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NEXTEC: CHANGING THE RENT PROFILE Featured

Nextec’s countrywide offices once generated a rental bill of $350,000 annually. That was true for the Seattle, Wash.-based firm a year ago.

In less than a year, that plunged to $35,000 as the reseller of Acumatica, NetSuite and Sage cut back on office space permanently. The firm had 11 offices. But that does not mean that the reduction in rent represents a decrease in expense, according to CEO Eric Frank. Now, “some of that money goes in conferences or events to bring the staff together,” he says. Another reseller, who did not wish to be quoted by name, noted their firm had also closed its offices in multiple and also saw the money being reallocated, not being a reduction in expenses. Given the number of firms that have gone remote, we have probably experienced a significant reduction in the real-estate footprint of the mid-market channel.

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