https://www.channelfutures.com/wp-content/themes/channelfutures_child/assets/images/logo/footer-new-logo.png
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Technology Solutions Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
  • MSP 501
    • Back
    • Complete 2023 MSP 501 Rankings
    • 2023 MSP 501 50-1
    • 2023 MSP 501 100-51
    • 2023 MSP 501 150-101
    • 2023 MSP 501 200-151
    • 2023 MSP 501 250-201
    • 2023 MSP 501 300-251
    • 2023 MSP 501 350-301
    • 2023 MSP 501 400-351
    • 2023 MSP 501 450-401
    • 2023 MSP 501 501-451
    • NextGen 101 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Channel Futures 20: Top Tech Providers
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2023 Editorial Calendar
  • Awards
    • Back
    • 2023 MSP 501
    • 2023 NextGen 101
    • Channel Influencers
    • Circle of Excellence
    • DE&I 101
    • Technology Advisor 101 (TA 101)
    • Channel Leaders Lists
  • Events
    • Back
    • 2024 CP Expo Call for Speakers
    • Channel Futures Leadership Summit
    • MSP Summit
    • CP Conference & Expo
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
Channel Futures
  • NEWSLETTER
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Technology Solutions Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
  • MSP 501
    • Back
    • Complete 2023 MSP 501 Rankings
    • 2023 MSP 501 50-1
    • 2023 MSP 501 100-51
    • 2023 MSP 501 150-101
    • 2023 MSP 501 200-151
    • 2023 MSP 501 250-201
    • 2023 MSP 501 300-251
    • 2023 MSP 501 350-301
    • 2023 MSP 501 400-351
    • 2023 MSP 501 450-401
    • 2023 MSP 501 501-451
    • NextGen 101 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Channel Futures 20: Top Tech Providers
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2023 Editorial Calendar
  • Awards
    • Back
    • 2023 MSP 501
    • 2023 NextGen 101
    • Channel Influencers
    • Circle of Excellence
    • DE&I 101
    • Technology Advisor 101 (TA 101)
    • Channel Leaders Lists
  • Events
    • Back
    • 2024 CP Expo Call for Speakers
    • Channel Futures Leadership Summit
    • MSP Summit
    • CP Conference & Expo
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
    • Newsletter
  • REGISTER
  • MSPs
  • VARs / SIs
  • Agents
  • Cloud Service Providers
  • Channel Partners Events
 Channel Futures

Business Models


Shutterstock

Money

Bluewave Takes $75 Million Columbia Capital Investment for Agent Acquisitions, Organic Growth

  • Written by James Anderson
  • February 1, 2022
"We are building a fully integrated business, even though we're acquiring multiple companies," Seth Penland said.

Bluewave Technology Group is harnessing $75 million in capital to buy agents and build a technology advisory and life cycle management company.

Bluewave on Monday announced the growth investment, which Columbia Capital led. The transaction is one of the largest the traditional channel partner space has seen, and it sets up Bluewave as an alternative to Upstack and other investment vehicles.

Columbia, which has notably invested in systems integrator Presidio, tech solutions brokerage Telarus and cloud advisory firm Cloud Sherpas, is entering the telecom expense management and agency space after a year of closely analyzing the industry.

“We are proud to partner with Columbia Capital, who understands the opportunity and growth potential for Bluewave,” Bluewave CEO Seth Penland said.

Penland, Seth_Bluewave

Bluewave’s Seth Penland

Bluewave has already put the funding to use. It has acquired a total of five partner firms and currently employs between 50 and 60 people. Its customers number over 1,000. Penland said the acquisitions put Bluewave among the top 20 agencies in the U.S.

Penland said Bluewave is targeting established agencies of 10 employees or more. Moreover, he said the company hasn’t set a goal for how many partners it wants to acquire. He said the initial capital raise will support both inorganic and organic growth.

“We’re really focused on building a great premium advisory life cycle management company that is going to be here for the next 20 years,” Penland told Channel Futures. “M&A is obviously a core part of that strategy. We’re well capitalized to pursue a lot of acquisitions if we find good targets that match our strategy and fit well within our culture.”

Managed TEM Services

Penland said the consulting company will perform the normal activities of a traditional brokerage/agency. That includes vetting a customer’s technology requirements and helping them source vendors and negotiate optimal pricing.

In addition, he said Bluewave will approach the technology stack in a more “holistic” manner. He said customers need more support and guidance across the entire life cycle. Bluewave’s services include technology evaluation, expense management and operations support.

“We’re really focused on making sure we deliver peace of mind to the CIOs and IT teams that entrust us with their technology decisions,” Penland told Channel Futures.

Bluewave’s Model

Penland said Bluewave Technology Group will differ from many of its competitors in its choice not to use 1099 contractors. Penland said the company will leverage the “employee model” rather than subagents.

“All of the Bluewave folks are and will be employees of the company. So we are building a fully integrated business, even though we’re acquiring multiple companies,” he said.

Moreover, Penland said the acquired companies will embrace the same brand, platform and approach.

Some of these acquirees bring niche expertise, whether in a particular technology or market. Penland said this diversity will help Bluewave build specialized technology practices, such as networking, cloud communications and colocation. One of Bluewave’s five acquisitions was a company that provides TEM services and traditional agent sales. Another focuses on TEM consulting, and another focuses on the midmarket.

Penland said he anticipates hiring more people in customer-facing roles, in addition to making acquisitions. Those positions include consultants, account executives and solutions engineers.

He said this emphasis on organic growth contrasts with other M&A options available to agents. Furthemore, many partners seek an investment partner because they lack the resources to invest in their own growth. he noted.

“Our strategy is is 100% centered on growth. This is not a cost-savings venture,” Penland said. “Oftentimes, in a more traditional roll-up or consolidation, it’s all about this financial arbitrage of putting a lot of businesses together and reducing cost. We want to …

  • Page 1
  • Page 2
  • Page 3
Tags: Agents Strategy Business Models Cloud Data Centers Mergers and Acquisitions Sales & Marketing

Most Recent


  • Disrupt, channel disruptors
    2023 MSP 501 Channel Disruptors: These Companies Are Shaking Things Up
    We used key data points to determine those partner businesses that are true industry disruptors.
  • Channel leader Del Real at Clio legal software firm
    Legal Tech Firm Clio Lands Former 8x8 Channel Leader
    She has plans for global expansion of the legal tech firm’s channel partner program.
  • 21st century technology vision for Oracle Cloud
    The Gately Report: Cybersecurity Fundamental to Oracle's 21st Century Technology Vision
    Plus, Exabeam's CEO weighs in on Cisco's acquisition of Splunk.
  • Conversational AI
    Kore.ai Hires Nextiva, ThreatProtector Vet to Lead NA TSDs
    The new channel sales leader is building a new TSD partner program.

Leave a comment Cancel reply

-or-

Log in with your Channel Futures account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • MSP growth
    MDF and the Channel: What Happened to the Customer?
  • Making Waves
    7 Channel People Making Waves This Week at Google Cloud, SAP, AWS Marketplace, More
  • Top 20 stories
    Top 20 Stories in January: CPaaS List, Sexual Harassment, Windstream Channel Chief
  • Globe
    Private Equity Acquisition Expands Soroc Technology's International Presence

Upcoming Events

View all

Channel Futures Leadership Summit

October 30, 2023 - November 2, 2023

Channel Partners Conference & Expo

March 11, 2024 - March 14, 2024

Channel Futures Leadership Summit 2024

September 17, 2024 - September 19, 2024

Galleries

View all

2023 MSP 501 Channel Disruptors: These Companies Are Shaking Things Up

September 25, 2023

The Gately Report: Cybersecurity Fundamental to Oracle’s 21st Century Technology Vision

September 25, 2023

Kore.ai Hires Nextiva, ThreatProtector Vet to Lead NA TSDs

September 25, 2023

Industry Perspectives

View all

Partners Balance Multicloud Opportunity, Complexity

September 25, 2023

Why Conversational AI Matters for Your Customers and How It Can Boost Your Revenue

September 15, 2023

The 5 Ds that Lead to Unplanned Business Sales

September 13, 2023

Webinars

View all

MSP 501: Leadership in Cybersecurity

October 19, 2023

DE&I: Find the Balance that Works for You

September 7, 2023

Above and Beyond with the NextGen 101ers

August 30, 2023

White Papers

View all

6 UCaaS Reseller Challenges and How Real World Businesses Solved Them

February 1, 2023

Frost Radar: North American UCaaS Market, 2022

February 1, 2023

The Complete Guide to White-Label UCaaS for Reseller Success

February 1, 2023

Channel Futures TV

View all

Coffee with Craig and James Episode 129: ZLH Enterprises

Coffee with Craig and James Episode 128: Channel Partner Strategies Intelligence Service

August 25, 2023

Coffee with Craig and James Episode 127: Expereo, Movie Night Returns

August 18, 2023

Coffee with Craig and James Episode 126: ARG

July 28, 2023

MSP 501

The industry's largest and most comprehensive partner awards program.

Newsletters and Updates

Sign up for The Channel Report, Channel Futures Update, MSP 501 Newsletter and more.

Live Channel Events

Get the latest information on the next industry-leading Channel Partners event.

Galleries

Educational slide shows and images from live events.

Media Kit And Advertising

Want to reach our audience? Access our media kit.

DISCOVER MORE FROM INFORMA TECH

  • Channel Partners Events
  • Telecoms.com
  • MSP 501
  • Black Hat
  • IoT World Today
  • Omdia

WORKING WITH US

  • Contact
  • About Us
  • Advertise
  • Newsletter

FOLLOW Channel Futures ON SOCIAL

  • Privacy
  • CCPA: “Do Not Sell My Data”
  • Cookie Policy
  • Terms
Copyright © 2023 Informa PLC. Informa PLC is registered in England and Wales with company number 8860726 whose registered and Head office is 5 Howick Place, London, SW1P 1WG.
This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
X