Page 59 - Partner Business Transformation Workshop Refresh
P. 59
How Cloud can impact gross margin
Gross Margin Comparison Assumptions
$1.65 M • 24% overall gross margin on total
business (product resale and
$1.40 M services) for on premise only
business model
$1.15 M
• 20% gross margin in year 1-2 to
accommodate investments and/or
inefficiencies
• 35% gross margin achievement in
years 3+ based on business
transformations
$.90 M
Year 1 Year 2 Year 3 Year 4
Gross Margin - On premise Only Gross Margin - Balanced Practice
The data contained in this chart is illustrative. Assumptions are included at the back of this document. .
