This segment determines that the agreement is governed by the laws of the respective state and that the MSP is not responsible for not providing services due to circumstances beyond its control. If so, you probably intend to add or expand your managed services offerings and generate more recurring revenue soon or in the future. If so, your Managed Services Agreement (MSA) will be your most important transformation tool. Most managed services agreements include terms and conditions that govern all related transactions between the provider and the customer. The goal is to establish a long-term business relationship with the client. While some providers may act as a short intermediary between a service and the customer`s needs, a managed services contract gives customers the peace of mind that they can rely on a provider at all times. Agreements are usually long-term binding contracts that are renewed annually or at the end of the contractual period. A managed services contract is an agreement between a managed service provider (MSP) and a customer. The contract is a service level agreement (SLA) that describes the responsibilities of both parties. This includes the services that the MSP will provide, the minimum time for a response, the payment structure and liability protection.

Make sure that every contract you sign contains all of these conditions. Signing a contract with an MSP is as much about protecting your business as it is about confirming the agreed services. If you`re worried about the terms of your managed IT services contract, look no further than the wallets of your local MSPs. What happens after you sign your managed service contract? The implementation of a contract is the starting point, both for you and for the service provider. Whether these services are provided when establishing a new MSP relationship or updated with an existing provider, you rely heavily on the service provider for your managed service requirements and abide by the agreement. Scale is a managed IT service provider in Little Rock, Arkansas, with over 98% customer satisfaction. Contact us today for tailored IT solutions, honest terms and state-of-the-art IT management technology to guide your business into the future. Some common services that MSPs can implement and/or manage for a client are: You should also consider your MSA as a potential sales tool.

You`ll find that the cover page of our MSA template includes a checklist of services and products offered that you can use to amplify the value you offer a customer before asking them to sign on the dotted line. Before they even dig into the agreement, the client has a clear understanding of what they are receiving under the agreement. Developing a Managed Services Agreement (MSA) is often the first thing a technology solutions provider (TSP) does to prepare to provide services to a potential customer. It helps: Make sure you are not held responsible for any loss or damage beyond your control. The pandemic is a great example of how external forces beyond your control can quickly impact your business and customers. It is important that your managed services contract takes these potential changes into account and clearly defines the expectations of the business relationship in times of crisis, including what customers should expect. These terms also define how your MSP is protected. A client “rents” the MSP service on a monthly basis to maintain various systems and provide consulting services. Often, all “patches” applied under this Agreement (hardware, software, security incidents, etc.) are covered by this Agreement, at least up to a certain level as set forth in the SLA. A managed services agreement describes the services of an MSP in general terms and defines how they apply to the customer in certain terms, including the computers and devices covered. The contract often prevents the client from hiring a third party to work on the computers.

Without such a clause, there is a risk that the MSP will be asked to resolve a problem that a third party could have introduced. Due to the fixed fee model that most MSPs use, this would mean additional costs for the MSP without increasing revenue. PSM can offer a wide or targeted range of services. As MSPs increasingly offer more than just basic cybersecurity services, organizations that need highly specialized security services (identity and access management, permissions management, etc.) often turn to Managed Security Services Providers (MSSPs). The standard minimum contract for managed IT services is valid for 1 year. Less time doesn`t give an MSP a chance to get to know you and your needs. .