Startup Investment Firm Sourcepass Announces Two IT Acquisitions
These are technology M&A deals number 662 and 663 that ChannelE2E has covered so far in 2022. See more than 1,000 technology M&A deals involving MSPs, MSSPs & IT service providers listed here.
Sourcepass Acquires SSD and Total Technology Solutions
Sourcepass, founded in 2021, is based in New York City. The company has 108 employees listed on LinkedIn. Surcepass concentrates its investments on strategic acquisitions in the IT Managed Services space.
SSD Technology Partners, founded in 1983, is based in Wilmington, Delaware. The company has 78 employees listed on LinkedIn. SSD’s areas of expertise include network maintenance, application development, security systems, IP surveillance, access control, hosted solutions, hosted telephony, remote access, cybersecurity, security analysis, managed services, network architecture and cloud migration.
Total Technology Solutions, founded in 1995, is based in Melville, New York. The company has eight employees listed on LinkedIn. Total’s areas of expertise include managed IT services, network security, desktop support, disaster recovery planning, server support, cloud computing, virtualization, email/spam protection, IT project management, hosted solutions, IT support, security and help desk.
Sourcepass’s Acquisitions: Expanded Offerings
The acquisitions will expand Sourcepass’ portfolio of digitized technology solutions that serve small and mid-sized businesses (SMBs), according to the company. These are just the latest acquisitions from Sourcepass this year, having acquired Network Solutions and Technology Inc (NST) and Suite3 in March 2022.
SSD’s team and top leadership will stay with the company, Sourcepass said. This acquisition will expand Sourcepass’ offerings and capabilities in the legal, healthcare and financial services spaces by building on the services they already provide, the company said.
The all-cash acquisition of SSD will give Sourcepass a physical presence in the Delaware, Maryland, South Jersey and Pennsylvania markets.
Meanwhile, Sourcepass says it plans to operate Total Technology Solutions as a subsidiary, with the Total’s current CEO Vincent Tedesco continuing to run the operation indefinitely. In addition, all key leadership will stay with the company, Sourcepass said.
This deal – which included a combination of cash and equity – will give Sourcepass the ability to service critical verticals like SLED, municipalities and public safety and enhance their existing practice in legal, manufacturing and not-for-profit, according to the company.
Sourcepass Acquires SSD and Total Technology Solutions: Leadership Insight
Chuck Canton, CEO and founder, Sourcepass, commented:
“In keeping with our goal of being the leading Managed Service Provider (MSP) for SMBs, we are always looking for partner companies that enhance and expand the services we provide, and that share our primary mission of providing an IT experience that clients love.”
“These acquisitions bring us to ~$50 mm in revenue and over 300 employees, making us one of the nation’s largest SMB-focused MSPs in less than 18 months since the business was founded. This scale affords us the resources and cashflow to invest in our overarching goal of enhancing IT services for small to mid-sized businesses across the U.S.”
Woodie Bowe, vice president, SSD Technology Partners, said:
“We always go above and beyond for our clients, and now we are excited to offer them the industry-leading digital services platform and 24/7 support services that Sourcepass provides.”
Vincent Tedesco, CEO, Total Technology Solutions, added:
“Serving our clients has always been the core of our business. By partnering with Sourcepass, we will now offer an enhanced customer experience, rooted in our outcome-driven IT services to further help clients accelerate their growth. We are proud to be a part of Sourcepass and look forward to advancing our joint mission.”