DealNet Capital Corp (CNSX:DLS) says its business process outsourcing (BPO) unit has officially launched services for the $10 million contract announced earlier this month with a U.S. based Fortune 500 financial services client.
The unit, OC Communications Group (OCCGI), has been bringing home the bacon for DealNet. The last month alone has brought news of OCCGI winning a $10 million contract over five years; a 3 year contract of up to $3 million; and another $10 million deal over 10 years. That’s $23 million in recurring revenue from inking multiple long term contracts with significant brands, all of this on top of the existing backlog.
OCCGI has been working with the latest client, the unnamed Fortune 500 financial services company, for upwards of a year planning and training for the opportunity.
"We knew we needed to turn on a dime and deliver as quickly as possible," said COO of DealNet, and president and CEO of OCCGI, Michael Hilmer. "And that's why we win," he added.
"We are nimble and responsive, and we are confident in our ability to close on our collective contracts. As a result, we work closely with our potential customers, even during negotiations, to ensure successful, on-time launches."
For the latest $10 million contract, the BPO unit is providing inbound customer service in English and Spanish from its Reno, Nevada location, with the program rolling out to four million customers.
"Initial volume well exceeds the current forecasts and is expected to continue to be high through to the end of 2013 as various marketing and migration initiatives continue," DealNet said in its release, sent to markets late Wednesday afternoon.
DealNet’s focus on recurring income doesn’t stop with OCCGI. In fact, coming down the line is DealNet’s next business, One Dealer, set for a “massive” launch this month, which Hilmer says is set to make OCCGI “a drop in the bucket” within the space of two years. One Dealer will provide a host of financing and other services to heating, ventilation and air conditioning (HVAC) dealers and their customers, underpinned by the controls and processes of OCCGI to serve its own consumer financing customers.
Indeed, there seems to be significant upside ahead for the company, whose shares are trading around 15.5 cents on the CNSX Exchange, giving it a market cap of $9 million.