Partners Flock To Best Of Breed Conference Amid Industry Turmoil

The machinations of the industry's heavyweight vendors are only part of a broader set of concerns keeping solution providers up at night.

Companies are also facing tremendous balance sheet pressure. The transition to a cloud-based recurring revenue model threatens to leave companies that aren't well capitalized, or that stick to slinging technology, by the wayside.

"Selling technology isn't the way we're going to do things going forward," said Steve Ellis, a sales executive at Infusion and a presenter at the Best of Breed Conference. Still, transitioning to a cloud-based business model can be a big financial burden for some companies, Ellis said.

Big cloud deals can be very profitable, but because they're paid for over time rather than in lump sums, solution providers that aren't well capitalized can find themselves with both the prospect of strong profits and difficulty meeting operational expenses, like paying employees.

That's a challenge many partners are unprepared to face, according to Darren Federowitz, executive director of Dell Financial Services.

"A lot of channel partners don't recognize that they're burdening their balance sheet, or burdening their operations," Federowitz said, "until they reach a point where they say, 'Wow, I should've thought of this six, 12, or 18 months ago.'"

Partners attending the Best of Breed Conference will come away with the tools, perspective and foresight necessary to face these challenges head-on as the industry continues to evolve.