An ambitious IT company is enlisting help from Scotland’s accountancy firms to help identify recession-weary rivals who may be ready for merger or acquisition.
Euro Business Solutions provides a range of IT support services across central Scotland and has embarked on a strategy of continued growth through acquisition.
Now the firm is targeting Scotland’s accountancy firms, believing they hold the key to help introduce it to possible new partners.
Bob Bell, director of Euro Business Solutions, said: “Many IT companies are struggling as a result of the recent recession.
“We are talking about sound, well-run businesses, which have had to cut to the bone, yet are still not seeing signs of a turnaround. Life at the moment will be about very long hours, stress and no sign of relief.
“Obviously that is a sensitive subject, but the kind of acquisition we are looking at could give some of those smaller operators a secure, long-term future, while also giving us a perfect way to enhance our position in the market.
“Accountancy firms are ideally placed to help brings us together with businesses which may be ready for change.
“We can offer their clients a solution for business longevity, while they help us identify businesses which are proactively looking to merge, allowing us to make an initial approach.”
The approach has already proved fruitful on two previous occasions, after careful outreach to accountancy firms resulted in successful acquisitions.
EBS acquired EVE Networks in 2009 and InteractIT earlier this year, with both takeovers proving highly successful. Staff from the other firms have been seamlessly absorbed, while Euro Business Solutions has gained valuable new clients.
Bob added: “The fact we have undergone two successful mergers as a result of working with accountancy firms, shows how successful this strategy can be for all parties involved.
“We now have a proven template for smoothly absorbing other businesses. We take positive aspects from each of the companies and integrate them into our own operations, making us a stronger and more diverse company in the long run.
Since it was launched by Bob and co-director Alex Donaldson in 1997, the East Lothian-based firm has expanded to service an impressive roster of 120 clients, including Hibernian FC and Edinburgh International Conference Centre, as well as architects, legal firms, medical technology experts and charities.
During that time the directors have invested heavily into staff and infrastructure, which means it is now a secure and highly-scalable business, with a purpose-build HQ, a fleet of engineers on the road across central Scotland and superb client tracking software.
Bob added: “It’s an exciting time for us, because we’ve worked extremely hard to build a strong reputation and business. Now we are ready for an exciting period of growth and we’d welcome discussions regarding anything from phased takeovers and joint ventures to outright purchases and mergers.”
Bob and Alex lead a 13-strong team and are particularly keen to expand into the North East of Scotland. The pair hope to secure around three to four similar IT companies and 100 new clients over the next two years, taking revenue to £2 million a year.
The firm’s primary area of work is providing Server and PC maintenance and building and supporting computer networks for business clients. It also operates PCHires.com providing short term rental of all IT equipment and large format displays to business users.
More information about Euro Business Solutions can be found at www.eurobsweb.co.uk
Contact: Holyrood Partnership
Phone: 0131 561 2244