What to ask when your IT company has been acquired

What’s the motivation and goal for the company that made the acquisition?

Acquisitions seem to be happening everywhere at the moment, not least in the IT sector. So what happens when you receive a message from your IT supplier saying that they have been acquired by a large business that you have never heard of?

Caption: What’s the motivation and goal for the company that made the acquisition?

“XYZ local IT firm has been acquired by large ZYX IT Brand.  The management team will remain in place and you are important to us… BLAH BLAH BLAH”

We see many firms dubious and nervous about what happens next in these situations and it is a time where companies assess whether their IT supplier (who they have grown with over the years) is right for them moving forward. After all, there is usually a personal connection with the incumbent owners because the customer typically likes to support the local IT business.

When an acquisition occurs this personal connection changes, with decisions, level of attention, pricing and strategy (among other things) changing.  Some changes are felt instantly with staff moves and uncertainties and some are felt over a longer period as systems are integrated and new processes rolled out.

Somewhere in the excitement of an acquisition is you, the customer, requiring the level of attention and support you need from the acquisition. Afterall you are just inherited as part of the sale. So what questions do you need to ask if you are nervous about the future relationship? The chances are you could become a small cog in a large wheel and no longer be as valuable to the new larger business as you were to the original owners.

  • Will the support change? If so, when and how?
  • Will the prices go up?
  • Do you have a grasp on my business needs?
  • Who do I contact if I have a problem?
  • Is the company name going to stay the same and will it have the same values?
  • Why should I stay with you, now that you are part of a larger organisation when I prefer working with a local supplier?

The reality is that there will be a learning period for this new acquisition.  Therefore it is the perfect time to look around to see what else is available in the market.

We find that quite often, because of loyalty, businesses have needed a real excuse and reason to make a move. Such acquisitions are often that catalyst.  It’s not because the incumbent IT supplier (pre acquisition) was necessarily bad, although perhaps the relationship had become stale, uninspired or even complacent. We also see that acquisitions usually exacerbate any underlying issues or feelings around poor service or response times.

Time for something new?

For businesses in West and East Sussex for example, Extech Cloud has brought new energy, inspiration and ideas to help business revitalise their IT operations through the Microsoft Cloud. We have completed hundreds of digital transformations for businesses in Sussex and many of them have occurred as a result of them being unhappy or uninspired by their existing IT firm or team, or following an acquisition as described above. See digital transformation case studies here.

So if you are in any corner of East and West Sussex or in neighbouring counties, and you are on the receiving end of an acquisition announcement from your new€ IT company (that you had no say over), then give us a quick call and see how we can help improve your efficiency, reduce cost and even make your staff happier than they have ever been. No obligation, just inspiration and fresh energy that fits your business.

Contact an Extech Cloud specialist for help with your Cloud IT system, today or call us for an initial chat on 01444 443200 to find out more.

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