MSPmentor stands ready to answer your most pressing questions about the managed services industry, best practices, common challenges and any other MSP-related topic you’d care to raise. Our editorial team and guest bloggers represent some of the sharpest minds in the MSP industry. Simply fill out the form below and we’ll respond to your question within two business days. Previous Questions: Scroll down to see questions our Mentors have already answered. The discusses between our mentors and readers, however, remain private.
Recently Answered Questions
In recent weeks, our expert mentors have answered the following questions submitted by MSPmentor readers:
Question: I am starting a new consulting practice and have been looking at the various MSP platforms; LPI, Kaseya, Zenith etc. I have been looking around for a comparative analysis of these platforms but have not found any of real value. Can you recommend any for a sole proprietor looking to expand to a 4 person practice within the next 18 months? Thank you.
Question: We are completing our 5th month as a Managed Services Provider, everything is going as smooth as can be expected, with a few bumps along the way as the result of choosing the wrong MSP provider. That transition is now behind us and we have closed our first two deals, One in December and the second last week. Both contracts are for two years and the Clients paid up front. The two contracts were collectively around $135,000. Microsoft financing handled both transactions, which was great, and if I can be any help to those that have questions about how these deals went so smoothly, because of MS Financing, I would be glad to share. My major pressing question is about sales compensation. Can anyone direct me to one or a number of web sites that specifically speak to the notion of “Industry Averages” or “Stats” as to what an average Senior Account Manager that is dedicated to the “sales” of Managed Services would earn, on average, from a salary standpoint and then what would be the average commission, as a percentage, again, “industry averages” and finally, what would a typical plan look like at the end of the year. Would one continue to pay out on an annuity basis, year after year, assuming the manager was involved in the account management. Do MSP best in class, as a group, incent the sales staff off of the gross revenue, gross profit, etc. We are really struggling with this one component of our new initiative and would be so, VERY, VERY greatful for any responce to the above. Thanks in advance and we are hopefull to close deals three and four this week!! Thanks to all.
Question: If I were a vendor who had a service or product which would ideal for the arsenal of an MSP, what would be the best way to go out and find these MSPs. I would be looking for MSP’s who believe strongly in managed services and the business model of recurring revenue. I would also be looking for MSP’s who’s employees number 2-25 and whos revenue might be anywhere from 1-5 million (possily even less than 1 million if they have a good potential for growth). How do I find MSP’s?
Question: I am researching the managed services sector here in Europe and would like know more about the experience in the US where the industry is more mature. I am particularly trying to find examples of Data Centre and Telco operators becoming MSPs. From what I understand you focus on VARs converting into MSPs, but presumably other segments of the market also encroach on the MSP market incl data centres; telcos; software manufacturers; hardware manufacturers; systems integrators; Disaster recovery experts; and hosting co.s etc. I am interested particularly in the first two and the particularly challenges they face.
Question: We are just getting into MSP, and I took a look at your powerpoint available through MSPmentor. We are going to sign up with Level Platforms. However, we need a similar solution for Disaster/System Recovery. Do you know of a good platform for us to consider?
Question: To be or not to be… an MSP franchisee? Would I be better off to start an MSP biz from scratch or buy a franchise from Utility, Concerto, CM IT, or etc? Long term, I think from scratch would be better but getting over that 5 year hump might not happen. Please give me your experienced opinions. I am in a corporate job right now and I want to be in business by this time next year.
Question: Hi, I am looking into making an offer to buy an existing Manage Service Provider in the Midwest region. The Revenue is $1.2million, with staff of 28 people. They have contracts still good for additional 2 years. A preliminary number indicates that they are loosing money. How should I evaluate and make an offer that is right for the business?
Question: I am a recent college graduate who has been working for the past year at Citigroup managing large technology infrastructure projects. Over the last few months I’ve been working on putting together a plan for an MSP business. I have a partner my age who has about 4 years of experience working and interfacing with clients in a VAR. We believe we have a strong grasp of the industry from months of research and believe we have a great opportunity in what appears to be an underserved market. We would love to get more perspective on the real world experience of people well versed in the MSP industry. Any advise, suggestions or the like would be greatly appreciated. We would be extremely grateful if your team could connect us with an MSP that we could actually use as a mentor.
Question: I am basically network consultant (ccie) by profession , but entreprenuer by heart. Actually i m thinking/searchng the possiblites to start managed services business , to start with i want to go with a managed noc for a service provider. i do have a team of techies. having read cisco’s ms channel program and couple of others i feel tizzy where to start. i was searching ur site and came across 9 step printer managed services thing. Could be of any help for me to mentor what are the steps/requirement/strategy to start with. I want to start with infrastructure servies , ip/mpls vpn etc. looking forward for ur prompt reply.
