Forum Discussion
Transitioning from Direct Bill to Indirect Reseller
I am sharing our experience regarding transition from DB to IR started 4 months ago to understand the better approach to manage our partner centers in the future. We started transitioning from Direct Bill to Indirect Reseller in November 2025.
We currently have:
one PGA with two different associated CSP PLAs: Direct Bill PLA and Indirect Reseller PLA.
We operate with two different Partner Centers:
"first" PC used for the PGA and the Direct Bill PLA
"second" used for the Indirect Reseller PLA
At the moment, everything is working correctly, as we are actively transferring customers from the Direct Bill model to the Indirect Reseller model, Incentives for the Indirect Reseller (PLA IR) are being received correctly, designations are managed under the PGA tenant, ecc.
Regarding TTM, we exceed the 1M‑dollar requirement, but only at the PGA level, as it currently includes both DB and IR revenue. Do you know whether Microsoft requires the 1M‑dollar threshold to be met at the PGA level by combining DB and IR revenue, or if only DB revenue counts for maintaining Direct Bill status?
Our other question concerns the end of the customers migration, considering that the Direct Bill PLA will eventually become restricted or revoked.
Whether it is recommended to continue using two separate Partner Centers, first for Membership, Incentives, Designations, Earnings, and overall partner management and the second exclusively for CSP Tier-2 customer management.
Or whether you suggest alternative or better scenarios for managing the Partner Center structure once the transition is fully completed.
Tks for feedback and information.
Fabrizio
Hello fvalieri
The direct bill revenue requirement is calculated by evaluating DB revenue. Indirect reseller revenue would count towards a Indirect Reseller authorization requirement.
I highly recommend the TP&D team to assist you in your transition from DB to reseller. They will be able to evaluate your specific situation and provide tailored advice based upon your specific needs.
4 Replies
- JenRheault
Microsoft
Hello fvalieri
The direct bill revenue requirement is calculated by evaluating DB revenue. Indirect reseller revenue would count towards a Indirect Reseller authorization requirement.
I highly recommend the TP&D team to assist you in your transition from DB to reseller. They will be able to evaluate your specific situation and provide tailored advice based upon your specific needs.
- RobertHemsleyBrass Contributor
Hi fvalieri
Microsoft's wording regard the 1M threshold is as follows
Regarding your second question, if I've understood it correctly and if you are transitioning away from DR and into IR you would be better off consolidating into a single partner center once DR retired.
Why:
- Simplifies operations and governance
- Avoids fragmentation of incentives and reporting
- Reduces admin overhead and identity complexit
- JillArmourMicrosoft
Community Manager
Thank you RobertHemsley for your input! I am still trying to find someone internally to speak to this for us as well. 🤩
- JillArmourMicrosoft
Community Manager
fvalieri I'm tagging a few superusers for their recommendations and also an internal source to help with questions.
MartijnElfers RobertHemsley Nick_Beacroft nick_Anag