MSP Pricing Explained

Understanding the Cost of Managed IT Services

When businesses start exploring Managed IT Services, one of the first questions they ask is — "How much does an MSP cost?"

The truth is, MSP pricing isn't one-size-fits-all. It depends on several factors — from company size and service scope to security requirements and technology infrastructure.

This guide will break down exactly how MSP pricing works, what you should expect to pay, and how to choose the right pricing model for your business — without overpaying or compromising on quality.

What Is an MSP (Managed Service Provider)?

A Managed Service Provider (MSP) is a company that proactively manages your IT systems, networks, and security — often at a predictable monthly cost.

Unlike traditional IT support (which charges per incident), MSPs offer flat-rate, ongoing IT management, covering:

  • System monitoring & maintenance
  • Cloud and infrastructure management
  • Helpdesk & support services
  • Cybersecurity & compliance
  • Backup and disaster recovery

MSPs help businesses reduce downtime, lower IT costs, and maintain a secure and efficient technology environment.

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Managed IT Services

Proactive IT management that keeps your business running smoothly with predictable costs.

Why Understanding MSP Pricing Matters

Many companies either overpay for unnecessary services or underinvest in critical IT protection.

Understanding how pricing models work allows you to:

Compare MSP proposals fairly

Budget effectively for IT operations

Identify value-added vs. hidden-cost services

Avoid vendor lock-in and pricing traps

Common MSP Pricing Models

Most Managed IT Services Providers use one (or a combination) of the following pricing structures.

Per-Device Pricing

Businesses pay a flat fee per managed device — such as desktops, laptops, servers, or network equipment.

Device TypeAverage Monthly Cost
Workstation / Laptop€30–€80
Server€120–€500
Network Device (router/firewall)€50–€200

Pros

Best for: Small to medium businesses with predictable device counts.

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Considerations

Watch out for: Separate add-ons for mobile devices or IoT endpoints.

Per-User Pricing

Charges are based on the number of active users — ideal for remote or hybrid workplaces.

Plan TypeAverage Cost per User
Basic IT Support€70–€100
Premium Support + Security€120–€200

Pros

Best for: Businesses with flexible teams or BYOD (bring your own device) setups.

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Considerations

Note: Ensure multiple devices per user (laptop + phone) are covered.

Tiered / Bundled Pricing

MSPs often offer three main tiers:

PlanFeaturesAverage Price
BasicMonitoring, patching, remote support€50–€100/user
StandardAdds backups, antivirus, cloud support€100–€180/user
Premium24/7 support, compliance, SOC monitoring€200–€300/user

Pros

Best for: Businesses that prefer clear, scalable packages.

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Considerations

Pro Tip: Look for MSPs with flexible customization inside each tier.

All-Inclusive (Flat-Rate) Pricing

A single predictable monthly fee that includes everything — devices, users, support, security, and cloud management.

Pros

Best for: Companies wanting zero hidden costs or surprises.

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Considerations

Consider: Review SLA (Service Level Agreement) to confirm inclusions.

À la Carte Pricing

Ideal for businesses that only want to outsource certain IT functions.

ServiceAverage Monthly Cost
Helpdesk Support€30–€70/user
Cloud Backup€50–€150
Security Monitoring€100–€300
On-site Visits€150–€250/hour

Pros

Best for: Companies with an internal IT team needing specific outsourced support.

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Considerations

Factors That Affect MSP Pricing

No two businesses have the same IT setup — that's why MSP pricing varies. Here's what drives cost differences:

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Business Size & User Count

The more users or endpoints you have, the more resources your MSP will manage.

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Infrastructure Complexity

Companies with hybrid cloud environments, multiple offices, or legacy systems require advanced management.

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Service Scope

Adding cybersecurity, compliance, or 24/7 support increases total cost but reduces downtime and risk.

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Compliance Requirements

Industries like healthcare, finance, and government must meet strict security standards — which often add layers to MSP services.

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Location

European MSPs in regions like London, Paris, Amsterdam, or Berlin may charge differently based on cost of operations.

What's Typically Included in MSP Packages

Most Managed IT Services Providers include these key components in their monthly pricing:

  • 24/7 monitoring and alerts
  • Software updates & patch management
  • Helpdesk support (email, phone, chat)
  • Cybersecurity tools (firewall, antivirus, endpoint protection)
  • Data backup & recovery
  • Cloud hosting and management
  • Reporting & analytics dashboards

At CollabsVerse, our MSP packages combine performance, protection, and predictability — no hidden fees, no surprises.

What's Not Usually Included

To compare fairly, always ask your provider about excluded services, such as:

  • ⚠️Hardware replacement costs
  • ⚠️Project-based work (migrations, new setups)
  • ⚠️On-site emergency visits
  • ⚠️Advanced penetration testing
  • ⚠️Third-party software licenses

Transparent MSPs clearly document these in the SLA (Service Level Agreement).

Regional MSP Pricing Examples in Europe

MSP pricing varies across European markets based on local demand, compliance requirements, and operational costs.

CountryAverage MSP Cost per UserNotes
UK£90–£180High demand for compliance-focused MSPs
Germany€80–€160GDPR-driven data security pricing
Netherlands€70–€140Strong SME and startup client base
France€90–€170Hybrid cloud and endpoint focus
Spain€60–€120Cost-effective remote MSP options
Italy€70–€150Growth in managed security services

How to Evaluate MSP Value (Not Just Price)

When comparing managed service provider pricing, don't focus only on cost — look at value per euro spent.

Ask yourself:

Does the MSP include 24/7 proactive monitoring?

Is cybersecurity protection standard or add-on?

Do they provide compliance-ready documentation?

Are upgrades and software patches automatic?

What's the SLA uptime guarantee (99.9% or higher)?

Cheaper doesn't always mean better — a reliable MSP saves thousands in downtime prevention and data loss protection.

Comparing MSP Pricing vs In-House IT

Understanding the cost differences between managed services and internal IT teams.

OptionAverage Monthly CostKey Advantage
In-House IT Team€10,000–€20,000+Full control, but high overhead
Outsourced MSP€2,000–€6,000Predictable costs, 24/7 coverage
Hybrid IT (internal + MSP)€5,000–€10,000Strategic outsourcing balance

MSP Pricing Scenarios

Real-world examples of MSP pricing for different business sizes.

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Small Business (20 Employees)

Needs:

Email support, backup, endpoint security

Model:

Per-user (€100/user)

Monthly Cost:

~€2,000

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Mid-Sized Company (100 Employees)

Needs:

24/7 monitoring, compliance, cloud integration

Model:

Tiered (Standard Plan)

Monthly Cost:

~€10,000–€15,000

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Enterprise (500+ Employees)

Needs:

Global offices, hybrid cloud, SIEM integration

Model:

All-inclusive

Monthly Cost:

€40,000–€70,000

Ready to Discover Your Perfect MSP Plan?

Let's build a pricing package that fits your business — without overpaying for services you don't need.

Free consultation
Transparent cost breakdown
Custom-tailored plan within 24 hours

Final Thoughts

Understanding MSP pricing helps businesses make smarter decisions — balancing cost, quality, and strategic value.

The best providers (like CollabsVerse) don't compete on price alone — they deliver predictable, scalable, and secure IT outcomes that support your business long-term.