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BGSF buys IT solutions firm

February 09, 2021

Staffing provider BGSF Inc. (NYSE: BGSF) acquired Momentum Solutionz LLC, an IT solutions provider specializing in ERP, EPM, cloud migration and solution architects. The deal closed on Monday.

Momentum Solutionz, which has a virtual workforce, posted revenue of $3 million in fiscal year 2020. The acquisition calls for BGSF to pay $3.78 million at closing and up to $2.22 million earnout based on performance targets in the next two years.

“We have partnered with their leadership and integrated teams for many years selling solutions through EdgeRock Technology Partners,” BGSF President and CEO Beth Garvey said. “They focus on a very high-end market, and the ability to use their tool across all of our technologies is a huge opportunity with a higher margin profile for us.”

Managing partners of Momentum Solutionz were Jeff Servidio and Lorne Kaufman, they will continue with the combined company as VPs.

“We believe the synergies and momentum we have created with EdgeRock over the last few years will continue into the future as we are able to expand our managed services and project-based services to the BGSF family,” Servidio and Kaufman said in a joint statement.