News and Analysis

News and Analysis (15670)

XERO LOSS OUTSTRIPS GROWTH

xeroXero is investing to gain market share, the message from its financial results that were released this week. For the six months ended September 30. Revenue for the most recently ended period was about $25 million, up 84 percent from a year earlier with a loss around $14.1 million, an increase of 144 percent from the red ink ago.  Xero invested in building its company, including strengthening operations in the United States and with the $150 million in capital raised half month, it's got some cushion in the bank account to continue doing that.

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PAYCHEX ENTERS LOW-COST ACCOUNTING FRAY

Andy Childs, PaychexJust what we need – another low-cost web-based accounting package? Paychex became the surprising entry is this crowded field this week with the introduction of Paychex Online Accounting. And yes, it targets companies with 10 or fewer employees and which don't have a large reservoir of accounting knowledge. Isn't this where most of the competitors are playing?

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BLUMENTHAL GOES FROM ISM TO RKL

Stuart Blumenthal, ISMStuart Blumenthal, former VP at Sage reseller ISM, has taken a job with RKL eSolutions. The move stemmed from the decision of Phoenix, Ariz.-ISM to sell its Sage 500 practice to Lancaster, Pa.-based RKL. BJ O'Reilly, CEO of ISM, noted "We wanted to focus on Sage 100 practice and X3 and we are selling NetSuite as well." He added Sage has not been committed to Sage 500 for some time while RKL had the resources to work with the application because it has done a lot of development work with that product.

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SWK PICKS UP ACUMATICA

Amy Knust, SWK TechnologiesAfter a courtship of several months, SWK Technologies of Livingston, N.J., has picked up Acumatica. Nice timing to coincide with Acumatica's funding announcement, but I suppose this was not necessarily deliberate. In any event, the reseller's CEO, Jeff Roth, was seen hanging around the Acumatica party at May during the NetSuite conference.

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FISHBOWL MOVES INTO CANADA

Ffishbowl logoishbowl, which makes inventory management software for QuickBooks, has added multi-currency functionality and mobile access for mobile devices. The company says with the new release, Fishbowl 2014, the product as available is available throughout the world. Fishbowl will start fulfilling orders early next month. Besides currency conversion, other features include improved UPS Ready integration, along with what the company says is easier-to-use and faster QuickBooks integration.

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ACUMATICA RAISES $10 MILLION

Yury Larichev, AcumaticaCloud vendor Acumatica has raised $10 million in a third round of funding. The Kirkland, Wash.-based company says it wants to reach $1 billion in less than 10 years. I would think that its calling this an ambitious growth plan is conservative. The latest round was led by Runa Capital and Almaz Capital. CEO Yury Larichev said the new money would accelerate its work with the channel, along with supporting its product road map. Larichev dropped one very interesting point into the prepared statement, which was that, "We do not need more funding because we are already making money."

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RANDOM THOUGHTS: THE FONTAINEBLEAU

Fontainebleau Hotel Miami BeachThe Vegas casino-size Fontainebleau Hotel in Miami Beach, Fla.- where Thomson Reuters held its user conference recently- has an unusual set of names for meeting rooms – names like Ripple, Swirl, Facet, Bubble, Flash, Glitter, Glimmer, Slimmer. The Glimmer-Slimmer combination gave me a thought that will be familiar to Lord of the Rings fans, with the Deagol/Smeagol combination. "Would you like a room with two beds, my precious?"

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EXACT TARGETS VAR GROWTH

Erik van der Meijden, Exact Exact is seeking to expand its channel growth. But given how independent the company's units are in the United Sates, it is difficult to pick out the corporate program versus what is happening in this country. In a recent third-quarter analyst call, CEO Erik van der Meijden said Exact is building new reseller programs. "We had a big increase in reseller channel revenue," he added. But that applies to the Business Solutions division, which does not operate here, while revenue from the U.S. manufacturing packages – Macola, Max, JobBoss – was off.

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SUGARCRM ADOPTS NEW PRICING

sugarcrm_logoSugarCRM has rolled out a new version and new pricing for its open source software. The company describes the product, SugarUX, as offering "an immersive, intuitive interface to CRM ..." There are four different editions in the product lineup. All editions offer sales automation and forecasting; marketing, support and call center automation; reporting and dashboards and SugarCRM Mobile. The tiers start with the Professional Edition which offers 15GB storage, for $35 per user, per month, billed annually.

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SOCIUS ADDS DYNX AS AFFILIATE

Dan O'Connell, DYNxMicrosoft Master VAR Socius has signed Houston-based DYNx Solutions, which sells Dynamics GP. DYNx has become the 18th affiliate signed by Socius in 2012 and 1013. DYNx serves the oil and gas, manufacturing and lumber industries in Texas and Louisiana. Owner Dan O'Connell founded the company in December 2009 as DYNx Consulting after working at Dynamics VAR Interdyn Progressive Group, which was acquired by Aztec Systems, and Nextec. In 2012, he and Jose Quintero, the partner runs the Florida office, joined to form DYNx Solutions. The reseller also carries Dynamics CRM. After a somewhat slow start, Socius, based in Dublin, Ohio, has picked up speed in signing affiliates, although not as many as the SBS Group. The third Master VAR, Tribridge, has still signed only one in the same two years.

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