Chambo- this is true, BUT, the marketing drives in the business and an inside sales rep team can only do so much. The resellers have the relationships with customers already and trust built to do business and any funder I have seen hire their own direct sales force or inside sales force has reverted back to ISO channels sooner or later for business. The footprint a direct sales force can cover is limited. If you add bankcard channels, brokers, referral partners, etc- much much wider base of business exists. Its really a quagmire. You want the business but have to pay to acquire the business and in turn merchants have to pay higher rates due to commissions the channels who bring you the business need to continue to market and bring you more business. You really need both channels and the funders who have that in place seem to be doing well as long as you do not have channel conflicts and keep things fair.