Imagine finding out your customers’ data was compromised because your MSP didn’t apply a routine security patch in time. The global average cost of a data breach is $4.4 million, according to IBM. But the fallout isn’t just financial; it’s a blow to the trust you’ve worked for years to build. Customers who lose trust will turn to your competitors instead, decreasing your revenue even as your operations are stalled by investigations and remediation. That’s in addition to possible customer lawsuits.
This is why having a proactive, business-focused managed service provider (MSP) matters. Your MSP can provide reliable, responsive, and innovative support to keep your business competitive.
Here are eight top reasons why companies switch IT providers, from the most to the least common.
1. Lack of Communication
Your MSP’s name comes up, and it hits you: You can’t remember the last time you heard from your provider.
When you’re paying a monthly bill for services, no news is NOT good news. Lack of proactive updates about your IT environment/projects and opaque contracts should be deal-breakers.
“When shopping for an IT provider, pay attention to how clearly and promptly they give you information. It should be easy to get answers and clear, comprehensive proposals.”
says Paul Krupa, Director of Sales & Marketing at ISOutsource.
Clarity is crucial. “I’ve seen vague contracts that say the MSP will ‘provide IT support.’ That could mean anything,” says Kenny Gluck, Managing Consultant at ISOutsource. “Get clarity on what they’re promising, and get it in writing.”
Make sure any statement of work outlines exactly what a provider will do, how they’ll go about it and/or measure success, and what the schedule will be. Then make sure they stick to their promises.
Poor communication doesn’t just create confusion. It erodes trust, creates inefficiencies, and increases risk. If your IT services provider promised to perform monthly server checks and that turns out to mean they just made sure your server had a password on it, you could have multiple vulnerabilities and not know it.
2. Slow Response Time
When IT services stall, it slows business operations too. Technical issues and poor performance affect your employees’ productivity. If you submitted a ticket weeks ago and haven’t heard back, or your server replacement project still hasn’t happened, it’s time for a new MSP.
No matter how comfortable you are with your MSP, IT service providers who don’t have the bandwidth or ability to execute on their commitments aren’t giving you adequate support.
“Your MSP is responsible for your IT systems. It shouldn’t take them days or weeks to return a phone call or send you a proposal,” says Kenny.
This is an issue you can spot early on. If communication during the sales process isn’t prompt and professional, don’t work with that provider. If your current provider isn’t following through on their commitments, give them notice that they need to stick to their service-level agreements (SLAs), or you’ll be leaving.
3. High Costs
The right MSP should help you align technology investments with business goals, to ensure you get maximum value. High or escalating costs, poor value, and surprise expenses are more top reasons to look for a new provider.
Avoid overpriced services or rising costs without visibility into pricing structures and changes. If your provider’s prices keep going up, ask them to explain in detail why. If the increases are too high, start shopping around for a new provider.
A note of caution: If you find a provider who says they can provide the same level of support you have now for significantly less money, like 30% to 40% less, it could be a sign of poor quality service, which ends up being a poor value.
You don’t have to tolerate unexpected expenses. If an MSP’s pricing structure doesn’t make sense and they can’t clarify it, keep shopping. Every fee related to a contract should be included and explained. To protect yourself:
- Find out before you sign a contract whether an MSP charges a termination fee for leaving early or switching to another provider.
- Ask what is and isn’t included in the contract, and what situations usually incur extra charges.
If your budget shrinks, your MSP should be able to help you save without sacrificing quality. “Be clear with your MSP: Do you need to reduce overall spend? Is this a temporary change due to cash flow issues?” says Kenny. “Usually, if you give us a number to save over during the year, we can do it without compromising security, compliance, or service. I’ve even put clients on temporary ‘life support’ models that do the bare minimum for security and operations.”
4. Lack of Visibility or Control
You can’t manage what you can’t see coming. A vulnerability in your outdated operating system shouldn’t leave you scrambling to upgrade at the last minute. A proactive MSP will replace systems and software before they create problems.
When MSPs take a break/fix approach and don’t track the lifecycle of your investments, you’re at the mercy of outside events.
In contrast, proactive MSPs offer:
- IT roadmaps that help you anticipate when to upgrade and replace solutions, devices, and infrastructure before they fail or create problems.
- Regular assessments, strong security measures, and solid governance, risk, and compliance (GRC) practices, so you know the state of your IT environment.
- Easy access to your data. Some MSPs offer contracts where you lease all necessary devices, software, and infrastructure. These solution-in-a-box contracts have low introductory rates but can make it difficult to access your data.
- The option to use your existing technology. If you want to start a digital transformation, you should expect to migrate to a new solution. But if it’s your MSP’s idea to require that you use their technology, they should have a very good reason.
Partners who react to problems as they arise are already behind. Instead, find an MSP who can be a strategic advisor, providing insights that support agility and growth.
5. Poor Technical Execution
Even the best technology strategy fails without solid execution. If the file server is down again, or the software bug in your CRM system is still slowing down your sales team that’s a problem, not an isolated mistake.
“If your MSP doesn’t do a good job on a migration or other project initially, they should be able to fix it quickly for no extra charge,” says Kenny. “No excuses.” But a pattern of poor execution is a reason to switch providers.
Reliable service isn’t optional. It’s the foundation of trust in any IT partnership.
6. Security Lapses or Concerns
Security failures don’t just disrupt operations; they threaten client confidence. Missed security updates and weak incident response are major red flags:
- Ask what security frameworks your MSP follows to keep themselves up and running, like NIST, CIS Controls, or ISO 27001. For example, ISOutsource follows NIST and ISO, and we’ve achieved a Type 1 attestation for SOC 2.
- They should also offer (and use) advanced threat detection, 24/7 monitoring, and fast incident response.
If they don’t have or provide adequate security, start looking for a new provider.
7. Differences in Organizational Styles
If your provider doesn’t understand or align with your business priorities, it can cause problems.
Some organizations have slower, more formal decision-making processes. Others are more agile and informal, iterating on the fly. If your MSP can’t match your needs here, misunderstandings can cause frustration and delays.
If your company requires detailed reports instead of email updates, or you can’t get a clear answer when you need one, you may need to switch providers. The best MSPs adapt to your organization’s needs, not the other way around.
8. Lack of Innovation
Technology moves fast. Your IT provider should move faster. An MSP should be recommending solutions to reduce manual workloads, strengthen cyber defenses, and streamline business operations for faster growth and cost savings. Whether that’s AI or automation, it’s their job to know the technology landscape and how they can support business growth.
This isn’t just about innovation. If your provider isn’t recommending new technologies to address your changing business needs, they could be holding you back. If they aren’t up on the latest security threats and solutions, you could end up facing unnecessary risks.
Look for MSPs who offer strategic services, like virtual CIOs (vCIOs), to make sure they offer flexible, modern business support. After all, an MSP’s expertise and proactive services are two of the main advantages they offer. An MSP should help you stay ahead of change, not play catch-up.
Time to Switch MSPs?
If one or more of these items sounds familiar, your MSP is holding you back.
Switching providers can be a smooth process, and our approach to transferring service has proven success.
“If your MSP feels reactive or outdated, it may be time for a change. At ISOutsource, we help businesses simplify IT, save money, and strengthen security, all without long-term contracts. Let’s talk about how we can help your technology drive growth,” says Naveen Rajkumar, CEO and President of ISOutsource.
If you need flexible pricing, no-term commitments, and proactive service, contact us today to talk about how we can empower your business.