Debt

12 Months Ended

Dec. 31, 2018

Debt Disclosure [Abstract]

Debt

Debt

Other Long-Term Debt

In August 2014, we entered into a $15.0 million credit facility with Silicon Valley Bank, which was subsequently amended. The credit facility can be used to fund working capital and general business requirements and matures in August 2020. The credit facility is secured by all of our assets, has first priority over our other debt obligations, and requires us to maintain certain financial covenants, including the maintenance of at least $5.0 million of cash on hand or unused borrowing capacity. The credit facility contains certain restrictive covenants that limit our ability to transfer or dispose of assets, merge with other companies or consummate certain changes of control, acquire other companies, pay dividends, incur additional indebtedness and liens, experience changes in management and enter into new businesses. The credit facility has a variable interest rate equal to the bank’s prime lending rate with interest payable monthly and the principal balance due at maturity. The credit facility’s interest rate was 5.5% at December 31, 2018. We recorded no interest expense for the years ended December 31, 2018, 2017 and 2016 related to such debt agreement.

In November 2018, we issued a letter of credit for $0.5 million as a security deposit for new office space. The issuance of the letter of credit reduced the borrowing capacity under our line of credit to approximately $14.5 million. No other amounts were outstanding under the credit facility as of December 31, 2018 and 2017.