Confidential Prepared May 2026 DBM Group · NSW
A complete partnership package for ARC

A partnership built
for the next decade
of Australian reo.

Two revenue streams to ARC. Zero overlap. A national reseller channel DBM has spent six years building, plus a customer technology that surfaces processing demand the rest of the market cannot see. We start with how DBM actually works, then the partnership proposal, then a link to the live operational dashboard.

Prepared for
Rody Stroop
Regional Manager NSW, ARC
From
Charlie Daoud
Director, Discount Building Material
Reference
DBM-ARC-2026-001
Strategic Partnership
Inside this document

Two parts. Both included.

Part One 5 min read
Understanding DBM

How the business works, who's in the group, and the DBM Supplies clarification.

Part Two 15 min read
The Partnership Proposal

Two revenue streams, the Barxact centerpiece, the channel framework, and the partnership terms.

01 · The simplest version

DBM in three lines.

If you only read one thing on this page, read this. Everything else just unpacks these three statements.

What DBM is
01
DBM is a wholesale-only building materials distributor. We sell to trade resellers. We never sell to end users.
02
DBM is technology-driven. Every order is placed through our Partner Portal. No phone calls. No emails. No fax.
03
DBM is multi-manufacturer. We distribute on behalf of CSR, Boral, FTI, Styrofoam Industries, PGH and others, all through the same channel.
02 · How orders actually happen

An order, end to end.

Every order at DBM follows the same five steps. No exceptions, no workarounds, no manual interventions. This is the operating system.

1
Reseller logs in
A registered trade reseller signs into the DBM Partner Portal from any device
2
Order placed
Order built in the portal with full BOM, delivery address, and PO reference
3
Routes to supplier
Order flows straight through to the manufacturer's dispatch system
4
Supplier dispatches
Drop-shipped to reseller or end-site, or picked up from supplier yard
5
Invoicing settles
Supplier invoices DBM. DBM invoices reseller. Volume reports flow live
What's not in the process:
✕ Phone calls ✕ Emails ✕ Fax ✕ SMS ✕ Manual re-keying ✕ Lost orders
03 · The DBM Group

The entities, and who owns what.

DBM Group has two operating entities under common ownership: the wholesale distributor and the scheduling technology business. DBM Supplies is a separate retail business that is a customer of DBM, not part of the group. The full background on the DBM Supplies relationship is in the next section.

DBM Group · Common Ownership
Primary entity for ARC
Discount Building Material
The wholesale-only distributor. This is the entity that would hold the ARC account, purchase stock, and distribute through the reseller channel via the DBM Partner Portal.
Technology
Barxact
Sister scheduling business with its own in-house engine and IP. Routes processing schedules to elected manufacturer suppliers, and can absorb overflow scheduling work when needed.
Outside the group
DBM Supplies
A separate retail business that pre-dates DBM. Today DBM Supplies is a customer of DBM, purchasing wholesale stock on the same terms as any other reseller. Operations are separate. The shared name traces back to the original retail business that came before the wholesale model was set up. Full background in the next section.
04 · The DBM Supplies question

DBM Supplies is not part of DBM Group.

This is the question we get asked the most. The two businesses share a name for a reason that goes back to how DBM started. Here is the short version.

The short version

DBM Supplies came first. It was set up as a retail building supplies business in NSW, and ran that way for years. When the time came to build something at scale, it became clear that a retail counter operation could not run on a portal-driven, drop-ship, wholesale-only model. The two models are structurally incompatible.

So Discount Building Material was set up as a separate entity from the ground up. Wholesale only. Portal driven. No retail counter, no walk-in trade. DBM Supplies continued under its own operations as a retail business and today buys stock from DBM on the same wholesale terms as any other reseller. Different model, different operations, different customers.

This proposal is from
Discount Building Material

The wholesale-only distributor. The entity that would hold the ARC account, purchase stock, distribute through the reseller channel, and run the Partner Portal.

  • DirectorCharlie Daoud
  • Founded2020 (wholesale launch)
  • Business modelWholesale only
  • CustomersTrade resellers
  • OperationsPortal-driven, drop-ship
  • In scopeThis proposal
The original business
DBM Supplies

A retail building supplies business in NSW. The original DBM business, pre-dating the wholesale model. Continues under separate operations as a retail counter and trade outlet.

  • OperationsRun by Taran's team
  • FoundedPre-DBM (retail)
  • Business modelRetail
  • CustomersTrade & consumer walk-in
  • RelationshipCustomer of DBM
  • In scopeNot part of this proposal
05 · Why tech-first matters

Why we operate this way.

Phone-and-email distribution still works. It just doesn't scale, doesn't audit, and doesn't surface data the manufacturer can act on. Three reasons we built it differently from day one.

01.
Speed
An order placed in the Partner Portal is in the supplier's dispatch system within minutes. Reseller waiting on hold for a quote is the failure mode we eliminated.
02.
Accuracy
No phone-tag, no transcription errors, no missing line items. Every order has a full audit trail from creation to dispatch to invoice.
03.
Visibility
Suppliers see live volume, mix, and geographic breakdown the same as we do. No monthly PDF reports, no quarterly data lag. Reporting is the operating system itself.
2020
Founded
Built portal-first from day one. Not retrofitted onto a phone-and-fax business.
CSR ITI
Approved distributor
CSR Industry Trade Initiative approved for AFS Rediwall, Hebel, and PGH Bricks.
HBT
Accredited
Hardware & Building Traders Group accredited supplier with national member reach.
R&D
Tax incentive recognised
Partner Portal recognised under the Australian R&D Tax Incentive scheme.
End of Part One · Part Two begins

Now that you understand DBM, here's the partnership idea.

Part One was about the business. Part Two is about how DBM and ARC could work together. Two revenue streams to ARC. Zero overlap. A national reseller channel ready to be plugged in, and a customer-technology layer that surfaces processing demand the rest of the market cannot see.

06 · The Moment

Why this conversation, and why now.

Two structural shifts are happening in Australian reo at the same time, and they point in the same direction.

A.
Customer experience has overtaken price.

The trade reseller channel and the customers it serves now expect ordering, scheduling, dispatch tracking, and invoicing the way they get it from every other category. Manual phone-and-fax workflows are losing volume across the supply chain, even when prices are competitive. The manufacturers and distributors who move first on customer experience earn the long-term margin.

B.
Scheduling capacity is the new bottleneck.

Every major reo manufacturer is full on bar and mesh, but constrained on cut-and-bend processing, scheduling lead time, and operator availability. Demand that arrives pre-scheduled, pre-quantified and pre-routed is worth materially more than demand that needs to be worked up from a drawing.

The thesis

DBM has spent six years building the customer-experience layer the industry now needs. Barxact, our scheduling product, surfaces processing demand at the moment it becomes orderable. Together, that combination is more valuable to a manufacturer than either piece on its own. ARC is the right manufacturer to partner with first.

07 · The Proposal

Two revenue streams to ARC.
Zero overlap.

DBM brings two distinct, structurally separate streams of demand to ARC. Each runs through its own commercial mechanic. Neither cannibalises the other. Both grow together.

Stream 01
Wholesale Stock

DBM purchases mesh, trench mesh, reinforcing bar, and accessories from ARC at wholesale terms. Stock flows out through the DBM Partner Portal to a national reseller network: hardware yards, independent building suppliers, pool & landscape suppliers, HBT members.

Mechanic ARC invoices DBM. DBM invoices reseller. Volume settles to ARC monthly.
Stream 02
Barxact: routing & overflow capacity

Two ways Barxact creates volume for ARC. Every processing schedule that flows through Barxact, with the end customer's authorisation, is routed to ARC for direct quotation and supply. Separately, when ARC's in-house scheduling team is at capacity, Barxact can absorb the overflow as flex extension of ARC's own team.

Mechanic Routed schedules: ARC quotes and supplies the end customer direct, zero referral fee. Overflow scheduling: ARC pays Barxact for the scheduling work, customer never sees the handoff.
3
Structural commitments
Anti-competition framework, no processing, channel-only positioning
$500K+
Sydney baseline
Monthly run-rate currently split across multiple reo suppliers
National
Channel reach
HBT accredited, with interstate reseller pipeline ready
CSR ITI
Precedent
Approved multi-product distributor for AFS, Hebel, PGH Bricks
08 · Where DBM sits

DBM is the channel layer between manufacturers and trade resellers.

Two flows enter ARC from the DBM ecosystem. One is wholesale stock that DBM purchases and resells through its reseller channel. The other is end-user processing demand surfaced by Barxact and routed straight to ARC.

Manufacturers
ARC
Reinforcement & processing
Boral · CSR · Styrofoam
FTI Group · PGH
→ Wholesale stock
DBM Partner Portal
Discount Building Material
Wholesale only Drop-ship Multi-supplier
Distribution →
Reseller Channel
Trade Resellers
Hardware yards, independent suppliers, HBT members, pool & landscape
End sites & projects
Stream 02 · Separate lane
Barxact end-user schedules route directly to ARC

End customer enters their schedule into Barxact. Customer elects ARC as supplier. ARC receives the schedule, quotes, and supplies the end customer direct. DBM never touches the transaction. This is structurally not the wholesale lane.

09 · Barxact
The piece nobody else has

A scheduling product that turns drawings into pre-quantified orders.

Barxact is DBM Group's in-house reinforcement scheduling product. It's a sister business to DBM with its own customer base, its own engine, and its own IP. For ARC, what matters is the routing mechanic: every schedule processed through Barxact can be elected by the end customer to flow straight to ARC for quotation and supply.

Today · Industry standard
Drawings to phone calls to estimates to errors
  • ×Customer sends drawings, fax or PDF
  • ×Estimator manually quantifies bar & mesh from plans
  • ×2 to 5 days to produce a schedule and quote
  • ×Errors caught only after bar is bent
  • ×Customer waits, supplier guesses, margin leaks
With Barxact
Drawings to a routed schedule in hours
  • ✓Customer uploads drawings into Barxact
  • ✓Schedule is generated to standard with full BOM
  • ✓Customer elects ARC as the preferred supplier
  • ✓ARC receives the pre-quantified schedule, ready to quote
  • ✓Faster turnaround, fewer errors, locked customer
A look inside the product
How a schedule flows from Barxact to ARC
barxact.com.au/schedules/SCH-04891
Schedule
Bend list
Materials
Routing
Mark
Type
Length
Qty
Total kg
A1
N12 @ 200
5800
48
247.0
A2
N16 @ 150
6200
36
352.2
B1
N20 stirrup
1800
72
319.7
SL92
Mesh 6.0×2.4
n/a
14
386.4
Schedule total
1,305.3 kg
Schedule generated and quantified inside Barxact
barxact.com.au/schedules/SCH-04891/route
Customer-elected supplier
●
ARC Reinforcing
Selected
○
Other supplier
Available
○
Other supplier
Available
→ Route schedule to ARC
Customer authorises Barxact to forward the full schedule, drawings, and contact details to ARC for quotation and direct supply.
Customer elects ARC as supplier. Schedule is routed. ARC takes it from there.
barxact.com.au/partners/arc/incoming
ARC Partner View
Incoming schedules · routed to ARC
12 new this week · 47 in the last 30 days
Ref
Project
Customer
Items
Weight
Status
SCH-04891
Slab pour · West Hoxton
Concretor (NSW)
23
1,305 kg
New
SCH-04887
Pool surround · Cronulla
Pool contractor (NSW)
8
432 kg
Quoted
SCH-04883
Footings · Penrith
Civil contractor (NSW)
14
892 kg
Supplied
SCH-04878
Driveway · Wetherill Park
Concretor (NSW)
11
567 kg
Supplied
ARC's view of all schedules routed through Barxact. Direct contact with each end customer.
There is also a second way Barxact helps ARC
Overflow scheduling capacity
When ARC's in-house scheduling team is at capacity, Barxact can absorb the load.

Scheduling capacity has become the bottleneck across the industry. When ARC's internal scheduling team hits its throughput ceiling, lead times push out, customers wait, and the bottleneck becomes commercial. Barxact's in-house scheduling team can operate as flex capacity for ARC. Drawings come in to Barxact, schedules go out to ARC's processing operation, ready to bend. Same in-house engine, same standards, working as an extension of ARC's own team.

→
Same engine, same standards. Barxact's scheduling engine is the IP that runs Barxact. ARC's processing team picks up where the schedule ends.
→
Flex, not fixed cost. ARC taps it only when needed. No headcount obligation, no capacity sitting idle.
→
No customer-facing change. The ARC customer experience stays intact. The work happens upstream, invisible to the buyer.
01
ARC receives the job
Customer sends drawings to ARC as usual
↓
02
In-house team at capacity
Internal queue full or lead time too long
↓
03
Barxact takes the overflow
Drawings to schedule, turnaround in hours
↓
04
Schedule lands at ARC
Ready for processing, no customer touch needed
→
Strategic implication for ARC
A demand pipeline competitors cannot see and cannot bid for.

Schedules routed through Barxact never enter the open quote market. They land in ARC's inbox already quantified, with the end customer's authorisation, and with no friction at the front end. The end customer experience improves, the ARC sales cycle compresses, and the competition simply doesn't see the demand.

10 · The commitment

A channel.
Not a competitor.

The historical concern with any new distribution partner is channel conflict. DBM is built so that concern does not apply. Three structural commitments make it real, not rhetorical.

Anti-competition framework
01DBM pursues only non-ARC customers in the reseller channel
02If an existing ARC customer is satisfied, DBM backs off
03If a customer requests transition, we surface it to Rody and the decision sits with ARC
DBM does not process. Permanent.

No cut-and-bend equipment. No scheduling team. No capital allocated to processing infrastructure. DBM is structurally a stock-and-channel business. Every processing lead goes to ARC. There is no scenario where DBM becomes a processing competitor because the business is not set up to.

DBM Supplies clarification

DBM Supplies is a customer of DBM, not part of DBM Group. It buys ARC stock through the wholesale account on the same terms as any other reseller. It is a separate retail business with its own operations. The full background is covered in the DBM Supplies section earlier in this document.

11 · The value to ARC

Six things ARC gets from this partnership.

01
A national reseller channel, ready

DBM has built the channel over six years. HBT accredited, interstate pipeline in place, established reseller relationships across NSW. ARC doesn't fund channel-building. ARC plugs in.

02
A processing demand pipeline only ARC sees

Barxact-routed schedules don't appear on the open market. They land in ARC's inbox, pre-quantified, customer-authorised, end-customer ready to transact direct with ARC.

03
A starting volume base

$500K+ monthly across mesh, trench mesh, and bar in NSW alone, currently spread across multiple suppliers. The volume exists today. The question is which manufacturer it consolidates to.

04
A reciprocal AFS Rediwall position

DBM holds exclusive AFS Rediwall distribution. Preferred pricing and prioritised supply can be extended to ARC's customer base as part of the partnership. Two-way value, not one-way ask.

05
A technology surface ARC can use

The DBM × ARC Insights Dashboard tracks both streams live. ARC's account managers see volume, plant breakdowns, service metrics, and pipeline at any time. Reporting is co-designed, not imposed.

06
A partner that thinks long-term

DBM is owner-operated, debt-managed, and built to compound across decades. We're not optimising for a quarterly bonus. We're optimising for an arrangement that still makes sense ten years from now.

12 · The reporting surface

The dashboard ARC has access to.

This is not a one-off slide deck. It is a live operational surface that ARC's account team logs into whenever they want a current view of the partnership. Both streams. All plants. Every reseller. Service metrics, pipeline, geography. The preview below is built on sample data. The structure stays the same, the figures go live the moment we start trading. Click through to explore it.

DBM × ARC Insights
Overview Wholesale Stream Barxact Stream
April 2026 ▾
Sample
Sample structure. Figures shown are illustrative of partnership at maturity. Live reporting fields will be configured with ARC during onboarding.
Wholesale Spend
$487K
Stream 01 · MTD
Barxact Processing
$284K
Stream 02 · MTD
Combined to ARC
$771K
From DBM ecosystem · MTD
Active Resellers
47
Sourcing ARC through DBM
Combined Monthly Revenue to ARC
Both streams, last 12 months
Trend
Open the live dashboard
The same surface ARC's account team logs into.
Overview · Wholesale Stream · Barxact Stream
13 · Where pushback usually lands

The concerns we expect. And the answers.

Any new distribution arrangement carries the same set of questions. Here's how DBM has thought through each one.

01. Will DBM resell ARC stock at undercutting prices and erode our pricing power?

No. DBM publishes wholesale pricelists to its reseller network with margin floors aligned to ARC's reseller pricing structure. We are not in the business of compressing manufacturer margins. We are in the business of moving volume through a digital reseller channel. The model only works if ARC pricing integrity holds. We will sign explicit pricing guardrails as part of the agreement.

02. What stops DBM from one day standing up processing and competing with ARC directly?

The business model. DBM has no cut-and-bend equipment, no scheduling team, no capital budgeted for processing infrastructure, and no intention of building any. Barxact is a separate sister business with its own scheduling engine. It produces and routes schedules, and can take on overflow scheduling work, but it does not process. No cut-and-bend, no bar mill. The processing always sits with the manufacturer. The structural separation is real, and we will document it in the partnership agreement.

03. What happens to ARC's existing customers if they appear in the DBM reseller network?

The anti-competition framework handles this. (1) DBM pursues only non-ARC customers at the outset, calibrated against an ARC-supplied customer list. (2) If an existing ARC customer is being well-served, DBM backs off. (3) If a customer explicitly requests transition to DBM as their channel, we surface that to Rody and the call sits with ARC. We are not interested in poaching ARC's customers. We are interested in extending ARC's reach to customers ARC isn't currently serving.

04. Why should ARC trust the Barxact routing mechanic to actually deliver leads?

Two reasons. First, Barxact is already routing schedules in NSW today. The pipeline is real and the volume is growing. Second, the routing is end-customer-elected, not forced. Customers genuinely prefer dealing with a known manufacturer like ARC. The 90%+ ARC election rate in current data isn't engineering, it's preference. We can demonstrate this live during a working session.

05. What are the credit terms? How does ARC manage exposure to DBM?

Standard manufacturer-distributor terms. We propose 30-day terms with full Atradius credit insurance coverage. DBM has working capital facilities in place and a credit risk policy with conservative exposure caps. ARC's credit team can run their own assessment. Stream 02 (Barxact routing) carries no DBM exposure at all since ARC transacts direct with the end customer.

06. How is this different from any other wholesale distributor pitch?

Two structural differences. First, DBM is portal-first and wholesale-only by design, with a six-year track record of CSR ITI approved multi-product distribution. Second, Barxact attaches a customer technology to the wholesale relationship that no other reo distributor has. The combination of those two is unique to DBM. We are not asking ARC to take a leap of faith. The CSR precedent and the Barxact pipeline both already exist.

14 · Year one

A realistic twelve-month trajectory.

No grand promises. Just a phased rollout that builds confidence on both sides before scale.

1
Months 1 - 3
Foundation & integration
  • Sign partnership agreement & anti-competition framework
  • ARC stock loaded into DBM Partner Portal pricelists
  • Barxact routing live for ARC, with operations team trained
  • First tier of resellers onboarded (DBM Supplies, Westwood, HBT NSW)
  • Insights Dashboard configured with ARC reporting requirements
  • First quarterly review & calibration with Rody
2
Months 4 - 6
NSW ramp to baseline
  • Wholesale stream reaches Sydney baseline run-rate ($500K+ MTD)
  • Second tier of resellers onboarded across Hunter, Central Coast, Illawarra
  • Barxact pipeline doubles vs. month 1 baseline
  • Service metrics dashboard live for ARC account managers
  • Joint review of pricing tiers and any pressure points
3
Months 7 - 12
Interstate expansion
  • VIC pilot launches through HBT Member Group (VIC) and selected resellers
  • QLD pilot launches via existing HBT relationships
  • Combined run-rate to ARC reaches $1M+ MTD across both streams
  • Service metrics baseline established for renewal discussions
  • End-of-year review & planning for Year Two
15 · The partnership

The shape of the agreement.

An indicative term sheet to anchor the conversation. Everything below is negotiable. We assume neither side wants to lock things down before the partnership has been tested.

Initial term
12 months
With clean exit clauses for either side
Renewal
Automatic, annual
Subject to a 60-day prior notice window
Pricing
Wholesale tiered
By volume band, with quarterly rebate consideration
Credit
30 days · Atradius insured
Stream 02 carries zero DBM exposure
Logistics
Direct dispatch
ARC ships full loads into reseller stores. Drop-ship for larger jobs
Reporting
Live dashboard + monthly
Co-designed reporting fields with ARC account team
Anti-competition
Documented framework
The three-step protocol signed into the agreement
Exclusivity
None initially
Both sides earn into deeper commitments via performance
Precedent

The CSR Industry Trade Initiative agreement for AFS Rediwall, Hebel and PGH Bricks is the direct precedent. The structure works. The relationship is healthy. The ARC partnership can mirror it.

16 · How we move forward

What we're actually asking for now.

This proposal is not asking ARC to commit to anything. It is asking for a working session. The substantive decisions sit downstream of that conversation.

What we are NOT asking for
  • Signed agreement
  • Volume commitments
  • Pricing concessions
  • Exclusivity
  • Anything contractual at all
What we ARE asking for
  • A 60-minute working session with Rody & relevant ARC stakeholders
  • An opportunity to demo Barxact live, showing real schedules in motion
  • A look at ARC's existing reseller pricing tiers to confirm there's a workable model
  • Honest pushback on anything in this proposal that doesn't sit right
  • If there is a yes, alignment on a 12-month pilot starting at the next quarter
Suggested working session
Charlie Daoud + Jason Rutherford + Rody Stroop
Either at ARC's offices, DBM's office in Maryland, or somewhere neutral. Whatever Rody prefers.
Reach out to Jason or Charlie to set a time
17 · Closing

A note from Charlie.

Rody,

The first time DBM and ARC sat down to talk, the business model was mid-transition. The wholesale-versus-retail line wasn't as clean as it should have been. The pitch was probably too early. Fair conclusion from your end.

What's different now is that DBM is structurally wholesale. The retail business is run separately. Barxact is live and routing schedules every week. The CSR ITI relationship is real and working. The anti-competition framework I've outlined isn't aspirational. I'll sign it.

I've spent six years building the customer-experience layer the industry is now moving toward. That work was hard, expensive, and most of it is invisible. The opportunity in front of us is to put that layer to work for ARC at a moment when scheduling capacity has become the bottleneck and customer-experience has become the differentiator.

If the answer is yes, we get this done properly the first time and we build it for the long run. If the answer is no, I would like to know why, in detail, so I can either fix the thing that needs fixing or move on with the right understanding.

Either way, thank you for the time. We're ready when you are.

Charlie Daoud
Director, Discount Building Material
DBM Group · NSW, Australia