debt_leverage_profile
0.05x Total Debt / Equity (Conservative)
High
SEC-XBRL
interest_rate_sensitivity
TSS Inc. is a low-leverage IT services firm; a 200bps rate rise likely adds ~$1-2M annual interest expense, modest EPS impact of <5%
Inferred
Agent_Inference
geopolitical_supply_exposure
Medium intensity; US-China trade tariffs on metals and components disrupt supply chains.
Medium
GICS-commodity-overlay-v1
supply_chain_dependency
Taiwan semiconductor supply (hardware components) and Chinese electronics manufacturing concentration are top two chokepoints
Inferred
Agent_Inference
international_expansion_readiness
TSS primarily US-domestic; limited sovereign currency devaluation exposure with international revenue estimated below 10% of total
Inferred
Agent_Inference
geographic_footprint
Predominantly US-based operations; top international markets (Canada, UK, select LATAM) represent minimal FX devaluation risk given small share
Inferred
Agent_Inference
commodity_exposure_profile
Medium intensity; commodities: Steel, Aluminum, Copper, Crude Oil (fuel), Rare Earth Elements, Plastics/Resins; geopolitical: US-China trade tariffs on metals and components disrupt supply chains.
Medium
GICS-commodity-overlay-v1
vendor_lock_dependency_score
Cisco, Dell, and HP hardware likely represent combined >50% of product input cost; Cisco alone may exceed 30% — high substitution friction
Inferred
Agent_Inference
business_model_type_primary
TSS provides IT infrastructure/managed services; cloud dependency moderate — service delivery could migrate to alternate providers within 60-90 days
Inferred
Agent_Inference
business_model_type_secondary
Secondary model is product resale (VAR); cloud termination has minimal impact on hardware resale and on-premise deployment services
Inferred
Agent_Inference
switching_cost_profile
Moderate API coupling risk; proprietary ticketing and monitoring integrations create stickiness but are not irreplaceable — 3-6 month migration effort
Inferred
Agent_Inference
howey_test_risk_index
Revenue model is fee-for-service IT managed services and product resale; fails Howey Test — no investment contract or profit-from-others'-efforts element
Inferred
Agent_Inference
regulatory_burden_tier
Medium
Medium
GICS-regulatory-overlay-v1
data_sovereignty_risk
Handles client IT infrastructure data; GDPR exposure low given US focus; CCPA compliance required for California enterprise clients — moderate operational risk
Inferred
Agent_Inference
antitrust_exposure_flag
Low antitrust exposure; TSS operates in fragmented IT services/VAR market with Cisco, Dell, CDW, and hundreds of regional competitors
Inferred
Agent_Inference
regulatory_exposure_profile
Medium burden; regimes: FAA, DOT, OSHA, EPA, ITAR, FTC; Export controls and defense procurement rules create contract concentration risk.
Medium
GICS-regulatory-overlay-v1
revenue_model_type
Estimated 40-55% recurring (managed services contracts, retainers); 45-60% transactional (project-based, hardware resale) based on typical mid-market MSP mix
Inferred
Agent_Inference
monetization_vector
Dual vector: managed services monthly recurring revenue plus hardware/software resale margins; services mix shift is ongoing strategic priority
Inferred
Agent_Inference
pricing_architecture
Cost-plus hardware resale margins compressed by distributor competition; managed services pricing holds better but faces downward pressure from offshore MSPs
Inferred
Agent_Inference
pricing_power_rating
Moderate — 3/5; switching costs provide some protection but commoditized hardware resale limits overall pricing leverage; managed services stronger at ~4/5
Inferred
Agent_Inference
target_gross_margin_bracket
13.2% Gross Margin (Thin (<20%))
High
SEC-XBRL
churn_vulnerability_index
Limited free-rider risk; services require active contractual engagement — churn driven by budget cuts or competitive bids, estimated annual churn 10-18%
Inferred
Agent_Inference
headcount_cost_structure
Revenue growth is moderately headcount-linear; doubling revenue likely requires ~60-70% headcount increase — technician and field service roles scale with contracts
Inferred
Agent_Inference
marginal_cost_of_growth
Marginal cost of growth is meaningful; each new managed services contract requires dedicated technical staff — not a software-like leverage model
Inferred
Agent_Inference
franchise_compliance_risk
TSS is not a franchise operator; token not applicable in traditional sense — however, VAR channel partner compliance with vendor certifications is a relevant analog
Inferred
Agent_Inference
customer_acquisition_metric
At 10x scale, CAC likely rises as addressable mid-market clients saturate; current estimated CAC $15K-$40K per enterprise client with 18-24 month payback
Inferred
Agent_Inference
network_effect_present
No meaningful network effects; IT managed services value does not increase with more customers — competitive moat is relational and technical, not network-based
Inferred
Agent_Inference
asset_efficiency_ratio
4.1% Return on Assets (Excellent)
High
SEC-XBRL
recession_resistance_tier
Tier 2 — moderate resilience; essential IT infrastructure maintenance is sticky but capital project and hardware refresh spending deferred in downturns
Inferred
Agent_Inference
customer_segment_primary
Mid-market and enterprise commercial businesses (50-2,000 employees) seeking outsourced IT infrastructure management — likely top 10 clients represent 30-45% of revenue
Inferred
Agent_Inference
customer_segment_secondary
Government and public sector clients (federal, state, local) — provide revenue stability but carry procurement complexity and margin compression risk
Inferred
Agent_Inference
characteristic_occupations
["11-0000 Management Occupations", "13-0000 Business and Financial Operations Occupations", "15-0000 Computer and Mathematical Occupations", "17-0000 Architecture and Engineering Occupations", "23-0000 Legal Occupations", "33-0000 Protective Service Occupations", "37-0000 Building and Grounds Cleaning and Maintenance Occupations", "41-0000 Sales and Related Occupations", "43-0000 Office and Administrative Support Occupations", "47-0000 Construction and Extraction Occupations", "49-0000 Installation, Maintenance, and Repair Occupations", "51-0000 Production Occupations", "53-0000 Transportation and Material Moving Occupations"]
High
SOC-2018/GICS-overlay
agent_automatable_labor_share
0.3 (HIL — ~30% of characteristic roles agent-automatable)
Medium
SOC-2018 + agentic-exposure-v1
capital_expenditure_profile
0.1% CapEx / Revenue (Low-CapEx Asset-Light)
High
SEC-XBRL
sec_cik
0001320760
High
SEC-EDGAR
ticker
TSSI
High
SEC-EDGAR