When outsourceIT and GoBeyondIT merged today, MSPmentor went seeking more information from outsourceIT CEO Craig Guice. We're curious to know how the combination of a managed services provider (MSP) and cloud services provider (CSP) will ultimately move forward. Guice says the combined company will be an MSP plus a cloud services provider that works with VARs and channel partners. Plus, outsourceIT may be close to buying at least two more companies. Here's why.

MSPmentor: It sounds like you're sticking with two company names. Will you eventually consolidate to one name?

Guice: We want to keep the GoBeyondIT brand to leverage more as the cloud services piece of the business and for the channel side. We are going to make a big push in the channel sales arena and we think this brand and name lends itself better than the outsourceIT name and brand. If we go in as outsourceIT some will view us as a threat and our think we are attempting to displace everything, when in fact that is not always the case, particularly now with our strength in cloud services and hosted desktop.

MSPmentor: Of the 70 employees, roughly how many were outsourceIT and how many from GoBeyondIT?

Guice: Technically all employees will ultimately merge over to outsourceIT as outsourceIT is the holding company for GoBeyondIT. But the split was 50 outsourceiT employees and 20 GoBeyondIT employees.

MSPmentor: How did you figure out a valuation for the deal?

Guice: We had an offer to be bought and we had a pretty good valuation from that company which we had in writing; we were able to use that as the basis for the valuations and it led us to good ownership format going forward. (Guice declined to discuss specific valuation information -Ed.)

MSPmentor: Your M&A announcement mentioned virtual desktop infrastructure -- VDI -- as a core focus going forward. How big is the opportunity and does it include the tablet trend?

Guice: VDI is huge and yes I see this technology being pushed to Tablets as well.  As a matter of fact GoBeyondIT has a partnership with a EMR company that bundles the hosted desktop solution with their EMR solution. These clients use tablets all throughout their networks, exam rooms, clinics, etc.

MSPmentor: How soon before you go looking for M&A targets on the U.S. West Coast for a national push?


Guice: I don’t know the answer to this just yet; we have two other M&A’s teed up but both are on the U.S. East Coast.  So for the time being we’ll probably stay put on this coast, but we will soon begin to market on a more national stage and then we’ll see if there is a demand for us out west, if so we’ll more than likely buy someone vs. open an organic office.