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What to Do When Your MSP Enforces Projects or Minimums

Your MSP just told you they're implementing a 10-user minimum. Or they're pushing a $30,000 infrastructure project. Sound familiar?

You're not stuck. Here's what you need to know.

Why MSPs Force Minimums and Expensive Projects

Traditional MSPs operate on an "all you can eat" business model. They bundle everything together and need high minimums to make small business accounts profitable.

Their legacy partnerships with hardware vendors create another problem. These MSPs get better margins from selling expensive equipment than providing actual service. That's why they push costly server upgrades and network overhauls you probably don't need.

The math is simple: serving a 5-person business costs them almost as much as serving a 25-person business, but generates far less revenue. So they either force minimums or pile on expensive projects to hit their profit targets.

Your Immediate Options

1. Negotiate Hard

Challenge every requirement. Ask for detailed justification of minimums and project costs. Most MSPs have some flexibility, especially if you're a long-term client. But... then again.. some don't and really do not care about your business.

2. Request Itemized Pricing

Break down their bundled services. You might find you're paying for things you don't use or need. This creates leverage for negotiations.

3. Explore Service Reductions

Consider which services you could handle internally or eliminate entirely. Remote monitoring might be essential, but do you really need their help desk for basic password resets?

4. Shop Your Options

Get quotes from other providers. Even if you don't switch, competitive pricing gives you negotiating power.

Evaluating Hardware "Requirements"

When your MSP insists on expensive infrastructure upgrades, ask these questions:

  • What specifically will fail without this upgrade?
  • Can we address individual components instead of replacing everything?
  • Are there more cost-effective alternatives?

Many "critical" hardware projects are driven by vendor partnerships rather than your actual needs. A $30,000 server replacement might solve a problem that cloud migration could address for $300 monthly.

The Real Problem with Legacy MSPs

Here's what most businesses don't realize: traditional MSPs can't profitably serve small businesses without these constraints.

Their overhead is built for enterprise clients. They maintain expensive offices, large sales teams, and complex service stacks. When they take on smaller clients, they need to either charge enterprise rates or find other ways to boost revenue per client.

That's why they push hardware sales, enforce minimums, and bundle services you don't need. It's not personal; it's their business model.

Modern Alternatives That Actually Work

The technology landscape has changed. Cloud services, automation, and new security tools make it possible to deliver enterprise-grade protection without enterprise overhead.

Look for providers who:

  • Charge per service, not per user
  • Lead with security rather than hardware sales
  • Offer transparent, consumption-based pricing
  • Focus on business outcomes over technical features

These providers can be profitable serving small businesses because they've built modern, efficient operations from the ground up.

Taking Action

Start with a security assessment to understand what you actually need. Many providers offer free evaluations that give you baseline information for any negotiation or provider switch.

The Digital Dam Assessment takes 5 minutes and shows exactly where your business is vulnerable—without sales pressure or minimum requirements.

Knowledge is power in these conversations. Understanding your real security and technology needs helps you separate genuine requirements from revenue-driven recommendations.

Your Technology Should Serve Your Business

You deserve technology support that scales with your business, not against it. Whether you negotiate with your current provider or find a new one, remember: minimums and forced projects should serve your needs, not theirs.

The best MSP relationship feels like partnership, not vendor lock-in.

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