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 pay for. This is especially true in the world of IT.

At first glance, opting for a low-cost managed IT service might seem like a smart financial move—lower monthly fees, basic support, and maybe some cybersecurity features included. However, beneath the surface, hidden fees, limited coverage, and overlooked risks often lead to much higher costs down the road.

Having reviewed countless IT contracts for small businesses over the years, we've identified recurring pitfalls. Here are five common ways budget MSPs cut corners—and how those shortcuts can cause serious headaches for business owners.

1. Inadequate or Missing Cybersecurity Measures

Basic antivirus software does not equate to effective cybersecurity.

Yet many budget IT providers stop at this minimal protection—no two-factor authentication, no advanced endpoint monitoring, no employee cybersecurity training, and no backup safeguards if threats slip through.

This matters because cyber insurance companies now mandate robust cybersecurity protocols before offering coverage. Without these protections, your insurance claim could be denied following an attack.

We've witnessed businesses face tens of thousands in losses because their MSP neglected to implement required security measures. This isn’t just poor service—it’s negligence.

2. Incomplete Backup Solutions That Risk Your Data

Many assume that platforms like Microsoft 365 or Google Workspace automatically protect their data.

In reality, these services offer only basic backup functions—not comprehensive disaster recovery or long-term data retention.

Low-cost or inexperienced IT providers often neglect backing up cloud applications, CRMs, and other third-party platforms, leaving critical information vulnerable. Even more concerning, many fail to provide immutable backups, which are increasingly required by cyber insurance policies.

Think your backups are secure? Ask your provider exactly what is—and isn’t—being backed up.

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

Here’s a common tactic: advertise a low monthly fee, then add extra charges whenever support is needed outside regular business hours or requires an on-site visit.

We believe in transparent, flat-rate pricing. Unfortunately, many providers exclude on-site visits, after-hours assistance, and emergency support from their base rates so they can impose surprise fees later.

The outcome? You hesitate to seek help, and your team delays reporting issues, leading to costly downtime and frustration.

4. No Support for Vendors or Third-Party Devices

If your phones, internet, or security cameras malfunction, some IT firms will simply say, "That’s not our problem."

They may even charge hourly fees just to communicate with your other vendors. Plus, if a device like your printer isn’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 originate from multiple sources.

5. Unqualified Technicians and Lack of Account Management

A major warning sign: a "one-person operation" or a company relying on entry-level techs working as contractors without a clear strategy.

With budget MSPs, you might receive reactive support, but not proactive guidance.

What you deserve is:

● A dedicated account manager who collaborates with you to develop a strategic technology roadmap

● Regular assessments of your cybersecurity, compliance, and backup integrity

● Budget planning and upgrade scheduling

● A trusted advisor focused on your business success—not just a ticketing system

The Bottom Line: If It Sounds Too Good to Be True, It Probably Is.

Many small businesses remain unaware of their vulnerabilities until a crisis hits—be it a ransomware attack, system failure, or costly compliance penalty.

By then, the damage is done.

If you want IT services that truly safeguard your business, look beyond just the price. Ask tough questions, demand honest answers, and avoid contracts that leave you exposed.

If you’re unsure what your current IT contract lacks, let us assess your network. We offer a free review of your existing IT solutions, explain any vulnerabilities in clear terms, and provide straightforward advice on how to protect your business.

Click here or call us at 703-879-2070 to schedule your FREE 15-Minute Discovery Call.