July 07, 2025
You've likely 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 services plan might seem like a great deal—lower monthly fees, basic support, and maybe some cybersecurity tools included. But if you look closer, hidden expenses, limited coverage, and overlooked exclusions often emerge, leading to much higher costs over time.
After years of analyzing IT agreements for small businesses, we've identified recurring issues. Here are five common ways "budget" MSPs cut corners—and how these shortcuts can create expensive problems for your business.
1. Insufficient or Missing Cybersecurity Measures
Basic antivirus alone does not equate to solid cybersecurity.
Yet many budget IT providers install only basic antivirus software and consider their job done. No two-factor authentication, no advanced endpoint detection, no employee training, and no backup defenses if a threat bypasses the initial layer.
Why is this critical? Cyber insurance providers now mandate advanced cybersecurity protocols before issuing policies. Without them, your claim could be denied following an attack.
We've witnessed businesses suffer tens of thousands in losses because their MSP failed to implement the cybersecurity safeguards their insurance required. This isn’t just poor support—it's negligence.
2. Incomplete Data Backups That Risk Your Business
Many business owners mistakenly believe platforms like Microsoft 365 or Google Workspace automatically back up all their data.
In reality, these platforms offer only basic backup features—not comprehensive disaster recovery or long-term retention solutions.
Low-cost or inexperienced IT providers often neglect backups for cloud apps, CRMs, and third-party platforms, leaving critical information vulnerable. Even worse, many don’t provide immutable backups, now a requirement for numerous cyber insurance policies.
Think your backups are secure? Verify with your current provider exactly what data is backed up—and what isn’t.
3. Unexpected Charges for On-Site and After-Hours Support
A common tactic is to advertise a low monthly fee but then add charges whenever you need help outside regular business hours or require an on-site visit.
We believe in transparent, flat-rate pricing. However, many providers exclude on-site support, after-hours assistance, and emergency services so they can add surprise fees later.
The consequence? You hesitate to call for help, causing your team to delay support requests and increasing costly downtime.
4. Lack of Support for Vendors and Third-Party Devices
If your phones, internet, or security cameras malfunction, some IT companies will simply say, "That’s not our responsibility."
They might even charge you hourly just to communicate with your other vendors. And if your printer or other hardware isn’t on their "approved" list, they may refuse to assist entirely.
We provide comprehensive vendor coordination and network support for all technology that impacts your business, because issues often originate from multiple sources.
5. Unskilled Technicians and No Account Management
A major warning sign is a "one-person operation" or firms employing entry-level technicians on 1099 contracts, without a clear support strategy.
With budget MSPs, you might receive assistance, but you won’t get strategic guidance.
What you deserve is:
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A dedicated account manager to help you develop a tailored technology roadmap
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Regular, proactive reviews of your cybersecurity, compliance, and backup systems
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Budget planning and upgrade forecasting
● A trusted advisor, not just a helpdesk ticket handler
Final Thought: If It Seems Too Good to Be True, It Probably Is.
Many small businesses don’t realize their IT is underprotected until disaster strikes—be it ransomware, server failure, or costly compliance penalties.
By then, it’s often too late.
If you want IT that truly safeguards your business, look beyond the sticker price. Ask tough questions, demand clear answers, and avoid contracts that leave you vulnerable.
If you’re curious about what your current IT contract might be missing, let us evaluate your network. We’ll provide a free review of your IT setup, highlight any gaps, and offer straightforward, jargon-free advice on how to strengthen your defenses.
Click here or call us at 714-579-3026 to schedule your FREE 15-Minute Discovery Call.
