Charlie Fritch

And then as an original equipment manufacturer, the original product creation basically came from our vertical knowledge of the industry.

And so our broad knowledge from...

listing and selling hotels from the real estate, the capital side, arranging the capital, the debt and equity side, as well as operations and having owned a hotel, gave us the knowledge.

And then where we lacked, we just hired to fill in some of our weak spots.

So being an OEM, you own your own code, you own what you create, but obviously you don't own the ERP platform product.

A value-added reseller provides configuration and training and support on an ERP, but they don't generally write any original code and don't own anything.

And usually, and I'll show you in a second the splits,

With being an original equipment manufacturer, there is a minimum royalty as opposed to being a VAR.

It's usually just a percentage split, so they don't have that risk of a minimum payment.

But they also don't get as high of a split.

We have a minimum royalty and then also a percentage royalty on considered revenue.

You keep more of the revenue and you only pay royalty on the products built on top of the ERP, but you can build outside of that ERP as well, which is what we've done also.

So these are some of the ERP systems.

This is a usability index for mid-market ERP platforms.

We chose the top one on the list there.

They have a strategy of growing through partnerships.

And they liked our depth of knowledge in this vertical.

And so it's been a good fit.

Again, just...

Acumatica's fastest growing global ERP.