How to Navigate for Microsoft’s New CSP Direct Bill Partners Requirements

IOTAP’s Work 365 Helps CSPs Qualify to be Direct Bill Partners. 

Microsoft recently announced changes to terminology and eligibility requirements for Microsoft Cloud Solutions Providers (CSPs) which affects both current and potential partners.  

Starting in August 2018, CSPs will now be known as Direct Bill Partners.

Criteria for Direct Bill Partners

The criteria required to become a Direct Bill Partner is now tighter; to be classified as a Direct Bill Partner, CSPs must offer:  

  • At least One Managed Service, IP Service, Customer Solution or Application
  • Infrastructure Capabilities including Billing, Credit Check, Customer Support
  • Support to their end customers through the purchase of the Advanced Support for Partners (ASFP) 
  • Potentially some future revenue requirements

CSPs who do not qualify for the above criteria will be moved to be Indirect Cloud Service Providers.

Indirect Service Providers will not have to provide the above criteria but will instead have to partner with Indirect Resellers in order to offer customer support and billing services.   

Microsoft is signaling to the partner community that they need to be ready for scale if they want to work with Microsoft as a Direct Bill partner. The only benefit, of being a direct bill partner is that there is a slightly higher margin between working with a distributor and directly with Microsoft.

That margin, which is usually a couple of percentage points will not be justified unless they are able to scale and grow their Cloud Recurring Business.

The manual cost of labor-intensive processes around Billing, Subscription Management, and Customer Support will outweigh the few percentage points of a margin between being Direct and Indirect Cloud Service Providers.

Having automation and the ability to scale, however, makes it worthwhile staying in the program as a Direct Bill Partner.  

With these new requirements, Work 365’s Customer Service and Billing Infrastructure Apps will help many current and potential CSPs/Direct Bill Providers meet those prerequisites and solve those common issues with minimal additional investment or resources.



What is Work 365 Apps Offering

Work 365’s apps can help partners meet the above eligibility requirements laid out by Microsoft.

They are allowing potential CSPs/Direct Bill Partners the ability to handle support requests and invoicing internally, including:  

Work 365 was recently featured in a Redmond Channel Partner article on how it helps with common issues, such as Subscription Management, Invoicing, and Customer Support.

Work 365, built on Dynamics 365, helps CSPs scale their business, increase profit margins and create game-changing opportunities for usage of Dynamics CRM.  

Contact Us to learn more about the Work 365 store and for more information on how we can help you make this transition.