The Truth About the Cost of Managed IT Services

It is undeniable that today an increasing number of small businesses and larger companies rely on outsourced IT services to manage several aspects of daily operations and long-term strategies. 

With a market and workforce driven by technology, in-house IT professionals and departments are struggling to cope or keep up to date with the many sudden changes in the industry. Hence, many companies decide to invest in managed IT services

These are highly efficient, especially when a company needs to define a long-term IT strategy while completing the many daily tasks involved and providing customer assistance. However, these providers can sometimes be secretive about their pricing levels. 

And, without having a solid background in the field, it is not unlikely for companies to overpay for services. To prevent this waste of budget and eliminate cost obstacles to company growth, it’s important to understand how managed IT services work and how you can look for the best rate:

What Is the Best Managed IT Service Strategy for Your Business?

It is not unlikely for businesses to accidentally overpay for IT services that they don’t necessarily need. In some cases, these services are entirely inappropriate for the type of business conducted. They can end up weighing on the budget, especially when considering the limited resources of a small business. 

Here are the different levels of IT, which can help your business understand what its paying for and where investments can best be made:

Basic IT

Basic IT services include day-to-day tasks that allow a business to run smoothly. These include services such as continuous system monitoring, network security and patches, and infrastructure health tests.

These services aim to create a seamless problem-solving channel that can help a business function daily. This is one of the most inexpensive managed IT services you could opt for. They are ideal when accompanied by an in-house IT professional that can look after a more comprehensive long-term IT strategy for your business. 

Mid-Level IT

Mid-level IT services are more appropriate for larger organizations or businesses who need to increase their level of data security and network usability. These companies often have an increased number of employees that need to access the same network, which will need to withstand the daily use of several team members and clients. 

Aside from the tasks seen above, these services also focus on minimizing downtime and creating a long-term IT strategy that can grow along with the business. These are more appropriate for companies that wish to create scalable IT strategies that will promote company growth.

High-Level IT

Undeniably, high-level IT services are positioned on the most expensive extremity of the spectrum. However, these services leverage expert IT professionals’ knowledge and expertise with years experience in the field. These services are more appropriate for companies with a number of employees equal to or higher than 20.

Included in the price, you will have complete IT coverage and the services offered by the other two types of MSPs. Some of the services included in high-level IT include:

  • Total technical management 
  • Cybersecurity 
  • IT consulting
  • Project management services
  • Customized IT solutions and strategies for your business

These services are often offered on a monthly subscription basis and can be a worthwhile investment for companies who want to save money on in-house teams and outsource most IT tasks to a third party. This can also be beneficial for companies who have project management needs that need to be outsourced.

MSPs: Average Prices and Hidden Costs

High-level MSPs are all likely to offer a similar pricing base as each other. High-level MSPs offer their services generally for an average monthly price of $100 to $150, depending on the business’s scope. If you wish to implement the services offered with consulting or cybersecurity systems, you might be looking at a higher price range, often ranging from $200 to $250 (per user).

Ultimately, your IT services’ price will vary depending on how many users your company is providing such services for. For example, a business with ten employees will spend between $1000 and $2500 per month. Of course, the price also depends on what types of services you are paying for—likely the more advanced your services are, the more you’ll spend. 

While basic IT services are generally somewhat less expensive than high-level IT, it’s important to consider your business needs and understand how high-level IT can be more of an investment. With continual strategy and total infrastructure management, your company is likely able to better deal with challenges such as scaling, whereas with basic IT services, you may end up shelling out much more money to revamp your infrastructure as you grow.

As you consider your own business operations and how these different types of managed IT services compare to each other, you can make the wisest decision for your IT needs and budget. Ultimately, managed IT services can be a great investment—it’s just about knowing what’s best for your company.