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D&H Distributing’s Dan Schwab On Cloud Growth, New Services And The Rise In Competition From Private Equity
‘It seems like in a lot of ways we are the last man standing. We know private equity’s model is to dramatically cut costs, and then in five to seven years … sell it, take it public, what have you. We just have a very different philosophy,’ says D&H Co-president Dan Schwab.
What you just said about private equity, you are one of the few players in the solution provider, MSP, IT space that doesn’t have private equity owners. Does that matter to your customers?
It seems like in a lot of ways we are the last man standing. The big three distributors, they’re all public. Two are private equity owned. We know private equity’s model is to dramatically cut costs, and then in five to seven years do something with it. Sell it. Take it public, what have you. That’s historically their model.
We just have a very different philosophy. Its not just that we are privately held, but the fact that we are employee owned is such a strategic differentiator that can’t be replicated.
I think the consistency of D&H stands out in the marketplace. While others maybe zig and zag and shift priorities and focuses, its more like the tortoise and the hare. We are more the steady Eddy who wants to improve our foundation, and we realize our foundation starts with customers and with service.