What Different Types of Value-Added Resellers Exist?

A “value added reseller” (VAR) is a type of reseller who adds value to the products and services they sell. This value may appear as additional services, such installation and training, or as additional features, like enhancements and customizations. By adding value to the products and services they sell, VARs can differentiate themselves from other resellers and provide their clients with a more comprehensive solution.

  1. What is a VAR?
  2. How does one become a VAR?
  3. What different VAR types are there?
  4. What benefits are there to being a VAR?

1. What is a VAR?

A value added reseller is a value at risk. It symbolises a potential loss on an investment over a specific time period, usually one day. The VAR is stated as a percentage of the value of the investment. For example, a VAR of 5% implies that there is a 5% likelihood that the investment would lose money over the specified period of time.

2. The Way to Become a VAR

There is no universally applicable answer because the requirements to become a VAR can vary depending on the country in which you conduct business. However, the following general advice will help you become a VAR:

– First, research the needs of your nation or region.

– Second, everything you can about the products and services you wish to offer as a VAR.

– Third, create a business strategy outlining your goals and strategies for becoming a VAR.

– Fourth, build a client and project portfolio to demonstrate your skills.

– Fifth, find new clients and partners for your VAR business.

3. What Kinds Of VARs Are There?

Three main categories of value-at-risk (VAR) exist: historical, parametric, and Monte Carlo. Historical VAR is the simplest and most widely used method. Using past market data, it determines how much the portfolio has lost over a given time frame, such as a day, week, or month. Parametric VAR uses statistical models like normal distributions to estimate VAR. With the help of simulations, Monte Carlo VAR creates arbitrary market situations and calculates the likelihood of loss for each one.

4. What Benefits Are There for Being a VAR?

There are many benefits to being a value-added reseller, or VAR. You can resell products and services that are well-known and have a proven track record in the market, which is one advantage. This suggests that being a VAR is less dangerous than starting your own business from scratch.

You have access as a VAR to the branding and marketing that the parent company has already done. This may provide you an edge over other companies and make it easier for you to attract customers.

Additional benefits of becoming a VAR include regular access to specialised training and support from the parent company. You’ll be able to provide your customers with better service as a consequence, and you’ll learn more about the products and services you’re selling in the process.

In general, launching a career in business by being a VAR can be fantastic. It may allow you to advertise high-end products and services while receiving access to the know-how and resources of the parent firm.

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