How Do You Charge?

One topic that always comes up in sales meetings with prospects is how we charge, meaning what the multiplier is. Generally, most managed service providers (MSPs) charge close to the same rate, even though the equation that determines how they arrive at that rate can vary quite a bit.

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What Multiplier Do You Use?

Some companies charge per user, others per machine, and some use a combination of the two. We have even seen some that simply determine a monthly rate and stick with it for an entire year. That method confuses me because machine counts can swing dramatically, both positive and negative, depending on company growth or downsizing.

At Run Networks, we generally charge per computer unless there is a specific reason to charge per user or use a blended model. For example, if an office has significantly more users than computers, it may not make sense to charge by computer. In that case, we make different arrangements.

One thing to consider when charging by device is multiple machines per user. Sometimes, a user may have up to four devices, with three of them running Windows. In that case, we manage three computers and charge for three computers. We match our multiplier of cost to our multiplier of charges as closely as possible. So, three computers per user would result in three charges. We will also typically try to help users streamline their configurations to avoid unnecessary duplicate machines.

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What is Included?

Assuming we charge per computer, what does that include? At Run Networks, we try to include everything the network needs into one price rather than charging for individual items. Our single rate per computer includes core services such as Help Desk, Endpoint Security, Application Whitelisting, Managed Detection and Response (MDR), Backup, and Microsoft M365 MDR.

One item that is required but not included in the per-computer rate is the firewall. Because firewall needs vary at every site, we charge separately for managed firewall services. That cost is billed in addition to workstation charges.

What is the Rate?

You might be wondering about the actual rate we charge. We are comfortable stating that per device charges for any company in the greater Omaha area typically range between $100 and $200 per machine. Our rates are comparable to and competitive with other providers in the area.

With the approximate rate and multiplier in mind, you should be able to estimate rough budget numbers. If this fits what you expect to pay for IT services, then we might be a great fit. Let’s talk!

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