13. Concentrations

Revenues from the Company’s services to a limited number of customers have accounted for a substantial percentage of the Company’s total revenues. For the three months ended June 30, 2015, the Company’s two largest customers Bruner Corp (“Bruner”), a direct client and ComDoc (“ComDoc”), a reseller, accounted for 10% and 9%, respectively, of the Company’s revenue for that period. For the three months ended June 30, 2014, the Company’s two largest customers, Washington State Patrol (“WSP”), a direct client, and Tiburon (“Tiburon”), a reseller, accounted for 15% and 11%, respectively, of the Company’s revenue for that period. For the six months ended June 30, 2015, the Company’s two largest customers Tiburon, a reseller, and Bruner, a direct client accounted for approximately 12% and 5%, respectively, of the Company’s revenues for that period. For the six months ended June 30, 2014, the Company’s two largest customers, Tiburon and WSP, accounted for approximately 13% and 9%, respectively, of the Company’s revenues for that period.

For the three months ended June 30, 2015 and 2014, government contracts represented approximately 39% and 55% of the Company’s total revenues, respectively. A significant portion of the Company’s sales to Tiburon and Lexmark represent ultimate sales to government agencies. For the six months ended June 30, 2015 and 2014 government contracts represented approximately 43% and 50%, respectively, of the Company’s net revenue.

As of June 30, 2015, accounts receivable concentrations from the Company’s two largest customers were 22% and 11 % of gross accounts receivable, respectively, and as of June 30, 2014, accounts receivable concentrations from the Company’s four largest customers were 15%, 13%, 11% and 10% of gross accounts receivable, respectively. Accounts receivable balances from the Company’s four largest customers at June 30, 2015 have since been partially collected.