CharTec Connects MSPs With Telecom Industry

CharTec Connects MSPs With Telecom Industry

CharTec started out as a hardware as a service (HaaS) specialist for MSPs. But the company, backed by ConnectWise Capital, is moving into multiple new markets. One recent example involves CharTec working with Outreach Agents, which got its start in the telecom market but is pushing hard into managed services. Here's the update, including perspectives from CharTec CEO Alex Rogers (pictured).

The CharTec-Outreach relationship goes something like this: Outreach provides business telecom and energy cost reduction solutions to end-customers. As Outreach helps customers to save money -- perhaps by swapping out old T1 lines with modern IP connections -- some or all of the customer cost savings can be directed to various managed services.

That's where CharTec enters the picture. When Outreach spots managed services opportunities it can't fulfill, CharTec will route the opportunity to a partner MSP, according to CharTec CEO Alex Rogers. Outreach, meanwhile, pays its agents up to a 30% residual commission for sales of certain CharTec products.

The CharTec portfolio seems to be expanding. In addition to the HaaS push, Rogers has been promoting full managed services, BDR (backup and disaster recovery) and RMM (remote monitoring and management) partner platforms. One recent offering involves a LabTech Software server appliance that costs MSPs about $199 per month for 50 RMM agents. "You can get your feet wet with LabTech and have no out-of-pocket expenses," asserts Rogers.

Healthy Parent

Both LabTech and CharTec are ConnectWise Capital ventures. LabTech has been in growth mode, and the CharTec partner network has expanded to about 700 VARs and MSPs, up from about 200 last year, Rogers says. Plus, the ConnectWise Capital investments potentially allow ConnectWise to improve its own competitive standing. For instance, Tigerpaw Software -- a ConnectWise rival -- has deep expertise in the telecom market. The CharTec telecom efforts potentially counter Tigerpaw's experience.

Sometime in mid-2011, CharTec will unveil its next step toward growth. The company plans to unveil a 10,000 square foot expansion to its headquarters in Bakersfield, Calif. The expansion essentially doubles CharTec's office footprint. "It's like Disneyland for technicians," quips Rogers.

A portion of the CharTec headquarters houses ARRC Technology, an MSP that Rogers also owns. MSP partners that visit CharTec for training are free to visit the ARRC Technology operation to share best practices, Rogers says. As a fast-growing MSP, ARRC recently landed on the Inc. 5000 list. "I give our [CharTec] partners access to everything at ARRC... except our client list," Rogers quips again.

Just how well is CharTec performing? That's difficult for me to say since the company is privately held. Plus, Rogers is the consummate salesman -- always upbeat when you speak with him. Still, anecdotal evidence suggests CharTec has generated strong growth over the past 12 months. During an interview in January 2011, ConnectWise President David Bellini said both CharTec and LabTech had exceeded ConnectWise Capital's first-year investment portfolio objectives -- though he didn't disclose the specific objectives.
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