July 07, 2025
You've 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 plan might look appealing: lower monthly fees, basic support, and maybe a few cybersecurity features included. But if you look closer, hidden expenses, unexpected exclusions, and insufficient protection often emerge, costing you much 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 lead to expensive problems for your company.
1. Inadequate or Missing Cybersecurity Measures
Basic antivirus software alone does NOT constitute proper cybersecurity.
Yet many budget IT providers stop there—no two-factor authentication, no advanced endpoint detection, no employee training, and no backup defenses if threats slip through.
Why is this critical? Cyber insurance companies now require robust cybersecurity before issuing policies, and lacking these protections could result in denied claims after an incident.
We've seen businesses face tens of thousands in losses because their MSP failed to implement the cybersecurity their insurance demanded. This isn't just poor IT support—it's negligence.
2. Incomplete Backup Coverage That Risks Your Data
Many business owners mistakenly believe platforms like Microsoft 365 or Google Workspace fully back up their data.
In reality, these services offer only basic backup capabilities and do not provide comprehensive disaster recovery or long-term data retention.
Low-cost or inexperienced IT providers often neglect backups for cloud apps, CRMs, and third-party platforms, leaving vital data vulnerable. Even more concerning, many skip immutable backups, which are essential for meeting cyber insurance requirements.
Think your backups are secure? Ask your provider exactly what data is backed up—and what isn't.
3. Hidden Charges for On-Site and After-Hours Support
Here's a common tactic: offer a low monthly rate but add extra fees whenever you require support outside regular business hours or need an on-site visit.
We believe in transparent, flat-rate pricing. However, many providers exclude on-site visits, after-hours assistance, and emergency support to levy additional charges later.
The consequence? You hesitate to call for help, and your team delays reporting issues, increasing costly downtime.
4. Lack of Support for Vendors and Third-Party Devices
If you encounter problems with your phones, internet, or security cameras, some IT companies will simply say, "That's not our issue."
They may even charge hourly fees just to communicate with your other vendors. Plus, if your printer or other devices aren't on their approved hardware list, they might refuse assistance altogether.
We provide comprehensive vendor coordination and network support for all technology connected to your business, because issues can arise from any source.
5. Unqualified Technicians and No Dedicated Account Management
A major warning sign is a "one-person operation" or a company that relies on entry-level, contract techs without a clear support strategy.
With budget MSPs, you might get reactive help, but lack proactive guidance.
What you deserve is:
●
A dedicated account manager to develop your technology roadmap
●
Regular assessments of your cybersecurity, compliance, and backup integrity
●
Budget planning and technology upgrade guidance
● A trusted advisor, not just a help desk ticket system
Bottom Line: If It Seems Too Good To Be True, It Probably Is.
Many small businesses remain unaware of their vulnerabilities until a disaster strikes—be it a ransomware attack, server failure, or hefty compliance penalty.
By that time, the damage is done.
If you want IT services that truly safeguard your business, look past the sticker price. Ask tough questions, demand clear answers, and avoid contracts that leave you exposed.
Curious about what your IT contract might be missing? Let us evaluate your network. We'll provide a free review of your current IT setup, explain any gaps in plain language, and offer honest advice on how to protect your business better.
Click here or call us at (951) 405-6873 to schedule your FREE 15-Minute Discovery Call.
