What does outsourcing IT cost for SMEs? An honest overview
A clear and honest overview of the costs of outsourcing IT for SMEs. We explain the two pricing models (hourly rate versus a fixed price per workstation), show what is normally included in an all-in rate, which factors determine the price, and give an indication of roughly 50 to 150 euros per workstation per month.
By Max HoltropAs a director or office manager of an SME, you want your IT to simply work. No hassle, no surprises, and certainly no unexpected bills. But the moment you start researching what outsourcing IT costs, you run into a wall of ifs and buts. One provider quotes an hourly rate, another a price per workstation, and yet another wants to "drop by first".
In this article we give you honest and transparent insight. We explain the pricing models, tell you what is normally included in an all-in rate, and give an indication of what you can expect. That way you can compare apples with apples.
The two ways you pay for IT
Broadly speaking, there are two models that IT service providers use to charge their costs. The difference is significant, so it is important that you know both.
1. Hourly rate and ad hoc support
With this model you pay by the hour, often only when something is broken. Something goes wrong, you call, and someone comes by or logs in remotely. At the end of the month you receive a bill based on the hours worked.
Sounds logical, but this model has a few drawbacks:
- Unpredictable. One month the bill is low, the next month you get a nasty shock. You never know in advance where you stand.
- Reactive instead of proactive. Action is only taken once there is a problem. There is no incentive to prevent problems, because every problem generates billable hours for the provider.
- Firefighting. You pay for treating symptoms, not for a healthy, well-maintained environment.
Hourly rates are usually between 75 and 125 euros per hour, depending on the provider and the type of work.
2. Fixed price per workstation per month (managed services)
With this model, also known as managed services, you pay a fixed amount per workstation per month. In return, the IT service provider takes full management of your IT environment off your hands. Whether a lot or little happens, your monthly amount stays the same.
This is exactly how IT-gemak works: one dedicated team, one fixed rate. You know exactly where you stand, and your IT partner actually has an interest in preventing problems. Because the more stable your environment, the less work there is and the happier you are.
You can read more about this approach on our page about all-in IT management.
What is included in an all-in rate?
A frequently asked question is: what do I actually get for that fixed amount? With a good all-in service, the complete package that keeps your workstations running and secure is included. Normally that contains:
- Management. Setting up, maintaining and updating your workstations, servers and cloud environment.
- Monitoring. Continuous monitoring of your systems, so that problems are spotted before they affect you.
- Helpdesk. A fixed point of contact where your employees can turn with questions and issues, without counting how much it costs.
- Security. Protection against viruses, ransomware and phishing, plus measures that help comply with legislation such as NIS2.
- Updates and patches. Updating software and operating systems in good time, so that vulnerabilities are closed quickly.
Want to know exactly what managing a modern workstation looks like? Then read more about workstation management.
Which factors determine the price?
No two organisations are the same, and the same goes for the costs of outsourcing IT. The following factors determine what you ultimately pay:
Number of workstations
The more workstations, the lower the price per workstation tends to be. With larger numbers a service provider can work more efficiently, and that benefit is passed on.
Service level
Do you want support only during office hours, or also in the evenings and at weekends? And how quickly should there be a response to an outage? A higher service level means more certainty, but also a higher rate.
Complexity of your environment
An organisation that works entirely in Microsoft 365 is simpler to manage than a company with its own servers, custom software and complex networks. The more components, the more management.
Security requirements
Do you work with sensitive data or fall under stricter legislation such as NIS2? Then extra security measures are needed, which affects the price.
Cloud versus your own equipment
A modern workstation in the cloud is usually cheaper and easier to manage than an environment with a lot of your own hardware that requires maintenance and replacement.
An honest indication of the costs
Then the question that really matters: what does outsourcing IT actually cost for SMEs?
For managed services, the market price is roughly between 50 and 150 euros per workstation per month. Where you fall exactly within that range depends on the factors above: the number of workstations, the desired service level and the complexity of your environment.
Please note: this is an indication, not a hard price. It is meant to give you a sense of the order of magnitude. For our current rates we are happy to refer you to our pricing page, where you can see exactly what you get for which amount.
Why a fixed price often works out cheaper
At first glance, paying ad hoc seems attractive: after all, you only pay when something happens. But in practice a fixed price per workstation often works out more favourably. And there are a few good reasons for that.
Predictability in your budget
With a fixed amount per workstation, you know exactly what your IT costs per month. No surprises, no spikes, no awkward conversations about an unexpected bill. You can simply include it in your budget and count on a working environment.
Fewer hidden costs
With ad hoc management you don't only pay the technician's invoice. You also pay in the form of downtime: employees who can't work, customers who don't get helped, and you yourself losing time to hassle. Those costs are hard to see, but they certainly add up.
Cheaper than in-house IT
Hiring your own IT employee quickly costs more than 50,000 euros per year, plus training, cover during illness or holidays, and the knowledge of all the different fields that one person simply cannot cover. With a dedicated team from an MSP you have access to a wide range of specialists, for a fraction of those costs.
Proactive instead of reactive
Because your service provider receives a fixed amount, there is every reason to prevent problems rather than fix them afterwards. Updates are done on time, security is in order, and monitoring catches problems before they affect your business. That saves not only money, but also stress.
What it's really about: peace of mind and certainty
Ultimately, outsourcing IT is not just about costs, but about what you get in return: peace of mind, certainty and the freedom to focus on your own work. With a fixed rate, a dedicated team and a proactive approach, you know that your IT is in good hands, without having to worry about the next bill.
At IT-gemak we work this way for over 420 SME clients: personal, pragmatic and with a predictable rate per workstation. So you always know where you stand.
Curious what it would cost for your organisation?
Every organisation is different, and the best way to find out what outsourcing IT costs for you is an honest conversation. Together we look at your situation and give you a clear picture, with no obligations.
Schedule a no-obligation advisory consultation and discover what IT-gemak can do for your business.
Want to spar with a specialist?
Curious what this means for your organisation? Book a no-obligation consult — we’re happy to think along.
