What is Value-Added Reseller (VAR)?
A VAR is a partner that licenses ERP software to customers and adds its own implementation, configuration, and support services.
Definition
A value-added reseller (VAR) is a channel partner authorized by an ERP vendor to sell the vendor's software and to wrap that license with additional value such as implementation, customization, training, and ongoing support. VARs are especially common in the small-and-midmarket ERP space, where vendors like Microsoft, Sage, Acumatica, and SAP Business One rely on a partner channel rather than a direct sales force. Because the VAR both sells the license and delivers the services, it is often the customer's primary relationship throughout selection, implementation, and support. Many VARs specialize in particular industries or add their own complementary products and intellectual property. The quality and longevity of a VAR materially affect the customer's experience, since the vendor may have little direct contact with the end customer.
How Value-Added Reseller Works in ERP
For channel-driven ERP products, a customer typically buys both the software and the implementation from the same VAR, which configures the system and provides first-line support. VARs frequently build industry templates or add-on modules that extend the base ERP for verticals such as distribution or manufacturing. Because the VAR is the ongoing point of contact, evaluating its financial stability, references, and industry experience is part of vendor selection.
ERP Vendors with Strong Value-Added Reseller
Frequently Asked Questions
Why do many ERP vendors sell through VARs?
Vendors targeting the small-and-midmarket use VARs to reach many customers cost-effectively, relying on partners for local sales, implementation, and support rather than building a large direct workforce. The VAR adds value through services and industry expertise around the core product.
What should I check before choosing a VAR?
Assess the VAR's industry experience, references, certified consultant headcount, financial stability, and how long it has partnered with the vendor. Because the VAR is usually your ongoing support relationship, its longevity and depth matter as much as the software itself.