Greg Forrest, CEO And President, Xeta Technologies, Broken Arrow, Okla.
"By general rule, when there is disruption in macroeconomic or industry conditions, growth through acquisition is more favorable than expecting to grow through organic means. Specific to the communications industry, the recent acquisition of Nortel’s Enterprise business unit by Avaya is a major catalyst for M&A activity. This transaction creates a challenge for VARs when considering reinvesting in their business to accommodate the two technologies merging. Many of these VARs may choose to participate in consolidation to lower their risks of investment." "Additionally, when considering growth through acquisition, VARs might benefit from having a dedicated M&A team that focuses strictly on due diligence for acquisition targets. Having an M&A team expedites the entire process and makes your company more agile during the small window of opportunity."
Xeta Technologies has made several acquisitions, including Pyramid Communication Services, Lorica Solutions and Data-Com Telecommunications in 2010.