Information technology (IT) plays a vital role in the success of modern businesses. As consumers embrace various digital channels, companies continue to invest in IT to benefit from this trend.
Unfortunately, many businesses don’t have the necessary resources to run their own IT department. As such, they outsource related tasks, which is why the managed IT services industry has constantly grown in recent years. Experts suggest that the market could exceed USD$300 billion by 2027.
It’s worth noting that every managed service provider (MSP) has a different price tag depending on your needs. But how much should your business spend on these services? Read on to learn more.
What Are Managed IT Services?
Your business outsources these IT-related tasks to a licensed third-party provider. The provider, or the MSP, takes responsibility for maintaining and managing your company’s IT infrastructure.
What are some of the most commonly outsourced IT services?
- Cyber security services
- Managing software installation and updates
- Data backup and recovery
- Help desk support
- Network testing and monitoring
Such services from Attentus Technologies or any other reputable MSP can enhance your company’s digital operations. They can improve overall efficiency, reduce downtime, and ensure the security of your IT systems.
Managed IT services are the best solution when you don’t have the resources to hire a full-time IT team. However, they come at a cost, which may vary depending on various factors, as discussed below.
Size And Complexity Of IT Infrastructure
The more complex your IT infrastructure is, the more time and resources will be required to maintain and manage it. Your number of devices, applications, and servers may determine this complexity.
Level Of Support
How much support do you need from the MSP? Some providers, like www.sunco.ca, offer both remote and on-site support. Of course, the latter will generally cost more because of the resources and time required.
The location of your business can also affect the cost of managed IT services. Providers may charge more for companies in specific regions or zones.
Typical Pricing Models for Managed IT Services
It’s crucial to consider the pricing model when choosing your MSP. The three main options include:
- A per-device model involves paying a set fee for each device the provider manages. For instance, you’ll pay separately for servers, desktops, laptops, and mobile devices.
- A per-user pricing model requires you to pay for each user. Depending on your business, you may need to pay a subscription for email, remote desktop, and help desk support.
- A flat-rate model, on the other hand, involves paying a fixed monthly fee for all managed IT services. It’s a popular method businesses use as it doesn’t consider the number of users and devices.
MSPs use one of the three pricing methods to serve their clients. So, inquire about this information before signing a deal with any provider.
How Much Should You Pay Your MSP?
As mentioned, the cost of these services can vary widely. Your business needs may not demand much support, which could save you money, but the opposite is also true. The exact figure will also depend on the MSP you hire.
The cost can be anything between USD$200 and over USD$1000 per month. However, the majority of companies spend around USD$250. So, you can anticipate paying this amount every month.
Another option is to set aside a percentage of your monthly revenue for this subscription. Businesses spend between 3% and 5% of their revenue on outsourced IT services.
But this is a basic rule of thumb and a crude estimation. You’ll have to consider many factors before accurately identifying the company’s needs and costs.
Therefore, consulting multiple providers and getting their quotes would be a good idea. While at it, ask and answer all the relevant questions to give a clear picture of your goals. Doing so will provide you with a more accurate estimate that you can use in your future budgeting.
Generally, managed IT services are less expensive than hiring an in-house tech team. The resources you’ll need to buy and the staff’s monthly salaries could cost you thousands.
The popularity of managed IT services is rapidly growing as businesses embrace modern technology. Another factor attracting companies to this model is its lower cost compared to hiring an in-house team.
If you’re also planning to outsource your IT services, it’s crucial to understand the expected expenses. Although most businesses spend up to over USD$1000 per month, yours could be lower.
The best way to find out is to get quotes from various providers. As you consult the MSPs, provide as much information as possible to get more accurate estimates.