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SWK TO BUY OATES, MACABE, SHOWS PTI DATA Featured

Mary Abdian, The Macabe AssociatesSWK Technologies has signed letters of intent to acquire Oates & Co., based in Greensboro, N.C., and The Macabe Associates, based in Seattle, Wash. Both are Sage and Acumatica resellers. SWK, a subsidiary of publicly held SilverSun Technologies, expects Oates to bring it about $2.4 million in annual revenue with Macabe to chip in another $1 million. As one observer noted, "It would be interesting to see how many independent Sage partners with $1 million to $3 million in revenues are left." 

Headed by Chris Oates, Oates & Co. was founded in 1988. It made the Sage Million Dollar Club for 2013-14. It handles Sage 100/300, Sage X3, and Sage CRM. Macabe, headed by Mary Abdian, is known for its Sage add-on products and sells Sage 100/500.  Meanwhile,, SilverSun filed documents with the SEC that report the financials of Productive Tech, which it acquired via an asset purchase agreement on July 10 for $1.36 million. Consideration included $500,000 in cash and a promissory note for $600,000 and 64,484 shares of SilverSun common stock at a value of $260,000. PTI had net income of $169,937 on $1.7 million in revenue for the year ended December 31. The proforma numbers give SilverSun $2.2 million in revenue for 2014 with net income of $464,963. SilverSun, whose operations are solely from SWK, had $565,768 in net income historically for 2014, but that was adjusted for $136,600 in depreciation and amortization. For the half ended June 30, PTI had $41,086 in net income, down sharply from $124,911 in the corresponding half a year earlier. Revenue for the most recently ended period was $902,643, a drop of 1.6 percent from $917,558 a year ago. The decline stemmed from product sales, which declined to $206,317 from $290,520

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