Expose Hidden Costs in IT Services: A 2024 Guide
Choosing the right IT firm is more than a decision; it's an investment in your business's future. Understanding and avoiding hidden costs in IT services is essential for financial stability and optimal IT support. In this comprehensive guide, we'll uncover the often-overlooked expenses hidden within IT service contracts.
While it can sound appealing to go for the cheapest firm, that decision can end up costing you more in the long run due to carve-outs and hidden fees in the contract.
Beware of "budget" IT firms that may omit essential services from the initial agreement, leading to unexpected costs down the line.
To help you weed out these companies that are not the bargains they advertise themselves to be, there are a few key elements to consider determining if your quote is insufficient, overpriced or underquoted.
The Risks of Insufficient Compliance and Cybersecurity Protections
Ransomware attacks can devastate any business. It's crucial that your IT provider goes beyond basic antivirus solutions to safeguard your network. This is by far the one critical area most “cheaper” MSPs leave out.
Antivirus is good to have but woefully insufficient to protect you from serious threats. In fact, insurance companies are now requiring advanced cyber protections such as employee cyber awareness training, 2FA (2-factor authentication), and what’s called “advanced endpoint protection” just to get insurance coverage for cyber liability and crime insurance. We provide those standards in our offering, so not only do you greatly reduce your chances of a cyber-attack, but you also avoid being denied an important insurance claim (or denied coverage, period).
Spotting Inadequate Recovery Solutions in IT Contracts
One thing you also want to make sure you look for in your IT firm proposal is that they do daily backups of your servers and workstations, as well as any cloud applications your company uses (Microsoft 365, Google Workspace, etc.), because online applications do NOT guarantee to back up your data. You also need to make sure your backups are immutable or unable to be corrupted by hackers. Again, most insurance companies now require immutable backups to be in place before they’ll insure against ransomware or similar cyber events.
Transparency in On-Site and After-Hours Fees: Avoiding Surprises
It might be surprising, but many IT firms add extra charges for on-site or after-hours support. Such hidden fees can inflate your IT budget unexpectedly. We include ALL of this in our top-tier agreements, but ‘cheaper’ MSPs will intentionally leave this out and add it on later to make the sticker price appear lower. Make sure you understand what is and isn’t included in your service agreement before signing.
Vendor Liaison and Support: Essential Yet Overlooked IT Services
Will they help you with all of your tech, or just select pieces that they’ve installed? Some IT firms will charge you hourly to resolve tech support issues with your phone system, ISP, security cameras, printers and other devices they didn’t sell you but that still reside on the network (and give you technical problems). These fees can stack up over time. As a client of ours, you get all of that INCLUDED in your subscription, without extra charges.
Cheap Techs and No Dedicated Account Managers: The True Cost
Some companies cut corners by compromising on customer support and technical expertise – a risky move in the ever-evolving IT landscape. Many of the smaller MSPs will hire technicians under a 1099 agreement or find cheaper, less experienced engineers to work on your network and systems. The more experienced and knowledgeable a tech is on networking and, more specifically, cybersecurity, the more expensive they are.
Further, many smaller MSPs can’t afford dedicated account managers, which means you’re depending on the owner of the company (who’s EXTREMELY busy) to pay attention to your account and to look for problems brewing, critical updates that need to happen, upgrades and budgeting you need.
Good account management includes creating and managing an IT budget, a custom road map for your business and reviewing regulatory compliance and security on a routine basis to make sure nothing is overlooked. You get what you pay for, and this is NOT an area you want overlooked.
BEFORE you sign on the dotted line, it’s important to make sure that you fully understand what IS and ISN’T included in the service you are signing up for. It’s VERY easy for one IT services provider to appear far less expensive than another UNTIL you look closely at what you are getting. Don't let potential hidden costs of IT services catch you off guard.
Empower Your Business: Take Control of IT Costs
Empower your decision-making with our insights and ensure your IT investments are free from hidden costs and inefficiencies. Schedule your FREE discovery call today, or contact us at 667-222-3366 for expert advice.
