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What Is A Managed Service Provider?

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What is A Managed Service Provider?

A Managed Service Provider (MSP) is a 3rd party company that manages certain services daily to improve a business’ operation. MSPs are used by both large corporations and small/medium sized businesses to delegate certain aspects of their operations. Many MSPs are IT companies that handle technical and software-oriented aspects for a company, usually on a subscription-based model. They operate remotely from the site of the business and are sometimes referred to as a “cloud based provider”. MSPs serve as a contracted, external IT team that helps with all your technical and support needs.


When working with MSPs, there are several factors to consider. Depending on the size and focus of your business, MSPs may or may not be the best option to help with a certain aspect of your business. The following are the benefits and restraints that accompany working with an MSP:




Cost Savings:

  • For companies that already employ IT staff, using MSPs can save your business significant savings due to their subscription model. This allows your IT team to be light while utilizing the talent provided by the MSP.
  • MSPs provide companies with predictable monthly costs for their entire IT service. Having an entire IT department will result in costs fluctuating significantly monthly.

Access to Specialists:

  • MSPs often have skilled employees with access to resources your business might not have. When working with MSPs, you have their expertise to apply to your business.
  • Depending on the niche you work in, having expertise might be required just to stay competitive

Exceptional Support:

  • MSPs pride themselves on their turnaround ability and their 24/7 support. With this type of support, you can solve your business’ problems much quicker than waiting on employees with heavy workloads.
  • MSPs’ support capabilities can allow you to outsource your support needs to them.




Physical Presence:

  • Many MSPs operate remotely and that can be a difficult adjustment if your business is locally optimized.
  • Your business or customers may require onsite support regularly and this can exclude you from working with MSPs that are not located in your area.


  • If you are working with clients that have sensitive data, working with MSPs can be difficult unless your clients agree to MSPs having access to their data.
  • The security protocols your company uses may not align with the protocol the MSP employs.


  • If your business demands you have control over programs, data, code, etc., working with MSPs may not be the best option.
  • Since your company is distinctly different from the MSP, it can be harder to cultivate a certain culture within your company due to differences between your company and the MSP.

You may also want to read:

Managed Service Provider? What Does This Mean for My Business?

Is It Time For A Network Security Audit?

Outsourced IT Support

Category: MSP
Last Updated: On November 07, 2019