Is It Worth Paying More For Managed IT Services?

Managed IT services cost so much more than hourly repair support – so why bother shelling out the extra money?

One of the most common questions we get asked is…

I already pay to get my computers fixed when they break down. Why would I pay that much more for managed services? What’s that money getting me?

There’s a reason we get asked this so much. It’s a good question because there’s a rather large gap between what you pay for hourly-rate computer repairs and fully managed IT services…

How Much More Does Managed IT Services Cost?

Actual pricing ranges vary from one market to another – whether you’re in a major metropolitan area, or a smaller community will affect the price.

However, in general, you’ll likely get rates in these ranges…

  • Flat Rate: Monthly, quarterly, or annual fee depending on needs
  • Per User: $125–$300 per month
  • Per Device: $5–$100 per month

Then you compare that to what you pay whenever your computers stop working. These costs can vary based on the degree of support that is required to fix the problem…

  • One technician: $100 – $125/hour plus travel time
  • Two technicians: $225 – $250/hour plus travel time
  • Upper Tier Support: $250/hour plus travel time

When you factor in how many users you have, managed IT services will almost certainly be more expensive. That’s why everyone wants to know if it’s worth their money.

What’s The Real Cost Of Hourly Support?

Here’s what you need to realize about non-managed IT support – it may only cost you specifically for the time needed to fix your problems, but is it worth it?

There are a number of downsides to this kind of IT support…

  • A tech typically charges by the hour. This encourages them to focus on billable hours. It doesn’t benefit him if your tech is working the way it should. You could find yourself repeatedly calling them to help with a problem that never quite gets resolved.
  • A minor computer problem can quickly turn into a disaster. This is especially true today with the increase in cybercrime like ransomware. What starts out with just one malicious email can spread throughout your entire network, locking down your data, and your operations.
  • It could take days to fix your problem – in the meantime, your employees won’t have access to the data they need to continue working. You’re simply “bleeding money” by the minute.
  • Your support provider starts charging you after you’ve already lost work time – time spent on repairs or updates can add up fast.
  • It’s impossible to predict how much to budget for IT services. You can’t know what will happen or how expensive it might be.

Without ongoing support to keep your business tech running smoothly, you’re simply wasting your money, and setting your business up for serious downtime.

You’ll be vulnerable to huge repair costs when you’re forced to call in a tech to fix things. In this scenario, just a small problem can quickly become a very costly one.

What’s The Real Value Of Managed IT Services?

This type of support (i.e. a set of best practices, processes, and tools that, when combined with technical knowledge and proper facilitation, delivers an ideal result to you) is the modern model for IT support for a number of good reasons:

  • It frees up your time: Think about all the time you waste when your IT isn’t working; your employees sit around waiting for their email to come back online, or for a document to print, or going through the support process with a technician over the phone.When your IT works correctly and consistently, all that time can be spent on your actual business.
  • It helps you save money: Beyond the money that you save by ensuring your staff is actually getting work done during their paid hours, your managed IT services company provides consultation that will allow you to budget accurately, which will minimize wasted dollars on hardware and other technology that isn’t necessary for your needs.
  • It reduces your stress: Dealing with IT problems on a daily basis gets old fast. The time and stress involved can have detrimental effects on productivity and efficiency (and your stress level).Beyond your time and money, managed IT services helps you reduce your stress and gain a lasting peace of mind when it comes to your IT.

To put it simply?

Think of it this way: with managed IT services, the support you need is available around-the-clock, and compensated through your (and other clients’) monthly flat rate, hourly support is unpredictable when it comes to costs and repair times.

  • Hourly rates may be a lower cost on paper but it can get expensive rather quickly – which means your overall ROI isn’t as great as it could be.
  • Managed IT services are designed to maximize your budget and provide the support and solutions you need to stay focused on your important work and keep under budget.

Like this article? Read the following blogs to learn more:

Do Managed IT Services Cost More Than The Break/Fix Model?

Outsourcing IT Makes Sense for Small Businesses: 7 Reasons

Are You Prepared? Your 9 Step Local Business Disaster Recovery Plan