MSP FAQ: Expert Answers for Managed Service Providers
Pricing, quoting, vCIO, roadmapping, CPQ, retention, compliance, security, and Microsoft 365. Written by MSP veterans, not marketers.
Quick Answers
4 questions
What's a healthy gross margin for managed services?
A healthy gross margin for MSP managed services is 65-75%. Below 60% means your stack costs too much or you're underpriced. Above 80% usually signals underdelivery or impending churn.
How long should an MSP quote take to create?
Under 30 minutes for a standard deal. If you're spending hours building quotes, you either lack templates or you're over-customizing. Both kill velocity.
What does a vCIO actually do?
Translates business goals into technology roadmaps. Runs QBRs. Manages vendor relationships. Owns the IT budget conversation. Presents options when leadership asks "should we do X?"
What is CPQ software for MSPs?
Configure, Price, Quote. Software that automates building proposals based on rules, pricing logic, and service bundles. Eliminates manual spreadsheet errors and speeds up sales cycles.
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