It’s one thing to think about the future; it’s another to be living it. Now is the time to start living in it. In a recent blog, Dan Rahko of SBT Partners describes three areas of focus that make a Modern MSP. It’s a formula he calls, the one-percent club because only one percent of companies have the business model to scale with recurring revenue in the cloud.
"…having a very healthy business model comprised mainly of recurring revenue cloud and managed services provides increased flexibility to your business across the board, and ultimately, provides Life Time Value (LTV) to clients."
Rahko explains how an industry pundit revealed to him personally that 4,000 of the 400,000 ISTPs have jumped into the cloud, hence the "one percent". This means more room to scale for managed services businesses. It's a model that encourages Modern MSPs, or "one-percenters", to shift their focus from chasing after the next deal to cultivating the customers they already have. It's a situation where everybody wins. You get the steady business from your current clientele, while they get the focused services they need to succeed in this ever-changing industry climate with the cloud. Your customers likely already are ready to embrace the cloud, this is your chance to get them there and keep them up-to-date on that latest and greatest.
This is a concept that is crucial for Modern MSPs as they continue to embrace the cloud and expand their services. Be part of that one-percent club and the incredible advantages that comes with it. Your customers will thank you and you'll be thanking yourself as well. The cloud is here to stay, and Rahko's blog gives us vast insight as to just how monumental it is for Modern MSPs. There's a lot to take in within just his article alone.
Managed services businesses, take heed!