By
Mendy Green
June 9, 2021
•
20 min read
Business
In any business where you’re not billing Time and Materials, the amount of time you spend on a project directly correlates to how profitable you are. In an MSP, this applies even more. MSP Businesses were designed years ahead of their time, bringing into practice concepts such as recurring revenue, outsourcing, efficient resources, and more; before people even realized the value. It’s the reason that today the MSP Businesses are blowing up with everyone you meet starting their own. Unfortunately, there’s a complex side to the framework of an MSP that is very often overlooked, especially by those just starting out.
Let’s discuss how the MSP business model is built. MSPs pitch to their prospective clients that they can provide the same level (or often times better) IT Services to their organization than they themselves can find if they go with someone internally. They ask for less money, and offer a bigger team with greater experience. These same MSPs then have to turn around and hire the same people that would have been hired directly, and not just one, but two or three or more depending on the size of the MSP.
MSPs have to pay the same salary with a smaller budget. How can these numbers possibly work?
This is where efficient resources come in; an MSP needs to stack multiple clients reusing the same resources for each client so that together all the clients combined pay enough money for the MSP to pay the technicians salary and make a profit. The income also needs to cover all base expenses of the MSP which includes infrastructure such as an RMM, PSA, Email, Phones, over-night team for emergencies and so on.
With an internal IT resource, that resource would be solely focused on the business they were working for and getting paid a full salary of say $52k/year, now the same resource at an MSP is getting paid $52k/year and needs to stay on top of not one company IT needs, but actually 3 or 4 (or more depending on the contract size of each). This kind of expectation is unreasonable and when maintained results in high-stress work environments and eventual burn out for the technician. The saying “trial by fire” is very applicable to the technicians who work at an MSP. They are under constant barrage of tickets and stress, jumping from company to company each ticket wildly different from the next. This makes them unusually skilled and also rapidly exposes them to a wide range of experience they may not have received working for just one company. A good MSP technician of the lowest tier can easily go head to head in ability (if not knowledge) to a mid-tier internal IT resource.
Now keep in mind that when MSPs started we were a new phenomenon. There was no standard to follow, no existing business to copy, except for the existing internal IT department within a Company. We didn’t know what kind of pay structure was fair to offer a Tier 1 or Tier 2 technician because there was no “average pay” metric. The only thing we did know is that we are building a business with a stress on smaller dollar amounts per client, and more total clients. This means what we paid our technicians had to be less too, or that we keep the MSP as lean as possible with only the amount of technicians truly needed. Following the 80/20 rule we determined that 80% of the time with our clients running smoothly we would be fine and only 20% of the time when some kind “perfect storm” would occur we would need to motivate our technicians to put in more effort (or what was generally called “figure something out”).
What’s being described is not a sustainable long term plan. Simon Sinek likes to stress that business is an Infinite Game and that those who are not playing by those rules are doomed to failure eventually. The only way to stay in the game is by having resources, and the will to keep playing. We’ve already established that MSPs do not have the same pockets as a normal business, not without drastically imposing upon “will”, our employees, making them work in stressful environments and constantly being battered by the next broken issue.
The fix for this is easy, and its an iteration of what we already started. Efficient use of resources. Efficiency can help us spend less time per ticket, less time per client, and improve our technicians stress in the environment. There are two side to the efficient use of resources, one of which we already started (Sharing resources among companies) but the other is often overlooked “Work load management”. If we can make our work load efficient we can easily improve upon all the issues we just brought up. Here are some ideas that can be used to help facilitate the efficient workload.
Efficient resources is way more than just sharing resources. Making your workload efficient is just as important. Remember how profitable you are directly correlates to how efficient you can be
Remember, in the MSP business time isn’t a loss of potential profit, its actual profit lost as your contracted rate is the same every month. Automation and bulk actions are extremely important as the less time you spend doing something the more your Per Hour amount goes up.
While we pride ourselves at Rising Tide on being clever, we didn’t make this up on our own.
Over the past year, multiple clients told us the same thing in different ways:
“We don’t need a full-on consulting. We just need someone to help us stay on top of the tools we already have.”
“Can you set aside time each month to tell us what’s working, what’s not, and what we should actually do next?”
“Honestly, I just want to know if anything’s falling through the cracks.”
MSPs weren’t talking about emergencies. They meant the small stuff. The not-yet-broken-but-might-be. The features that got launched but never rolled out. The bugs they forgot to follow up on. The process that made sense when they built it... but not anymore.
So we listened and built out a Proactive Support offering for teams like yours. Support that pays attention, leveraging the best of Rising Tide to make the best of your systems. It’s not reactive. It’s not rushed. It’s not about being broken.
It’s about staying in control, without wasting time figuring out where to start.
Designed for Rising Tide clients who’ve already implemented tools like HaloPSA, Hudu, and Rewst, and just want to keep things running smoothly without spinning up a full project or workshop every quarter.
Here’s what Proactive Support looks like in practice:
A short, focused check-in on the systems you want our guidance on. for:
You’ll walk away with a small, clear action plan that you can execute on your own or leverage the Rising Tide team to complete.
We read the release notes so you don’t have to. You’ll get:
We’ll chase the vendor on your behalf. That includes:
If something breaks in a tool we’ve implemented or documented, we’ll:
To be clear, the Rising Tide Proactive Support Plan is not consulting. Proactive Support is only for systems we’ve implemented and reviewed. It doesn’t include:
If we find something that should be a project, we’ll tell you and help you decide how you would like to move forward.
$900/month
Includes up to 5 hours of support time
Bundled with licensing or dashboard/reporting add-ons, if you need them.
The goal isn’t to keep you dependent on us. It’s to help you feel like you’re on top of your systems instead of under them.
We’ll help you spot friction before it becomes fire, surface fixes you might’ve missed, and give you the clarity to act, delegate, or table things with confidence.
That’s the tide we’re trying to raise.
Ready to add Proactive Support? Or want to see a sample check-in?
Contact Rising Tide Consulting Today. We’ll show you what this looks like.
It’s been a few months since our last update. We’ve enjoyed seeing many of you on the road at Right of Boom, MSPGeekCon, and Flow. Hopefully you’ve taken the learning and tools you picked up at each even and are using them to their fullest!
In light of the conversations we’ve had with many of you at these conferences and in your consulting calls, we’ve been building a few new offerings that we hope will help you and your teams continue to learn and grow in your use of HaloPSA, Hudu, and Rewst. Take a look at our new Proactive Support, YouTube videos, and Administrative tools for you in the Rising Tide Portal.
Shaped directly by your requests, the Rising Tide Proactive Support plan is for teams who want another set of eyes on your systems, to make sure you’re getting the most out of your subscriptions. This new monthly support plan includes:
Read more about it here:
https://www.risingtidegroup.net/thoughts/introducing-rising-tide-proactive-support
We’re actively growing our YouTube channel to create more and more helpful resources for you as you implement your tools and automations. Of note, check out:
There’s plenty more! Be sure to subscribe to our channel and hit the bell to get notified when new videos drop.
As a reminder, if you have hours on your pre-pay total, we keep them viable as long as you have a project on the books with us within a calendar year. If you want to know what your current hours are, visit the Rising Tide user portal at portal.risingtidegroup.net. In this area of our website, you can:
We recommend booking an hour at least once a month, and more frequently if you have work you want to get done! We don’t charge cancellation fees, so book time freely with any of our consultants and we’ll get your sorted. To book time, access your project from the portal to grab your booking link or pull it off any of the recap emails sent.
A recent change to how HaloPSA processed notifications caused them to break in certain conditions. If your notifications stopped working, update your Permissions - Base role client restrictions to grant all clients to role members. Reach out for more specific instructions if you need it.
Lastly, as a bonus, enjoy the new Rising Tide theme song generated with Suno by our very own Jason Parsons.
Thanks for trusting us and being part of this work with us. We’ll keep refining what we offer based on your feedback so don’t hesitate to reply and tell us what’s working, what’s still messy, and what you’d like to see next.
Until next time,
The Rising Tide Team
Productivity. It's one of my most beloved and yet most hated concepts. At its core, productivity is just output over time: a metric that first rose to prominence during the Industrial Revolution as we looked for a way to measure how efficiently machines (and then people) produced goods.
But, dear reader, I propose to you that we aren't machines whose only value in what we produce, and we should be intentional about evading that trap.
It's tempting to equate productivity with worth. In a tech-driven world where the average worker is already exponentially more productive than generations before, chasing productivity for its own sake can leave us burnt out and disoriented.
Chasing productivity alone can reduce our identities to more emails, more code, more content. An endless and meaningless attempt to bend the boundaries of finite resources.
Instead, I want to reframe the conversation around efficiency: meaningful output over time. Efficiency asks better questions which will lead us to better answers. No longer are we asking, "How much did you do today?" but rather, "Was it worth doing?" It is very important to me that we can reclaim this quality as something every worker can own and take pride in, and that it isn't merely a metric for middle management to squeeze as much out of you as they possibly can.
It's called Triple D not just because I'm a Guy Fieri fan (Diners, Drive-ins, and Dives is peak American reality TV in my humble opinion), but because I believe every great day at work should have that same heart: a little execution, a little learning, and a little dreaming about what’s next.
Triple D in light of our conversation on meaningful, modern productivity and efficiency in the workplace is: Do, Discover, Dream.
These three feed into each other, creating a loop of sustainable, intentional work. It honors both execution and imagination.
SInce we've defined efficiency as something every worker is in command of in their own lives, it's worth noting that attaining better efficiency isn't about having expensive software or corporate resources. It's about using what you already have as well as finding new tools. Many aspects of productivity can be inexpensive, or free. With that said, I break tools into three categories:
In order to accomplish all of the Doing, Discovering, and Dreaming you are capable of, it's vital that you establish a Flow to create structure, sense, and accountability.
Your body and brain are your most important tools. Building a rhythm that supports rest, clarity, and momentum matters more than any productivity app. Ways that you can establish Flow:
Start with what you already have. You might be surprised by what your existing tools can do.
And if your organization already uses Microsoft or Google, explore Copilot or Gemini before paying for new AI tools.
Space is more than just free time. It’s about creating breathing room to connect the dots.
Most importantly, focus on how you can build in downtime to let your mind wander. That’s where big ideas and problem-solving happen.
At the end of the day, productivity was a metric that was created for machines, and you're not a machine. You’re a human in a finite, soft body, in a world that is often very hard. Your value is not your output.
Efficiency, in contrast, helps you:
When we focus on efficiency, we create room for autonomy, insight, and innovation. That’s what helps teams thrive and businesses grow.
So: Do. Discover. Dream. And build a system that works for your actual life—not just your to-do list.
Author's Note: I also recorded a video on this with a few anecdotes and visuals. You can view it here: Rethinking Productivity: Tools and Mindsets That Actually Work.