Sad IT professional next to $99/month price tag with downtime, ransomware, compliance, and data loss risks.

The Hidden Cost Of “Cheap” IT

July 07, 2025

You've heard it before: You truly get what you invest in. This is especially true when it comes to IT services.

At first glance, opting for a budget-friendly managed IT service might look like a smart choice—lower monthly fees, basic support, and maybe some cybersecurity tools included. But beneath the surface, hidden fees, limited coverage, and overlooked risks often emerge, costing you significantly more over time.

After years of scrutinizing IT contracts for small businesses, we've identified recurring pitfalls. Here are five critical ways budget MSPs compromise your IT—and how these shortcuts can lead to expensive problems for your business.

1. Insufficient or Missing Cybersecurity Measures

Relying on basic antivirus software is not enough to protect your business.

Unfortunately, many low-cost IT providers stop there—no two-factor authentication, no advanced endpoint protection, no staff cybersecurity training, and no backup safeguards if a breach occurs.

Why is this crucial? Cyber insurance providers now mandate robust cybersecurity protocols before issuing policies, and lacking these can lead to claim denials after an incident.

We've witnessed businesses face tens of thousands in losses because their MSP failed to implement necessary security measures required by their insurance. This isn't just poor IT support—it's negligence.

2. Incomplete Backup Solutions That Risk 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 are not designed for comprehensive disaster recovery or long-term data retention.

Budget IT providers often neglect backups for cloud applications, CRMs, and third-party tools, leaving vital data vulnerable. Even worse, many omit immutable backups, now essential for meeting cyber insurance requirements.

Think your backups are reliable? Ask your current provider exactly what data is covered—and what isn't.

3. Unexpected Charges for On-Site or After-Hours Support

Here's a common tactic: offer a low monthly fee, but then add extra charges whenever you need support outside regular hours or require an on-site visit.

We advocate for transparent, flat-rate pricing. Yet many providers exclude on-site visits, after-hours assistance, and emergency support so they can add surprise fees later.

The consequence? You hesitate to call for help, and your team delays reaching out—leading to costly downtime and frustration.

4. No Support for Vendor or Third-Party Devices

Problems with your phones, internet, or security cameras? Some IT firms will simply say, "That's outside our scope."

They may even charge you hourly just to communicate with other vendors. And if your printer or other hardware isn't on their "approved" list, they might refuse to assist altogether.

We provide comprehensive vendor coordination and network support for all technology connected to your business, because issues can arise from any source.

5. Lack of Experienced Technicians and Account Management

A major warning sign is dealing with a "one-person operation" or a firm that hires entry-level techs on 1099 contracts without a clear support strategy.

With budget MSPs, you might get reactive assistance, but not strategic guidance.

What you deserve is:

A dedicated account manager to help you develop a tailored technology roadmap

Regular proactive assessments of your cybersecurity, compliance, and backup status

Budget planning and technology upgrade strategies

A trusted advisor—not just a ticketing system for tech support

In Summary: If It Sounds Too Good To Be True, It Probably Is.

Many small businesses remain unaware of their IT vulnerabilities until disaster strikes—whether that's a ransomware breach, a server failure, or a hefty compliance penalty.

By that point, it's often too late.

If you want IT solutions that genuinely safeguard your business, look beyond just the monthly cost. Ask tough questions, demand clear answers, and avoid contracts that leave you exposed.

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 existing IT setup, highlight any gaps, and offer straightforward, jargon-free advice on how to secure your technology.

Click here or call us at 435-313-8132 to schedule your FREE 10-Minute Conversation.