NexTech Signs College Training Contract

Long Island Business News
By: Michael P. Conroy
December 1, 2000

HAUPPAUGE - NexTech Training Solutions, a nascent provider of IT training, has inked deals with several local colleges, is expanding its headquarters and is growing outside New York. Under its new agreements, the certified high-tech trainer for Microsoft, Novell and Cisco systems has leased two classrooms at Dowling College, three at St. John's University and one each at John Jay College of Criminal Justice and SUNY Farmingdale. NexTech will gain access to thousands of new students through the arrangement. The deals hold the promise of hundreds of thousands of new income dollars for NexTech, and its CEO and President Russell Izzo expects a 40 percent boost in first quarter sales as a result.

Hauppauge-based NexTech and local competitors including NuHorizons, Catapult and Learning Tree International are all benefiting from an ever more apparent need for computer systems-trained workers in the area. The 18-month-old firm's latest growth spurt follows the recent addition of SUNY Stony Brook, where it has one classroom with plans for leasing two more, and Hofstra University, where the firm has three classrooms. Meanwhile, NexTech is nearly doubling its headquarter's size by adding another 10,000 square feet, allowing it to boost its six classroom count, Izzo said. Generally, each class holds 12 students who study for periods ranging from one week to six months, depending upon the level of training.

On the low end, a 60-hour certification course costs as little as $49.95. On the high end, a six-month course to become a Microsoft Certified Systems Engineer costs $12,600. "The concept of branching out into colleges and universities follows our business plan," Izzo said. "This allows us to continue to grow almost on a weekly basis." Izzo added that the company is in negotiations to expand into other undisclosed educational outlets to bring NexTech into a total of 20 locations by year's end. "We will have locations throughout Long Island, New York City, Staten Island and even a location in Virginia," Izzo said.

NexTech currently employees 40 people and uplans to add 60 more by year's end, with more than 90 of the total on Long Island. In February, Izzo closed on a $2.5 million private placement pegged for building new training centers on Long Island and in Manhattan. That was arranged by Cal Kleiman, president of the Hauppauge-based financing firm Equity Transfers and the law firm of Meltzer, Lippe, Goldstein & Schlissel. Kleiman is also NexTech's chairman.