How much does software reseller get?

joker77

If a company had the rights to sell software in Ireland, i.e. be the sole distributor for the product including installation/consultancy/maintenance, does anyone know roughly on average what percentage of the sale would go to the Irish company and what would go back to the parent company?

voodoo

Hi Joker,

Are you acting as a reseller in Ireland for this company or are you a subsidiary of this company in Ireland? is it a franchise?

If a reseller, you can expect to get anywhere from 20% upwards for the software licenses. Maintenance will be a little lower - probably in the region of about 15% upwards. Consultancy, depending on who is providing this - parent company or you, will not yield a whole lot - if you are simply selling on their consultancy, it will probably be low - about 10%.

Again however, the above figures all depend on how mature the product from the company is, are they a start up, are there other resellers in Ireland etc. If they are a start up, they may well offer higher margins to a reseller. If there are other resellers, then they will probably have a channel program whereby you certify to become a partner and your discounts will be commensurate with the certification you have undertaken.

Hope this helps somewhat.

dazguy

I'd agree with Voodoos figures. It also depends on what kind of software you are talking about.

I was on the BMS website and they are currently looking for resellers (www.bmssoftware.ie) but there is no mention of percentages.