The company, founded by serial entrepreneur Steve Papermaster, will have several arms. It starts with custom software development of applications designed to be hosted, either on BSG’s own server or at another site of the customer’s choice. And it will provide high-end consulting to clients seeking to take advantage of the on-demand model, whether for hosting their own applications, or those who in turn wish to market their processes to external clients.

The new incarnation of BSG appears to be picking up where the old one left off a decade earlier. In the early 90s, the original BSG was a PowerBuilder-based consulting firm that performed custom development of then-new client/server technology, which then dabbled in intranet development when the web emerged around 1995. The new firm’s offerings will emphasize web 2.0 Ajax-style rich clients that recall that fat clients of old.

And just as the first BSG also offered consulting services on the business aspects of client/server and early Intranet development, the new one will do same for companies seeking to adapt their business practices to the on demand environment.

The $150m company was then sold to Per-Se Technologies (now part of McKesson Corp) for $350m in 1996. Papermaster, the former CEO, recently bought the BSG name back from McKesson, from which he started the new venture.

With $20m funding behind it, the 35-person new incarnation of BSG expects to double or tripe staffing over the rest of the year.