Acquire takes web business across to Australian market

By RICHARD WOOD

Local e-procurement company Acquire has branched out into Australia after two years of growth.

The three-person firm, which resells computer hardware and software on the web, started in May 2001 with no trading capital.

From a first-year turnover of $1.3 million, sales have increased to $4.6 million last year, and the company projects $7.4 million for this year. As a reseller, Acquire makes its money from the margin it gets from suppliers.

Founder and director of supply chains Simon Scott said no real additional expenditure was required in setting up in Australia. Also, many distributors in New Zealand were common to Australia.

"When I've approached the Australian distributors they have already given us decent buy prices and in some cases instant credit rating."

An Australian director has been appointed, but at first the operation will run from New Zealand. The Australian site will be hosted from New Zealand. Detailed product information will be shared.

Acquire mostly sells direct to businesses but also retails to small businesses and the public. Products are shipped direct from distributors to the customer.

Scott said the firm had avoided completely automating its web-based sales.

"We learned quite early on that complete automation leads to complete disaster . . . We can help them save money on certain goods."

Acquire is 50/50 owned by Scott and director of e-commerce Kelly Raines. Initial investor Clive Glover has been contracted since November to handle debt collection.

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