \| Restricted Stock Units (RSUs) \| Executive Officers and Directors \| Time-Based Vesting, Year One
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting percentage	33.33%
Vesting date	Jul. 01, 2019
2018 Stock Incentive Plan \| Restricted Stock Units (RSUs) \| Executive Officers and Directors \| Time-Based Vesting, Year Two
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting percentage	33.33%
Vesting date	Jul. 01, 2020
2018 Stock Incentive Plan \| Restricted Stock Units (RSUs) \| Executive Officers and Directors \| Time-Based Vesting, Year Three
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting percentage	33.33%
Vesting date	Jul. 01, 2021
2018 Stock Incentive Plan \| Minimum \| Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Grant date fair value per share			$ 7.53
Vesting period			3 years
2018 Stock Incentive Plan \| Minimum \| Restricted Stock Units (RSUs) \| Non-employee Directors
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period		1 year
2018 Stock Incentive Plan \| Maximum \| Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Grant date fair value per share			$ 8.60
Vesting period			4 years
2018 Stock Incentive Plan \| Maximum \| Restricted Stock Units (RSUs) \| Non-employee Directors
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period		3 years

Share-based Compensation - Schedule of Unvested RSUs Activity (Detail) - Restricted Stock Units (RSUs)	12 Months Ended
	Dec. 31, 2018 $ / shares shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Granted, Number of units \| shares	2,145,500
Forfeited, Number of units \| shares	(24,500)
Unvested, Number of units Ending balance \| shares	2,121,000
Granted, Weighted average grant-date fair value \| $ / shares	$ 7.65
Forfeited, Weighted average grant-date fair value \| $ / shares	7.53
Unvested, Weighted average grant-date fair value, Ending balance \| $ / shares	$ 7.65

Share-based Compensation - Summary of Allocated Share-based Compensation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Share-based compensation recognized
Share-based compensation expense	$ 709	$ 2,871
Capitalized in intangible assets	437	784
Total	1,146	3,655
Sales and Marketing Expenses
Share-based compensation recognized
Share-based compensation expense	158	259
General and Administrative Expenses
Share-based compensation recognized
Share-based compensation expense	$ 551	$ 2,612

Related Party Transactions - Additional Information (Details) - USD ($) $ in Thousands		12 Months Ended
	Aug. 07, 2018	Dec. 31, 2018	Dec. 31, 2017	Apr. 26, 2018
Related Party Transaction [Line Items]
Share-based compensation amount		$ 1,146	$ 3,655
Fluent, Inc.
Related Party Transaction [Line Items]
Allocation of expenses from Fluent		325	3,646
Share-based compensation amount		344	$ 3,655
MDB Management Group Inc. [Member] \| Chairman
Related Party Transaction [Line Items]
Consulting service fee recognized amount		90
MDB Management Group Inc. [Member] \| Chairman \| Minimum
Related Party Transaction [Line Items]
Percentage of shareholder holdings				10.00%
Services Agreement \| Michael Brauser-Executive Chairman
Related Party Transaction [Line Items]
Consulting service fee recognized amount		$ 180
Term of agreement, related party	1 year
Renewal term of agreement, related party	1 year
Consulting service fee monthly payment	$ 30

Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Commitments And Contingencies Disclosure [Abstract]
Rental expenses	$ 981	$ 681
Data cost incurred	5,550	$ 4,280
Total capital commitment under certain data licensing agreements	$ 21,752

Commitments and Contingencies - Future Minimum Rental Payments Under Non-cancellable Operating Leases (Details) $ in Thousands	Dec. 31, 2018 USD ($)
Commitments And Contingencies Disclosure [Abstract]
2019	$ 686
2020	705
2021	724
2022	743
2023	765
2024 and thereafter	619
Total	$ 4,242

Commitments and Contingencies - Future Minimum Capital Payments Under Certain Data Licensing Agreements (Details) $ in Thousands	Dec. 31, 2018 USD ($)
Commitments And Contingencies Disclosure [Abstract]
2019	$ 7,005
2020	7,480
2021	5,615
2022	1,652
Total	$ 21,752