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 September 30, 2016, the Company’s two largest customers, Tiburon, Inc. (“Tiburon”) a Reseller and Franklin County Data Center (“FCDC”) a direct client accounted for approximately 13% and 11%, respectively, of the Company’s total revenue for that period. For the three months ended September 30, 2015, the Company’s two largest customers, Washington State Patrol (“WSP”), a direct client, and Tiburon accounted for 9% and 8%, respectively, of the Company’s total revenue for that period. For the nine months ended September 30, 2016, the Company’s two largest customers, Tiburon and FCDC accounted for approximately 10% and 9%, respectively, of the Company’s total revenues for that period. For the nine months ended September 30, 2015, the Company’s two largest customers, Tiburon and WSP, accounted for approximately 11% and 5%, respectively, of the Company’s total revenues for that period.

For the three months ended September 30, 2016 and 2015, government contracts represented approximately 37% and 42%, respectively, of the Company’s total revenues. A significant portion of the Company’s sales to Tiburon and Lexmark represent ultimate sales to government agencies. For the nine months ended September 30, 2016 and 2015, government contracts represented approximately 41% and 42%, respectively, of the Company’s total revenue.

As of September 30, 2016, accounts receivable concentrations from the Company’s three largest customers were 23%, 11% and 10% of gross accounts receivable, respectively As of December 31, 2015, accounts receivable concentrations from the Company’s three largest customers were 18%, 13% and 12% of gross accounts receivable, respectively. Accounts receivable balances from the Company’s three largest customers at September 30, 2016 have since been partially collected.