The Ultimate Managed IT Pricing Model Guide for Small Businesses

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There are a variety of managed IT service pricing structures available to business owners today. It can be confusing trying to determine which type of pricing is best for your company.

While many businesses attempt to first use a managed IT services ROI calculator to determine if they will benefit from hiring a managed services provider (MSP) to handle their IT needs, the fact is contracting an MSP almost always delivers clear ROI , as their costs are typically equivalent to that of one full-time salaried in-house IT expert .

However, there are a lot of MSPs to choose from, and not all will offer the same type of pricing structure, or even have only one set of price ranges from which to choose.

So to help you narrow down your choices, this blog post will discuss the different types of managed IT cost structures and their benefits and disadvantages. We will also help you decide which type of pricing is right for your business.

Why Are More Businesses Choosing Managed IT Services Providers to Handle Their IT Needs?

Today, more and more businesses are choosing to outsource their IT needs to managed services providers (MSPs) rather than handling them in-house. This is because the benefits of managed IT services are widely known and provide a wide range of cost-effective IT solutions that can be customized to meet the unique requirements of any business.

Additionally, they offer remote monitoring, technical support, and backup and disaster recovery services which allow them to quickly identify and troubleshoot problems before they become serious issues and quickly restore data via remote support in the event of a catastrophe or data breach.

The Various Types of Managed IT Pricing Structures, Plus Their Pros and Cons

1. Flat-Rate Pricing

This is perhaps the simplest and most common type of managed IT pricing structure. With flat-rate pricing, you pay a fixed monthly fee for services regardless of how much or how little you use them.


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This fixed monthly cost makes budgeting easy since your payments remain consistent from month to month, making it easier to manage in the long run. However, if your company’s needs grow significantly over time, this type of pricing may not be cost-effective since you won’t be able to scale up as needed.

2. Usage-Based Pricing

In contrast with the previous example, usage-based pricing is designed for companies that need more flexibility in terms of scalability and resource allocation. You are expected to pay for only the services you use and are billed based on how much of those resources you consume.

This type of pricing is ideal for companies that experience lots of fluctuations in their IT needs over time, since it allows them to scale up and down as needed.

3. Tiered Pricing

This approach combines flat rate and usage-based pricing, offering customers various “tiers” of service with different price points depending on what services they need. For example, Tier 1 might include basic IT support while Tier 2 includes more advanced IT solutions such as cloud storage and data backups.

With this type of pricing structure, businesses have more flexibility when it comes to meeting their IT needs, as they can scale up or down depending on the situation.

4. Pay-As-You-Go Pricing

This type of pricing is similar to usage-based, but it’s more flexible since you only pay for what you use and when you use it. Also referred to as the break-fix model , this pricing model is ideal for companies that have unpredictable IT needs and/or don’t need a lot of services at once.

However, with this kind of pricing structure, budgeting can be difficult since costs can fluctuate from month to month.


Check out these additional resources to learn more about managed IT services:


How Much Do Managed IT Services Cost with JCM Telecom?

Now that you know about the various types of managed IT service pricing structures available, how do you decide which one is right for your business?

The answer depends on a variety of factors, including: 

  • The size and scope of your IT needs
  • The complexity of your IT systems
  • And overall project requirements

It’s important to consider all these factors carefully before making a decision in order to ensure that you select the most cost-effective option for your company.

However, for a more specific look at how we do things, here is a rough breakdown of the relative price ranges we offer .

At JCM Telecom we offer a range of tiered monthly flat-fee packages designed to cater to your specific needs as a business which are structured in the following way via our managed It services price list :

Managed IT Services Pricing

Making the Most of JCM Telecom Managed IT Services Rates

At JCM Telecom, we offer a variety of managed IT services pricing structures to meet the needs of any business. Our experienced team of professionals can help you select the option that best fits your budget and requirements.

No need to whip out the managed IT services calculator , simply contact us today to learn more about our competitive rates and find out how we can help you get the most out of managed IT services for your business!


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