Companies spend between 2% – 18% of their revenue on IT, depending on their industry. This means spending thousands to millions of dollars annually to support digital operations. Moreover, 74% of executives said in a recent survey that they expected their IT budgets to increase this year. Gartner also predicts a 5.1% rise in global IT spending in 2023.
IT is a huge financial burden that’s only getting heavier as business tech becomes more sophisticated and indispensable. Any IT cost-saving strategy is worth considering, bringing us back to partnering with an MSP. Here’s how an MSP saves you money:
Stabilizes your IT costs
An MSP charges you an affordable fixed monthly or annual fee for all services rendered through subscription-style payments. Plus, you only pay for the IT support/management services you need, usually bundled in a custom package.
This predictable costing model means you know exactly how much is needed to run the IT infrastructure, making it easier to plan an IT budget and avoid ad hoc break-fix expenses.
Fills in IT staff gaps
According to Payscale, hiring an IT professional will set you back between $44,000 to $110,000 yearly in salaries. And that’s before you consider vetting, onboarding, training, and upkeep costs. At that rate, you’d have to pay a small fortune to retain a team of IT professionals.
A managed IT services provider cuts your labor cost by eliminating the need to hire in-house IT personnel. With an MSP, you get a team of experts in every technical field, often for less than the cost of hiring a single employee. Plus, MSPs do not require expensive onboarding, training, or accommodation.
IT downtime or outage is a common and expensive problem that doesn’t fit into a conventional IT budget due to its unexpected nature. A recent survey involving IT operators found that most IT outages in 2022 cost $100,000 – $1,000,000. However, 74% of the respondents said that most of their IT outages could have been prevented through better IT management, processes, or configurations.
An MSP is your best bet for avoiding costly downtime. Rather than waiting until something breaks, a managed partner ensures that nothing goes wrong in the first place. This is called proactive IT management/support; it involves preventative systems maintenance, 24/7 IT monitoring, and optimizing IT operations for maximum reliability.
Cuts software and technology costs
Besides exceptional tech expertise, managed IT providers come equipped with powerful tech, such as cloud-based storage, hosting platforms, system diagnostics and performance tracking tools, and IT administration consoles. Purchasing software or hardware through a managed bundle is much cheaper than sourcing from any vendor, manufacturer, or developer.
Also, an MSP can narrow your IT footprint drastically, minimizing your tech investment and running costs.
Enhances security and data protection
Cybercrime is more prevalent and devastating than ever before. The 2022 Official Cybercrime Report predicts cybercrime damage costs to reach $10.5 trillion by 2025.
Working with an MSP lowers your risk of cyberattack and data loss. An MSP’s managed security services cover data privacy and protection, data backup, network monitoring, intruder detection, disaster recovery, vulnerability analysis, employee security training, compliance management, and more. You can rest assured that your vital digital resources are in safe and capable hands.
IT budgeting is a delicate balancing act between cost and performance. GB Tech can help you achieve that balance by lowering your IT spending while simultaneously raising your digital productivity. Our dedicated team of accredited professionals is ready to propel your business to the next level through IT efficiency.
We’d love to hear from you. Tell us about your IT pain points, cost or otherwise, and we’ll show you a solution that works.