Key Takeaways
- • Accelerate Partners, a technology advisory firm, announced a partnership with FinOps provider Procure IT that brings Procure IT's managed intelligence software and services into its private equity practice and to 50 of its largest clients.
- • Under the arrangement, Accelerate can directly bill clients for software, which was previously sold only on commission through the Telarus tech services distributor portfolio.
- • Five vendor partners are funding the joint sales outreach through marketing funds, with sales development representatives from both companies contacting prospective private equity firms.
- • Accelerate CEO JP Panzica said the partnership gives the firm access to the data and software needed to analyze IT environments inside PE portfolio companies, covering cloud resources, SaaS utilization and telecom expense management.
- • Procure IT CEO Randy Jeter said the platform is positioned to displace separate telecom, SaaS, cloud and AI cost-management providers, and the broker model lets clients avoid paying for software by offsetting costs against procurement commissions.
Summary
Accelerate Partners announced a partnership with FinOps provider Procure IT, according to Channel Dive, blending total cost of ownership and broker models. The technology advisory firm will bring Procure IT's managed intelligence software and services into its private equity practice and offer them to 50 of its largest clients. Sales development representatives from both companies are contacting prospective private equity firms, with five vendor partners covering the cost through marketing funds.
The partnership changes how Accelerate can monetize the platform. Procure IT's product was previously available for Accelerate to sell on commission through the Telarus tech services distributor portfolio. Under the new arrangement, Accelerate can directly bill clients for software, which Jeter said allows the deal to be shaped around each client's needs. Jeter noted that some clients have limited broker revenue because they run in-house hardware and prefer to control their own tooling.
Accelerate CEO JP Panzica said the firm has dozens of PE firm customers for which it has handled technology diligence on potential acquisitions, but wanted access to the portfolio companies themselves. Providing a product that captures and analyzes IT environment data was necessary to do so. Panzica described the platform as covering cloud resources, SaaS utilization and telecom expense management. CSO and private equity practice leader John Manganiello said PE firms are looking to introduce AI into portfolio companies for promised savings.
Cost management software is proliferating as technology advisors (TAs) seek to retain clients across the technology stack and IT teams tighten budgets. TAs have typically sold telecom expense management products that have expanded into SaaS and cloud cost tracking, and some have begun building their own software. Procure IT, founded in 2023 and with more than 30 employees, does not need to retrofit its software to track AI spending, according to the report. Jeter said the platform is poised to displace providers that separately manage telecom, SaaS, cloud and AI costs, and said those services cost $150,000 to [figure incomplete in source].
Panzica said Accelerate has deliberately avoided becoming a full reseller to obtain SKUs, arguing that such a shift would change enterprise value, complicate the firm's identity and reduce liquidity routes. He said Accelerate remains 100% an advisory company. JSG CEO and Cofounder Janet Schijns told Channel Dive at the Avant Special Forces Summit that a separation is coming between TAs that lean into expense management and those focused only on sales.
The partnership changes how Accelerate can monetize the platform. Procure IT's product was previously available for Accelerate to sell on commission through the Telarus tech services distributor portfolio. Under the new arrangement, Accelerate can directly bill clients for software, which Jeter said allows the deal to be shaped around each client's needs. Jeter noted that some clients have limited broker revenue because they run in-house hardware and prefer to control their own tooling.
Accelerate CEO JP Panzica said the firm has dozens of PE firm customers for which it has handled technology diligence on potential acquisitions, but wanted access to the portfolio companies themselves. Providing a product that captures and analyzes IT environment data was necessary to do so. Panzica described the platform as covering cloud resources, SaaS utilization and telecom expense management. CSO and private equity practice leader John Manganiello said PE firms are looking to introduce AI into portfolio companies for promised savings.
Cost management software is proliferating as technology advisors (TAs) seek to retain clients across the technology stack and IT teams tighten budgets. TAs have typically sold telecom expense management products that have expanded into SaaS and cloud cost tracking, and some have begun building their own software. Procure IT, founded in 2023 and with more than 30 employees, does not need to retrofit its software to track AI spending, according to the report. Jeter said the platform is poised to displace providers that separately manage telecom, SaaS, cloud and AI costs, and said those services cost $150,000 to [figure incomplete in source].
Panzica said Accelerate has deliberately avoided becoming a full reseller to obtain SKUs, arguing that such a shift would change enterprise value, complicate the firm's identity and reduce liquidity routes. He said Accelerate remains 100% an advisory company. JSG CEO and Cofounder Janet Schijns told Channel Dive at the Avant Special Forces Summit that a separation is coming between TAs that lean into expense management and those focused only on sales.
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