NXTSYS has committed to giving MSPs more co-selling opportunities in telecom and cloud.

James Anderson, Senior News Editor

May 27, 2021

3 Min Read
Growth funding

NXTSYS Consulting aims to better serve its MSP and agent partners through an investment from AppSmart.

NXTSYS is participating in AppSmart’s Invest program, which gives members upfront capital and residual payments. As a result, NXTSYS’ longtime investor will part ways with the company. NXTSYS has entered into an exclusive commercial relationship with AppSmart as a result of the participation.

The company now brands itself as “NXTSYS Consulting, Powered by AppSmart” on its website. The companies say that NXTSYS partners will use AppSmart’s platform and product marketplace. In addition, partners will deepen their portfolios through “the consolidation of the strongest provider agreements in the industry.” AppSmart’s portfolio contains the combined forces of WTG, Telegration, CNSG and MicroCorp.


AppSmart’s Tim Basa

NXTSYS over the years has partnered with many of the companies that now comprise AppSmart, according to AppSmart ‎Vice President of Sales and Operations Tim Basa.

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“There was a strong tradition of success with the legacy AppSmart companies and NXTSYS. In addition to our history together, we also share a clear, compelling vision for the future,”  Basa told Channel Futures. “We’re aligned on our commitment to empower digital transformation and create outstanding results for our channel partners and the clients they serve.”

Full Equity

The parties did not disclose the financial terms of the agreement. CEO Dave Wallace and VP of sales Jared Adamcik will exercise 100% equity ownership of their company.  AppSmart has emphasized that it does not acquire members of the Invest program.


NXTSYS’ Dave Wallace

“With this capital, NXTSYS plans to strategize for a long-term growth trajectory that will enable us to support our MSPs in never-before-seen ways,” Wallace said. “With AppSmart’s help, NXTSYS will drive new opportunities for its agents and MSPs — helping them grow their customer bases through our unique co-selling model, educational resources and expertise.”

Company Background

NXTSYS offers a unique business model that caters to IT-telecom convergence. The company defines itself as the first telecom master agent to offer MSPs co-selling opportunities. NXTSYS lends its technological expertise to MSP partners as they sell cloud and telecom solutions to customers, and the two parties split commissions 50-50.

The company also offers a traditional master agent model for more experienced sellers with “evergreen, top-tier, residual commissions.”

Basa praised the NXTSYS business model.

“AppSmart’s decision to inject capital into NXTSYS is a testament to NXTSYS’ historical success, forward-thinking strategy, and commitment to their MSPs and agents,” Basa said. “The NXTSYS team has a clear dedication to helping their MSPs grow, and we know this partnership will fuel mutual growth in all sides.”

Invest Program

Basa explained the “smart funding” program in a video interview with Channel Futures earlier this spring. Seven partners participated in the Invest program in its inaugural year, and AppSmart is aiming for approximately 20 new participants in 2021. Consultancy GCG recently announced its participation in the program as well, as an exclusive partnership with AppSmart.

Basa also explained why AppSmart resists the label of a traditional master agent.

NXTSYS operates out of Southlake, Texas, and AppSmart’s HQ is in San Francisco.

Want to contact the author directly about this story? Have ideas for a follow-up article? Email James Anderson or connect with him on LinkedIn.


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About the Author(s)

James Anderson

Senior News Editor, Channel Futures

James Anderson is a news editor for Channel Futures. He interned with Informa while working toward his degree in journalism from Arizona State University, then joined the company after graduating. He writes about SD-WAN, telecom and cablecos, technology services distributors and carriers. He has served as a moderator for multiple panels at Channel Partners events.

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