Holy Grail


This is the beginning of any value based proposal. For EBA, the Holy Grail represents the negative impact of IT acquisitions and a simple cure for both vendor and customer alike. This multimedia FLASH presentation will help you understand why EBA is the foundation to any value based proposal.

 

Economic Imbalance of IT Projects (below), represents the financial profile of a typical Net30 terms of payment proposal. When you propose “Net30” you simultaneously propose driving your client into a negative-cash-flow situation. “Pay now—benefit later”. The effect is to delay return on investment.

Major IT initiatives take months to implement, even longer to deploy before real economic benefits are realized. A $100 solution must derive $100 of benefit before it breaks even, and becomes cash flow neutral. Corporate executives are looking for “cash flow positive projects”. You cannot propose Net30 and expect your prospect to see your proposal as anything other than what it is, a price only proposal, wide open to debate and negotiation resulting in significant discounting.

The value of Net30 to the client is, delay and hope. Not good enough in todays buyer’s market.


EBA seeks to reverse the value of IT acquisitions – “payback now – pay later”. Economic Business Alignment is driving deals to closure by making technology EASY TO BUY, and, EASY TO JUSTIFY.

Selling your solution today can be made easier, if you begin by making it – EASIER TO BUY.

Capital budgets are down, cash is not free, and management wants payback on acquisitions today – not tomorrow. Again, paying Net30 only serves to drive the negatives associated with IT projects – “pay now – payback later”.

The ‘Economic Balance of IT Projects’ positions the acquisition of technology as follows:

  • The complete solution is delivered to the client upon signature

  • There is no immediate payment by the client

  • The solution is fully implemented – with no payment

  • Payment begins when value – New Revenues or Cost Savings – is being realized by the client.

  • The goal is for payments to be self-funded from value received.

RATE OF RETURN (ROR) > RATE OF INVESTMENT (ROI)