When VARs Become Vendors

A number of solution providers sell more than just brand-name products from their big vendors, whether they be proprietary vertical applications or white-box systems. Whatever the case, sometimes the success of those products leads to a transition where the VAR becomes a vendor. Take ScriptLogic, for example. The software maker, which specializes in graphical log-on scripting and desktop-administration technology, was spun off in 1999 from its solution-provider parent, Inteletek, based in Pompano Beach, Fla.

"We created a product to aid our customers at the time, and we realized it was applicable to more customers outside of our area," says Ryan Thomas, vice president of worldwide sales at ScriptLogic. "The product has gained momentum in the channel, which makes sense because it was created by a VAR."

The two companies shared a close relationship, and even shared adjacent office space until about two years ago when ScriptLogic relocated to Boca Raton, Fla. Since then, the software maker has thrived, while its solution-provider parent has gone out of business. Currently, ScriptLogic has 500 channel partners worldwide and is looking to gain more traction with resellers. Last fall, the company signed a major distribution deal with Ingram Micro, which provides resellers with the software vendor's full line of desktop, server and Active Directory management products. In addition, Inc. magazine recognized ScriptLogic last year as one of the fastest-growing private companies in America, after growing its revenue nearly 250 percent between 2000 and 2003. Brian Styles, founder and CTO of ScriptLogic, believes ScriptLogic's heritage as a solution provider will help the company succeed. "We were a VAR," Styles says, "so we know how our VAR and distribution partners think and what they expect from us."