Estimated reading time: 1 minute, 15 seconds

INTUIT'S AUSSIE ALLY WON'T RENEW

Clive Rabie, Reckon

Intuit's Australian software distributor, Reckon, has told Intuit it will not renew an agreement under which it has been selling Quicken and QuickBooks in that country. That includes QuickBooks Enterprise Solutions. Reckon filed documents with the Australian Stock Exchange in which it reported that the agreement expires on Feb. 14, 2014.

 

 

 

After Valentine's Day 2014, Reckon said it can develop products based on Intuit technology, but could not use Intuit's brand. In an interview in the Financial Review, Reckon's CEO Clive Rabie says ending the deal would save his company about $6.2 million annually in royalty payments. The current contract was effective on Dec. 6, 2010 for desktop products. But since then, Reckon has increasingly turned to marketing online products and services, as has Intuit. Reckon has launched QuickBooks Hosted, but also developed Reckon CashBook Online for smaller end users. There is also the APS Private Cloud that enables accounting firms to host applications, a POS offering and Elite Practice Management Software for smaller firms, all Internet-based Rabie, said that having Intuit dictate how it could use its brand limited his company. He was reported as having told Intuit officials, "either you have to buy us or let us be free." Reckon had about $95 million in revenue for 2011. The news article said that Intuit and Reckon have had a 20-year relationship. The end of the deal apparently would leave Intuit free to move into Australia on its own at a time when the American company is trying to ramp up operations internationally, particularly in English-speaking countries.

 

Read 1679 times
Rate this item
(0 votes)

Visit other PMG Sites:

PMG360 is committed to protecting the privacy of the personal data we collect from our subscribers/agents/customers/exhibitors and sponsors. On May 25th, the European's GDPR policy will be enforced. Nothing is changing about your current settings or how your information is processed, however, we have made a few changes. We have updated our Privacy Policy and Cookie Policy to make it easier for you to understand what information we collect, how and why we collect it.