July 07, 2025
You've probably heard the phrase: You get what you pay for. This is especially true in the world of IT.
At first glance, a low-cost managed IT service might look appealing—lower monthly fees, basic support, and maybe a few cybersecurity features included. But when you look closer, hidden fees, limited coverage, and overlooked exclusions often emerge, leading to far greater expenses down the road.
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 those shortcuts can create expensive problems for your business.
1. Insufficient or Missing Cybersecurity Defenses
Basic antivirus software alone does not qualify as effective cybersecurity.
Yet many budget IT providers stop there—no two-factor authentication, no advanced endpoint detection, no employee training, and no fallback protection if a threat slips through.
Why is this critical? Cyber insurance companies now require robust cybersecurity measures before issuing policies. Without these, your claims could be denied after a cyberattack.
We've witnessed businesses lose tens of thousands because their MSP failed to implement the protections their insurance demanded. That's not support—it's negligence.
2. Incomplete Backups That Risk Your Data
Many business owners mistakenly believe platforms like Microsoft 365 or Google Workspace automatically back up all their data.
In reality, these services provide only basic backups—not comprehensive disaster recovery or long-term retention.
Low-cost or inexperienced IT providers often neglect backing up cloud apps, CRMs, and third-party platforms, leaving essential data vulnerable. Even worse, many don't offer immutable backups, now a must-have for many cyber insurance policies.
Think your backups are secure? Ask your provider exactly what's included—and what isn't.
3. Hidden Charges for On-Site and After-Hours Support
One common tactic: advertise a low monthly fee, then add extra costs whenever you need help outside regular hours or require an on-site visit.
We believe in transparent, flat-rate pricing. However, many providers exclude on-site visits, after-hours assistance, and emergencies to charge additional fees later.
The outcome? You hesitate to call for help, and your team delays support requests—leading to even more costly downtime.
4. No Support for Vendors or Third-Party Devices
Problems with your phones, Internet, or security cameras? Some IT companies will simply say, "That's outside our scope."
They might even charge you by the hour just to communicate with your other vendors. And if a device like your printer isn't on their "approved" list, they may refuse assistance altogether.
We provide comprehensive vendor coordination and network support for all technology connected to your business, because issues rarely stem from a single source.
5. Unqualified Technicians and Lack of Account Management
A major warning sign? A solo operator or a company relying on entry-level contractors without a strategic support plan.
With budget MSPs, you may receive support, but not expert guidance.
What you deserve is:
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A dedicated account manager to develop your 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 help desk ticket system
Final Thought: If It Seems Too Good to Be True, It Probably Is.
Many small businesses remain unaware of their vulnerabilities until disaster strikes—whether a ransomware attack, server failure, or costly compliance penalty.
By then, it's often too late.
If you want IT services that truly safeguard your business, you must look beyond just the monthly cost. Ask the tough questions, demand honest answers, and avoid contracts that leave you exposed.
If you'd like us to review your IT contract, we offer a free network assessment. We'll identify any gaps, explain what's missing in plain language, and provide straightforward advice on how to protect your business.
Click here or call us at 877-310-0123 to schedule your FREE 15-Minute Discovery Call.
