3rd and 4th Quarter Revenue ~ heads up information!
PEPPM
PEPPM-approved vendor for streamlined public-sector procurement. Understanding how VeeMost, being a PEPPM-approved vendor means that its products or services can be purchased through the PEPPM Technology Purchasing Cooperative, a national cooperative procurement program that serves schools, universities, libraries, state and local governments, and other public-sector agencies. This can help us to evaluate the revenue that VeeMost may accumulate during the 3rd and 4th quarter that is outside the E-Rates funded and available for us to see in E-Central.
Many districts make purchases throughout the entire fiscal year, not just during the E-Rate bid season.
A simplified timeline looks like this:
January through spring: Schools post E-Rate requests and evaluate bids for upcoming projects.
July 1: New E-Rate funding year begins.
July through December: Approved projects are often ordered, deployed, and invoiced.
Additionally, any needs for the schools can be purchased through the PEPPM public-sector procurement.
All year long: Districts still have technology needs that may be completely outside E-Rate.
Examples of purchases a district might make from VeeMost between July and December without involving E-Rate funding:
Cybersecurity assessments
Managed IT services
Microsoft licensing
Cloud migrations
AI initiatives
Staff augmentation
Data center projects
End-user devices
Professional services
General infrastructure modernization
If VeeMost has a PEPPM contract covering those offerings, a district could potentially purchase through PEPPM rather than conducting a separate full procurement process, subject to district policies and contract scope.
From your VMST-investor perspective, this is why PEPPM can be strategically important:
E-Rate season creates opportunities and relationships. PEPPM can help monetize additional needs before, during, and after the E-Rate project.
A district might:
Select VeeMost for an E-Rate-funded network upgrade.
Work with VeeMost during implementation.
Discover additional cybersecurity, cloud, or managed-services needs.
Purchase those additional services using PEPPM instead of launching a new bid.
That's one reason public-sector IT companies value cooperative contracts. They can reduce the friction between identifying a need and issuing a purchase order.
For VMST specifically, if management continues growing its E-Rate practice, the highest-value outcome may not be just the discounted E-Rate revenue itself. The bigger opportunity could be the follow-on, non-E-Rate services that schools purchase throughout the year using procurement vehicles such as PEPPM.
So PEPPM is not an E-Rate program, but it is frequently used by E-Rate applicants because it simplifies procurement.
For VeeMost (VMST), the strategic value is that the company has:
An E-Rate practice and funding expertise.
Public-sector and education customers.
Access to procurement channels such as PEPPM.
Together, those pieces can help VeeMost compete for K-12 and library projects more efficiently than if every customer had to issue its own standalone RFP.
In your VMST modeling, I would view:
E-Rate = potential source of project dollars.
PEPPM = sales acceleration/procurement channel.
SPIN (Service Provider Identification Number) = the identifier that allows the company to participate in E-Rate-funded projects.
Those three can work together on the same deal, but they are distinct parts of the process. A PEPPM contract by itself does not create E-Rate revenue, and E-Rate funding by itself does not guarantee a purchase. The customer still has to select VeeMost for the project.
E-Rate eligible items
When the FY2027 E-Rate filing window opens (for funding year beginning July 1, 2027), schools seeking E-Rate funding must follow E-Rate competitive bidding rules for the E-Rate-funded portion of the project.
For example:
Wi-Fi infrastructure
Switching and routing
Network electronics
Managed internal broadband services
Cybersecurity services (to the extent eligible under current FCC rules)
These are typically competed through the E-Rate process before a vendor is selected.
Non-E-Rate eligible items
Many projects contain components that are not discounted by E-Rate, such as:
End-user devices
Professional services outside E-Rate eligibility
Training
Certain software platforms
General IT modernization work
The school has more flexibility with these purchases and may:
Issue a separate district RFP/RFQ
Purchase under an existing cooperative contract such as PEPPM
Use another cooperative vehicle (NASPO, OMNIA, Sourcewell, etc.)
Purchase under their own procurement policies
Where it gets interesting for VeeMost
A sophisticated school project might look like this:
Component Procurement Path FundingNetwork refresh E-Rate competitive bid 70-90% E-Rate discount
Cybersecurity services E-Rate competitive bid (if eligible) E-Rate discount
Devices & non-eligible software PEPPM contract District funds
Additional professional services PEPPM or direct district contract District funds
In practice, many districts prefer to buy as much as legally possible through an established cooperative contract because it reduces procurement time and administrative burden.
Why this matters to VMST
From an investor perspective, PEPPM can be more valuable than it first appears:
E-Rate gets VMST into the conversation.
PEPPM makes the purchasing process easier.
Once VMST is working with the district, it may capture additional non-E-Rate projects that are not federally subsidized.
That means a district that initially engages VMST for a $500,000 E-Rate networking project could later purchase unrelated cloud, cybersecurity, managed services, AI, Microsoft, or infrastructure work through PEPPM, depending on the contract scope and district procurement policies.
For your VMST analysis, I'd view the sales ecosystem as:
E-Rate funding ? District Technology Need ? VeeMost SPIN participation ? Vendor Selection ? Purchase Vehicle (PEPPM or other contract) ? Additional non-E-Rate opportunities
So the core conclusion is: the E-Rate-funded work and the non-discounted work are often separate procurement buckets, and the non-discounted portion can frequently be purchased either through the district's own bid process or through a cooperative contract vehicle such as PEPPM, subject to the district's procurement rules and the specific contract scope.
many districts make purchases throughout the entire fiscal year, not just during the E-Rate bid season.
A simplified timeline looks like this:
January through spring: Schools post E-Rate requests and evaluate bids for upcoming projects.
July 1: New E-Rate funding year begins.
July through December: Approved projects are often ordered, deployed, and invoiced.
All year long: Districts still have technology needs that may be completely outside E-Rate.
Examples of purchases a district might make from VeeMost between July and December without involving E-Rate funding:
Cybersecurity assessments
Managed IT services
Microsoft licensing
Cloud migrations
AI initiatives
Staff augmentation
Data center projects
End-user devices
Professional services
General infrastructure modernization
If VeeMost has a PEPPM contract covering those offerings, a district could potentially purchase through PEPPM rather than conducting a separate full procurement process, subject to district policies and contract scope.
From your VMST-investor perspective, this is why PEPPM can be strategically important:
E-Rate season creates opportunities and relationships. PEPPM can help monetize additional needs before, during, and after the E-Rate project.
A district might:
Select VeeMost for an E-Rate-funded network upgrade.
Work with VeeMost during implementation.
Discover additional cybersecurity, cloud, or managed-services needs.
Purchase those additional services using PEPPM instead of launching a new bid.
That's one reason public-sector IT companies value cooperative contracts. They can reduce the friction between identifying a need and issuing a purchase order.
For VMST specifically, if management continues growing its E-Rate practice, the highest-value outcome may not be just the discounted E-Rate revenue itself. The bigger opportunity could be the follow-on, non-E-Rate services that schools purchase throughout the year using procurement vehicles such as PEPPM.
PEPPM
PEPPM-approved vendor for streamlined public-sector procurement. Understanding how VeeMost, being a PEPPM-approved vendor means that its products or services can be purchased through the PEPPM Technology Purchasing Cooperative, a national cooperative procurement program that serves schools, universities, libraries, state and local governments, and other public-sector agencies. This can help us to evaluate the revenue that VeeMost may accumulate during the 3rd and 4th quarter that is outside the E-Rates funded and available for us to see in E-Central.
Many districts make purchases throughout the entire fiscal year, not just during the E-Rate bid season.
A simplified timeline looks like this:
January through spring: Schools post E-Rate requests and evaluate bids for upcoming projects.
July 1: New E-Rate funding year begins.
July through December: Approved projects are often ordered, deployed, and invoiced.
Additionally, any needs for the schools can be purchased through the PEPPM public-sector procurement.
All year long: Districts still have technology needs that may be completely outside E-Rate.
Examples of purchases a district might make from VeeMost between July and December without involving E-Rate funding:
Cybersecurity assessments
Managed IT services
Microsoft licensing
Cloud migrations
AI initiatives
Staff augmentation
Data center projects
End-user devices
Professional services
General infrastructure modernization
If VeeMost has a PEPPM contract covering those offerings, a district could potentially purchase through PEPPM rather than conducting a separate full procurement process, subject to district policies and contract scope.
From your VMST-investor perspective, this is why PEPPM can be strategically important:
E-Rate season creates opportunities and relationships. PEPPM can help monetize additional needs before, during, and after the E-Rate project.
A district might:
Select VeeMost for an E-Rate-funded network upgrade.
Work with VeeMost during implementation.
Discover additional cybersecurity, cloud, or managed-services needs.
Purchase those additional services using PEPPM instead of launching a new bid.
That's one reason public-sector IT companies value cooperative contracts. They can reduce the friction between identifying a need and issuing a purchase order.
For VMST specifically, if management continues growing its E-Rate practice, the highest-value outcome may not be just the discounted E-Rate revenue itself. The bigger opportunity could be the follow-on, non-E-Rate services that schools purchase throughout the year using procurement vehicles such as PEPPM.
So PEPPM is not an E-Rate program, but it is frequently used by E-Rate applicants because it simplifies procurement.
For VeeMost (VMST), the strategic value is that the company has:
An E-Rate practice and funding expertise.
Public-sector and education customers.
Access to procurement channels such as PEPPM.
Together, those pieces can help VeeMost compete for K-12 and library projects more efficiently than if every customer had to issue its own standalone RFP.
In your VMST modeling, I would view:
E-Rate = potential source of project dollars.
PEPPM = sales acceleration/procurement channel.
SPIN (Service Provider Identification Number) = the identifier that allows the company to participate in E-Rate-funded projects.
Those three can work together on the same deal, but they are distinct parts of the process. A PEPPM contract by itself does not create E-Rate revenue, and E-Rate funding by itself does not guarantee a purchase. The customer still has to select VeeMost for the project.
E-Rate eligible items
When the FY2027 E-Rate filing window opens (for funding year beginning July 1, 2027), schools seeking E-Rate funding must follow E-Rate competitive bidding rules for the E-Rate-funded portion of the project.
For example:
Wi-Fi infrastructure
Switching and routing
Network electronics
Managed internal broadband services
Cybersecurity services (to the extent eligible under current FCC rules)
These are typically competed through the E-Rate process before a vendor is selected.
Non-E-Rate eligible items
Many projects contain components that are not discounted by E-Rate, such as:
End-user devices
Professional services outside E-Rate eligibility
Training
Certain software platforms
General IT modernization work
The school has more flexibility with these purchases and may:
Issue a separate district RFP/RFQ
Purchase under an existing cooperative contract such as PEPPM
Use another cooperative vehicle (NASPO, OMNIA, Sourcewell, etc.)
Purchase under their own procurement policies
Where it gets interesting for VeeMost
A sophisticated school project might look like this:
Component Procurement Path FundingNetwork refresh E-Rate competitive bid 70-90% E-Rate discount
Cybersecurity services E-Rate competitive bid (if eligible) E-Rate discount
Devices & non-eligible software PEPPM contract District funds
Additional professional services PEPPM or direct district contract District funds
In practice, many districts prefer to buy as much as legally possible through an established cooperative contract because it reduces procurement time and administrative burden.
Why this matters to VMST
From an investor perspective, PEPPM can be more valuable than it first appears:
E-Rate gets VMST into the conversation.
PEPPM makes the purchasing process easier.
Once VMST is working with the district, it may capture additional non-E-Rate projects that are not federally subsidized.
That means a district that initially engages VMST for a $500,000 E-Rate networking project could later purchase unrelated cloud, cybersecurity, managed services, AI, Microsoft, or infrastructure work through PEPPM, depending on the contract scope and district procurement policies.
For your VMST analysis, I'd view the sales ecosystem as:
E-Rate funding ? District Technology Need ? VeeMost SPIN participation ? Vendor Selection ? Purchase Vehicle (PEPPM or other contract) ? Additional non-E-Rate opportunities
So the core conclusion is: the E-Rate-funded work and the non-discounted work are often separate procurement buckets, and the non-discounted portion can frequently be purchased either through the district's own bid process or through a cooperative contract vehicle such as PEPPM, subject to the district's procurement rules and the specific contract scope.
many districts make purchases throughout the entire fiscal year, not just during the E-Rate bid season.
A simplified timeline looks like this:
January through spring: Schools post E-Rate requests and evaluate bids for upcoming projects.
July 1: New E-Rate funding year begins.
July through December: Approved projects are often ordered, deployed, and invoiced.
All year long: Districts still have technology needs that may be completely outside E-Rate.
Examples of purchases a district might make from VeeMost between July and December without involving E-Rate funding:
Cybersecurity assessments
Managed IT services
Microsoft licensing
Cloud migrations
AI initiatives
Staff augmentation
Data center projects
End-user devices
Professional services
General infrastructure modernization
If VeeMost has a PEPPM contract covering those offerings, a district could potentially purchase through PEPPM rather than conducting a separate full procurement process, subject to district policies and contract scope.
From your VMST-investor perspective, this is why PEPPM can be strategically important:
E-Rate season creates opportunities and relationships. PEPPM can help monetize additional needs before, during, and after the E-Rate project.
A district might:
Select VeeMost for an E-Rate-funded network upgrade.
Work with VeeMost during implementation.
Discover additional cybersecurity, cloud, or managed-services needs.
Purchase those additional services using PEPPM instead of launching a new bid.
That's one reason public-sector IT companies value cooperative contracts. They can reduce the friction between identifying a need and issuing a purchase order.
For VMST specifically, if management continues growing its E-Rate practice, the highest-value outcome may not be just the discounted E-Rate revenue itself. The bigger opportunity could be the follow-on, non-E-Rate services that schools purchase throughout the year using procurement vehicles such as PEPPM.
1
