This means they can now access training and negotiate their credit terms faster.

The Impact distribution East Africa director, Ms Wanja Muriithi, said that under the deal the company will supply products and train resellers.

“Our role as one of the two Microsoft prime distributors will be to support Microsoft and its channel partners in timely acquisition of licenses, securing credit lines to support the growing business as well as extending credit terms required by partners,” said Ms Muriithi.

The company intends to invest Sh280 million in building their operational capacity, accounting and logistics systems, capacity building initiatives, and human resource development in East Africa.

Microsoft has a two-level distributorship of its services that involves prime distributors who buy products from them directly and pass them on to resellers who deal directly with the end users.

Distribution rights

The move follows Impact’s being awarded Microsoft distribution rights for the region that covers seven countries which include Kenya, Uganda, Burundi, Rwanda, Ethiopia, Eritrea and Tanzania.

The relocation of its head office to Nairobi is in line with Microsoft’s decision to locate its regional head office for East and Southern Africa in Kenya.

Impact targets $20 million sales in the East Africa region.

The company says it will rely on its valued network of associate distributors and resellers to support not only the penetration of Microsoft products and solutions, but also those of its other vendors including Adobe systems, Kapersky anti-virus, CorelDraw, and Symantec into East and Southern Africa.

Impact chief executive officer Glen Matswetu said their entrance into the region is not meant to create competition with existing associate distributors.

Rather, it will ensure more face to face relationship that will speed up the process of obtaining pricing, product delivery and information, and technical advice.

“Kenya’s market growth potential and highly skilled partners ecosystem played a crucial role in choosing the country as our hub,” said Mr Matswetu.