Episode Details

By Doug Green “The most important thing in a services business is the people.” In this Technology Reseller News podcast recorded at MSP Summit, Jonathan Bohrer, Global President of Abacus, discusses the changing MSP mergers and acquisitions market, what makes an acquisition work and why culture remains as important as financial performance. Abacus is an MSP focused on highly regulated industries, particularly financial services and healthcare. Its services span core IT and infrastructure, cybersecurity, penetration testing, incident response, vulnerability assessment and AI enablement and governance. Bohrer brings an unusual perspective to M&A. He was an early employee at Abacus when the company was much smaller, has experienced selling a business himself and is now on the other side of the table acquiring MSPs. Abacus has completed 15 acquisitions over roughly 15 years and has grown to nearly 1,000 employees. For Bohrer, successful acquisitions start with culture. “When I’m sitting down with a seller and the first thing they ask is, ‘What happens to my people?’ that tells me something,” he says. “If the second question is about the customers, I know we probably have something good.” Abacus follows a full post-merger integration model. Rather than maintaining a collection of separate MSP brands, acquired companies become part of one Abacus organization. Bohrer says that gives employees greater access to opportunities across the business while allowing the company to share best practices more effectively. He argues that good financial performance and strong culture are also closely connected. Employee engagement affects customer experience. Customer experience affects retention. And retention ultimately shows up in the same financial metrics buyers examine during an acquisition. Bohrer is also optimistic about AI. Rather than viewing it as a threat to MSPs, he sees it as another technology shift that can help providers deliver better customer outcomes with greater speed and efficiency. “AI is an opportunity,” Bohrer says. “It allows us to do what we already do better, faster and more accurately.” His message to MSP owners considering an eventual sale is that valuation may start with numbers, but the quality of the business still comes down to its people, customers and culture. Visit AbacusTechnology.com to learn more.