Analytics/Analysis

What if? What if automobile manufactures had both direct sales (e.g. Tesla) and a channel (e.g. CarMax)?  Such a strategy would cause tension to say the least. 

Yet this is already occurring in our beloved Small and Medium Business (SMB) - Managed Service Provider (MSP) ecosystem. I don’t know if the SMB MSP community sponsors all went to the same weekend seminar at a third tier airport hotel in a function room but I’m hearing the strategy articulated more than ever. 

Harry Brelsford, a veteran in the cannabis industry since 2014, discusses the Texas Administrative Code, Chapter 300, which regulates hemp products. He supports the new regulations, including licensing, testing standards, packaging, labeling, and enforcement procedures, which he believes will improve safety and transparency. Brelsford highlights the need for tracking and traceability from seed to sale, similar to systems in states like Washington. He criticizes the proposed $20,000 annual licensing fee per location as punitive, particularly for small operators, and encourages public input on the regulations.

Harry Brelsford and Jamar discussed their experiences at the M&A Lectures in Orlando, highlighting the importance of selecting which speeches to attend. They met Paul Daigle, who introduced his business advisory board specializing in MSPs. Daigle's company offers a business evaluation service for less than $500 and a tool that assesses an MSP's value to a strategic buyer in 15 seconds. They also provide a free 100 million dollar MSP scaling roadmap and collaborate with vendors to offer discounted evaluations. Daigle emphasized the importance of benchmarking and best practices for MSP growth.

Scott Scroggin, Director of Strategic Initiatives at ConnectWise, discussed the current M&A landscape for MSPs, highlighting high valuations and strong M&A activity despite some uncertainty due to AI and hyper-automation. He noted the scarcity of high-quality partners and the increasing role of private equity. Scroggin emphasized the importance of smaller MSPs leveraging AI for business consultancy to enhance their valuation. He introduced the Evolve Essentials program for MSPs with $7 million in revenue, providing an 18-month curriculum and benchmarking tools. The IT Nation Grow program focuses on business transition, aiming to help MSPs navigate transactions and secure positive outcomes.

George Sierchio from Cogent Growth Partners discussed the current market environment for MSPs, emphasizing that the 2025 market has returned to normal after the 2024 presidential election cycle. He highlighted the importance of staying updated with technology, particularly security and AI, for business viability. Sierchio advised MSP owners on the strategic timing of buying or selling, stressing the need for a good fit and opportunity. He recommended merging with similar-sized companies as a cost-effective strategy for growth, cautioning against bottom-feeder acquisitions. He also emphasized the importance of professional advice and proper preparation for M&A transactions.

Here are a couple high-level thoughts from last week's IT Nation hosted by ConnectWise in Orlando. I’ve said it once and I’ll say it again - it’s the Rose Bowl of events in our space and ya’ gotta go at least once. 

Here are some pillars!

To be or not to be an employee or entrepreneur? Admittedly these are goofy times out there in the macro economy! 

Employment

First - a fresh look at those seeking a J O B. Ya’ gotta do what ya gotta do. There was a fantastic LinkedIn news piece late last week called “The Great Freeze” and is that basis for my post up here. Basically the goofy employment market is like an unkind Goldilocks. Employers don’t want to hire but they don’t want to fire. Existing employees are “frozen” and hangin’ in there. This analysis is close to the mark. 

Second - does posting an “Open To Work” logo on your LinkedIn profile hurt or help.

Fall musings here. Penny production is ceasing and it raises the couple questions.

1. Do channel partners (MSPs, VARs, resellers care? 

2. And do the clients of these channel partners care?

 Jim Roddy, President & CEO for the Retail Solution Provider Association (RSPA) weighed in. “Our VAR and ISV members are mostly focused on electronic payments because solution providers receive a slice of that revenue.”

Coinstar - a recent article on the demise of the penny extensively quoted the CEO of Coinstar.

It’s here again. The End-Of-Life (EOL) for a Microsoft desktop operating system. Been there done that, eh? Who can forget the security risk hype of Windows XP in April 2014? Now, Windows 10 is EOL after a ten year life and the messaging is no more security updates (without a support fee). 

A couple of community and SMB ecosystem thoughts. 

Migrations lag. If anything was learned from the Windows XP EOL era,

Greeting SMB Nation members!

A short and simple request. Can you take 1-min to complete our 2026 MSP Forecast Survey. The deadline is Saturday, October 18th and we will publish the results. 

The link is: https://logictreeit.page.link/SgA4vJ7QP1zHVVKq7 

(eom)

Albert Lotito, based in Pennsylvania, works for Global Tech Solutions, an MSP with around 1,000 clients. As a Service Delivery Manager, he oversees dispatch, training, quality assurance, and analytics, including the implementation of new products like Thread. Albert prefers smaller conferences for better networking. His company is shifting focus from the nursing home industry to commercial clients like manufacturing and finance, leveraging AI to streamline processes and improve customer service. Despite concerns about losing personal touch, Albert emphasizes that their business is fundamentally about customer service, using AI to enhance efficiency and maintain strong client relationships.

Harry Brelsford interviews Chris Orris at Channel Con 2025 in Nashville, discussing his background in Saudi Arabia, Virginia Tech, and the retail industry. Chris, who lives in Williamsburg, Virginia, founded "The Burnouts," a brand aimed at redefining the term "burnout" to help employees and businesses improve company culture. He emphasizes the importance of intentional social media presence and employer support for employee passions. Harry shares his own experience with burnout and his involvement in multiple ventures. Both express interest in meeting again at IT Nation.