Last month we announced that Brightpearl has been acquired by Sage. As one of our customers and users of our platform, you might have some questions about what this means for you. No one likes being in the dark, so we’ve put together a handy Q&A to help you get up to speed. (Hint: it’s all good news!)
Who is Sage?
Sage Group PLC is a FTSE 100 global enterprise software company headquartered in Newcastle, England. Sage is the UK’s second-largest technology company, with 6.1 million customers worldwide and offices in 24 countries.
Sage Intacct (San Jose, California) was acquired by Sage Group PLC in 2017, and made a minority investment in Brightpearl in December 2020.
Square acquired Stitch Labs last year then sunsetted it. What guarantee do I have to ensure that doesn’t happen to Brightpearl?
At the forefront of this acquisition is a strategy that positions Brightpearl as the new retail and e-commerce vertical of Sage for mid-sized retailers.
The strategic priority of Sage is to scale and expand beyond financials, and with Brightpearl’s history of growth and success, we’re seen as being the perfect vehicle to accelerate Sage’s strategy for growth within the retail space.
Our aim is to combine the financial expertise of Sage with the retail strength of Brightpearl. This will allow us to provide an even more comprehensive and no-compromise solution to our customers. As a result of this strategy, we will see additional investment to help expand and innovate our product.
Will this change the team I work with at Brightpearl?
Not at all! You’ll continue to work with the same team you’ve been working with historically.
How do we know that you’ll continue to operate as a separate business?
We’re not able to make any sort of guarantee, but we can say with confidence that the strategic priority of Sage is to scale and expand beyond financials. This is also why they’ve been such a long-term investor — they see the opportunity and they trust Brightpearl as the vehicle to getting them there.
It is the aim of Sage and Brightpearl to lead the market as the absolute best retail operating system that’s truly built with e-commerce and retail awareness and supports our customers to grow fearlessly. That is, and will continue to be, our mission, and the investment from Sage gives us more resources to get there faster.
Typically, price increases follow an acquisition as the new parent company looks to drive more revenue. Can you guarantee that Brightpearl won’t do that? What does this mean for Brightpearl’s pricing in the future?
While price increases can be a tactic used in acquisitions, Sage’s strategy is to stay hyper-focused on our ideal client profile of small to mid-sized businesses. The price point and model we have for that market are simple and transparent and really help differentiate us from traditional ERP pricing you might’ve seen in the past. Because of that, we have no intention of changing our pricing model.
Contractually, we can definitely guarantee pricing through a fixed rate using multi-year agreements — speak to your account manager if that’s something you’re interested in.
Based on this acquisition, will we be required to use Intacct for our accounting needs?
No, there will be no requirement to use Intacct for your accounting. Brightpearl remains committed to providing our customers with choice across their entire ecosystem. That includes accounting, as well as a number of other important systems like sales channels, shipping and fulfillment.
The reason for this goes back to our focus on scalability — providing customers with the best possible solutions based on their needs. Sometimes those needs change, particularly as a business grows. With Brightpearl, we’ll remain focused on providing customers like you with the choice to decide what systems and integrations make the most sense as you scale, without having to transition off of an entire retail operations system. If Intacct is the right choice for you, that option is there. But if you are happy and comfortable with your existing systems, then that option is there as well.
Do you foresee any potential drawbacks to being acquired by Sage?
In a word, no. Sage has been an investor in Brightpearl for a year now, with their CTO also sitting on our board. In that time, they’ve learned about our business, what makes us unique, and how we can drive value to customers and ultimately to their business. We’ve also been able to use that time to learn about their business and how they can support the needs of our customers. Most importantly, that means adding more resources to Brightpearl.
We’re hugely excited that, thanks to this acquisition, we can not only add functionality, but add it faster than was previously possible. We also have big plans to grow our team across the entire organization so we can build powerful, meaningful functionality in this space. There’s lots to look forward to for us — and for you, as our valued customer.
Have a question which we’ve not answered? Ask your Brightpearl Success or Support team. We’ll continue to answer the most common questions here as we receive them.
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