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The Hidden Costs of MSPs (and Why They’re Not All the Same)

Admin By Admin
2 min read

When evaluating Managed Service Providers (MSPs), many business leaders focus on the per-seat cost. At first glance, those numbers can look appealing—low monthly fees that promise to cover all your IT needs. But as with many things in business, the headline price doesn’t always tell the full story.
The reality is that some MSPs keep their base rates low, then add on a variety of extra charges for services that most organizations would consider essential. These hidden costs can make it difficult to budget accurately and can leave you feeling like you’re constantly being upsold.
At BCS365, we believe in transparency. Here’s a closer look at where those hidden costs often appear—and how to avoid surprises.

Common “Hidden” Costs in MSP Agreements

Limit on # of Tickets / Month

This is typically hidden in the fine print. Something to the effect that explains the base plan covers a maximum of 50 tickets per month, and every ticket over that amount will be billed at $x per ticket.

Subscriptions / Software / Solutions not part of the offer
This decouples the software/solutions from the services. When questioned about it, the MSP will explain: “Well those are separate because you will need the solutions regardless of whether you do business with us or not.

Security Services

Endpoint protection, advanced firewalls, multi-factor authentication, and phishing protection are sometimes treated as add-ons rather than part of the core service. Yet in today’s threat landscape, these are non-negotiable. In fact, 72% of organizations outsource to MSPs primarily to reduce IT costs—but many end up paying more once security add-ons are factored in.

Technology Upgrades

Some MSPs charge extra for software licensing, cloud storage, or hardware refresh cycles. With the global managed services market projected to reach $595 billion by 2025, it’s clear that technology upgrades are a major revenue driver for providers.

After-Hours or Emergency Support

Need help outside of 9–5? Many providers bill premium rates for after-hours support or urgent response calls. This can be a shock if your business operates across time zones or requires 24/7 uptime.

Patching

Patching or applying software updates are often charged as an add-on service.

Compliance & Reporting

If your business needs compliance documentation (HIPAA, SOC, PCI, etc.), some MSPs treat this as a premium service. Yet compliance is increasingly a baseline requirement, not a luxury.

Why Transparency Matters

Not all MSPs operate this way—but enough do that it’s worth asking the right questions up front. A low per-seat cost may look attractive, but if it doesn’t include the essentials, you may end up paying more in the long run.

At BCS365, we take a different approach. We design our service agreements to be clear, predictable, and comprehensive. That means:
•     Security is built in, not bolted on.
•     You know exactly what’s included before you sign.
•     We work with you to plan for growth, so you’re not surprised by “extras” later.

The Bottom Line

Working with an MSP should simplify your IT operations, not complicate your budget. By understanding where hidden costs often appear and choosing a partner who values transparency, you can ensure your technology investment delivers real value without unexpected surprises.

Thinking about your current IT costs? Let’s have a conversation about how BCS365 can provide the clarity, security, and support your business deserves.

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