Small to mid-sized IT resellers are under pressure as tariffs, rising import costs, and supply chain disruptions create new challenges. Unlike large distributors, resellers often lack the capital reserves to weather sudden cost increases or operational disruptions, making it harder to maintain profitability and meet customer demands. Access to flexible working capital has become essential for staying resilient and competitive in this volatile environment.

The Impact of Tariffs

Recent tariffs on IT hardware—like laptops, networking gear, and storage—have driven landed costs up by 10–25%, eroding margins almost overnight. These changes often come with little notice, leaving resellers scrambling to update quotes or pricing. Additionally, tariffs and trade disruptions are increasing lead times, forcing resellers to buy earlier, carry more stock, and explore alternative sourcing—all of which require greater upfront capital. Customers, however, still expect fast service, competitive pricing, and reliability, putting resellers in a tough position.

Why Working Capital Is Essential

Extra working capital empowers resellers to take proactive steps rather than reactive measures. It provides the liquidity needed to:

• Pre-buy and stock inventory strategically: Lock in better pricing to protect margins and stay competitive.
• Leverage vendor incentives: Access better pricing or terms by making larger upfront purchases.
• Bridge cash flow gaps: Cover vendor payments while waiting for customer invoices to clear.
• Invest in growth: Upgrade systems, expand services, or seize new opportunities without straining cash flow.

Working capital is no longer just a safety net; it’s a strategic tool for navigating uncertainty and capitalizing on opportunities.

Dynamic Terms: A Solution for Resellers

TD SYNNEX offers a flexible working capital solution with its Amplify Dynamic Terms program. Designed for agility, Amplify allows resellers to extend payment terms up to 120 days without disrupting their purchasing workflows. This program helps resellers optimize cash flow and stay adaptable in changing market conditions. Key features include:

• Fast and flexible access: Activate terms when needed, without lengthy applications.
• Seamless integration: Use Amplify with your existing TD SYNNEX account and processes.
• Tailored usage: Apply it based on your cash flow needs.
• Growth enablement: Manage tariff-related costs, build inventory, or bridge payment gaps with ease.

This program provides resellers with a financial edge, turning challenges like tariffs into opportunities for growth.

Prepare Today for Tomorrow’s Challenges

While market shifts can’t always be predicted, resellers can prepare by securing the liquidity needed to adapt. Programs like TD SYNNEX’s Amplify Dynamic Terms provide financial flexibility and empower resellers to thrive in uncertain times. By leveraging tools once reserved for enterprise players, small to mid-sized resellers can stay competitive and resilient.

To learn more, visit our website or contact our team.