Derek Daly worked for UK telecommunications networking company, Workplace Technologies, prior to its take over by NTL in 1999. At this time, the company was fairly small with just 18 people at its Dublin office. Daly speaks fondly of the entrepreneurial spirit and antonomy there. however, just 18 months after it was swallowed by NTL, Daly and three of his colleagues felt this feeling had been lost. In November 2000, they decided the time had come to leave behind the company guide lines and set out on a new venture, focusing directly on their customers. The four entrepreneurs saw a market for providing customised solutions to meet the telecoms needs of medium sized Irish enterprises.
Through a combination of personal cash, leasing deals and negotiated arrangements with software companies, Interfusion Networks setup at the end of 2000 on a share capital of IR75,000. Using previous contacts, the promoters built up the new business and snagged Hibernia as its first customer. Being Largely service-oriented with a low capital expenditure, the business saw its customers funding the bill as much as possible in the first year. Since then, the company has used the invoice discounting to fund the business. “Many people are wary of invoice discounting.” says Daly. “but we have found it hugely beneficial, having secured a deal after only nine months in business.”
Interfusion Networks now designs, builds, manages and supports end-to-end network solutions. It uses the newest technology, manages the equipment and takes ownership of the entire network.  It constantly tracks security and productivity from location in Ballymount and chases up any network or equipment problems. And, as the telecoms industry becomes more liberalised through

the introduction of broadband, Interfusion Networks will now start to develop the product side of its business.
Previously, the customer base would primarily have been companies managing a number of branches. But there are now opportunities to provide services for employees working from home, and mobile users such as sales people. There are currently 15 staff working between the Dublin-based office and the service centre. In 2003, Interfusion Networks plans to employ additional technical staff to meet the growing demand for its network enterprise.
Daly says the company doesn’t face much direct competition. Although it would seem to be in some competition with the likes of Eircom Net, Interfusion Networks maintains a good relationship with service providers, and purchases a lot from them to produce its customised package deals. Daly argues that its service-focused nature seems to be filling a growing gap in the market.
In its first year of business, Interfusion Networks suffered a loss but it broke even last

year. Nevertheless, figures are already promising for this year, with turnover in the first five months up on last year. By the end of 2003, Daly hopes to see €2m in revenue and €100,000 in profit. “The key aspect for this year is to grow recurring revenue into next year, ” he says. “This is the best way to grow our business - slowly but profitably.”
Daly is predicting to grow revenues by 70-80% per year and hopes to be exiting 2005 with a revenue of €4-5m in the services end alone, although this is based on Irish market analysis in a constantly changing industry.
When asked about the future of Interfusion Networks, Daly says: “We are a privately owned company, so our business has to fund any further business. The UK is a major attraction for us, but we really want to bed down in Ireland first and make sure we don’t lose focus on what we are currently working on.”