There are 32.5 million small businesses currently operating in the United States according to the latest figure. Nevertheless, 20% of small businesses in America fail their first year of trade. Therefore, establishing a proper business infrastructure is essential to prevent this from happening to your business.
An organization’s IT capabilities can have a huge impact on its success. For communication with clients, promoting your products, and storing data securely, you need this. Small businesses, therefore, benefit greatly from IT services. Because small businesses are so diverse, it is hard to estimate the average cost for IT support for small businesses.
Interested in finding out what IT services for small businesses do and how much they cost in the USA? So, here’s what you need to know. To learn everything you need to know about the cost of IT support for small businesses, hurry up to take a dive into the content then!
What Do IT Services Do?
Having an IT services provider means the business doesn’t need to hire a team of IT personnel in-house. This will be a big help for small businesses without IT expertise or resources. We at Easy Biz Tech offer tech support for small businesses, which means the businesses do not have to hire their own staff.
Your IT service will handle everything your system needs in order to work properly, including;
- Resolving technical issues
- Keeping software up to date
- Taking backups of your system
- Programming for cyber security
- Setting up a company’s IT network
- Maintaining and designing websites
- Keeping your business technology up to date
- Educating staff on how to use computer systems
- Keeping an eye on the system for any threats or issues
In short, your system should keep running smoothly at all times. A good IT service should be able to identify problems early and fix them before they damage the organization. If an emergency occurs, we have a 24/7 help desk to solve the issue immediately.
It all sounds great, but clearly, all of this assistance and support is not free.
What Does IT Support Cost For Small Businesses?
There is no simple answer to this question. Costs of IT tech support can be affected by factors such as your location, the experience of the support company, and the scope of the project. An IT support company in the different cities of the United States of America will charge you differently.
You may need IT assistance only occasionally. The cost for that will differ from managed services, which take care of all aspects of your IT infrastructure. However, IT support costs a small business, on average, between $1,000 and $3,000 monthly.
The Pricing Structure for IT Support
There are a few different pricing models available from IT support companies, depending on your requirements. While looking for IT support services, you should familiarize yourself with them.
- Some plans charge flat monthly rates. Those projects with a clearly defined start and end date usually fit in this category. Furthermore, they’re used to providing managed services having clearly defined tasks.
- Another way to price is by hourly rate. A company can be hired on a retainer basis if you purchase a number of hours in advance. You may want to consider this if you are unsure what you need or if you would like IT support for various small projects.
- Additionally, small businesses are charged based on the number of devices or users. Having this flexibility allows your business to expand or contract as needed. Seasonal businesses with an increase in employees only periodically can benefit from this.
You need to assess your needs before you start looking for IT support companies. If you are clear about your IT support needs, it is easier for you to find the right company.
Cost Calculations for IT Support
When calculating how much you will be billed for IT services, most IT companies typically use this equation:
(Number of devices + Number of servers) x 25 hours of support each year × $100/hour
Let’s assume a system with 6 devices and a single server. There would be an annual cost of $17,500 (7 x 25 x 100). It might be higher if you have a lot of data to store.
The additional data cost is calculated using this equation:
(Amount of data you need to store in gigabytes)/5.
As an example, You will be charged an extra $2500 a year if you store 10,000 GB.
Thus, for a system with five devices, two servers, and 10,000 GB of data, your basic IT costs would be $20,000 per year. And approximately $1,600 is about what it would cost per month.
Types of IT Support for Small Businesses And Their Cost
Managed services pricing models and the kind of service requested will determine the average cost of IT support for small businesses. Most small businesses require Self-managed IT Support and Outsourced IT Support.
Check them out one by one.
Self Managed IT Support
Exactly as it implies, self-managed IT services are self-managed. Most often, they work during the same time frame as you and have a similar headquarter. By partnering with a managed service provider, you can redirect your resources towards revenue-generating endeavors.
In the United States, PayScale.com reports that the median income of an in-house IT tech is currently around $45,000 per year, with the upper end of this range averaging almost $60,000. Techs with more experience earn an average salary of over $46,000, with the highest rate nearing $65,000. In-house salaries, bonuses, and profit-sharing are included in these pay ranges, but benefits such as health insurance are not included.
When considering $45,000 as the comparison basis, we also need to consider employee benefits, sick pay, vacation time, and income tax. Overall, this will cost around $13,000 per year. It is likely that you would have to spend an additional $1000 to acquire the IT Management System application, plus $2500 per user for training. Depending on how many computers are involved, a one-time expenditure of $3500 to $10,000 may be required. Furthermore, an IT specialist’s salary and benefits would be approximately $58,000 per year but maybe more.
Average Cost
Self-managed IT services cost around $40k per year on average. It’s not too bad an investment for the technical help you need.
Pros
It’s good to know that they stay online whenever your business is running, so as long as you’re open, you’ll have access to them whenever you need them.
Cons
One drawback to self-managed services is that they tend to be more expensive than their outsourced counterparts. However, if you are primarily concerned with saving money, self-managed services may not be your best option.
Outsourced IT Support
Outsourcing IT support services to a reputable company requires careful planning and budgeting, but small businesses reap a variety of benefits. Outsourced IT services don’t reside on your premises; rather, they are available remotely to help with your IT problems. Keep that in mind that these services aren’t necessarily inferior to self-managed services. Most outsourced IT companies offer excellent services, and since they’re based remotely, you don’t have to pay for them to stay on-site.
Depending on the age and number of servers and desktops in your organization, the cost of this type of support may differ greatly. The only way to save money with this approach is to purchase blocks of time ahead of time and only use the hours you need on an as-needed basis.
Average Cost
Some companies offer the option to pay as you go when it comes to outsourced services, but most charge around $1,000 to $2,500 a month.
Pros
Increasing the efficiency of business through IT outsourcing is more than just a matter of money – it’s about enhancing business performance. Outsourcing IT costs less than in-house development if you don’t require or don’t have a constant need for IT development projects or live in an area where IT development is more expensive like the US, Australia, Canada, etc.
Cons
Additionally, they won’t be able to provide the immediate assistance you need since they are not stationed on-site. As such, it might be worth considering outsourcing if reliability is your primary concern.
Choose Easy Biz Tech For IT Support
After acquiring a comprehensive understanding of small business tech support, you now need to find out where you can receive it in the USA. If you don’t know whom to turn to, there is no need to look elsewhere. As Easy Biz Tech in the USA offers a range of customizable tech services tailored to fit your budget. Across industries such as healthcare, manufacturing, education, and business, we provide a range of technology solutions.
Have a question? We would be happy to answer it. Feel free to contact us or call us if you have any questions or concerns. See what we’re all about by checking out our tech support page. We look forward to seeing you.
