The average first-year cost of running a small business is somewhere between $30,000 and $40,000. As your company grows, you should expect to budget much more for your operating expenses.

This is especially true when it comes to IT costs. Working with managed IT service providers (MSPs) can help you better handle your company’s expansion, and it’s important to understand how.

Let’s explore the key information you should keep in mind.

Fewer Hardware Requirements

One of the most notable benefits of working with a managed service provider is a reduction in computer hardware requirements for your company.

Many MSPs offer cloud-based services, which means you can get away with minimizing the number of storage devices, servers, etc. on your site. Your provider will also handle maintenance and updates for the hardware you use so that you don’t have to allocate time and money towards doing so.

This is something that small businesses can greatly benefit from, as they often don’t have the capital to purchase and manage hardware.

Minimizing Data Breaches

The average data breach costs over $4 million. This number can climb even higher depending on the situation. Larger companies often experience greater financial damages due to the amount of data involved.

Many MSPs have service-level agreements that can help you recuperate the costs associated with a data breach. This can often mean the difference between whether or not you can handle a scenario like this in the future.

It’s worth noting that the security measures MSPs implement can also prevent data breaches. They have robust data protection measures in place that many businesses don’t have the resources to implement.

Lower Overhead Costs

Working with an MSP can help you reduce more than just hardware costs. You can also lower expenses related to technology you would otherwise purchase.

For example, your MSP has access to high-quality software that your business can take advantage of through your subscription to their service. This comes with an additional benefit, as well. As new technology develops, your MSP will take advantage of applications that can help improve their level of service.

These are often expensive, and your MSP will be the one to purchase them. In many cases, this can save your business thousands of dollars.

Accurate Budget Forecasts

A reputable MSP will take an inventory of your current IT infrastructure.

They will help you determine your future requirements and establish a plan to help you satisfy them. From there, you will have a much more accurate understanding of your expected costs.

This will allow you to create a comprehensive budget and avoid financial surprises in the future. Keep this in mind when moving forward so you can take full advantage of it.

Improved Employee Productivity

One of the biggest killers of employee productivity is having your workers perform mundane tasks. A managed service provider will handle many of your company’s low-skill responsibilities so your employees don’t have to. They can then devote their time and attention to issues that need their expertise.

Large companies tend to benefit the most from this. To clarify, let’s assume that a business has 1,000 employees. Many of them spend a large portion of their weekly work hours handling responsibilities that an MSP could take care of.

With the right managed service provider, hundreds of workers would become more productive in the future. This could have a substantial impact on the company’s overall performance.

Minimal Downtime

Even a short period of downtime can cost businesses a significant amount of money. It’s always in your best interest to avoid this scenario at all costs.

As previously mentioned, managed service providers have a strong security architecture and provide service-level agreements. This allows them to maximize uptime for your company. They can also stop issues from developing before they affect your business.

Without the right MSP, you’ll have to manage these issues on your own. This is something that can be difficult or impossible for many companies.

Finding Managed IT Service Providers

It’s easier than you might think to find the right managed service provider. Search for one that has a strong presence in the industry and plenty of positive feedback.

Checking customer testimonials is a great way to gain insight into the results you can expect from the MSP. You should also consider what type of businesses they often work with. If you run a small company, for example, it’s in your best interest to work with an MSP that focuses on small businesses.

Take a look at their billing structure so that you don’t run into unexpected costs. Unfortunately, shady MSPs often include hidden fees in their services.

A reliable service provider should be fully transparent about your billing and have no issues discussing their terms with you. Do they seem interested in helping you meet your goals? You should always choose an MSP that goes above and beyond when it comes to providing excellent service.

If they don’t seem dedicated to helping your business, it’s best to look elsewhere.

Get Started Today

The benefits of working with managed IT service providers are not something you can overlook. Finding the right professional can take your business to the next level and allow you to avoid issues you may have otherwise encountered.

Reach out to us today at We Solve Problems IT to see what we can do for you. Our team of IT professionals is ready to help you reach your performance goals.