NATURE OF BUSINESS

12 Months Ended

Dec. 31, 2014

NATURE OF BUSINESS [Abstract]

NATURE OF BUSINESS

Note 1 – Nature of Business

Direct Insite Corp. (“Direct Insite” or the “Company”) operates as a Software as a Service provider (“SaaS”), providing financial supply chain automation and workflow efficiencies within the Procure-to-Pay and Order-to-Cash processes. Specifically, Direct Insite’s global electronic invoice (“e-invoice”) management services automate complex manual business processes such as invoice validation, order matching, consolidation, dispute handling, and e-payment processing in a business-to-business transaction based “fee for services” business model.

The Company’s revenue comes from (i) recurring, on-going services that are billed monthly and (ii) non-recurring, professional services derived from the configuration of the Company’s software platform.

Throughout the year, the Company operated redundant data centers in Miami, Florida, and Santa Clara, California. Commencing in November 2014, the Company operated an additional data center in Amsterdam, Netherlands.

As described in Note 9, the Company has two major customers (one of which has separate contracts with multiple companies) that accounted for 75.8% and 77.4% of the Company’s revenue for the years ended December 31, 2014 and 2013, respectively.  Loss of either of these customers, or any of the separate contracts under a main customer, could have a material effect on the Company.