Ann: Intiger Group - Business Activity Update, page-104

Build it,, and they will come!

The mainstay of the business, backoffice SOAs and FP fee for service processing all expanding nicely.

• 54% increase in the number of Statements of Advice completed across all Global
  
  Processing Centres;
  
  
•   Over 3,145 Back Office tasks have been delivered to clients during Q2, a new
  
  quarterly activity record for the Company; and
  
  
•   33% increase in new Practice clients to 24 as at 30 June 2017.
  
  
  The 60% revenue increase of $211 000 is coming from a low base with an early stage company, that has added 50% more staff (which means wages and costs) but this figure would be expected to start to accelerate over coming quarters as the economies of scale start to kick in with the additional staff.
  
  As a business model for the times, where lower skill jobs receive lower pay rates and higher skill jobs receive higher pay rates, I can see this incremental growth phase starting to take some big steps over coming quarters.  As long as business gets the service they want for the substantially reduced fee, they will keep fronting up and accept the changes gratefully.
  
  I have had a bit to do with Aconex over the years, watching it grow to a $1.4 billion dollar MC and no profit at that point. What the company had to deal with as it ground its way back to $800 mill MC, was that Aust wages and associated costs for skilled staff are astronomically high.  Intiger has negotiated a way around this allowing businesses to grow without struggling to pass on massive overheads in the form of wages and office accomodation and transport etc.  
  
  Once you get your head around the actual model, you realise that it's the only path forward for many businesses and only currently available to a small proportion.