‘We’re heading steadily towards €2m revenue’: Manaps co-founder
The French MSP’s leader talks cybersecurity boom, NIS2 opportunities, and navigating an unstable macro climate
Two hours north of Paris as the crow flies lies Amiens, where the cathedral’s black spire pierces the sky, marking the map with a dark point between the French capital and the country’s northernmost tip.
It is in this city that Nicolas Zedde, alongside Aymeric Jessus, established Manaps in 2015.
Since its launch, the MSP has seen its revenue increase about €300,000 each year, Zedde tells CRN.
After reaching €1.7m (£1.47m) in revenue last year, the company is “heading steadily” towards €2m by year’s end, highlights the co-founder.
“COVID really was an incredible accelerator, as cybersecurity has really taken off.
“In two years, 2020 and 2021, we doubled revenue from €800,000 to €1.5m.
“We’ve been growing constantly since the beginning, and we don’t see that stopping anytime soon.”
He adds that the NIS2, a legislation aimed at improving standards of network and IT security across the EU, also brings its share of opportunities.
On the other hand, he says that France lags behind in terms of adoption, as parliamentary debates about the decree are scheduled for autumn this year, with the final adoption expected by the end of 2025 of early 2026, and the deadline for full compliance set for late 2028.
“But it’s coming, and it will heavily shape our relationships with clients,” he explains.
“There’s huge potential in this market.”
Zedde tells CRN the Windows 10 migration will propel hardware sales for Manaps this year, as a lot of infrastructure refreshes are currently happening.
“[The Windows 10 migration] coincides with the five-year anniversary of COVID, when companies massively equipped themselves with laptops for remote work, five years being roughly the maximum lifespan of a mid- to high-end laptop.
“We’re in a double renewal window: the forced migration to Windows 11 by Microsoft, and the natural obsolescence of machines bought in 2020.”
Customer base
The MSP currently counts 12 employees and services around 70 companies.
The core of the business is managed services, which accounts for 70 per cent of its revenues, followed by traditional resale, 20 per cent, and one-off services, ten per cent.
The 20 per cent of revenue from resale stems from hardware, equipment, and everything that isn’t subscription.
The other ten per cent, one-off services, is generated by audits, installations, and the “rare out-of-contract interventions that can happen.”
What Manaps sells, according to Zedde, is “IT peace of mind”, as customers subscribe to avoid having issues in the first place.
“The more problems a client has, the less profitable it is for us, and it is therefore in both organisations’ best interest to ensure the IT systems run as smoothly as possible,” he tells CRN.
The MSP’s most crucial vertical market is the agri-food industry, followed by security professions, such as electronic surveillance and remote monitoring, explains Zedde.
On average, Manaps’ customers have up to 100 IT users.
Partner network
In terms of vendors, the MSP collaborates with HPE for servers, Cisco Meraki for networking, and HP for computers.
“Each time, we try to stick with one technology so we can be as operational as possible to optimise our training costs and our efficiency.
“When we onboard a new client, we don’t immediately rip out everything they had before.
“But as contracts evolve, we try to align them to our technology stack gradually.”
It also partners with distributor heavy-hitters such as TD SYNNEX, Westcon-Comstor, and Ingram Micro.
Expanding Manaps presence on the map
While Zedde first intended to quickly open new branches across France, he today considers there is plenty enough business in the region where it is currently involved.
Even though 99 per cent of what the company does is reportedly remote, the co-founder says being able to operate within two hours of his offices is important for onsite tasks.
“Delivering a computer by dropping off a box, that’s not what we do.
“Clients expect white-glove service, and that requires proximity. Clients want contact.”
While he confirms geographic expansion is a direction the business intends to take at some point, it is not yet planned in the foreseeable future.
“Opening a branch is a big investment, and you can’t afford to make a mistake.
“For now, it’s not on the short-term agenda, but it’s clearly something we keep in mind - it’s the natural path of the company’s development.”
If the company were to expand, it would aim to consolidate around the areas where it already operates, by entering the north-west (Nord–Pas-de-Calais, Normandy), north-east (Champagne), and north of Paris (northern Île-de-France).
“I can’t tell you which will be first; it’ll depend on a study to see where the biggest needs are.”
Macro setbacks
Despite the plans set by Zedde, the company makes sure to tread carefully as the French and global political climate remains unstable.
Price increases on products and services including energy, transport, and raw materials have had an impact on IT costs, such as hardware, which has seen its prices skyrocket, says the MSP leader.
He also quotes the French governmental, regulatory, and fiscal instability, which drives companies into holding back on and delaying projects.
“We need to be cautious, we’re not immune.
“For example, the government just told us: ‘From now on, you’ll cover sick leave costs for up to one week, instead of social security covering it.’
“For us, at our scale, it won’t cost much. But if they start adding measures like that, we have to be careful as there are extra costs we’ll have to bear.”