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Revenues and Deferred Costs
 12 Months Ended
Dec. 31, 2022
Revenue from Contract with Customer [Abstract]  
Revenues and Deferred Costs Revenues and Deferred Costs
The Company derives the majority of its revenues from recurring monthly subscription fees charged for the use of its software-as-a-service (“SaaS”) subscription services. Subscription revenues are generally recognized as revenue over the term of the contract as a series of distinct SaaS services bundled into a single performance obligation. Clients are usually charged a one-time, upfront implementation fee and recurring annual and monthly access fees for the use of the online digital relationship banking solution. Implementation and integration of the digital banking platform is complex, and the Company has determined that the one-time, upfront services do not transfer a promised service to the client. As these services are not distinct, they are bundled into the SaaS series of services, and the associated fees are recognized on a straight-line basis over the subscription term. Other services includes professional services and custom development.

The following table disaggregates the Company's revenue by major source for the years ended December 31, 2022, 2021, and 2020:

Year ended December 31,
(in thousands)202220212020
SaaS subscription services$194,387 $143,575 $105,049 
Implementation services6,941 6,291 5,212 
Other services2,942 2,293 1,881 
Total revenues$204,270 $152,159 $112,142 

The Company recognized approximately $14.8 million of revenue during the year ended December 31, 2022 that was included in deferred revenue in the accompanying balance sheets as of the beginning of the reporting period. For those contracts that were wholly or partially unsatisfied as of December 31, 2022, minimum contracted subscription revenues to be recognized in future periods total approximately $893.4 million. The Company expects to recognize approximately 44.6% percent of this amount as subscription services are transferred to customers over the next 24 months, an additional 32.6% percent in the next 25 to 48 months, and the balance thereafter. This estimate does not include estimated consideration
for excess user and transaction processing fees that the Company expects to earn under its subscription contracts.

Deferred Cost Recognition

The Company capitalized $8.3 million, $4.0 million, and $3.0 million in deferred commissions costs during the years ended December 31, 2022, 2021, and 2020, respectively, and recognized amortization of $2.9 million, $2.1 million, and $1.6 million during the years ended December 31, 2022, 2021, and 2020, respectively. A portion of the increase in deferred commissions was driven by a change in the Company’s commission plan in 2022 which eliminated a requisite service period condition and resulted in an increase in the portion of commissions that were capitalized.Amortization expense is included in sales and marketing expenses in the accompanying statements of operations. Deferred commissions are considered costs to obtain a contract and are included in deferred implementation costs in the accompanying consolidated balance sheets in the amount of $16.2 million and $10.8 million as of December 31, 2022 and 2021, respectively.

The Company capitalized implementation costs of $6.9 million, $6.1 million, and $4.5 million during the years ended December 31, 2022, 2021, and 2020, respectively, and recognized amortization of $3.9 million, $3.0 million, and $2.2 million during the years ended December 31, 2022, 2021, and 2020, respectively. Amortization expense is included in cost of revenues in the accompanying consolidated statements of operations. These deferred costs are considered costs to fulfill client contracts and are included in deferred implementation costs in the accompanying consolidated balance sheets in the amount of $16.4 million and $13.5 million as of December 31, 2022 and 2021, respectively.

The Company periodically reviews the carrying amount of deferred costs to determine whether events or changes in circumstances have occurred that could impact the period of benefit. No impairment loss was recognized in relation to these capitalized costs for the years ended December 31, 2022, 2021, and 2020.