Managed IT Services firms like yours leverage partnerships with hardware, software, cloud, and subcontracting partners to provide a high level of service to your clients.
Often, these partnerships are driven by the popularity and widespread use of the solution provided by that potential partner. Although, as we will see, this is certainly a factor in your matrix of consideration, but not the only – or even the most important – factor.
So, when you’re looking for a channel partner to fill a specific solutions gap in your technology stack or a third-party contractor to handle a facet of IT service delivery for your team, what are the considerations?
Let’s take a look.
#1 – The Product (Solution)
It’s natural to begin your search for a strategic partner with an exploration for the particular solution that you require. Whether it’s a partner for your RMM or someone to do cabling, you often start with the question, “Who can do (and/or provide) what I need?”
#2 – The Potential – to scale with you
Simply finding a channel partner or subcontractor that can deliver the requisite IT service solution, however, is not (by far) the end of the evaluation process. Next comes the question, “Can the solution or third-party partner I’m considering handle my requirements as I scale, or am I limiting my potential growth in this partnership?”
As we’re all aware, there are levels of suppliers in any industry. For some startup MSPs, a particular strategic partnership may work well right now, but it may not be the right fit a year from now.
#3 – The Price – How well does it fit into your budget?
Solutions pricing is a unique study in the resources needed to scale a business. While the pricing of some IT solutions partners may fit well with your current clients, going with those more inexpensive solutions may limit your ability to attract and retain higher-paying clients down the road.
By looking carefully at both your margins with current clients and what (by going with a higher-priced, better quality solution) you could potentially charge clients with more mature companies, you can come to a determination that works for you.
#4. The Proliferation
Some partnerships, as we have already briefly mentioned, are driven by the current widespread use of the solution that that strategic partner already provides to your target market.
Microsoft and Google are two strategic partners – along with hardware providers like Dell, HP, and Lenovo – that fall into this category. While there may be a better solution out there, you’re likely to partner with one or more of these companies because the clients you serve are already heavily invested in the technologies produced by these companies.
#5 – The Performance (reputation)
By talking to other MSP owners, it doesn’t take long to find out whether the solution you are considering performs up the hype of its marketing – or falls short of meeting expectations. Strategic partners – both solutions partners and subcontractors – develop a reputation over time surrounding their performance.
A phone call to a colleague or a question posed in an MSP peer group about the solution you are considering could save you time, frustration, and money.
#6 – The Personalized Support
Part of scaling a company, as we all know, is being able to automate systems. But there is nothing that can replace personalized customer service. So when considering your new strategic partner, it’s important to consider what they offer in terms of support for your use of their solution or service.
Do they offer the full spectrum of chat, email, and phone support?
What hours can you contact their support team?
What limits are put on their customer/partner support?
Often, online MSP forums will give you an unvarnished look at what that potential provider’s current clients think of the customer service they provide.
#7 – Perks
While certainly not the first consideration, “perks” is still something that goes into the mix. By “perks,” we don’t mean a trip to the Bahamas or the use of the company jet, but usually, things that help you sell their product more easily and enable you to make more money. Often, these “perks” come in the form of customizable marketing collateral and sales support to help you land and onboard new clients.
But hey, if you can get that trip to the Bahamas or access to the corporate jet, more power to you!
#8 – Problem Solving
One of the things you will want to consider in a potential partner is how good are they at problem-solving – of thinking outside the box for a client. Do they have a reputation for finding unique solutions and leveraging their solutions in new ways for clients when needed? Or, in contrast, are they more rigid in their approach, leaving it to you to flounder as you search for an answer to a tricky implementation?
#9 – Pace of Development
Is the company that you are considering investing in new products and services that will enable you to take your clients forward? Or, on the flip side of the coin, is their business cash-strapped and unable to keep pace with others that are doing more innovative work? This is often apparent in how often the potential partner is bringing out new versions and features of their offering.
#10 – Public Image
Your MSP has developed a set of core values and a mission statement. You have causes that you care about, and so do your clients. So the question becomes, “Is the strategic partner that I’m considering a good fit for both my firm’s company culture and the sensitivities of the clients that I serve?”
The public image of one supplier over another may play a part in how a potential client (or current clients) may perceive your business.
In Conclusion
At the end of the day, you have to put into the consideration mix those things that are important to you and are critical to the function and future of your business. Our encouragement to you is to take your time and make a strategic partnership choice that you can not only “live with” but one that will play a role in enabling your MSP to thrive.