Servium hails double-digit growth

Fast-growing VAR sees software and services revenue double as it plots further expansion

Mid-market player Servium is hoping to smash the £30m turnover barrier within the next three years as it guns for growth.

The firm, which was started by former Equanet head honcho Paul Barlow (pictured) in 2010, has seen revenue grow by 22 per cent over the past year, with software and services revenue doubling during that time.

Its services might was boosted with the appointment of DSGi’s former head of services Steve Dawes last year and Barlow said the investment had paid off.

“Taking Steve on as services director gives us a great focus on services from a senior management level and brings his 26 years’ experience on board, which has been of great value for our account managers,” he said. “Our plan is to continue to grow and expand our services offering and we are looking for account managers at both our sites in Warrington and Chessington.”

However, he said finding the right people to hire was proving a challenge.

“We only want the right people and will not just take on anyone. It is certainly difficult finding the skills we are looking for,” he said.

Barlow added that another key to the firm’s continuing success was operating a company ownership scheme, where employees own 10 per cent of the firm.

“It is not just about the people at the top, it is about everybody. We are trying to create a culture where there is room for family within the business. We need to get the work/life balance right and that way you get the loyalty from your team that money just can’t buy.”

He revealed his plan was to grow the business to between £20m and £30m turnover during the next two to three years.

“But I’d like to get that closer to £30m,” he said. “And that will be by getting a good split between services and hardware/software.”

And despite the general rush towards services, Barlow insisted a successful company should offer both services and hardware.

“Fifteen years ago when I was at Equanet, we invented the concept of the virtual warehouse. Resellers don’t need to hold hardware stock these days, because they can get it the next day, and it is not a big upfront cost on their balance sheet. Why would you not want to mix products and services?

“Clearly there are different opinions on this, but you don’t need to go down the pure-play route – I think you have a stronger business model if you have a healthy mix.”