July 07, 2025
You've likely heard the phrase: you truly get what you pay for. This is especially true in the world of IT services.
At first glance, opting for a low-cost managed IT service might seem like a smart financial move—offering reduced monthly fees, basic assistance, and even some cybersecurity features. But upon closer inspection, hidden expenses, limited coverage, and overlooked exclusions usually emerge, ultimately costing businesses much more in the long haul.
Having analyzed numerous IT contracts for small businesses over the years, we've observed recurring pitfalls. Here are five common shortcuts taken by "budget" MSPs — and the significant problems these can cause for business owners.
1. Insufficient or Missing Cybersecurity Safeguards
Relying solely on basic antivirus software does not equate to effective cybersecurity.
Yet, many low-budget IT providers settle for this minimal defense and leave it at that—no two-factor authentication (2FA), no advanced endpoint monitoring, no employee cybersecurity training, and no robust backup solutions if a threat gets through.
Why is this critical? Today, cyber insurance companies demand advanced cybersecurity protocols before offering coverage. Without these measures, your claim could be rejected after an incident.
We've witnessed companies suffer tens of thousands in damages because their MSP failed to implement the cybersecurity standards required by their insurance. This goes beyond poor service—it's outright neglect.
2. Inadequate and Incomplete Backup Solutions
Many business owners mistakenly believe platforms like Microsoft 365 or Google Workspace provide thorough data backups.
However, these services offer only basic backup capabilities and do not fulfill the requirements for disaster recovery or long-term data preservation.
Cost-sensitive or inexperienced IT providers often bypass backing up cloud-based applications, CRMs, and other third-party platforms, leaving vital data exposed. Even more concerning, many lack immutable backups, which are increasingly mandatory for cyber insurance policies.
Think your data is safe? It's essential to verify exactly what your current provider is backing up—and what they might be overlooking.
3. Unexpected Charges for On-Site and After-Hours Support
A common tactic among budget IT providers is to offer a low base monthly fee but add extra charges for support outside regular business hours or for technicians visiting your site.
We stand for transparent, predictable pricing. However, many MSPs exclude on-site visits, emergency calls, and after-hours support from their standard fees to increase revenue later.
This practice makes businesses hesitate to call for help promptly, leading to prolonged issues and higher downtime costs.
4. Lack of Vendor Coordination and Third-Party Device Support
Whether it's your phone system, internet connection, or security cameras, some IT providers dismiss these as outside their responsibility. "That's not something we handle."
They might even bill hourly just to liaise with your other vendors. If a device, like a printer, isn't on their approved hardware list, they could refuse assistance altogether.
Our approach includes comprehensive vendor management and network support covering all technology impacting your business, recognizing that issues can originate from many sources.
5. Unskilled Technicians and Lack of Dedicated Account Management
A major warning sign is a solo technician operation or MSPs relying heavily on entry-level contractors without a strategic plan for your IT support.
While budget MSPs might provide basic assistance, they often fail to offer expert guidance.
What you deserve is:
● A dedicated account manager to design a tailored technology roadmap
● Proactive evaluations of your cybersecurity, compliance, and backup status
● Strategic budget planning and upgrade scheduling
● A trusted technology advisor—not just a ticketing system
The Bottom Line: If It Sounds Too Good To Be True, It Probably Is.
Many small businesses only realize they lack proper IT protection after a crisis hits—whether it's a ransomware attack, system failure, or costly compliance penalty.
By then, remediation is often far more expensive and disruptive.
To secure IT solutions that genuinely safeguard your business, look past price tags. Ask critical questions, demand clear answers, and avoid contracts that leave your company vulnerable.
If you're curious about the gaps in your current IT contract, let us conduct a thorough network review. We'll analyze your existing setup free of charge, clearly explain any vulnerabilities, and offer straightforward, jargon-free advice on strengthening your defenses.
Click here or call us at 920-818-0900 to schedule your FREE 15-Minute Discovery Call.