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Hire an IT Person or Use a Managed IT Provider?

Should a small business hire an IT employee or use a managed service provider? Coverage, skills, security and total cost compared for growing teams.

IT planning session with network equipment and a laptop

The short answer

For most businesses under about 75 people, a managed IT provider (MSP) gives you more coverage than one IT hire: a full help desk, security tools, 24/7 monitoring and specialists in networking, Microsoft 365 and backup, with no single point of failure when someone is sick or leaves. An in-house IT person makes sense once you need someone on site every day, and many growing companies end up with both, an internal IT lead working alongside a provider.

By Mohammed Khan, Khan Design · Framingham, MA · Updated

Managed IT

One in-house IT hire vs Managed IT provider

One in-house IT hire compared with Managed IT provider
CoverageOne in-house IT hire One person’s working hours, minus vacation and sick daysManaged IT provider A team, with monitoring that runs around the clock
SkillsOne in-house IT hire Whatever one person knows wellManaged IT provider Help desk, networking, security, Microsoft 365 and backup specialists
Security toolsOne in-house IT hire Bought and configured separatelyManaged IT provider EDR, monitoring, patching and backup included in the plan
CostOne in-house IT hire Salary, benefits, training and toolsManaged IT provider Predictable monthly fee, usually per user or per device
If they leaveOne in-house IT hire Knowledge and passwords may leave with themManaged IT provider Documented environment stays with your business
On-site presenceOne in-house IT hire There every dayManaged IT provider Remote first, with on-site visits when needed

The hidden cost of “one IT person”

Hiring a single IT employee looks simple: one salary, one person who knows your systems. In practice, that person is expected to be a help desk, a network engineer, a security analyst and a project manager at once. Few people are strong at all of those, and nobody covers for them when they are out.

There is also the tooling. Endpoint protection, monitoring, patch management, backup and documentation all cost money on top of the salary, and someone has to keep them configured.

What a managed IT provider takes on

A managed IT plan replaces that patchwork with a team and a standard toolset:

  • Help desk support for day-to-day requests, remote first.
  • Endpoint management and patching for every computer.
  • EDR security and 24/7 monitoring that catches problems early.
  • Backup for servers, computers and Microsoft 365.
  • Documentation of your environment that stays with your business.

When an in-house hire makes sense

An internal IT person earns their place when you have enough daily on-site work to keep them busy: hardware swaps, a busy front office, specialized equipment, or a team large enough that someone needs to own IT projects and vendor relationships full time.

Even then, they usually work best with a provider behind them. The internal person handles people and projects; the provider supplies monitoring, security tools, after-hours cover and extra hands for big jobs.

Which is right for you?

A managed IT provider fits if…

  • You have roughly 5 to 75 employees
  • Nobody on staff owns IT today, or it falls on an office manager
  • You need security and backup you can prove to an insurer
  • You want predictable monthly costs

Add an in-house IT person if…

  • There is daily on-site work for someone to do
  • You run IT projects back to back
  • You want one internal owner for vendors and budgets
  • They will still need tools and backup cover behind them

Common Questions

Not sure which model fits?

Book a free consultation. We will look at your team, your systems and your budget, and tell you plainly whether managed IT makes sense.