0001286139-23-000132 | 10-Q | XBRL Viewer

Summary of Significant Accounting Policies

9 Months Ended

Sep. 30, 2023

Summary of Significant Accounting Policies

A summary of the significant accounting policies we follow in the preparation of the accompanying unaudited condensed consolidated financial statements is set forth below.

Basis of Presentation and Consolidation

The accompanying unaudited condensed consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States of America, or GAAP, for interim financial information. Certain information and disclosures normally included in consolidated financial statements prepared in accordance with GAAP have been condensed or omitted. Accordingly, these unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and the related notes thereto included in the Annual Report on Form 10-K for the year ended December 31, 2022. The December 31, 2022 unaudited condensed consolidated balance sheet was derived from our audited consolidated financial statements as of that date. Our unaudited condensed consolidated financial statements include, in the opinion of management, all adjustments, consisting of normal and recurring items, necessary for the fair statement of the unaudited condensed consolidated financial statements. All intercompany balances and transactions have been eliminated in consolidation. There have been no significant changes in accounting policies during the three and nine months ended September 30, 2023 from those disclosed in the annual consolidated financial statements for the year ended December 31, 2022 and the related notes, except as noted below in the Recently Adopted Accounting Pronouncements.

The operating results for the three and nine months ended September 30, 2023 are not necessarily indicative of the results expected for the full year ending December 31, 2023.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenue and expenses, and related disclosures of contingent liabilities in the consolidated financial statements and accompanying notes. Estimates are used for, but not limited to, revenue recognition, sales allowances and expected credit loss allowances, available-for-sale debt securities, other equity securities, recoverability of long-lived assets and goodwill, income taxes, commitments and contingencies, and stock-based compensation. Actual results could differ materially from those estimates. On an ongoing basis, we evaluate the estimates compared to historical experience and other factors including the current economic and regulatory environment, which form the basis for our judgments about the carrying value of assets and liabilities.

Significant Accounting Policies

Significant accounting policies are detailed in "Note 2. Summary of Significant Accounting Policies" of our Annual Report on Form 10-K for the year ended December 31, 2022. On January 1, 2022, we adopted Financial Accounting Standards Board, or FASB, Accounting Standards Codification No. 842, Leases, or ASC 842, with application to leases that existed as of the adoption date. On January 1, 2022, we also adopted Accounting Standard Update, or ASU, No. 2016-13, Financial Instruments—Credit losses: Measurement of Credit Losses on Financial Instruments (Topic 326), or ASU 2016-13, using the modified-retrospective transition method for assets measured at amortized cost other than available-for-sale debt securities, which was adopted using a prospective transition approach. The adoption of ASU 2016-13 did not have a material impact on our unaudited condensed consolidated financial statements.

Segment and Geographic Information

Our Chief Executive Officer, as the Chief Operating Decision Maker, organizes our company, manages resource allocations, and measures performance on the basis of one operating segment.

Revenue outside of the U.S., based on the location of the customer, represented less than 1% of our unaudited consolidated revenue for the three and nine months ended September 30, 2023 and 2022. Our property and equipment and right-of-use, or ROU, assets located outside of the U.S. were immaterial as of September 30, 2023 and December 31, 2022.

Foreign Currency

The British Pound Sterling is the functional currency for our foreign subsidiaries domiciled in the U.K. The financial statements of these foreign subsidiaries are translated to U.S. Dollars using period-end rates of exchange for assets and liabilities, historical rates of exchange for equity, and average rates of exchange for the period for revenue and expenses. Translation gains and losses are recorded in accumulated other comprehensive income (loss) as a component of our unaudited condensed consolidated statements of stockholders’ equity. We recognized foreign currency transaction loss of $0.9 million and gain of $0.2 million during the three and nine months ended September 30, 2023, respectively, and losses of $2.6 million and $6.0 million during the three and nine months ended September 30, 2022, respectively.

Concentrations of Credit Risk

We maintain accounts in U.S. and U.K. banks with funds insured by the Federal Deposit Insurance Corporation, or FDIC, and the Financial Services Compensation Scheme, or FSCS, respectively. Our bank accounts may, at times, exceed the FDIC and FSCS insured limits. Financial instruments that potentially subject us to credit risk consist principally of cash and cash equivalents. Management believes that we are not exposed to any significant credit risk related to our cash or cash equivalents and have not experienced any losses in such accounts.

Due to a large and diverse customer base, no individual customer represented more than 10% of total revenue for the three and nine months ended September 30, 2023 and 2022. At September 30, 2023 and December 31, 2022, there were no customers with an outstanding balance of 10% or more of our total accounts receivable balance.

Accounts Receivable and Allowance for Credit Losses

Our accounts receivable balances, which are not collateralized and do not bear interest, primarily consist of amounts receivable from our credit and debit card merchant processors, customer receivables, and fees due from third-parties for services purchased by our customers from such third-parties. We reduce our accounts receivable for sales allowances and a reserve for potentially uncollectible receivables. We determine the amount of the allowances based on various factors, including historical collection experience, the age of the accounts receivable balances, credit quality of our customers, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect our ability to

collect from customers. Account balances are charged off against the allowance when we determine that it is not probable we will collect the receivable. At September 30, 2023 and December 31, 2022 the allowance for credit losses was not material.

Leases

On January 1, 2022, we recorded operating lease ROU assets of $5.7 million and operating lease liabilities of $5.9 million. The difference between the leased assets and lease liabilities represents the existing deferred rent liabilities balance at adoption of ASC 842, resulting from historical straight-line recognition of operating leases, which was reclassified upon adoption to reduce the measurement of the leased assets. The adoption of the standard did not have a material impact on our stockholders’ equity, results of operations, or cash flows.

The standard provides several optional practical expedients in transition. We elected the package of practical expedients permitted under the transition guidance, which eliminates the requirement to reassess whether a contract contains a lease and lease classification.

We have also made accounting policy elections, including a short-term lease exception policy, permitting us to not apply the recognition requirements of this standard to short-term leases, which are leases with expected terms of 12 months or less, and an accounting policy to account for lease and certain non-lease components as a single component for certain classes of assets. Additionally, we used the portfolio approach when applying the discount rate selected based on the dollar amount and term of the obligation.

We determine whether an arrangement is a lease, or contains a lease, at inception if we are able to identify an asset and can conclude we have the right to control the identified asset for a period of time. Leases are included in operating lease ROU assets and operating lease liabilities in the accompanying unaudited condensed consolidated balance sheets. Leases with an initial term of 12 months or less are not recorded on the condensed consolidated balance sheets.

ROU assets represent our right to control an underlying asset for the lease term, and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As our leases do not provide an implicit rate, we use the incremental borrowing rate based on the information available at the commencement date in determining the discount rate used to present value lease payments. We used the incremental borrowing rate on January 1, 2022 for operating leases that commenced on or prior to that date. The incremental borrowing rate used is estimated based on what we would be required to pay for a collateralized loan over a similar term. Our leases typically do not include any residual value guarantees, bargain purchase options, or asset retirement obligations.

Our lease terms are only for periods in which we have enforceable rights. A lease is no longer enforceable when both the lessee and the lessor each have the right to terminate the lease without permission from the other party with no more than an insignificant penalty. Our lease terms are impacted by options to extend or terminate the lease when it is reasonably certain that we will exercise that option. We generally use the base, non-cancelable lease term when determining the lease assets and liabilities.

Our agreements may contain variable lease payments. We include variable lease payments that depend on an index or a rate and exclude those which depend on facts or circumstances occurring after the commencement date, other than the passage of time.

Revenue Recognition

We derive our revenue from the following sources:

Transaction revenue—Transaction revenue is primarily generated from our customized legal document services upon fulfillment of these services. Transaction revenue includes filing fees and is net of cancellations, promotional discounts, sales allowances and credit reserves.

Subscription revenue—Subscription revenue is generated primarily from subscriptions to our registered agent, compliance packages, attorney advice, legal forms, tax, virtual mail and e-signature services, and software-as-a-service, or SaaS, accounting solution subscriptions and SaaS subscriptions in the U.K. We generally recognize revenue from our subscriptions ratably over the subscription term. Subscription terms generally range from thirty days to one year. Subscription revenue includes the transaction price allocated to bundled free trials for our subscription services and is net of promotional discounts, cancellations, sales allowances and credit reserves and payments to third-party service providers such as legal plan law firms.

For transaction and subscription revenue, we generally collect payments and fees at the time orders are placed and prior to services being rendered. We record amounts collected for services that have not been performed as deferred revenue on our consolidated balance sheet. The transaction price that we record is generally based on the contractual amounts and is reduced for estimated sales allowances for price

concessions, charge-backs, sales credits and refunds, which are accounted for as variable consideration when estimating the amount of revenue to recognize.

Partner revenue—Partner revenue consists primarily of one-time or recurring fees earned from third-party providers from leads generated to such providers through our online legal platform. Revenue is recognized when the related performance-based criteria have been met. We assess whether performance criteria have been met on a cost-per-click or cost-per-action basis.

Revenue from our transaction, subscription and partner revenue is as follows (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Transaction		$	57,351	$	58,411	$	180,084	$	189,027
Subscription		104,457		91,397		303,967		267,069
Partner		5,466		5,469		18,013		17,257
Total revenue		$	167,274	$	155,277	$	502,064	$	473,353

Recent Accounting Pronouncements

Prior to December 31, 2022, we qualified as an emerging growth company, or EGC, and were allowed by the Jumpstart Our Business Startups Act to delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements were made applicable to private companies. We became a large accelerated filer and no longer qualified as an EGC at the conclusion of the fiscal year ended December 31, 2022. The adoption dates discussed below for recently adopted accounting pronouncements reflect the transition periods required as a result of becoming a large accelerated filer as of December 31, 2022. We will be required to adopt all future new or revised accounting pronouncements in accordance with public company timelines.

Recently Adopted Accounting Pronouncements

In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit losses: Measurement of Credit Losses on Financial Instruments (Topic 326), which revises the impairment model to utilize an expected loss methodology in place of the currently used incurred loss methodology, which results in more timely recognition of losses on financial instruments, including, but not limited to, available-for-sale debt securities and accounts receivable. We adopted ASU 2016-13 effective January 1, 2022. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements.

In June 2022, the FASB issued ASU No. 2022-03, Fair Value Measurement—Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions (Topic 820), or ASU 2022-03, which clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The amendments are effective for fiscal years beginning after December 15, 2023. We early adopted ASU 2022-03 during the three months ended June 30, 2023. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements.

In September 2022, the FASB issued ASU No. 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations, which requires that a buyer in a supplier finance program disclose qualitative and quantitative information about its supplier finance programs. We adopted ASU 2022-04 effective January 1, 2023. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements.

In March 2023, the FASB issued ASU No. 2023-01, Leases (Topic 842): Common Control Arrangements, which amends certain provisions of ASC 842 related to the accounting for leasehold improvements in common-control arrangements. ASU 2023-01 is effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. We early adopted ASU 2023-01 effective January 1, 2023. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements.

In March 2023, the FASB issued ASU No. 2023-02, Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method, which allows reporting entities to elect to account for qualifying tax equity investments using the proportional amortization method, regardless of the program giving rise to the related income tax credits. ASU 2023-02 is effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. We early adopted ASU 2023-02 effective January 1, 2023.

The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements.

In July 2023, the FASB issued ASU 2023-03 to amend various paragraphs in the Accounting Standards Codification to align with the previously issued SEC guidance. ASU 2023-03 did not provide any new guidance, and there is no transition or effective date associated with it resulting in the ASU 2023-03 being effective upon issuance. Consequently, the adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements.

Fair Value Measurements - Assets and Liabilities at Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale debt securities	$ 0	$ 0
Total assets	191,393	130,215
Contingent consideration		0
Total liabilities		0
Level 1 \| Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	191,393	130,215
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale debt securities	0	0
Total assets	0	0
Contingent consideration		0
Total liabilities		0
Level 2 \| Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	0	0
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale debt securities	1,237	995
Total assets	1,237	995
Contingent consideration		836
Total liabilities		836
Level 3 \| Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	$ 0	$ 0

Acquisitions (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	9 Months Ended
Acquisitions (Details) - USD ($) $ in Thousands	Aug. 31, 2022	Sep. 30, 2023	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Business Acquisition [Line Items]
Change in fair value of contingent consideration			$ (836)	$ (150)
Goodwill		$ 63,318	63,318	$ 63,184	$ 63,229
UA Services
Business Acquisition [Line Items]
Purchase price	$ 3,500
Total cash paid	2,600
Cash that will be paid out in twelve months	1,000
Change in fair value of contingent consideration		$ (100)	$ (800)
Contingent consideration	400
Goodwill	3,300
Acquisition related costs	$ 400

- Definition

Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized.

+ References + Details

Restatement - Unaudited Condensed Consolidated Statements of Stockholders' Equity (Details) - USD ($) shares in Thousands, $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance (in shares)			190,822	193,848
Beginning balance	$ 168,349	$ 150,017	$ 142,375	$ 157,245	$ 170,948	$ 194,707	$ 197,551
Ending Balance (in shares)	187,776			190,822	193,848
Ending balance	$ 147,342	$ 168,349	$ 150,017	$ 142,375	$ 157,245	$ 170,948	$ 194,707
Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance (in shares)	191,657	191,244	190,822	193,848	196,079	198,599	198,084
Beginning balance	$ 191	$ 190	$ 190	$ 193	$ 196	$ 198	$ 198
Ending Balance (in shares)	187,776	191,657	191,244	190,822	193,848	196,079	198,599
Ending balance	$ 187	$ 191	$ 190	$ 190	$ 193	$ 196	$ 198
Additional Paid-In Capital
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	1,070,461	1,049,948	1,032,550	1,015,068	994,558	969,731	947,160
Ending balance	1,086,222	1,070,461	1,049,948	1,032,550	1,015,068	994,558	969,731
Accumulated Deficit
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	(902,633)	(900,987)	(891,862)	(862,514)	(825,660)	(774,867)	(748,012)
Ending balance	(940,550)	(902,633)	(900,987)	(891,862)	(862,514)	(825,660)	(774,867)
Accumulated Other Comprehensive Income
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance	330	866	1,497	4,498	1,854	(355)	(1,795)
Ending balance	$ 1,483	$ 330	$ 866	1,497	4,498	$ 1,854	$ (355)
As Reported
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance				$ 153,826
Ending balance					$ 153,826
As Reported \| Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance (in shares)				193,848
Beginning balance				$ 193
Ending Balance (in shares)					193,848
Ending balance					$ 193
As Reported \| Additional Paid-In Capital
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance				1,015,068
Ending balance					1,015,068
As Reported \| Accumulated Deficit
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance				(865,933)
Ending balance					(865,933)
As Reported \| Accumulated Other Comprehensive Income
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance				4,498
Ending balance					4,498
Adjustments
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance				3,419
Ending balance					3,419
Adjustments \| Accumulated Deficit
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance				$ 3,419
Ending balance					$ 3,419

- Definition

Amount of equity (deficit) attributable to parent. Excludes temporary equity and equity attributable to noncontrolling interest.

+ References

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+ Details

Assets Held for Sale	9 Months Ended
Assets Held for Sale	Sep. 30, 2023
Discontinued Operations and Disposal Groups [Abstract]
Assets Held for Sale	Assets Held for SaleDuring the quarter ended September 30, 2022, following an evaluation of our office space and business requirements, we commenced a plan to sell our operational headquarters in Austin, Texas, consisting of land, a building and building improvements, and determined that these assets met the held for sale criteria. We ceased recording depreciation on these assets upon meeting the held for sale criteria. At September 30, 2023, the total carrying value of the assets held for sale was $22.7 million. The estimated fair value less costs to sell the assets held for sale exceed their carrying values and hence no impairment was necessary during the quarter ended September 30, 2023.

Net Income (Loss) Per Share Attributable to Common Stockholders - Antidilutive Securities (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	7,534	26,431	18,696	26,431
Options to purchase common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	3,661	17,703	11,752	17,703
RSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	2,557	8,649	5,580	8,649
Employee stock purchase plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	0	79	48	79
PSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	1,316	0	1,316	0

Restatement

9 Months Ended

Sep. 30, 2023

Accounting Changes and Error Corrections [Abstract]

Restatement

As previously disclosed on February 17 and February 27, 2023, in connection with the preparation of our consolidated financial statements for the year ended December 31, 2022, we identified tax errors within our previously issued unaudited condensed consolidated financial statements as of and for the quarterly and year to date periods ended March 31, 2022, or Q1 2022, June 30, 2022, or Q2 2022, and September 30, 2022, or Q3 2022, as included in our previously filed Quarterly Reports on Form 10-Q. Management concluded that such errors resulted in the previously issued Q1 2022, Q2 2022 and Q3 2022 unaudited condensed consolidated financial statements, including the respective year-to-date periods, being materially misstated and therefore requiring restatement.

Specifically, within our income tax provision there was an error relating to the identification of named executive officers subject to limitation on the deductibility of executive compensation under Internal Revenue Code Section 162(m), or Section 162(m). The Section 162(m) error had the impact of a $1.2 million overstatement of the benefit for income taxes and a $2.8 million overstatement of the provision for income taxes for the three and nine months ended September 30, 2022, respectively, and the associated impacts on deferred tax assets.

In connection with the tax errors noted above, we are also correcting other previously identified immaterial errors related to: i) $1.2 million of a late customer acquisition marketing, or CAM credit, that should have been recognized as a reduction to sales and marketing expense in Q2 2022, and which was initially corrected for as an out of period adjustment in Q3 2022; and ii) $0.9 million of revenue and $0.3 million of associated costs of revenue that should have been recognized in Q3 2022.

Description of Restatement of Financial Information

In the following tables, we have presented a reconciliation of our unaudited condensed consolidated financial information as originally reported, to the as restated amounts as of and for the three and nine months ended September 30, 2022.

The table below sets forth the unaudited condensed consolidated balance sheet information, including the balances as reported, adjustments and the balances as restated (in thousands, except per share amounts):


	September 30, 2022
		As Reported	Adjustments	As Restated
Assets
Current assets:
Cash and cash equivalents		211,812	—	211,812
Accounts receivable, net of allowances of $4,419		13,578	122	13,700
Prepaid expenses and other current assets		16,624	(264)	16,360
Current assets held for sale		22,722	—	22,722
Total current assets		264,736	(142)	264,594
Property and equipment, net		29,012	—	29,012
Goodwill		63,184	—	63,184
Intangible assets, net		13,552	—	13,552


	September 30, 2022
		As Reported		Adjustments		As Restated
Operating lease right-of-use assets		11,796		—		11,796
Deferred income taxes		27,473		2,803		30,276
Available-for-sale debt securities		1,183		—		1,183
Other assets		12,877		(1)		12,876
Total assets		423,813		2,660		426,473
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable		25,805		—		25,805
Accrued expenses and other current liabilities		59,916		(21)		59,895
Deferred revenue		168,705		(738)		167,967
Operating lease liabilities		2,054		—		2,054
Total current liabilities		256,480		(759)		255,721
Operating lease liabilities, non-current		9,568		—		9,568
Deferred revenue		1,013		—		1,013
Other liabilities		2,926		—		2,926
Total liabilities		269,987		(759)		269,228
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value; 100,000 shares authorized; 0 issued or outstanding at September 30, 2022		—		—		—
Common stock, $0.001 par value; 1,000,000 shares authorized; 193,848 shares issued and outstanding at September 30, 2022		193		—		193
Additional paid-in capital		1,015,068		—		1,015,068
Accumulated deficit		(865,933)		3,419		(862,514)
Accumulated other comprehensive income		4,498		—		4,498
Total stockholders’ equity		153,826		3,419		157,245
Total liabilities and stockholders’ equity		$	423,813	$	2,660	$	426,473

The table below sets forth the unaudited condensed consolidated statements of operations, including the balances as reported, adjustments and the as restated balances (in thousands, except per share amounts):


		Three Months Ended						Nine Months Ended
	September 30, 2022					September 30, 2022
		As Reported		Adjustments			As Restated	As reported		Adjustments		As restated
Revenue		$	154,416	$	861		$155,277	$	472,492	$	861	$473,353
Cost of revenue		50,050		264			50,314	163,383		264		163,647
Gross profit		104,366		597			104,963	309,109		597		309,706
Operating expenses:
Sales and marketing		66,145		1,224			67,369	215,964		—		215,964
Technology and development		17,457		—			17,457	51,613		—		51,613
General and administrative		30,103		—			30,103	88,560		—		88,560
Impairment of long-lived and other assets		237		—			237	237		—		237
Total operating expenses		113,942		1,224			115,166	356,374		—		356,374
Loss from operations		(9,576)		(627)			(10,203)	(47,265)		597		(46,668)
Interest income, net		535		—			535	511		—		511
Other expense, net		(2,536)		—			(2,536)	(6,102)		—		(6,102)
Loss before income taxes		(11,577)		(627)			(12,204)	(52,856)		597		(52,259)
(Benefit from) provision for income taxes		(1,469)		1,246			(223)	1,040		(2,822)		(1,782)


		Three Months Ended							Nine Months Ended
	September 30, 2022					September 30, 2022
		As Reported		Adjustments			As Restated		As reported		Adjustments		As restated
Net loss		$	(10,108)	$	(1,873)		$	(11,981)	$	(53,896)	$	3,419	$	(50,477)
Net loss per share attributable to common stockholders—basic and diluted:		$	(0.05)	$	—		$	(0.06)	$	(0.27)	$	—	$	(0.26)
Weighted-average shares used to compute net loss per share attributable to common stockholders—basic and diluted:		194,906		—			194,906		196,984		—		196,984

The table below sets forth the unaudited condensed consolidated statements of comprehensive loss, including balances as reported, adjustments and balances as restated amounts (in thousands):


		Three Months Ended							Nine Months Ended
	September 30, 2022					September 30, 2022
		As Reported		Adjustments			As Restated		As reported		Adjustments		As restated
Net Loss		$	(10,108)	$	(1,873)		$	(11,981)	$	(53,896)	$	3,419	$	(50,477)
Total other comprehensive income		2,644		—			2,644		6,293		—		6,293
Total comprehensive loss		$	(7,464)	$	(1,873)		$	(9,337)	$	(47,603)	$	3,419	$	(44,184)

The table below sets forth the unaudited condensed consolidated statements of stockholders’ equity, including balances as reported, adjustments and balances as restated amounts (in thousands):


	Common Stock			Additional Paid-In Capital		Accumulated Deficit		Accumulated Other Comprehensive Income		Total Stockholders’ Equity
	Shares	Amount








Balance at September 30, 2022 as reported	193,848	$	193	$	1,015,068	$	(865,933)	$	4,498	$	153,826
Cumulative adjustments to net loss	—	—		—		3,419		—		3,419
Balance at September 30, 2022 as restated	193,848	$	193	$	1,015,068	$	(862,514)	$	4,498	$	157,245

The table below sets forth the unaudited condensed consolidated statement of cash flows, including balances as reported, adjustments and balances as restated amounts (in thousands):


	Nine Months Ended September 30, 2022
		As Reported		Adjustments		As Restated
Cash flows from operating activities
Net loss		$	(53,896)	$	3,419	$	(50,477)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization		16,187		—		16,187
Amortization of right-of-use assets		1,290		—		1,290
Amortization of debt issuance costs		170		—		170
Impairment of other equity security		170		—		170
Impairment of long-lived assets		237		—		237
Stock-based compensation		64,490		—		64,490
Deferred income taxes		166		(2,803)		(2,637)
Change in fair value of contingent consideration		(150)		—		(150)
Unrealized foreign exchange loss		5,958		—		5,958
Other		(1)		—		(1)


	Nine Months Ended September 30, 2022
		As Reported		Adjustments		As Restated
Changes in operating assets and liabilities, net of effects of business combination:
Accounts receivable		(2,902)		(122)		(3,024)
Prepaid expenses and other current assets		(560)		264		(296)
Other assets		(864)		1		(863)
Accounts payable		(6,417)		—		(6,417)
Accrued expenses and other liabilities		7,606		(21)		7,585
Operating lease liabilities		(1,599)		—		(1,599)
Income tax payable		22		—		22
Deferred revenue		22,108		(738)		21,370
Net cash provided by operating activities		52,015		—		52,015
Cash flows from investing activities
Acquisition, net of cash acquired		(2,532)		—		(2,532)
Proceeds from acquisition working capital adjustment		307		—		307
Purchase of property and equipment		(16,441)		—		(16,441)
Net cash used in investing activities		(18,666)		—		(18,666)
Cash flows from financing activities

Payment of contingent consideration		(600)		—		(600)
Repurchase of common stock		(61,736)		—		(61,736)
Shares surrendered for settlement of minimum statutory tax withholding		(41)		—		(41)
Proceeds from issuance of stock under employee stock plans		1,682		—		1,682
Net cash used in financing activities		(60,695)		—		(60,695)
Effect of exchange rate changes on cash and cash equivalents		(139)		—		(139)
Net decrease in cash and cash equivalents, and restricted cash equivalents		(27,485)		—		(27,485)
Cash and cash equivalents, and restricted cash equivalents, at beginning of the period		239,297		—		239,297
Cash and cash equivalents at end of the period		$	211,812	$	—	$	211,812

Summary of Significant Accounting Policies - Additional Information (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) segment	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Jan. 01, 2022 USD ($)
Accounting Policies [Abstract]
Number of operating segments \| segment			1
Foreign currency transaction gains (losses)	$ (900)	$ (2,600)	$ 179	$ (5,958)
Operating lease right-of-use assets	$ 9,199	$ 11,796	$ 9,199	$ 11,796	$ 11,148	$ 5,700
Operating lease liability						$ 5,900

Unaudited Condensed Consolidated Statements of Stockholders’ Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Accumulated Other Comprehensive Income
Beginning Balance (in shares) at Dec. 31, 2021		198,084,000
Beginning balance at Dec. 31, 2021	$ 197,551	$ 198	$ 947,160	$ (748,012)	$ (1,795)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)		202,000
Issuance of common stock upon exercise of stock options	225		225
Issuance of common stock upon vesting of restricted stock awards (in shares)		392,000
Stock-based compensation	22,346		22,346
Repurchased common stock (in shares)		(79,000)
Repurchased common stock	(1,102)			(1,102)
Other comprehensive income (loss)	1,440				1,440
Net income (loss)	(25,753)			(25,753)
Ending Balance (in shares) at Mar. 31, 2022		198,599,000
Ending balance at Mar. 31, 2022	194,707	$ 198	969,731	(774,867)	(355)
Beginning Balance (in shares) at Dec. 31, 2021		198,084,000
Beginning balance at Dec. 31, 2021	197,551	$ 198	947,160	(748,012)	(1,795)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Other comprehensive income (loss)	6,293
Net income (loss)	$ (50,477)
Ending Balance (in shares) at Sep. 30, 2022	193,848,000	193,848,000
Ending balance at Sep. 30, 2022	$ 157,245	$ 193	1,015,068	(862,514)	4,498
Beginning Balance (in shares) at Mar. 31, 2022		198,599,000
Beginning balance at Mar. 31, 2022	194,707	$ 198	969,731	(774,867)	(355)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)		174,000
Issuance of common stock upon exercise of stock options	1,262		1,262
Issuance of common stock upon vesting of restricted stock awards (in shares)		268,000
Issuance of common stock upon vesting of restricted stock awards	0	$ 1	(1)
Shares surrendered for settlement of minimum statutory tax withholdings (in shares)		(1,000)
Shares surrendered for settlement of minimum statutory tax withholdings	(30)		(30)
Stock-based compensation	23,596		23,596
Repurchased common stock (in shares)		(2,961,000)
Repurchased common stock	(38,053)	$ (3)		(38,050)
Other comprehensive income (loss)	2,209				2,209
Net income (loss)	(12,743)			(12,743)
Ending Balance (in shares) at Jun. 30, 2022		196,079,000
Ending balance at Jun. 30, 2022	170,948	$ 196	994,558	(825,660)	1,854
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)		46,000
Issuance of common stock upon exercise of stock options	195		195
Issuance of common stock upon vesting of restricted stock awards (in shares)		350,000
Issuance of common stock upon vesting of restricted stock awards	0
Shares surrendered for settlement of minimum statutory tax withholdings (in shares)		(2,000)
Shares surrendered for settlement of minimum statutory tax withholdings	(11)		(11)
Stock-based compensation	20,326		20,326
Repurchased common stock (in shares)		(2,625,000)
Repurchased common stock	(24,876)	$ (3)		(24,873)
Other comprehensive income (loss)	2,644				2,644
Net income (loss)	$ (11,981)			(11,981)
Ending Balance (in shares) at Sep. 30, 2022	193,848,000	193,848,000
Ending balance at Sep. 30, 2022	$ 157,245	$ 193	1,015,068	(862,514)	4,498
Beginning Balance (in shares) at Dec. 31, 2022	190,822,000	190,822,000
Beginning balance at Dec. 31, 2022	$ 142,375	$ 190	1,032,550	(891,862)	1,497
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)		28,000
Issuance of common stock upon exercise of stock options	22		22
Issuance of common stock upon vesting of restricted stock awards (in shares)		1,164,000
Issuance of common stock upon vesting of restricted stock awards	0	$ 1	(1)
Stock-based compensation	17,378		17,378
Repurchased common stock (in shares)		(771,000)
Repurchased common stock	(6,768)	$ (1)		(6,767)
Other comprehensive income (loss)	(631)				(631)
Net income (loss)	(2,358)			(2,358)
Ending Balance (in shares) at Mar. 31, 2023		191,244,000
Ending balance at Mar. 31, 2023	$ 150,017	$ 190	1,049,948	(900,987)	866
Beginning Balance (in shares) at Dec. 31, 2022	190,822,000	190,822,000
Beginning balance at Dec. 31, 2022	$ 142,375	$ 190	1,032,550	(891,862)	1,497
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Repurchased common stock (in shares)	(5,867,835)
Other comprehensive income (loss)	$ (14)
Net income (loss)	$ 6,571
Ending Balance (in shares) at Sep. 30, 2023	187,776,000	187,776,000
Ending balance at Sep. 30, 2023	$ 147,342	$ 187	1,086,222	(940,550)	1,483
Beginning Balance (in shares) at Mar. 31, 2023		191,244,000
Beginning balance at Mar. 31, 2023	150,017	$ 190	1,049,948	(900,987)	866
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)		362,000
Issuance of common stock upon exercise of stock options	2,951		2,951
Issuance of common stock upon vesting of restricted stock awards (in shares)		661,000
Issuance of common stock upon vesting of restricted stock awards	0	$ 1	(1)
Shares surrendered for settlement of minimum statutory tax withholdings (in shares)		(232,000)
Shares surrendered for settlement of minimum statutory tax withholdings	(2,469)		(2,469)
Stock-based compensation	20,031		20,031
Repurchased common stock (in shares)		(378,000)
Repurchased common stock	(3,041)			(3,041)
Other comprehensive income (loss)	(536)				(536)
Net income (loss)	1,395			1,395
Ending Balance (in shares) at Jun. 30, 2023		191,657,000
Ending balance at Jun. 30, 2023	168,349	$ 191	1,070,461	(902,633)	330
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options (in shares)		326,000
Issuance of common stock upon exercise of stock options	3,011		3,011
Issuance of common stock upon vesting of restricted stock awards (in shares)		824,000
Issuance of common stock upon vesting of restricted stock awards	0	$ 1	(1)
Shares surrendered for settlement of minimum statutory tax withholdings (in shares)		(312,000)
Shares surrendered for settlement of minimum statutory tax withholdings	(3,884)		(3,884)
Stock-based compensation	$ 16,635		16,635
Repurchased common stock (in shares)	(4,718,755)	(4,719,000)
Repurchased common stock	$ (45,164)	$ 5		(45,159)
Stock repurchase excise tax	(292)			(292)
Other comprehensive income (loss)	1,153				1,153
Net income (loss)	$ 7,534			7,534
Ending Balance (in shares) at Sep. 30, 2023	187,776,000	187,776,000
Ending balance at Sep. 30, 2023	$ 147,342	$ 187	$ 1,086,222	$ (940,550)	$ 1,483

Net Income (Loss) Per Share Attributable to Common Stockholders - Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Numerator:
Net income (loss)	$ 7,534	$ 1,395	$ (2,358)	$ (11,981)	$ (12,743)	$ (25,753)	$ 6,571	$ (50,477)
Net income (loss) attributable to common stockholders - basic	7,534			(11,981)			6,571	(50,477)
Net income (loss) attributable to common stockholders - diluted	$ 7,534			$ (11,981)			$ 6,571	$ (50,477)
Denominator:
Weighted-average common stock used in computing net income (loss) per share attributable to common stockholders—basic (in shares)	191,033,000			194,906,000			191,222,000	196,984,000
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—diluted (in shares)	197,454,000			194,906,000			194,953,000	196,984,000
Net income (loss) per share attributable to common stockholders—basic (in dollars per share)	$ 0.04			$ (0.06)			$ 0.03	$ (0.26)
Net income (loss) per share attributable to common stockholders—diluted (in dollar per share)	$ 0.04			$ (0.06)			$ 0.03	$ (0.26)
Options to purchase common stock
Denominator:
Effect of potential dilutive securities (in shares)	2,699,000			0			1,347,000	0
RSUs
Denominator:
Effect of potential dilutive securities (in shares)	3,702,000			0			2,372,000	0
Employee stock purchase plan
Denominator:
Effect of potential dilutive securities (in shares)	20,000			0			12,000	0

Other Financial Statement Information

9 Months Ended

Sep. 30, 2023

Other Financial Information [Abstract]

Other Financial Statement Information

Accounts Receivable

Changes in the allowances consisted of the following (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Beginning balance		$	5,734	$	4,508	$	4,730	$	4,060
Add: amounts recognized as a reduction of revenue		1,271		2,099		7,349		6,291
Add: allowance for credit losses recognized in general and administrative expense		493		2		981		143
Less: write-offs, net of recoveries		(1,795)		(2,190)		(7,357)		(6,075)
Ending balance		$	5,703	$	4,419	$	5,703	$	4,419

The allowance recognized as a reduction of revenue primarily relates to our installment plan receivables for which we expect we will not be entitled to a portion of the transaction price based on our historical experience with similar transactions. The allowance recognized against general and administrative expense represents an allowance relating to receivables from partners that are no longer considered collectible.

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consisted of the following (in thousands):


	September 30, 2023		December 31, 2022
Prepaid expenses	$	11,195	$	10,624
Deferred cost of revenue	2,551		1,915
Capitalized cloud computing development costs	1,011		1,407
Income tax receivable	575		760
Other current assets	2,162		1,993
Total prepaid expenses and other current assets	$	17,494	$	16,699

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following (in thousands):


	September 30, 2023		December 31, 2022
Accrued payroll and related expenses	$	27,082	$	27,822
Accrued vendor payables	15,684		15,531
Accrued advertising	13		1,071
Sales allowances	4,672		4,426
Accrued sales, use and business taxes	4,800		3,838


	September 30, 2023		December 31, 2022
Other	3,124		4,685
Total accrued expenses and other current liabilities	$	55,375	$	57,373

Depreciation and Amortization

Depreciation and amortization expense of our property and equipment, including capitalized internal-use software, and intangible assets consisted of the following (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Cost of revenue		$	3,307	$	1,966	$	8,940	$	6,220
Sales and marketing		1,400		1,754		4,011		5,508
Technology and development		1,168		694		2,867		2,112
General and administrative		780		840		2,243		2,347
Total depreciation and amortization expense		$	6,655	$	5,254	$	18,061	$	16,187

Deferred revenue

Deferred revenue as of September 30, 2023 and December 31, 2022 was $177.4 million and $165.1 million, respectively. Revenue recognized in the three months ended September 30, 2023 and 2022 that was included in deferred revenue as of June 30, 2023 and 2022 was $86.5 million and $81.7 million, respectively. Revenue recognized in the nine months ended September 30, 2023 and 2022 that was included in deferred revenue as of December 31, 2022 and 2021 was $154.6 million and $146.5 million, respectively.

We have omitted disclosure on the transaction price allocated to remaining performance obligations and estimated timing of revenue recognition as our contracts with customers that have a duration of more than one year are immaterial.

Acquisitions	9 Months Ended
Acquisitions	Sep. 30, 2023
Business Combination and Asset Acquisition [Abstract]
Acquisitions	Acquisitions United Agent Services Corp In August 2022, we acquired certain assets and liabilities of United Agency Services Corp, or UA Services, a company providing registered agent services and corporate compliance solutions for $3.5 million, of which $2.6 million was paid in cash on the acquisition date and up to $1.0 million was payable in cash within twelve months from the acquisition date based upon the achievement of certain earnout metrics. During the three and nine months ended September 30, 2023, we recorded a $0.1 million and $0.8 million, respectively, reduction in fair value of contingent consideration as a component of cost of revenue because the earnout metrics were not achieved. Furthermore, an additional payment of up to $0.4 million to the seller of UA Services was contingent on certain service conditions being met. This amount was excluded from the purchase consideration and was recorded as compensation expense in 2022. The acquisition was completed in order to build a more durable registered agency platform and has been accounted for as a business combination. The purchase price was allocated to the assets acquired and liabilities assumed. Goodwill of $3.3 million arising from the acquisition consisted largely of the assembled workforce and synergies expected from combining our operations. The acquired goodwill was deductible for tax purposes. There were no intangible assets acquired in connection with this acquisition. Acquisition costs related to this transaction of approximately $0.4 million were expensed as incurred and are included in general and administrative expenses on the accompanying unaudited condensed consolidated statements of operations. The revenue and earnings of the acquired business were included in our results of operations since the acquisition date and were not material to the consolidated financial results for the three and nine months ended September 30, 2022. Pro forma revenues and results of operations for this acquisition are not presented as the impact on our unaudited condensed consolidated financial statements for the three and nine months ended September 30, 2022 was immaterial.

Unaudited Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Allowance for credit loss	$ 5,703	$ 5,734	$ 4,730	$ 4,419	$ 4,508	$ 4,060
Preferred stock par value (in dollars per share)	$ 0.001		$ 0.001	$ 0.001
Preferred stock shares authorized (in shares)	100,000		100,000	100,000
Preferred stock shares issued (in shares)	0		0	0
Preferred stock shares outstanding (in shares)	0		0	0
Common stock par value (in dollars per share)	$ 0.001		$ 0.001	$ 0.001
Common stock shares authorized (in shares)	1,000,000		1,000,000	1,000,000
Common stock shares issued (in shares)	187,776		190,822	193,848
Common stock shares outstanding (in shares)	187,776		190,822	193,848

Net Income (Loss) Per Share Attributable to Common Stockholders (Tables)

9 Months Ended

Sep. 30, 2023

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The following table shows the computation of basic and diluted net income (loss) per share attributable to common stockholders (in thousands, except per share amounts):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Numerator:
Net income (loss)		$	7,534	$	(11,981)	$	6,571	$	(50,477)
Net income (loss) attributable to common stockholders—basic and diluted		$	7,534	$	(11,981)	$	6,571	$	(50,477)
Denominator:
Weighted-average common stock used in computing net income (loss) per share attributable to common stockholders—basic		191,033		194,906		191,222		196,984
Effect of potentially dilutive securities
Options to purchase common stock		2,699		—		1,347		—


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
RSUs		3,702		—		2,372		—
Employee stock purchase plan		20		—		12		—
Weighted-average common stock used in computing net income (loss) per share attributable to common stockholders—diluted		197,454		194,906		194,953		196,984
Net income (loss) per share attributable to common stockholders—basic		$	0.04	$	(0.06)	$	0.03	$	(0.26)
Net income (loss) per share attributable to common stockholders—diluted		$	0.04	$	(0.06)	$	0.03	$	(0.26)

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share

The following table presents the number of stock options, RSUs, and PSUs excluded from the calculation of diluted net income (loss) per share attributable to common stockholders because they are anti-dilutive (in thousands):


	Three Months Ended September 30,			Nine Months Ended September 30,
		2023	2022	2023	2022
			(Restated)		(Restated)
Options to purchase common stock		3,661	17,703	11,752	17,703
RSUs		2,557	8,649	5,580	8,649
Employee stock purchase plan		—	79	48	79
PSUs		1,316	—	1,316	—
Total		7,534	26,431	18,696	26,431

Restatement - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Provision for (benefit from) income taxes	$ 4,463	$ (223)		$ 14,427	$ (1,782)
Selling and marketing expense	(51,071)	(67,369)		(164,746)	(215,964)
Revenue	167,274	155,277		502,064	473,353
Cost of revenue	$ 59,213	50,314		$ 183,356	163,647
Adjustments
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Provision for (benefit from) income taxes		1,246			(2,822)
Selling and marketing expense		(1,224)			0
Revenue		861			861
Cost of revenue		264			264
Adjustments \| Error Correction, Income Tax Benefit Adjustment
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Provision for (benefit from) income taxes		1,200
Adjustments \| Error Correction, Income Tax Expense Adjustment
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Provision for (benefit from) income taxes					$ (2,800)
Adjustments \| Error Correction, Other, CAM Credit
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Selling and marketing expense			$ 1,200
Adjustments \| Error Correction, Other, Recognition Period Error
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Revenue		900
Cost of revenue		$ 300

Unaudited Condensed Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities
Net income (loss)	$ 6,571	$ (50,477)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	18,061	16,187
Amortization of right-of-use assets	2,011	1,290
Amortization of debt issuance costs	170	170
Impairment of other equity security	0	170
Impairment of long-lived assets	0	237
Stock-based compensation	51,005	64,490
Deferred income taxes	10,818	(2,637)
Change in fair value of contingent consideration	(836)	(150)
Unrealized foreign exchange (gain) loss	(179)	5,958
Other	(39)	(1)
Changes in operating assets and liabilities, net of effects of business combination:
Accounts receivable	(946)	(3,024)
Prepaid expenses and other current assets	(785)	(296)
Other assets	345	(863)
Accounts payable	5,992	(6,417)
Accrued expenses and other liabilities	(992)	7,585
Operating lease liabilities	(1,723)	(1,599)
Income tax payable	16	22
Deferred revenue	12,325	21,370
Net cash provided by operating activities	101,814	52,015
Cash flows from investing activities
Acquisition, net of cash acquired	0	(2,532)
Proceeds from acquisition working capital adjustment	0	307
Purchase of property and equipment	(23,220)	(16,441)
Other	38	0
Net cash used in investing activities	(23,182)	(18,666)
Cash flows from financing activities
Repayment of capital lease obligations	(27)	0
Payment of contingent consideration	0	(600)
Repurchase of common stock	(54,873)	(61,736)
Shares surrendered for settlement of minimum statutory tax withholding	(6,353)	(41)
Proceeds from issuance of stock under employee stock plans	5,690	1,682
Net cash used in financing activities	(55,563)	(60,695)
Effect of exchange rate changes on cash and cash equivalents	(4)	(139)
Net increase (decrease) in cash and cash equivalents	23,065	(27,485)
Cash and cash equivalents, at beginning of the period	189,082	239,297
Cash and cash equivalents, at end of the period	212,147	211,812
Non-cash operating, investing, and financing activities:
Accrued stock repurchase excise tax	292	0
Receivable from issuance of stock under employee stock plans	295	0
Purchase of property and equipment included in accounts payable and accrued expenses and other current liabilities	1,548	1,124
Capitalized stock-based compensation	3,039	1,779
Right-of-use assets under operating leases	0	13,165
Contingent consideration for acquired business	$ 0	$ 850

Stockholders' Equity	9 Months Ended
Stockholders' Equity	Sep. 30, 2023
Equity [Abstract]
Stockholders' Equity	Stockholders’ Equity Stock Repurchase Program On March 1, 2022, our board of directors approved a stock repurchase program authorizing us to repurchase up to $150.0 million of our common stock, with no fixed expiration. At September 30, 2023, there were no funds available for future repurchases under the 2022 stock repurchase program. In October 2023, our board of directors approved a new stock repurchase program authorizing repurchases of up to $100.0 million of our common stock, with no fixed expiration. Stock repurchases under this new program may be made through any manner, including open market transactions, accelerated stock repurchase agreements, or privately negotiated transactions with third parties, and in such amounts as management deems appropriate. Open market repurchases will be structured to occur in accordance with applicable federal securities laws, including within the pricing and volume requirements of Rule 10b-18 under the Securities Exchange Act of 1934, as amended. We may also, from time to time, enter into Rule 10b5-1 plans to facilitate repurchases of our shares of common stock under this authorization. This program does not obligate us to acquire any particular amount of common stock and may be modified, suspended or terminated at any time at the discretion of our board of directors. Shares repurchased under our share repurchase program are purchased for immediate retirement. During the three months ended September 30, 2023, we repurchased a total of 4,718,755 shares of our common stock for a total repurchase of $45.1 million directly from a selling stockholder, who is a related party due to selling shareholder’s ownership, in a private, non-underwritten transaction at a price of $9.55 per share, which was equal to the price paid by the underwriters to the selling stockholder in a concurrent secondary public offering. The repurchase was recorded as a reduction to stockholders' equity. Upon this repurchase, no further repurchases were available under our 2022 stock repurchase program. The secondary offering of 16,100,000 shares of our common stock by a selling stockholder was completed at a price to the public of $10.00 per share before underwriting discounts and commissions. All direct and incremental costs incurred in connection with the secondary offering were expensed because we did not receive any proceeds from the sale of shares of common stock in the secondary offering. During the nine months ended September 30, 2023, we repurchased a total of 5,867,835 shares of our common stock through open market purchases using Rule 10b5-1 plans and in the above private, non-underwritten transaction, at an average per share price of $9.35 for a total repurchase of $54.9 million including broker commissions. The repurchases were recorded as a reduction to stockholders' equity. The Inflation Reduction Act of 2022, enacted in August 2022, imposed a 1% non-deductible excise tax on net repurchases of shares by domestic corporations whose stock is traded on an established securities market. Consequently, this excise tax is applicable to our stock repurchase program beginning in 2023 and represents a cost of the repurchases of our common stock. We have recognized $0.3 million excise tax liability as of September 30, 2023 because the fair market value of stock repurchases exceeded the fair market value of stock issuances during the nine months ended September 30, 2023.

- Definition

The entire disclosure for equity.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-13

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
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-Name Accounting Standards Codification
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-URI https://asc.fasb.org//1943274/2147481112/505-10-50-13

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
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-URI https://asc.fasb.org//1943274/2147481112/505-10-50-14

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481062/946-235-50-2

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 235
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481062/946-235-50-2

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481004/946-505-50-6

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
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-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480237/815-40-50-6

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
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-Paragraph 1
-Subparagraph (SX 210.3-04)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480008/505-10-S99-1

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
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-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(e)(1))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
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-URI https://asc.fasb.org//505/tableOfContent

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
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Reference 12: http://www.xbrl.org/2003/role/disclosureRef
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Reference 13: http://www.xbrl.org/2003/role/disclosureRef
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Reference 14: http://www.xbrl.org/2003/role/disclosureRef
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Reference 15: http://www.xbrl.org/2003/role/disclosureRef
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Reference 16: http://www.xbrl.org/2003/role/disclosureRef
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Reference 17: http://www.xbrl.org/2003/role/disclosureRef
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Reference 18: http://www.xbrl.org/2003/role/disclosureRef
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Reference 19: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2023

Fair Value Disclosures [Abstract]

Schedule of Assets and Liabilities that are Measured at Fair Value on a Recurring Basis

The following tables summarize our assets and liabilities that are measured at fair value on a recurring basis, by level, within the fair value hierarchy (in thousands):


	As of September 30, 2023
	Level 1		Level 2		Level 3
Available-for-sale debt securities	$	—	$	—	$	1,237
Money market funds	191,393		—		—
Total assets	$	191,393	$	—	$	1,237


	As of December 31, 2022
	Level 1		Level 2		Level 3
Available-for-sale debt securities	$	—	$	—	$	995
Money market fund	130,215		—		—
Total assets	$	130,215	$	—	$	995
Contingent consideration	—		—		836
Total liabilities	$	—	$	—	$	836

Restatement - Unaudited Condensed Consolidated Balance Sheet (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Jan. 01, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 212,147			$ 189,082	$ 211,812
Accounts receivable, net of allowances of $4,419	14,417			13,177	13,700
Allowance for credit loss	5,703	$ 5,734		4,730	4,419	$ 4,508			$ 4,060
Prepaid expenses and other current assets	17,494			16,699	16,360
Current assets held for sale	22,722			22,722	22,722
Total current assets	266,780			241,680	264,594
Property and equipment, net	43,763			30,823	29,012
Goodwill	63,318			63,229	63,184
Intangible assets, net	15,026			18,900	13,552
Operating lease right-of-use assets	9,199			11,148	11,796			$ 5,700
Deferred income taxes	18,570			29,380	30,276
Available-for-sale debt securities	1,237			995	1,183
Other assets	8,620			9,240	12,876
Total assets	426,513			405,395	426,473
Current liabilities:
Accounts payable	32,311			25,312	25,805
Accrued expenses and other current liabilities	55,375			57,373	59,895
Deferred revenue	176,867			164,200	167,967
Operating lease liabilities	2,269			2,317	2,054
Total current liabilities	266,822			249,202	255,721
Operating lease liabilities, non-current	7,346			8,958	9,568
Deferred revenue	560			892	1,013
Other liabilities	4,443			3,968	2,926
Total liabilities	279,171			263,020	269,228
Stockholders’ equity:
Preferred stock, $0.001 par value; 100,000 shares authorized at September 30, 2023 and December 31, 2022, none issued or outstanding at September 30, 2023 and December 31, 2022	$ 0			$ 0	$ 0
Preferred stock par value (in dollars per share)	$ 0.001			$ 0.001	$ 0.001
Preferred stock shares authorized (in shares)	100,000			100,000	100,000
Preferred stock shares issued (in shares)	0			0	0
Preferred stock shares outstanding (in shares)	0			0	0
Common stock, $0.001 par value; 1,000,000 shares authorized; 187,776 shares and 190,822 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively	$ 187			$ 190	$ 193
Common stock par value (in dollars per share)	$ 0.001			$ 0.001	$ 0.001
Common stock shares authorized (in shares)	1,000,000			1,000,000	1,000,000
Common stock shares issued (in shares)	187,776			190,822	193,848
Common stock shares outstanding (in shares)	187,776			190,822	193,848
Additional paid-in capital	$ 1,086,222			$ 1,032,550	$ 1,015,068
Accumulated deficit	(940,550)			(891,862)	(862,514)
Accumulated other comprehensive income	1,483			1,497	4,498
Total stockholders’ equity	147,342	$ 168,349	$ 150,017	142,375	157,245	$ 170,948	$ 194,707		$ 197,551
Total liabilities and stockholders’ equity	$ 426,513			$ 405,395	426,473
As Reported
Current assets:
Cash and cash equivalents					211,812
Accounts receivable, net of allowances of $4,419					13,578
Prepaid expenses and other current assets					16,624
Current assets held for sale					22,722
Total current assets					264,736
Property and equipment, net					29,012
Goodwill					63,184
Intangible assets, net					13,552
Operating lease right-of-use assets					11,796
Deferred income taxes					27,473
Available-for-sale debt securities					1,183
Other assets					12,877
Total assets					423,813
Current liabilities:
Accounts payable					25,805
Accrued expenses and other current liabilities					59,916
Deferred revenue					168,705
Operating lease liabilities					2,054
Total current liabilities					256,480
Operating lease liabilities, non-current					9,568
Deferred revenue					1,013
Other liabilities					2,926
Total liabilities					269,987
Stockholders’ equity:
Preferred stock, $0.001 par value; 100,000 shares authorized at September 30, 2023 and December 31, 2022, none issued or outstanding at September 30, 2023 and December 31, 2022					0
Common stock, $0.001 par value; 1,000,000 shares authorized; 187,776 shares and 190,822 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively					193
Additional paid-in capital					1,015,068
Accumulated deficit					(865,933)
Accumulated other comprehensive income					4,498
Total stockholders’ equity					153,826
Total liabilities and stockholders’ equity					423,813
Adjustments
Current assets:
Cash and cash equivalents					0
Accounts receivable, net of allowances of $4,419					122
Prepaid expenses and other current assets					(264)
Current assets held for sale					0
Total current assets					(142)
Property and equipment, net					0
Goodwill					0
Intangible assets, net					0
Operating lease right-of-use assets					0
Deferred income taxes					2,803
Available-for-sale debt securities					0
Other assets					(1)
Total assets					2,660
Current liabilities:
Accounts payable					0
Accrued expenses and other current liabilities					(21)
Deferred revenue					(738)
Operating lease liabilities					0
Total current liabilities					(759)
Operating lease liabilities, non-current					0
Deferred revenue					0
Other liabilities					0
Total liabilities					(759)
Stockholders’ equity:
Preferred stock, $0.001 par value; 100,000 shares authorized at September 30, 2023 and December 31, 2022, none issued or outstanding at September 30, 2023 and December 31, 2022					0
Common stock, $0.001 par value; 1,000,000 shares authorized; 187,776 shares and 190,822 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively					0
Additional paid-in capital					0
Accumulated deficit					3,419
Accumulated other comprehensive income					0
Total stockholders’ equity					3,419
Total liabilities and stockholders’ equity					$ 2,660

Cover - shares	9 Months Ended
Cover - shares	Sep. 30, 2023	Nov. 02, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-35618
Entity Registrant Name	LegalZoom.com, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	95-4752856
Entity Address, Address Line One	101 North Brand Boulevard
Entity Address, Address Line Two	11th Floor
Entity Address, City or Town	Glendale
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	91203
City Area Code	323
Local Phone Number	962-8600
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	LZ
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		187,934,053
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Entity Central Index Key	0001286139

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Pay vs Performance Disclosure
Net income (loss)	$ 7,534	$ 1,395	$ (2,358)	$ (11,981)	$ (12,743)	$ (25,753)	$ 6,571	$ (50,477)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
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Reference 2: http://www.xbrl.org/2003/role/disclosureRef
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Restatement - Unaudited Condensed Consolidated Statement of Cash Flows (Details) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities
Net income (loss)	$ 7,534	$ 1,395	$ (2,358)	$ (11,981)	$ (12,743)	$ (25,753)	$ 6,571	$ (50,477)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	6,655			5,254			18,061	16,187
Amortization of right-of-use assets							2,011	1,290
Amortization of debt issuance costs							170	170
Impairment of other equity security							0	170
Impairment of long-lived assets							0	237
Stock-based compensation							51,005	64,490
Deferred income taxes							10,818	(2,637)
Change in fair value of contingent consideration							(836)	(150)
Unrealized foreign exchange loss	900			2,600			(179)	5,958
Other							(39)	(1)
Changes in operating assets and liabilities, net of effects of business combination:
Accounts receivable							(946)	(3,024)
Prepaid expenses and other current assets							(785)	(296)
Other assets							345	(863)
Accounts payable							5,992	(6,417)
Accrued expenses and other liabilities							(992)	7,585
Operating lease liabilities							(1,723)	(1,599)
Income tax payable							16	22
Deferred revenue							12,325	21,370
Net cash provided by operating activities							101,814	52,015
Cash flows from investing activities
Acquisition, net of cash acquired							0	(2,532)
Proceeds from acquisition working capital adjustment							0	307
Purchase of property and equipment							(23,220)	(16,441)
Net cash used in investing activities							(23,182)	(18,666)
Cash flows from financing activities
Payment of contingent consideration							0	(600)
Repurchase and retirement of common stock							(54,873)	(61,736)
Shares surrendered for settlement of minimum statutory tax withholding							(6,353)	(41)
Proceeds from issuance of stock under employee stock plans							5,690	1,682
Net cash used in financing activities							(55,563)	(60,695)
Effect of exchange rate changes on cash and cash equivalents							(4)	(139)
Net increase (decrease) in cash and cash equivalents							23,065	(27,485)
Cash and cash equivalents, at beginning of the period			$ 189,082			239,297	189,082	239,297
Cash and cash equivalents, at end of the period	$ 212,147			211,812			$ 212,147	211,812
As Reported
Cash flows from operating activities
Net income (loss)				(10,108)				(53,896)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization								16,187
Amortization of right-of-use assets								1,290
Amortization of debt issuance costs								170
Impairment of other equity security								170
Impairment of long-lived assets								237
Stock-based compensation								64,490
Deferred income taxes								166
Change in fair value of contingent consideration								(150)
Unrealized foreign exchange loss								5,958
Other								(1)
Changes in operating assets and liabilities, net of effects of business combination:
Accounts receivable								(2,902)
Prepaid expenses and other current assets								(560)
Other assets								(864)
Accounts payable								(6,417)
Accrued expenses and other liabilities								7,606
Operating lease liabilities								(1,599)
Income tax payable								22
Deferred revenue								22,108
Net cash provided by operating activities								52,015
Cash flows from investing activities
Acquisition, net of cash acquired								(2,532)
Proceeds from acquisition working capital adjustment								307
Purchase of property and equipment								(16,441)
Net cash used in investing activities								(18,666)
Cash flows from financing activities
Payment of contingent consideration								(600)
Repurchase and retirement of common stock								(61,736)
Shares surrendered for settlement of minimum statutory tax withholding								(41)
Proceeds from issuance of stock under employee stock plans								1,682
Net cash used in financing activities								(60,695)
Effect of exchange rate changes on cash and cash equivalents								(139)
Net increase (decrease) in cash and cash equivalents								(27,485)
Cash and cash equivalents, at beginning of the period						239,297		239,297
Cash and cash equivalents, at end of the period				211,812				211,812
Adjustments
Cash flows from operating activities
Net income (loss)				(1,873)				3,419
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization								0
Amortization of right-of-use assets								0
Amortization of debt issuance costs								0
Impairment of other equity security								0
Impairment of long-lived assets								0
Stock-based compensation								0
Deferred income taxes								(2,803)
Change in fair value of contingent consideration								0
Unrealized foreign exchange loss								0
Other								0
Changes in operating assets and liabilities, net of effects of business combination:
Accounts receivable								(122)
Prepaid expenses and other current assets								264
Other assets								1
Accounts payable								0
Accrued expenses and other liabilities								(21)
Operating lease liabilities								0
Income tax payable								0
Deferred revenue								(738)
Net cash provided by operating activities								0
Cash flows from investing activities
Acquisition, net of cash acquired								0
Proceeds from acquisition working capital adjustment								0
Purchase of property and equipment								0
Net cash used in investing activities								0
Cash flows from financing activities
Payment of contingent consideration								0
Repurchase and retirement of common stock								0
Shares surrendered for settlement of minimum statutory tax withholding								0
Proceeds from issuance of stock under employee stock plans								0
Net cash used in financing activities								0
Effect of exchange rate changes on cash and cash equivalents								0
Net increase (decrease) in cash and cash equivalents								0
Cash and cash equivalents, at beginning of the period						$ 0		0
Cash and cash equivalents, at end of the period				$ 0				$ 0

Stock-based Compensation

9 Months Ended

Sep. 30, 2023

Share-Based Payment Arrangement [Abstract]

Stock-based Compensation

Stock-based Compensation Expense

We recorded stock-based compensation expense in the following categories in the accompanying unaudited condensed consolidated statements of operations and balance sheets (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Cost of revenue		$	1,115	$	597	$	3,094	$	2,205
Sales and marketing		1,623		2,972		$	4,602	$	9,633
Technology and development		4,706		3,857		$	13,901	$	12,303
General and administrative		8,138		12,352		$	29,408	$	40,349
Total stock-based compensation expense		15,582		19,778		$	51,005	$	64,490
Amount capitalized to internal-use software		1,054		549		$	3,039	$	1,779
Total stock-based compensation expense		$	16,636	$	20,327	$	54,044	$	66,269

Stock Options

During the nine months ended September 30, 2023, we granted 4.2 million stock options to members of our senior leadership team. Fair value of the options was measured using the Black-Scholes option pricing model on the date of grant, and associated expense will be recognized over the requisite service period. Vesting of the options will be accelerated upon a qualifying termination that occurs during the change-in-control period, as defined in the option grant agreement, or immediately prior to the effective time of a change-in-control if the option award is not assumed, continued or substituted by the surviving or acquiring entity (or its parent) in connection with such change-in-control. The weighted-average assumptions that were used to calculate the grant-date fair value of our stock option grants using the Black-Scholes option pricing model were as follows:


						Nine Months Ended September 30,
						2023
Expected life (years)						5.87
Risk-free interest rate						3.4% - 3.8%
Expected volatility						50.4% - 50.7%
Expected dividend yield						—

Restricted Stock Units

During the nine months ended September 30, 2023, we granted 8.2 million restricted stock units, or RSUs, with a total grant date fair value of $71.6 million to various employees. RSUs are measured based on the fair market value of the underlying stock on the date of grant and recognized as expense over the requisite service period.

During the nine months ended September 30, 2023, we also granted 1.3 million RSUs with performance conditions, or PSUs, to members of our senior leadership team. Vesting of the PSUs is contingent upon the recipient’s continuous employment over the requisite service period and is subject to fulfillment by the Company of predefined performance criteria. Such awards will be earned only if certain performance targets established by and under the direction of the compensation committee of the board of directors are met during the performance period. The number of PSUs subject to vesting is determined at the end of the performance period and may equal zero percent (0%) to one hundred and fifty percent (150%) of the target award based upon Company’s achievement of certain revenue, profitability, and market share targets. If the performance criteria are achieved, 75% of the PSUs will vest on the date the compensation committee of the board of directors certifies achievement of the performance criteria, and the remaining 25% of the PSUs will vest on the one year anniversary of such certification date. PSUs are measured based on the fair market value of the underlying stock on the date of grant and recognized as expense over the employee’s requisite service period using graded vesting attribution method to the extent it is probable that the performance conditions will be achieved. At September 30, 2023, the awards were not probable of vesting, and, consequently, previously recognized stock-based compensation expense related to these PSU awards was reversed during three months ended September 30, 2023. In the event of a change-in-control (as defined in the employment agreement between the Company and each recipient of the performance award), the vesting conditions of the PSUs will be modified resulting in a vesting of a greater of (i) one hundred percent (100%) of the target award, or (ii) the number of shares commensurate with the Company’s market share for the trailing 12-month period ending on the date that is the end of the nearest month prior to the date of the change of control, provided

that 75% of such PSUs will vest on June 30, 2024 and the remaining 25% of such PSUs will vest on June 30, 2025, subject to the recipients continuing to be service providers through each such date and accelerated if the acquirer does not assume the awards in an economically equivalent manner.

On May 5, 2023, the compensation committee of the board of directors approved amendments to the terms of the stock option and RSU awards granted to members of our senior leadership team during the year ended December 31, 2022, whereby the vesting of such stock options and RSUs will be accelerated upon (i) a qualifying termination that occurs during the change-in-control period or (ii) the individual’s termination as a result of his or her death or disability (as each such term is defined in the employment agreement between the Company and applicable individual). Further, the amendments provide that such stock options, to the extent vested and outstanding on the date of the individual’s qualifying termination or the termination of the individual’s employment in the event of his or her death or disability, as applicable and after giving effect to the vesting acceleration, shall remain outstanding and exercisable until the earlier of: (x) the original expiration date of the stock options, (y) the one-year anniversary of the date of the individual’s termination of employment with the Company, and (z) immediately prior to the effective time of a change in control if such stock option is not assumed, continued or substituted by the surviving or acquiring entity (or its parent) in connection with such change in control. The modification to add the foregoing provisions did not result in an incremental fair value of the impacted awards because the original vesting conditions were expected to be satisfied as of the modification date and the termination of the individual’s employment in the event of change-in-control or as a result of his or her death or disability was not probable as of the date of this filing.

Net Income (Loss) Per Share Attributable to Common Stockholders

9 Months Ended

Sep. 30, 2023

Earnings Per Share [Abstract]

Net Income (Loss) Per Share Attributable to Common Stockholders

The following table shows the computation of basic and diluted net income (loss) per share attributable to common stockholders (in thousands, except per share amounts):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Numerator:
Net income (loss)		$	7,534	$	(11,981)	$	6,571	$	(50,477)
Net income (loss) attributable to common stockholders—basic and diluted		$	7,534	$	(11,981)	$	6,571	$	(50,477)
Denominator:
Weighted-average common stock used in computing net income (loss) per share attributable to common stockholders—basic		191,033		194,906		191,222		196,984
Effect of potentially dilutive securities
Options to purchase common stock		2,699		—		1,347		—


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
RSUs		3,702		—		2,372		—
Employee stock purchase plan		20		—		12		—
Weighted-average common stock used in computing net income (loss) per share attributable to common stockholders—diluted		197,454		194,906		194,953		196,984
Net income (loss) per share attributable to common stockholders—basic		$	0.04	$	(0.06)	$	0.03	$	(0.26)
Net income (loss) per share attributable to common stockholders—diluted		$	0.04	$	(0.06)	$	0.03	$	(0.26)


	Three Months Ended September 30,			Nine Months Ended September 30,
		2023	2022	2023	2022
			(Restated)		(Restated)
Options to purchase common stock		3,661	17,703	11,752	17,703
RSUs		2,557	8,649	5,580	8,649
Employee stock purchase plan		—	79	48	79
PSUs		1,316	—	1,316	—
Total		7,534	26,431	18,696	26,431

Accumulated Other Comprehensive (Loss) Income (Tables)

9 Months Ended

Sep. 30, 2023

Stockholders' Equity Note [Abstract]

Schedule of Changes in Accumulated Other Comprehensive Income (Loss)

Changes in accumulated other comprehensive (loss) income consisted of the following:


	Nine Months Ended September 30, 2023
(in thousands)	Before Tax Amount		Tax Effect		Net of Tax Amount
Foreign currency translation adjustments:
Beginning balance at December 31, 2022	$	1,358	$	—	$	1,358
Change during period	(631)		—		(631)
Ending balance at March 31, 2023	727		—		727
Change during period	(536)		—		(536)
Ending balance at June 30, 2023	$	191	$	—	$	191
Change during period	980		—		980
Ending balance at September 30, 2023	$	1,171	$	—	$	1,171
Available-for-sale debt securities:
Beginning balance at December 31, 2022	$	184	$	(45)	$	139
Unrealized gains (losses)	—		—		—
Ending balance at March 31, 2023	184		(45)		139
Unrealized gains (losses)	—		—		—
Ending balance at June 30, 2023	$	184	$	(45)	$	139
Unrealized gains	230		(57)		173
Ending balance at September 30, 2023	$	414	$	(102)	$	312
Accumulated other comprehensive income:
Beginning balance at December 31, 2022	$	1,542	$	(45)	$	1,497
Other comprehensive loss	(631)		—		(631)
Ending balance at March 31, 2023	911		(45)		866
Other comprehensive loss	(536)		—		(536)
Ending balance at June 30, 2023	$	375	$	(45)	$	330


	Nine Months Ended September 30, 2023
(in thousands)	Before Tax Amount		Tax Effect		Net of Tax Amount
Other comprehensive income	1,210		(57)		1,153
Ending balance at September 30, 2023	$	1,585	$	(102)	$	1,483


	Nine Months Ended September 30, 2022 (Restated)
(in thousands)	Before Tax Amount		Tax Effect		Net of Tax Amount
Foreign currency translation adjustments:
Beginning balance at December 31, 2021	$	(2,078)	$	—	$	(2,078)
Change during period	1,402		—		1,402
Ending balance at March 31, 2022	(676)		—		(676)
Change during period	2,209		—		2,209
Ending balance at June 30, 2022	$	1,533	$	—	$	1,533
Change during period	2,644		—		2,644
Ending balance at September 30, 2022	$	4,177	$	—	$	4,177
Available-for-sale debt securities:
Beginning balance at December 31, 2021	$	331	$	(48)	$	283
Unrealized gains	51		(13)		38
Ending balance at March 31, 2022	382		(61)		321
Unrealized gains (losses)	—		—		—
Ending balance at June 30, 2022	$	382	$	(61)	$	321
Unrealized gains	—		—		—
Ending balance at September 30, 2022	$	382	$	(61)	$	321












Accumulated other comprehensive (loss) income:
Beginning balance at December 31, 2021	$	(1,747)	$	(48)	$	(1,795)
Other comprehensive income	1,453		(13)		1,440
Ending balance at March 31, 2022	(294)		(61)		(355)
Other comprehensive income	2,209		—		2,209
Ending balance at June 30, 2022	1,915		(61)		1,854
Other comprehensive income	2,644		—		2,644
Ending balance at September 30, 2022	$	4,559	$	(61)	$	4,498

Summary of Significant Accounting Policies (Policies)	9 Months Ended
Summary of Significant Accounting Policies (Policies)	Sep. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation and Consolidation	Basis of Presentation and Consolidation The accompanying unaudited condensed consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States of America, or GAAP, for interim financial information. Certain information and disclosures normally included in consolidated financial statements prepared in accordance with GAAP have been condensed or omitted. Accordingly, these unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and the related notes thereto included in the Annual Report on Form 10-K for the year ended December 31, 2022. The December 31, 2022 unaudited condensed consolidated balance sheet was derived from our audited consolidated financial statements as of that date. Our unaudited condensed consolidated financial statements include, in the opinion of management, all adjustments, consisting of normal and recurring items, necessary for the fair statement of the unaudited condensed consolidated financial statements. All intercompany balances and transactions have been eliminated in consolidation. There have been no significant changes in accounting policies during the three and nine months ended September 30, 2023 from those disclosed in the annual consolidated financial statements for the year ended December 31, 2022 and the related notes, except as noted below in the Recently Adopted Accounting Pronouncements. The operating results for the three and nine months ended September 30, 2023 are not necessarily indicative of the results expected for the full year ending December 31, 2023.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenue and expenses, and related disclosures of contingent liabilities in the consolidated financial statements and accompanying notes. Estimates are used for, but not limited to, revenue recognition, sales allowances and expected credit loss allowances, available-for-sale debt securities, other equity securities, recoverability of long-lived assets and goodwill, income taxes, commitments and contingencies, and stock-based compensation. Actual results could differ materially from those estimates. On an ongoing basis, we evaluate the estimates compared to historical experience and other factors including the current economic and regulatory environment, which form the basis for our judgments about the carrying value of assets and liabilities.
Segment and Geographic Information	Segment and Geographic Information Our Chief Executive Officer, as the Chief Operating Decision Maker, organizes our company, manages resource allocations, and measures performance on the basis of one operating segment.
Foreign Currency	Foreign CurrencyThe British Pound Sterling is the functional currency for our foreign subsidiaries domiciled in the U.K. The financial statements of these foreign subsidiaries are translated to U.S. Dollars using period-end rates of exchange for assets and liabilities, historical rates of exchange for equity, and average rates of exchange for the period for revenue and expenses. Translation gains and losses are recorded in accumulated other comprehensive income (loss) as a component of our unaudited condensed consolidated statements of stockholders’ equity.
Concentrations of Credit Risk	Concentrations of Credit Risk We maintain accounts in U.S. and U.K. banks with funds insured by the Federal Deposit Insurance Corporation, or FDIC, and the Financial Services Compensation Scheme, or FSCS, respectively. Our bank accounts may, at times, exceed the FDIC and FSCS insured limits. Financial instruments that potentially subject us to credit risk consist principally of cash and cash equivalents. Management believes that we are not exposed to any significant credit risk related to our cash or cash equivalents and have not experienced any losses in such accounts.
Accounts Receivable and Allowance for Credit Losses	Accounts Receivable and Allowance for Credit Losses Our accounts receivable balances, which are not collateralized and do not bear interest, primarily consist of amounts receivable from our credit and debit card merchant processors, customer receivables, and fees due from third-parties for services purchased by our customers from such third-parties. We reduce our accounts receivable for sales allowances and a reserve for potentially uncollectible receivables. We determine the amount of the allowances based on various factors, including historical collection experience, the age of the accounts receivable balances, credit quality of our customers, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect our ability to collect from customers. Account balances are charged off against the allowance when we determine that it is not probable we will collect the receivable.
Leases	Leases On January 1, 2022, we recorded operating lease ROU assets of $5.7 million and operating lease liabilities of $5.9 million. The difference between the leased assets and lease liabilities represents the existing deferred rent liabilities balance at adoption of ASC 842, resulting from historical straight-line recognition of operating leases, which was reclassified upon adoption to reduce the measurement of the leased assets. The adoption of the standard did not have a material impact on our stockholders’ equity, results of operations, or cash flows. The standard provides several optional practical expedients in transition. We elected the package of practical expedients permitted under the transition guidance, which eliminates the requirement to reassess whether a contract contains a lease and lease classification. We have also made accounting policy elections, including a short-term lease exception policy, permitting us to not apply the recognition requirements of this standard to short-term leases, which are leases with expected terms of 12 months or less, and an accounting policy to account for lease and certain non-lease components as a single component for certain classes of assets. Additionally, we used the portfolio approach when applying the discount rate selected based on the dollar amount and term of the obligation. We determine whether an arrangement is a lease, or contains a lease, at inception if we are able to identify an asset and can conclude we have the right to control the identified asset for a period of time. Leases are included in operating lease ROU assets and operating lease liabilities in the accompanying unaudited condensed consolidated balance sheets. Leases with an initial term of 12 months or less are not recorded on the condensed consolidated balance sheets. ROU assets represent our right to control an underlying asset for the lease term, and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As our leases do not provide an implicit rate, we use the incremental borrowing rate based on the information available at the commencement date in determining the discount rate used to present value lease payments. We used the incremental borrowing rate on January 1, 2022 for operating leases that commenced on or prior to that date. The incremental borrowing rate used is estimated based on what we would be required to pay for a collateralized loan over a similar term. Our leases typically do not include any residual value guarantees, bargain purchase options, or asset retirement obligations. Our lease terms are only for periods in which we have enforceable rights. A lease is no longer enforceable when both the lessee and the lessor each have the right to terminate the lease without permission from the other party with no more than an insignificant penalty. Our lease terms are impacted by options to extend or terminate the lease when it is reasonably certain that we will exercise that option. We generally use the base, non-cancelable lease term when determining the lease assets and liabilities. Our agreements may contain variable lease payments. We include variable lease payments that depend on an index or a rate and exclude those which depend on facts or circumstances occurring after the commencement date, other than the passage of time.
Revenue Recognition	Revenue Recognition We derive our revenue from the following sources: Transaction revenue—Transaction revenue is primarily generated from our customized legal document services upon fulfillment of these services. Transaction revenue includes filing fees and is net of cancellations, promotional discounts, sales allowances and credit reserves. Subscription revenue—Subscription revenue is generated primarily from subscriptions to our registered agent, compliance packages, attorney advice, legal forms, tax, virtual mail and e-signature services, and software-as-a-service, or SaaS, accounting solution subscriptions and SaaS subscriptions in the U.K. We generally recognize revenue from our subscriptions ratably over the subscription term. Subscription terms generally range from thirty days to one year. Subscription revenue includes the transaction price allocated to bundled free trials for our subscription services and is net of promotional discounts, cancellations, sales allowances and credit reserves and payments to third-party service providers such as legal plan law firms. For transaction and subscription revenue, we generally collect payments and fees at the time orders are placed and prior to services being rendered. We record amounts collected for services that have not been performed as deferred revenue on our consolidated balance sheet. The transaction price that we record is generally based on the contractual amounts and is reduced for estimated sales allowances for price concessions, charge-backs, sales credits and refunds, which are accounted for as variable consideration when estimating the amount of revenue to recognize. Partner revenue—Partner revenue consists primarily of one-time or recurring fees earned from third-party providers from leads generated to such providers through our online legal platform. Revenue is recognized when the related performance-based criteria have been met. We assess whether performance criteria have been met on a cost-per-click or cost-per-action basis.
Recent Accounting Pronouncements and Recently Adopted Accounting Pronouncements	Recent Accounting Pronouncements Prior to December 31, 2022, we qualified as an emerging growth company, or EGC, and were allowed by the Jumpstart Our Business Startups Act to delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements were made applicable to private companies. We became a large accelerated filer and no longer qualified as an EGC at the conclusion of the fiscal year ended December 31, 2022. The adoption dates discussed below for recently adopted accounting pronouncements reflect the transition periods required as a result of becoming a large accelerated filer as of December 31, 2022. We will be required to adopt all future new or revised accounting pronouncements in accordance with public company timelines. Recently Adopted Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit losses: Measurement of Credit Losses on Financial Instruments (Topic 326), which revises the impairment model to utilize an expected loss methodology in place of the currently used incurred loss methodology, which results in more timely recognition of losses on financial instruments, including, but not limited to, available-for-sale debt securities and accounts receivable. We adopted ASU 2016-13 effective January 1, 2022. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements. In June 2022, the FASB issued ASU No. 2022-03, Fair Value Measurement—Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions (Topic 820), or ASU 2022-03, which clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The amendments are effective for fiscal years beginning after December 15, 2023. We early adopted ASU 2022-03 during the three months ended June 30, 2023. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements. In September 2022, the FASB issued ASU No. 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations, which requires that a buyer in a supplier finance program disclose qualitative and quantitative information about its supplier finance programs. We adopted ASU 2022-04 effective January 1, 2023. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements. In March 2023, the FASB issued ASU No. 2023-01, Leases (Topic 842): Common Control Arrangements, which amends certain provisions of ASC 842 related to the accounting for leasehold improvements in common-control arrangements. ASU 2023-01 is effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. We early adopted ASU 2023-01 effective January 1, 2023. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements. In March 2023, the FASB issued ASU No. 2023-02, Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method, which allows reporting entities to elect to account for qualifying tax equity investments using the proportional amortization method, regardless of the program giving rise to the related income tax credits. ASU 2023-02 is effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. We early adopted ASU 2023-02 effective January 1, 2023. The adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements. In July 2023, the FASB issued ASU 2023-03 to amend various paragraphs in the Accounting Standards Codification to align with the previously issued SEC guidance. ASU 2023-03 did not provide any new guidance, and there is no transition or effective date associated with it resulting in the ASU 2023-03 being effective upon issuance. Consequently, the adoption of this accounting standard did not have a material impact on our unaudited condensed consolidated financial statements.

Restatement (Tables)

9 Months Ended

Sep. 30, 2023

Accounting Changes and Error Corrections [Abstract]

Schedule of Error Corrections and Prior Period Adjustments

Description of Restatement of Financial Information


	September 30, 2022
		As Reported	Adjustments	As Restated
Assets
Current assets:
Cash and cash equivalents		211,812	—	211,812
Accounts receivable, net of allowances of $4,419		13,578	122	13,700
Prepaid expenses and other current assets		16,624	(264)	16,360
Current assets held for sale		22,722	—	22,722
Total current assets		264,736	(142)	264,594
Property and equipment, net		29,012	—	29,012
Goodwill		63,184	—	63,184
Intangible assets, net		13,552	—	13,552


	September 30, 2022
		As Reported		Adjustments		As Restated
Operating lease right-of-use assets		11,796		—		11,796
Deferred income taxes		27,473		2,803		30,276
Available-for-sale debt securities		1,183		—		1,183
Other assets		12,877		(1)		12,876
Total assets		423,813		2,660		426,473
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable		25,805		—		25,805
Accrued expenses and other current liabilities		59,916		(21)		59,895
Deferred revenue		168,705		(738)		167,967
Operating lease liabilities		2,054		—		2,054
Total current liabilities		256,480		(759)		255,721
Operating lease liabilities, non-current		9,568		—		9,568
Deferred revenue		1,013		—		1,013
Other liabilities		2,926		—		2,926
Total liabilities		269,987		(759)		269,228
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value; 100,000 shares authorized; 0 issued or outstanding at September 30, 2022		—		—		—
Common stock, $0.001 par value; 1,000,000 shares authorized; 193,848 shares issued and outstanding at September 30, 2022		193		—		193
Additional paid-in capital		1,015,068		—		1,015,068
Accumulated deficit		(865,933)		3,419		(862,514)
Accumulated other comprehensive income		4,498		—		4,498
Total stockholders’ equity		153,826		3,419		157,245
Total liabilities and stockholders’ equity		$	423,813	$	2,660	$	426,473


		Three Months Ended						Nine Months Ended
	September 30, 2022					September 30, 2022
		As Reported		Adjustments			As Restated	As reported		Adjustments		As restated
Revenue		$	154,416	$	861		$155,277	$	472,492	$	861	$473,353
Cost of revenue		50,050		264			50,314	163,383		264		163,647
Gross profit		104,366		597			104,963	309,109		597		309,706
Operating expenses:
Sales and marketing		66,145		1,224			67,369	215,964		—		215,964
Technology and development		17,457		—			17,457	51,613		—		51,613
General and administrative		30,103		—			30,103	88,560		—		88,560
Impairment of long-lived and other assets		237		—			237	237		—		237
Total operating expenses		113,942		1,224			115,166	356,374		—		356,374
Loss from operations		(9,576)		(627)			(10,203)	(47,265)		597		(46,668)
Interest income, net		535		—			535	511		—		511
Other expense, net		(2,536)		—			(2,536)	(6,102)		—		(6,102)
Loss before income taxes		(11,577)		(627)			(12,204)	(52,856)		597		(52,259)
(Benefit from) provision for income taxes		(1,469)		1,246			(223)	1,040		(2,822)		(1,782)


		Three Months Ended							Nine Months Ended
	September 30, 2022					September 30, 2022
		As Reported		Adjustments			As Restated		As reported		Adjustments		As restated
Net loss		$	(10,108)	$	(1,873)		$	(11,981)	$	(53,896)	$	3,419	$	(50,477)
Net loss per share attributable to common stockholders—basic and diluted:		$	(0.05)	$	—		$	(0.06)	$	(0.27)	$	—	$	(0.26)
Weighted-average shares used to compute net loss per share attributable to common stockholders—basic and diluted:		194,906		—			194,906		196,984		—		196,984

The table below sets forth the unaudited condensed consolidated statements of comprehensive loss, including balances as reported, adjustments and balances as restated amounts (in thousands):


		Three Months Ended							Nine Months Ended
	September 30, 2022					September 30, 2022
		As Reported		Adjustments			As Restated		As reported		Adjustments		As restated
Net Loss		$	(10,108)	$	(1,873)		$	(11,981)	$	(53,896)	$	3,419	$	(50,477)
Total other comprehensive income		2,644		—			2,644		6,293		—		6,293
Total comprehensive loss		$	(7,464)	$	(1,873)		$	(9,337)	$	(47,603)	$	3,419	$	(44,184)

The table below sets forth the unaudited condensed consolidated statements of stockholders’ equity, including balances as reported, adjustments and balances as restated amounts (in thousands):


	Common Stock			Additional Paid-In Capital		Accumulated Deficit		Accumulated Other Comprehensive Income		Total Stockholders’ Equity
	Shares	Amount








Balance at September 30, 2022 as reported	193,848	$	193	$	1,015,068	$	(865,933)	$	4,498	$	153,826
Cumulative adjustments to net loss	—	—		—		3,419		—		3,419
Balance at September 30, 2022 as restated	193,848	$	193	$	1,015,068	$	(862,514)	$	4,498	$	157,245

The table below sets forth the unaudited condensed consolidated statement of cash flows, including balances as reported, adjustments and balances as restated amounts (in thousands):


	Nine Months Ended September 30, 2022
		As Reported		Adjustments		As Restated
Cash flows from operating activities
Net loss		$	(53,896)	$	3,419	$	(50,477)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization		16,187		—		16,187
Amortization of right-of-use assets		1,290		—		1,290
Amortization of debt issuance costs		170		—		170
Impairment of other equity security		170		—		170
Impairment of long-lived assets		237		—		237
Stock-based compensation		64,490		—		64,490
Deferred income taxes		166		(2,803)		(2,637)
Change in fair value of contingent consideration		(150)		—		(150)
Unrealized foreign exchange loss		5,958		—		5,958
Other		(1)		—		(1)


	Nine Months Ended September 30, 2022
		As Reported		Adjustments		As Restated
Changes in operating assets and liabilities, net of effects of business combination:
Accounts receivable		(2,902)		(122)		(3,024)
Prepaid expenses and other current assets		(560)		264		(296)
Other assets		(864)		1		(863)
Accounts payable		(6,417)		—		(6,417)
Accrued expenses and other liabilities		7,606		(21)		7,585
Operating lease liabilities		(1,599)		—		(1,599)
Income tax payable		22		—		22
Deferred revenue		22,108		(738)		21,370
Net cash provided by operating activities		52,015		—		52,015
Cash flows from investing activities
Acquisition, net of cash acquired		(2,532)		—		(2,532)
Proceeds from acquisition working capital adjustment		307		—		307
Purchase of property and equipment		(16,441)		—		(16,441)
Net cash used in investing activities		(18,666)		—		(18,666)
Cash flows from financing activities

Payment of contingent consideration		(600)		—		(600)
Repurchase of common stock		(61,736)		—		(61,736)
Shares surrendered for settlement of minimum statutory tax withholding		(41)		—		(41)
Proceeds from issuance of stock under employee stock plans		1,682		—		1,682
Net cash used in financing activities		(60,695)		—		(60,695)
Effect of exchange rate changes on cash and cash equivalents		(139)		—		(139)
Net decrease in cash and cash equivalents, and restricted cash equivalents		(27,485)		—		(27,485)
Cash and cash equivalents, and restricted cash equivalents, at beginning of the period		239,297		—		239,297
Cash and cash equivalents at end of the period		$	211,812	$	—	$	211,812

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Commitments We have non-cancelable agreements with various vendors, which require us to pay $46.0 million over a 5-year period, of which $35.0 million remains to be paid as of September 30, 2023. Legal Proceedings From time to time, we may become subject to legal proceedings, claims and litigation arising in the ordinary course of business. We are not currently a party to any material legal proceedings, nor are we aware of any pending or threatened litigation that could have a material adverse effect on our results of operations, cash flows, and financial condition, should such litigation be resolved unfavorably. Indemnifications Indemnification provisions in our third-party service provider agreements provide that we will indemnify, hold harmless, and reimburse the indemnified parties on a case-by-case basis for losses suffered or incurred by the indemnified parties in connection with any claim by any third-party as a result of our website, advertising, marketing, payment processing, collection or customer service activities. The maximum potential amount of future payments we could be required to make under these indemnification provisions is undeterminable. No amounts have been accrued or have been paid during any period presented as we believe the fair value of these indemnification obligations is immaterial.

Description of the Business	9 Months Ended
Description of the Business	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of the Business	Description of the Business LegalZoom.com, Inc. was initially formed as a California corporation in 1999 and reincorporated as a Delaware corporation in 2007. LegalZoom.com, Inc. and its wholly owned subsidiaries are referred to herein as the “Company”, “we,” “us,” or “our”. We are a provider of services that meet the legal needs of small businesses and consumers. Our position at business inception allows us to become a trusted business advisor, supporting the evolving needs of a new business across its lifecycle. Along with business formation, our offerings include ongoing compliance and tax advice and filings, business licenses, accounting, virtual mailbox and e-signature solutions, trademark filings, and estate plans. Additionally, we have insights into our customers and leverage our offerings as a channel to introduce small businesses to leading brands in our partner ecosystem, solving even more of their business needs.

Stock-based Compensation - Schedule of Stock Based Compensation Cost (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 15,582	$ 19,778	$ 51,005	$ 64,490
Amount capitalized to internal-use software	1,054	549	3,039	1,779
Total stock-based compensation expense	16,636	20,327	54,044	66,269
Cost of revenue
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,115	597	3,094	2,205
Sales and marketing
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,623	2,972	4,602	9,633
Technology and development
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	4,706	3,857	13,901	12,303
General and administrative
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 8,138	$ 12,352	$ 29,408	$ 40,349

Other Financial Statement Information - Summary of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Other Financial Information [Abstract]
Accrued payroll and related expenses	$ 27,082	$ 27,822
Accrued vendor payables	15,684	15,531
Accrued advertising	13	1,071
Sales allowances	4,672	4,426
Accrued sales, use and business taxes	4,800	3,838
Other	3,124	4,685
Total accrued expenses and other current liabilities	$ 55,375	$ 57,373

Summary of Significant Accounting Policies - Summary of Revenue Recognition (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Disaggregation of Revenue [Line Items]
Total revenue	$ 167,274	$ 155,277	$ 502,064	$ 473,353
Transaction
Disaggregation of Revenue [Line Items]
Total revenue	57,351	58,411	180,084	189,027
Subscription
Disaggregation of Revenue [Line Items]
Total revenue	104,457	91,397	303,967	267,069
Partner
Disaggregation of Revenue [Line Items]
Total revenue	$ 5,466	$ 5,469	$ 18,013	$ 17,257

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References + Details

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 924
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SAB Topic 11.L)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479941/924-10-S99-1

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 5
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-5

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 30
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-30

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 42
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-42

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 22
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-22

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-32

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 40
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-40

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 22
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-22

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-32

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 41
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-41

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 4
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-4

+ Details

Long-term Debt (Details)			9 Months Ended
Long-term Debt (Details)	May 05, 2023	Jul. 02, 2021 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Jul. 31, 2021
Debt Instrument [Line Items]
Letters of credit outstanding			$ 0	$ 0
2021 Revolving Facility
Debt Instrument [Line Items]
Total net first lien leverage ratio			4.50
Percent of total commitments not reimbursed			35.00%
Line of credit outstanding			$ 0	$ 0
2021 Revolving Facility \| Federal Funds Effective Rate
Debt Instrument [Line Items]
Effective interest rate					0.50%
Revolving Credit Facility \| 2021 Revolving Facility
Debt Instrument [Line Items]
Line of credit maximum borrowing capacity		$ 150,000,000
Debt issuance costs		$ 800,000
One month LIBOR floor		1.00%
Rate added to one month LIBOR		1.00%
Basis spread on variable rate, initial reduction		0.25%
Basis spread on variable rate, further reduction		0.25%
Total net first lien leverage ratio, first reduction requirement		3.50
Total net first lien leverage ratio, second reduction requirement		2.50
Commitment fee		0.35%
Commitment fee reduction		0.10%
Total net first lien leverage ratio, maximum		3.50
Revolving Credit Facility \| 2021 Revolving Facility \| Secured Overnight Financing Rate (SOFR)
Debt Instrument [Line Items]
Basis spread	0.10%
Letter of Credit
Debt Instrument [Line Items]
Line of credit maximum borrowing capacity		$ 20,000,000
Swingline Loan
Debt Instrument [Line Items]
Line of credit maximum borrowing capacity		$ 10,000,000

Commitments and Contingencies (Details) - Non-cancellable Agreements With Vendors - Advertising Media and Other Commitments $ in Millions	9 Months Ended
	Sep. 30, 2023 USD ($)
Other Commitments [Line Items]
Contractual obligation	$ 46.0
Contractual obligation pay period	5 years
Contractual obligation remainder to be paid	$ 35.0

Unaudited Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 212,147	$ 189,082
Accounts receivable, net of allowances of $5,703 and $4,730, respectively	14,417	13,177
Prepaid expenses and other current assets	17,494	16,699
Current assets held for sale	22,722	22,722
Total current assets	266,780	241,680
Property and equipment, net	43,763	30,823
Goodwill	63,318	63,229
Intangible assets, net	15,026	18,900
Operating lease right-of-use assets	9,199	11,148
Deferred income taxes	18,570	29,380
Available-for-sale debt securities	1,237	995
Other assets	8,620	9,240
Total assets	426,513	405,395
Current liabilities:
Accounts payable	32,311	25,312
Accrued expenses and other current liabilities	55,375	57,373
Deferred revenue	176,867	164,200
Operating lease liabilities	2,269	2,317
Total current liabilities	266,822	249,202
Operating lease liabilities, non-current	7,346	8,958
Deferred revenue	560	892
Other liabilities	4,443	3,968
Total liabilities	279,171	263,020
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value; 100,000 shares authorized at September 30, 2023 and December 31, 2022, none issued or outstanding at September 30, 2023 and December 31, 2022	0	0
Common stock, $0.001 par value; 1,000,000 shares authorized; 187,776 shares and 190,822 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively	187	190
Additional paid-in capital	1,086,222	1,032,550
Accumulated deficit	(940,550)	(891,862)
Accumulated other comprehensive income	1,483	1,497
Total stockholders’ equity	147,342	142,375
Total liabilities and stockholders’ equity	$ 426,513	$ 405,395

Other Financial Statement Information - Summary of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Other Financial Information [Abstract]
Prepaid expenses	$ 11,195	$ 10,624
Deferred cost of revenue	2,551	1,915
Capitalized cloud computing development costs	1,011	1,407
Income tax receivable	575	760
Other current assets	2,162	1,993
Total prepaid expenses and other current assets	$ 17,494	$ 16,699	$ 16,360

Fair Value Measurements

9 Months Ended

Sep. 30, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair value is defined as the price that would be received from selling an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. The standard establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is as follows:

Level 1 — Quoted prices in active markets for identical assets and liabilities.

Level 2 — Quoted prices for identical assets and liabilities in markets that are not active, quoted prices for similar assets and liabilities in active markets or financial instruments for which significant inputs are observable, either directly or indirectly.

Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

At September 30, 2023 and December 31, 2022, our financial assets recorded at fair value on a recurring basis consist of cash equivalents and available-for-sale debt securities. At December 31, 2022, our financial liabilities recorded at fair value on a recurring basis consisted of contingent consideration from the UA Services acquisition. The cash equivalents consist of money market funds valued using quoted prices in active markets, which represents Level 1 inputs in the fair value hierarchy. The available-for-sale debt securities are valued using a Monte Carlo simulation, which include inputs that represent Level 3 inputs in the fair value

hierarchy. Contingent consideration is valued using the present value and probability of the estimated future cash outflow, which include inputs that represent Level 3 inputs in the fair value hierarchy.

The carrying amounts of accounts receivable, accounts payable and accrued expenses and other current liabilities approximate fair values because of the short-term nature of these items.

The following tables summarize our assets and liabilities that are measured at fair value on a recurring basis, by level, within the fair value hierarchy (in thousands):


	As of September 30, 2023
	Level 1		Level 2		Level 3
Available-for-sale debt securities	$	—	$	—	$	1,237
Money market funds	191,393		—		—
Total assets	$	191,393	$	—	$	1,237


	As of December 31, 2022
	Level 1		Level 2		Level 3
Available-for-sale debt securities	$	—	$	—	$	995
Money market fund	130,215		—		—
Total assets	$	130,215	$	—	$	995
Contingent consideration	—		—		836
Total liabilities	$	—	$	—	$	836

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 7,534	$ (11,981)	$ 6,571	$ (50,477)
Other comprehensive income (loss), net of tax:
Change in foreign currency translation adjustments	980	2,644	(187)	6,255
Change in available-for-sale debt securities due to unrealized gains	173	0	173	38
Total other comprehensive income (loss)	1,153	2,644	(14)	6,293
Total comprehensive income (loss)	$ 8,687	$ (9,337)	$ 6,557	$ (44,184)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

+ Details

Restructuring	9 Months Ended
Restructuring	Sep. 30, 2023
Restructuring and Related Activities [Abstract]
Restructuring	RestructuringFrom time to time, we initiate cost reduction activities to integrate acquired businesses, to align our workforce with strategic business activities, or to improve efficiencies in our operations. During three and nine months ended September 30, 2023, we incurred $0.1 million and $0.8 million, respectively, in severance costs related to the reduction of our U.K. headcount, which is expected to be substantially complete by December 31, 2023. Restructuring expenses include severance for the impacted employees and are included in general and administrative expenses in the accompanying unaudited condensed consolidated financial statements

Stockholders' Equity (Details) - USD ($)	3 Months Ended						9 Months Ended
Stockholders' Equity (Details) - USD ($)	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Oct. 31, 2023	Mar. 01, 2022
Equity, Class of Treasury Stock [Line Items]
Shares repurchased (in shares)	4,718,755						5,867,835
Shares repurchased, value	$ 45,100,000						$ 54,900,000
Average price per share (in dollars per share)	$ 9.55						$ 9.35
Excise tax liability							$ 300,000
Common Stock
Equity, Class of Treasury Stock [Line Items]
Shares repurchased (in shares)	4,719,000	378,000	771,000	2,625,000	2,961,000	79,000
Common Stock \| Secondary Offering
Equity, Class of Treasury Stock [Line Items]
Shares issued (in shares)	16,100,000
Price per share (in dollars per share)	$ 10.00						$ 10.00
2022 Stock Repurchase Program
Equity, Class of Treasury Stock [Line Items]
Stock repurchase program, amount authorized for repurchase									$ 150,000,000
Funds available for future repurchases	$ 0						$ 0
2023 Stock Repurchase Program \| Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Stock repurchase program, amount authorized for repurchase								$ 100,000,000

Accumulated Other Comprehensive (Loss) Income

9 Months Ended

Sep. 30, 2023

Stockholders' Equity Note [Abstract]

Accumulated Other Comprehensive (Loss) Income

Accumulated Other Comprehensive (Loss) IncomeChanges in accumulated other comprehensive (loss) income consisted of the following:


	Nine Months Ended September 30, 2023
(in thousands)	Before Tax Amount		Tax Effect		Net of Tax Amount
Foreign currency translation adjustments:
Beginning balance at December 31, 2022	$	1,358	$	—	$	1,358
Change during period	(631)		—		(631)
Ending balance at March 31, 2023	727		—		727
Change during period	(536)		—		(536)
Ending balance at June 30, 2023	$	191	$	—	$	191
Change during period	980		—		980
Ending balance at September 30, 2023	$	1,171	$	—	$	1,171
Available-for-sale debt securities:
Beginning balance at December 31, 2022	$	184	$	(45)	$	139
Unrealized gains (losses)	—		—		—
Ending balance at March 31, 2023	184		(45)		139
Unrealized gains (losses)	—		—		—
Ending balance at June 30, 2023	$	184	$	(45)	$	139
Unrealized gains	230		(57)		173
Ending balance at September 30, 2023	$	414	$	(102)	$	312
Accumulated other comprehensive income:
Beginning balance at December 31, 2022	$	1,542	$	(45)	$	1,497
Other comprehensive loss	(631)		—		(631)
Ending balance at March 31, 2023	911		(45)		866
Other comprehensive loss	(536)		—		(536)
Ending balance at June 30, 2023	$	375	$	(45)	$	330


	Nine Months Ended September 30, 2023
(in thousands)	Before Tax Amount		Tax Effect		Net of Tax Amount
Other comprehensive income	1,210		(57)		1,153
Ending balance at September 30, 2023	$	1,585	$	(102)	$	1,483


	Nine Months Ended September 30, 2022 (Restated)
(in thousands)	Before Tax Amount		Tax Effect		Net of Tax Amount
Foreign currency translation adjustments:
Beginning balance at December 31, 2021	$	(2,078)	$	—	$	(2,078)
Change during period	1,402		—		1,402
Ending balance at March 31, 2022	(676)		—		(676)
Change during period	2,209		—		2,209
Ending balance at June 30, 2022	$	1,533	$	—	$	1,533
Change during period	2,644		—		2,644
Ending balance at September 30, 2022	$	4,177	$	—	$	4,177
Available-for-sale debt securities:
Beginning balance at December 31, 2021	$	331	$	(48)	$	283
Unrealized gains	51		(13)		38
Ending balance at March 31, 2022	382		(61)		321
Unrealized gains (losses)	—		—		—
Ending balance at June 30, 2022	$	382	$	(61)	$	321
Unrealized gains	—		—		—
Ending balance at September 30, 2022	$	382	$	(61)	$	321












Accumulated other comprehensive (loss) income:
Beginning balance at December 31, 2021	$	(1,747)	$	(48)	$	(1,795)
Other comprehensive income	1,453		(13)		1,440
Ending balance at March 31, 2022	(294)		(61)		(355)
Other comprehensive income	2,209		—		2,209
Ending balance at June 30, 2022	1,915		(61)		1,854
Other comprehensive income	2,644		—		2,644
Ending balance at September 30, 2022	$	4,559	$	(61)	$	4,498

Stock-based Compensation (Tables)

9 Months Ended

Sep. 30, 2023

Share-Based Payment Arrangement [Abstract]

Schedule of Stock Based Compensation Cost

We recorded stock-based compensation expense in the following categories in the accompanying unaudited condensed consolidated statements of operations and balance sheets (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Cost of revenue		$	1,115	$	597	$	3,094	$	2,205
Sales and marketing		1,623		2,972		$	4,602	$	9,633
Technology and development		4,706		3,857		$	13,901	$	12,303
General and administrative		8,138		12,352		$	29,408	$	40,349
Total stock-based compensation expense		15,582		19,778		$	51,005	$	64,490
Amount capitalized to internal-use software		1,054		549		$	3,039	$	1,779
Total stock-based compensation expense		$	16,636	$	20,327	$	54,044	$	66,269

Schedule of Fair Value Assumptions and Techniques for Stock Options

The weighted-average assumptions that were used to calculate the grant-date fair value of our stock option grants using the Black-Scholes option pricing model were as follows:


						Nine Months Ended September 30,
						2023
Expected life (years)						5.87
Risk-free interest rate						3.4% - 3.8%
Expected volatility						50.4% - 50.7%
Expected dividend yield						—

Accumulated Other Comprehensive (Loss) Income (Detail) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ 168,349	$ 150,017	$ 142,375	$ 170,948	$ 194,707	$ 197,551	$ 142,375	$ 197,551
Change during period, Net of Tax Amount	1,153	(536)	(631)	2,644	2,209	1,440	(14)	6,293
Ending balance	147,342	168,349	150,017	157,245	170,948	194,707	147,342	157,245
Foreign currency translation adjustments:
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance, Before Tax Amount	191	727	1,358	1,533	(676)	(2,078)	1,358	(2,078)
Change during period, Before Tax Amount	980	(536)	(631)	2,644	2,209	1,402
Ending balance, Before Tax Amount	1,171	191	727	4,177	1,533	(676)	1,171	4,177
Beginning balance, Tax Effect	0	0	0	0	0	0	0	0
Change during period, Tax Effect	0	0	0	0	0	0
Ending balance, Tax Effect	0	0	0	0	0	0	0	0
Beginning balance	191	727	1,358	1,533	(676)	(2,078)	1,358	(2,078)
Change during period, Net of Tax Amount	980	(536)	(631)	2,644	2,209	1,402
Ending balance	1,171	191	727	4,177	1,533	(676)	1,171	4,177
Available-for-sale debt securities:
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance, Before Tax Amount	184	184	184	382	382	331	184	331
Change during period, Before Tax Amount	230	0	0	0	0	51
Ending balance, Before Tax Amount	414	184	184	382	382	382	414	382
Beginning balance, Tax Effect	(45)	(45)	(45)	(61)	(61)	(48)	(45)	(48)
Change during period, Tax Effect	(57)	0	0	0	0	(13)
Ending balance, Tax Effect	(102)	(45)	(45)	(61)	(61)	(61)	(102)	(61)
Beginning balance	139	139	139	321	321	283	139	283
Change during period, Net of Tax Amount	173	0	0	0	0	38
Ending balance	312	139	139	321	321	321	312	321
Accumulated other comprehensive (loss) income:
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance, Before Tax Amount	375	911	1,542	1,915	(294)	(1,747)	1,542	(1,747)
Change during period, Before Tax Amount	1,210	(536)	(631)	2,644	2,209	1,453
Ending balance, Before Tax Amount	1,585	375	911	4,559	1,915	(294)	1,585	4,559
Beginning balance, Tax Effect	(45)	(45)	(45)	(61)	(61)	(48)	(45)	(48)
Change during period, Tax Effect	(57)	0	0	0	0	(13)
Ending balance, Tax Effect	(102)	(45)	(45)	(61)	(61)	(61)	(102)	(61)
Beginning balance	330	866	1,497	1,854	(355)	(1,795)	1,497	(1,795)
Change during period, Net of Tax Amount	1,153	(536)	(631)	2,644	2,209	1,440
Ending balance	$ 1,483	$ 330	$ 866	$ 4,498	$ 1,854	$ (355)	$ 1,483	$ 4,498

Restructuring (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
Restructuring (Details) - USD ($) $ in Millions	Sep. 30, 2023	Sep. 30, 2023
Restructuring and Related Activities [Abstract]
Severance costs	$ 0.1	$ 0.8

Income Taxes	9 Months Ended
Income Taxes	Sep. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes We recorded a provision for income taxes of $4.5 million and $14.4 million for the three and nine months ended September 30, 2023, respectively, and a benefit from income taxes of $0.2 million and $1.8 million for the three and nine months ended September 30, 2022, respectively. The effective tax rate for the three months ended September 30, 2023 and 2022 was 37.2% and 1.8% (as restated), respectively. For the nine months ended September 30, 2023 and 2022, the effective tax rate was 68.7% and 3.4% (as restated), respectively. The difference from the federal statutory rate of 21% is primarily due to the recognition of significant non-deductible stock-based compensation and other discrete adjustments. Gross unrecognized tax benefits were $9.7 million and $8.9 million as of September 30, 2023 and December 31, 2022, respectively. The gross unrecognized tax benefits, if recognized by us, will result in a reduction of approximately $9.7 million, excluding interest and penalties, to the provision for income taxes, thereby favorably impacting our effective tax rate. Our policy is to recognize interest and penalties related to income tax matters in income tax expense. For the periods presented, interest and penalties related to income tax positions were not material to our unaudited condensed consolidated financial statements. We are subject to taxation and file income tax returns in the U.S. federal, state, and foreign jurisdictions. The federal income tax returns for the years 2018 and forward and state income tax returns for the tax years 2008 and forward remain open to examination. We are under examination in one state which is not expected to have an impact on our results of operations, cash flows and financial condition.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480990/946-20-50-13

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org//740/tableOfContent

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 14
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-14

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 21
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-21

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 270
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482526/740-270-50-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 17
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-17

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479360/740-10-S99-1

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479360/740-10-S99-2

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482603/740-30-50-2

+ Details

Summary of Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2023

Accounting Policies [Abstract]

Schedule of Revenue Recognition

Revenue from our transaction, subscription and partner revenue is as follows (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Transaction		$	57,351	$	58,411	$	180,084	$	189,027
Subscription		104,457		91,397		303,967		267,069
Partner		5,466		5,469		18,013		17,257
Total revenue		$	167,274	$	155,277	$	502,064	$	473,353

Other Financial Statement Information - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Other Financial Information [Abstract]
Deferred revenue	$ 177.4		$ 177.4		$ 165.1
Deferred revenue recognized	$ 86.5	$ 81.7	$ 154.6	$ 146.5

Other Financial Statement Information (Tables)

9 Months Ended

Sep. 30, 2023

Other Financial Information [Abstract]

Schedule of Changes in the Allowance

Changes in the allowances consisted of the following (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Beginning balance		$	5,734	$	4,508	$	4,730	$	4,060
Add: amounts recognized as a reduction of revenue		1,271		2,099		7,349		6,291
Add: allowance for credit losses recognized in general and administrative expense		493		2		981		143
Less: write-offs, net of recoveries		(1,795)		(2,190)		(7,357)		(6,075)
Ending balance		$	5,703	$	4,419	$	5,703	$	4,419

Schedule of Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consisted of the following (in thousands):


	September 30, 2023		December 31, 2022
Prepaid expenses	$	11,195	$	10,624
Deferred cost of revenue	2,551		1,915
Capitalized cloud computing development costs	1,011		1,407
Income tax receivable	575		760
Other current assets	2,162		1,993
Total prepaid expenses and other current assets	$	17,494	$	16,699

Schedule of Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following (in thousands):


	September 30, 2023		December 31, 2022
Accrued payroll and related expenses	$	27,082	$	27,822
Accrued vendor payables	15,684		15,531
Accrued advertising	13		1,071
Sales allowances	4,672		4,426
Accrued sales, use and business taxes	4,800		3,838


	September 30, 2023		December 31, 2022
Other	3,124		4,685
Total accrued expenses and other current liabilities	$	55,375	$	57,373

Schedule of Depreciation and Amortization Expense

Depreciation and amortization expense of our property and equipment, including capitalized internal-use software, and intangible assets consisted of the following (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
		2023		2022		2023		2022
				(Restated)				(Restated)
Cost of revenue		$	3,307	$	1,966	$	8,940	$	6,220
Sales and marketing		1,400		1,754		4,011		5,508
Technology and development		1,168		694		2,867		2,112
General and administrative		780		840		2,243		2,347
Total depreciation and amortization expense		$	6,655	$	5,254	$	18,061	$	16,187

Stock-based Compensation - Schedule of Fair Value Assumptions and Techniques for Stock Options (Details)	9 Months Ended
	Sep. 30, 2023
Share-Based Payment Arrangement [Abstract]
Expected life (years)	5 years 10 months 13 days
Risk-free interest rate, minimum	3.40%
Risk-free interest rate, maximum	3.80%
Expected volatility, minimum	50.40%
Expected volatility, maximum	50.70%
Expected dividend yield	0.00%

Restatement - Unaudited Condensed Consolidated Statements of Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Statement of Other Comprehensive Income [Abstract]
Net loss	$ 7,534	$ 1,395	$ (2,358)	$ (11,981)	$ (12,743)	$ (25,753)	$ 6,571	$ (50,477)
Total other comprehensive income (loss)	1,153	$ (536)	$ (631)	2,644	$ 2,209	$ 1,440	(14)	6,293
Total comprehensive income (loss)	$ 8,687			(9,337)			$ 6,557	(44,184)
As Reported
Statement of Other Comprehensive Income [Abstract]
Net loss				(10,108)				(53,896)
Total other comprehensive income (loss)				2,644				6,293
Total comprehensive income (loss)				(7,464)				(47,603)
Adjustments
Statement of Other Comprehensive Income [Abstract]
Net loss				(1,873)				3,419
Total other comprehensive income (loss)				0				0
Total comprehensive income (loss)				$ (1,873)				$ 3,419

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

+ Details

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Income Taxes (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Income Tax Disclosure [Abstract]
(Benefit from) provision for income taxes	$ 4,463	$ (223)	$ 14,427	$ (1,782)
Effective tax rate	37.20%	1.80%	68.70%	3.40%
Gross unrecognized tax benefits	$ 9,700		$ 9,700		$ 8,900
Unrecognized tax benefits that would impact effective tax rate	$ 9,700		$ 9,700

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

Other Financial Statement Information - Summary of Depreciation and Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Disclosure Details Of Depreciation And Amortization [Line Items]
Total depreciation and amortization expense	$ 6,655	$ 5,254	$ 18,061	$ 16,187
Cost of revenue
Disclosure Details Of Depreciation And Amortization [Line Items]
Total depreciation and amortization expense	3,307	1,966	8,940	6,220
Sales and marketing
Disclosure Details Of Depreciation And Amortization [Line Items]
Total depreciation and amortization expense	1,400	1,754	4,011	5,508
Technology and development
Disclosure Details Of Depreciation And Amortization [Line Items]
Total depreciation and amortization expense	1,168	694	2,867	2,112
General and administrative
Disclosure Details Of Depreciation And Amortization [Line Items]
Total depreciation and amortization expense	$ 780	$ 840	$ 2,243	$ 2,347

Insider Trading Arrangements	3 Months Ended	9 Months Ended
Insider Trading Arrangements	Sep. 30, 2023 shares	Sep. 30, 2023 shares
Trading Arrangements, by Individual
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false
Noel Watson [Member]
Trading Arrangements, by Individual
Material Terms of Trading Arrangement		On September 8, 2023, Nicole Miller, our General Counsel, entered into a trading plan, or the Miller 10b5-1 Sales Plan, intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Exchange Act. The Miller 10b5-1 Sales Plan, which was entered into during an open trading window under the Company’s insider trading policy, will be in effect until the earlier of (1) May 31, 2024, or (2) the date on which an aggregate of 308,025 shares of the Company’s common stock have been sold under such Miller 10b5-1 Sales Plan.
Nicole Miller [Member]
Trading Arrangements, by Individual
Name	Nicole Miller
Title	General Counsel
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	September 8, 2023
Arrangement Duration	266 days
Aggregate Available	308,025	308,025

Assets Held for Sale (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Current assets held for sale	$ 22,722	$ 22,722	$ 22,722
Disposal Group, Held-for-sale, Not Discontinued Operations \| Austin, Texas Operational Headquarters
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Current assets held for sale	$ 22,700

Unaudited Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Statement [Abstract]
Revenue	$ 167,274	$ 155,277	$ 502,064	$ 473,353
Cost of revenue	59,213	50,314	183,356	163,647
Gross profit	108,061	104,963	318,708	309,706
Operating expenses:
Sales and marketing	51,071	67,369	164,746	215,964
Technology and development	21,491	17,457	61,074	51,613
General and administrative	25,243	30,103	78,683	88,560
Impairment of long-lived and other assets	0	237	0	237
Total operating expenses	97,805	115,166	304,503	356,374
Income (loss) from operations	10,256	(10,203)	14,205	(46,668)
Interest income, net	2,623	535	6,357	511
Other (expense) income, net	(882)	(2,536)	436	(6,102)
Income (loss) before income taxes	11,997	(12,204)	20,998	(52,259)
Provision for (benefit from) income taxes	4,463	(223)	14,427	(1,782)
Net income (loss)	$ 7,534	$ (11,981)	$ 6,571	$ (50,477)
Net income (loss) per share attributable to common stockholders—basic (in dollars per share)	$ 0.04	$ (0.06)	$ 0.03	$ (0.26)
Net income (loss) per share attributable to common stockholders—diluted (in dollar per share)	$ 0.04	$ (0.06)	$ 0.03	$ (0.26)
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—basic (in shares)	191,033,000	194,906,000	191,222,000	196,984,000
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—diluted (in shares)	197,454,000	194,906,000	194,953,000	196,984,000

Other Financial Statement Information - Summary of Changes in the Allowance (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance	$ 5,734	$ 4,508	$ 4,730	$ 4,060
Add: amounts recognized as a reduction of revenue	1,271	2,099	7,349	6,291
Add: allowance for credit losses recognized in general and administrative expense	493	2	981	143
Less: write-offs, net of recoveries	(1,795)	(2,190)	(7,357)	(6,075)
Ending balance	$ 5,703	$ 4,419	$ 5,703	$ 4,419

Long-term Debt	9 Months Ended
Long-term Debt	Sep. 30, 2023
Debt Disclosure [Abstract]
Long-term Debt	Long-term Debt In 2021, we entered into an amended and restated credit and guaranty agreement, or 2021 Revolving Facility, providing for revolving borrowings of up to $150.0 million with an availability period of five years. Under the 2021 Revolving Facility, we can use up to $20.0 million in letters of credit and up to $10.0 million in borrowings on same-day notice, referred to as swingline loans. Additional debt issuance costs of $0.8 million were allocated to the 2021 Revolving Facility. On May 5, 2023, we entered into an amendment to the 2021 Revolving Facility to replace the LIBOR interest rate benchmark with the Secured Overnight Financing Rate, or SOFR, benchmark, with a 0.10% credit spread adjustment to the SOFR benchmark, or Adjusted Term SOFR, for all available interest periods, provided that if the Adjusted Term SOFR is less than zero, the Adjusted Term SOFR shall be deemed to be zero. Other than the foregoing, the remaining terms of the 2021 Revolving Facility remained unchanged. The interest rate applicable to the 2021 Revolving Facility is subject to a 1.0% floor and is a rate equal to the greatest of (i) the administrative agent’s prime rate (ii) the federal funds effective rate plus 1/2 of 1.0% or (iii) Adjusted Term SOFR plus 1.0%. The interest rate margins under the 2021 Revolving Facility are subject to a reduction of 0.25% and a further reduction of 0.25% upon achieving total net first lien leverage ratios of 3.50 to 1.00 and 2.50 to 1.00, respectively. We are required to pay a commitment fee in respect of unutilized commitments under the 2021 Revolving Facility. The commitment fee is, initially, 0.35% per annum. The commitment fee is subject to a reduction of 0.10% if the total net first lien leverage ratio does not exceed 3.50 to 1.00. We are also required to pay customary letter of credit fees and agency fees. We have the option to voluntarily repay outstanding loans under the 2021 Revolving Facility at any time without premium or penalty, other than customary “breakage” costs with respect to SOFR loans. There is no scheduled amortization under the 2021 Revolving Facility. Any principal amount outstanding is due and payable in full at maturity, five years from the closing date of the 2021 Revolving Facility. Obligations under the 2021 Revolving Facility are guaranteed by our existing and future direct and indirect material wholly-owned domestic subsidiaries, subject to certain exceptions. The 2021 Revolving Facility contains a number of covenants that, among other things, subject to certain exceptions, restrict our ability and the ability of our restricted subsidiaries to incur additional indebtedness and guarantee indebtedness; create or incur liens; pay dividends and distributions or repurchase capital stock; merge, liquidate and make asset sales; change lines of business; change our fiscal year; incur restrictions on our subsidiaries’ ability to make distributions and create liens; modify our organizational documents; make investments, loans and advances; and enter into certain transactions with affiliates. The 2021 Revolving Facility requires compliance with a total net first lien leverage ratio of 4.50 to 1.00, or Financial Covenant. The Financial Covenant will be tested at quarter-end only if the total principal amount of all revolving loans, swingline loans and drawn letters of credit that have not been reimbursed exceeds 35% of the total commitments under the 2021 Revolving Facility on the last day of such fiscal quarter. At September 30, 2023 and December 31, 2022, we had no amounts outstanding under our 2021 Revolving Facility or any outstanding letters of credit and we were in compliance with all financial covenants.

Restatement - Unaudited Condensed Consolidated Statements of Operations (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Statement [Abstract]
Revenue	$ 167,274			$ 155,277			$ 502,064	$ 473,353
Cost of revenue	59,213			50,314			183,356	163,647
Gross profit	108,061			104,963			318,708	309,706
Operating expenses:
Sales and marketing	51,071			67,369			164,746	215,964
Technology and development	21,491			17,457			61,074	51,613
General and administrative	25,243			30,103			78,683	88,560
Impairment of long-lived and other assets	0			237			0	237
Total operating expenses	97,805			115,166			304,503	356,374
Loss from operations	10,256			(10,203)			14,205	(46,668)
Interest income, net				535				511
Other expense, net	(882)			(2,536)			436	(6,102)
Income (loss) before income taxes	11,997			(12,204)			20,998	(52,259)
(Benefit from) provision for income taxes	4,463			(223)			14,427	(1,782)
Net income (loss)	$ 7,534	$ 1,395	$ (2,358)	$ (11,981)	$ (12,743)	$ (25,753)	$ 6,571	$ (50,477)
Net loss per attributable to common stockholders - basic (in dollars per share)	$ 0.04			$ (0.06)			$ 0.03	$ (0.26)
Net loss per attributable to common stockholders - diluted (in dollars per share)	$ 0.04			$ (0.06)			$ 0.03	$ (0.26)
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—basic (in shares)	191,033,000			194,906,000			191,222,000	196,984,000
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—diluted (in shares)	197,454,000			194,906,000			194,953,000	196,984,000
As Reported
Income Statement [Abstract]
Revenue				$ 154,416				$ 472,492
Cost of revenue				50,050				163,383
Gross profit				104,366				309,109
Operating expenses:
Sales and marketing				66,145				215,964
Technology and development				17,457				51,613
General and administrative				30,103				88,560
Impairment of long-lived and other assets				237				237
Total operating expenses				113,942				356,374
Loss from operations				(9,576)				(47,265)
Interest income, net				535				511
Other expense, net				(2,536)				(6,102)
Income (loss) before income taxes				(11,577)				(52,856)
(Benefit from) provision for income taxes				(1,469)				1,040
Net income (loss)				$ (10,108)				$ (53,896)
Net loss per attributable to common stockholders - basic (in dollars per share)				$ (0.05)				$ (0.27)
Net loss per attributable to common stockholders - diluted (in dollars per share)				$ (0.05)				$ (0.27)
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—basic (in shares)				194,906,000				196,984,000
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—diluted (in shares)				194,906,000				196,984,000
Adjustments
Income Statement [Abstract]
Revenue				$ 861				$ 861
Cost of revenue				264				264
Gross profit				597				597
Operating expenses:
Sales and marketing				1,224				0
Technology and development				0				0
General and administrative				0				0
Impairment of long-lived and other assets				0				0
Total operating expenses				1,224				0
Loss from operations				(627)				597
Interest income, net				0				0
Other expense, net				0				0
Income (loss) before income taxes				(627)				597
(Benefit from) provision for income taxes				1,246				(2,822)
Net income (loss)				$ (1,873)				$ 3,419
Net loss per attributable to common stockholders - basic (in dollars per share)				$ 0				$ 0
Net loss per attributable to common stockholders - diluted (in dollars per share)				$ 0				$ 0
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—basic (in shares)				0				0
Weighted-average shares used to compute net income (loss) per share attributable to common stockholders—diluted (in shares)				0				0

Stock-Based Compensation - Additional Information (Details) shares in Millions, $ in Millions	9 Months Ended
	Sep. 30, 2023 USD ($) shares
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)	8.2
Units granted, fair value \| $	$ 71.6
PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)	1.3
Revenue, profitability and market share target percentage, achieved	75.00%
Revenue, profitability and market share target percentage, vesting on one year anniversary	25.00%
Change-in-control event, target award vesting percentage	100.00%
PSUs \| Share-Based Payment Arrangement, Tranche One
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Change-in-control event, target award vesting percentage	75.00%
PSUs \| Share-Based Payment Arrangement, Tranche Two
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Change-in-control event, target award vesting percentage	25.00%
PSUs \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Revenue, profitability and market share target percentage	0.00%
PSUs \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Revenue, profitability and market share target percentage	150.00%
Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)	4.2