July 07, 2025
You've heard the phrase: You get what you pay for. This is especially true when it comes to IT services.
At first glance, opting for a cheaper managed IT service might seem like a smart choice—lower monthly fees, basic support, and maybe some cybersecurity features included. However, a closer look often reveals hidden expenses, limited coverage, and exclusions that can end up costing you significantly more over time.
After years of analyzing IT contracts for small businesses, we've identified recurring issues. Here are five common ways budget MSPs cut corners—and how these shortcuts can turn into expensive problems for your business.
1. Inadequate or Missing Cybersecurity Measures
Basic antivirus software does not equate to comprehensive cybersecurity.
Yet, many low-cost IT providers stop there—no two-factor authentication, no advanced endpoint detection, no employee training, and no backup safeguards if threats bypass defenses.
Why is this critical? Cyber insurance providers now mandate robust cybersecurity protocols before issuing policies, and lacking these can lead to claim denials after an incident.
We've witnessed businesses lose tens of thousands due to MSPs failing to implement the necessary protections required by insurance. This is not just poor IT support—it's negligence.
2. Incomplete Backup Solutions That Risk Your Data
Many business owners mistakenly believe tools like Microsoft 365 or Google Workspace fully back up their data.
In reality, these platforms offer only basic backup capabilities and are not designed for comprehensive disaster recovery or long-term data retention.
Budget or inexperienced IT providers often omit backups for cloud applications, CRMs, and third-party platforms, leaving vital data vulnerable. Additionally, many lack immutable backups, now a requirement for most cyber insurance policies.
Think your backups are secure? Verify with your provider exactly what is—and isn't—being backed up.
3. Hidden Charges for On-Site and After-Hours Support
A common tactic is to advertise a low monthly rate, then add fees whenever you require support outside standard business hours or need an on-site visit.
We advocate for transparent, flat-rate pricing. However, many providers exclude on-site visits, after-hours assistance, and emergency support from their base fees to increase charges later.
The outcome? You hesitate to call for help, your team delays reaching out, and downtime—and costs—mount unnecessarily.
4. Lack of Support for Vendors and Third-Party Devices
Experiencing issues with phones, Internet, or security cameras? Some IT companies will simply say, "That's outside our scope."
They may even charge hourly fees just to communicate with your other vendors. If your printer or other devices aren't on their "approved" list, they might refuse assistance altogether.
We provide comprehensive vendor coordination and network support for every technology component connected to your business, because problems often stem from multiple sources.
5. Unqualified Technicians and No Dedicated Account Management
A major warning sign is a "one-person operation" or a company relying on entry-level contractors without a strategic plan for your IT needs.
With budget MSPs, you might receive reactive help, but lack proactive guidance.
What you deserve is:
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A dedicated account manager who crafts a tailored technology roadmap
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Regular, proactive assessments of your cybersecurity, compliance, and backup status
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Budget planning and upgrade strategy
● A trusted advisor—not just a ticket responder
Final Thought: If It Sounds Too Good to Be True, It Probably Is.
Many small businesses remain unaware of their IT vulnerabilities until disaster strikes—whether a ransomware attack, server failure, or costly compliance penalty.
By then, the damage is done.
To truly safeguard your business IT, look beyond just the price. Ask the tough questions, demand clear answers, and avoid contracts that leave you exposed.
If you want a thorough review of your IT setup, let us examine your network. We'll provide a free assessment, highlight any gaps, and offer straightforward, jargon-free advice on how to strengthen your defenses.
Click here or call us at 888-624-7383 to schedule your FREE 15-Minute Discovery Call.
