DealNet Capital Corp. (CNSX:DLS) has taken a step to accelerate its growth as it says it has formally launched One Dealer - its subsidiary that offers a full suite of services to the heating, ventilation and air conditioning (HVAC) industry across North America.
It told investors today that dealer interest so far has been "overwhelming". Over the past year, the company has been developing its business model for One Dealer, which is designed to provide comprehensive services and financing solutions to indepedent HVAC dealers and their customers in North America.
Specifically, the subsidiary is launching a full suite of financing and rental programs, extended warranty products, logistical support, customer services, wholesale product supply and home protection plans.
Through One Dealer, DealNet plans to bring together more than 80,000 small and intermediate-sized dealers in the North American HVAC and water heater rental industry under one umbrella.
With the new service offering, the company has also launched onedealernetwork.com as a resource for dealers to access information on One Dealer's services.
The news today follows on from DealNet's announcement in January, which saw One Dealer sign a strategic memorandum of understanding with a "large North American HVAC equipment distributor".
In the statement Thursday, the subsidiary said the two parties have continued to work together with select HVAC dealers to develop the service offerings of the One Dealer program.
The resulting program offers a "unique bundled solution", the company said, providing services that previously were only offered by the "largest of the home comfort brands".
The One Dealer business is also expected to help HVAC dealers provide a better customer experience by leveraging call center time through DealNet's business process outsourcing (NYSE:BPO) unit, OC Communications Group.
One Dealer will initially be rolled out in the Ontario market, but using the BPO unit, DealNet says the service offerings could be "easily scaled" to support a larger North American-wide dealer network.
The launch will begin with "several initial services", the company said Thursday, and will be further boosted with the introduction of One Dealer Financial Services - the underwriting arm - and One Dealer Home Services - the consumer home services arm.
DealNet said it is now in various stages of signing several dealers to its program, and expects to launch the consumer home services arm in the coming weeks, with the underwriting arm to be launched shortly afterward.
"We couldn't be happier that we are crossing this threshold. The dealer feedback and interest has been overwhelming and we are currently recruiting to support the onboarding processes for what is expected to be a significant network of dealers," said DealNet in the release Thursday, citing president Bob Cariglia.
DealNet, previously called GameCorp, last year transitioned from the gaming industry to HVAC financing and services, water heater rentals and business process outsourcing, with the infrastructure of the BPO business underpinning the HVAC delivery platform.
The merchant banking company says it continues to look for acquisition opportunities in these key markets in order to drive growth.
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