Wheelings & Dealings: SWK Technologies to Acquire PTI, Expand its Managed Services Coverage

SWK Technologies, a wholly-owned subsidiary of SilverSun Technologies, Inc., recently announced its intentions to acquire ProductiveTech, Inc. (PTI). The transaction would allow SilverSun to have a larger coverage area for its managed service provider (MSP) business.

Livingston, New Jersey-based SWK Technologies develops ERP, CRM, EDI, job costing and warehouse management solutions. It has several offices across the country and is involved in multiple levels of Sage Software partner programs. One of its major products is MAPADOC, a turnkey end-to-end supply chain EDI solution.

SilverSun Technologies, Inc. acquires technology companies that serve SMB markets in the manufacturing, distribution and service industries. Its main office is based at the same address as SWK’s is.

PTI is a Westville, New Jersey-based company that started out as a typewriter repair shop in 1984. A few years later, it shifted to computer networking services and eventually added consulting services to its offerings. The company provides the usual array of managed services including network management, malware and virus removal, cloud services and virtualization, email management, and a help desk.

Prior to its announcement that it intended to purchase PTI, SWK was an MSP operating in northern New Jersey and the greater New York City area. Acquiring PTI allows SWK to expand its MSP business to the entire state of New Jersey. With additional sites in Chicago, Dallas, Phoenix, Southern California, and Syracuse, New York, SWK is in a position to expand its MSP business to several major markets across the U.S.

It’s easy to understand why SilverSun wants to expand its MSP business; industry forecasts suggest there’s a lot of money to be made in it. A recent report from MarketsandMarkets predicts a global MSP market of over $193 billion by 2019. SilverSun already has a presence in several major U.S. markets. If it can enter and compete in other heavily corporate markets like Atlanta, Seattle, San Francisco, and Boston, the sky may be the limit for their future as an MSP.