CloudBuy to build online marketplace for FSB

AIM-listed CloudBuy, a provider of cloud-based e-commerce marketplaces, has signed a five-year contract with business services provider FSB to deliver a new online marketplace for its members

The FSB marketplace will enable its 170,000 members to trade with each other securely and cost effectively as well as allow consumer and business buyers to buy goods and services directly from FSB's member network.

In addition, it will act as a showcase for the goods and services of smaller businesses to larger organisations and overseas buyers.

Revenue will comprise a mix of implementation, SaaS licence, support and hosting and a share of transaction revenue.

Although it is expected that there will be some contribution of revenues in the current financial year, the contract win is not seen changing market expectations.

CloudBuy chief executive Lyn Duncan said: “CloudBuy is really excited to be working with FSB on this initiative. The FSB marketplace will provide UK smaller businesses increased opportunities to buy and sell their goods and services online which might not have been affordable for them before.

“Members will also have the option to take a full CloudBuy ecommerce website and will find it easy to connect to other CloudBuy sector-specific marketplaces where appropriate. CloudBuy brings a wealth of experience to this endeavour following emarketplace projects in India and South East Asia."

At 1227 BST, shares were up 14% to 8.00p.