UK software firm EG Solutions is in SA this week to promote its offerings and hopes to walk away with interest from some of the country`s financial companies.
CEO Elizabeth Gooch says the country has great potential to contribute to its revenue stream. Currently, the company turns over lb6 million a year and based on this figure, she hopes that SA could contribute between lb3 million and lb4 million annually. "SA is breaking the mould in many respects," she says of her hopes for success locally.
The company`s software provides operational intelligence, she adds. Thus it is often classified as business intelligence, or business process management, but is not really either. Essentially, all the information within a company is collated and turned into intelligence, aiding performance. The company says productivity can be improved by as much as 50%.
"It`s how you use the systems and manage people that will differentiate you from the next firm."
Positive reception
SA was chosen after the company liaised with the UK`s Department of Trade and Industry and had a matrix plotted, which gave rise to a shortlist of five countries.
Discussions with local firms in the finance and insurance sector have yielded a positive reception, she says. While the target market consists of a smaller number of firms than in the UK, each firm size is generally bigger, meaning more seats can be sold in one deal.
It has teamed up with consultant Mark Ehmke to evaluate the local market. However, the company is already considering that there is potential in other sectors such as the public sector. "It`s sensible to start with what you know," she says.
About 60% of its revenue is derived from services such as implementation and training, she says. The company ensures that users are fully capable in the software before ceasing training.
Locally, it will look to boost this skills transfer by recruiting four local staff members and training them in the UK. Eventually, this staff complement could be as high as 60.
The company, which listed on London`s Alternative Investment Market in June last year and has a market capitalisation of lb22 million, said it will be wrapping up its business plan and deciding on whether to go direct to market, or through a partner.
Going forward, the company aims to break into the US market in 2008 and a few more countries next year. Each country requires start-up capital of about lb250 000, "less than the cost of a small house in the UK," says Gooch.
Share