One of the most common questions I get from MSP owners is, “How do I make sure I don’t fail?” Whether they’re talking about our marketing and business development program or growing their business in general, the underlying concern is the same. Nobody wants to pour time, money and effort into something and not see results.
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If you’re an MSP owner, understanding why most MSPs don’t grow is crucial. From my experience, there are three significant barriers that consistently hold businesses back. Let’s break them down and discuss what you can do to overcome each one.
Barrier #1: No Marketing Or Sales Process
Let me be blunt: the majority of MSPs have no structured marketing or sales process. If you don’t have both in place, you’re going to struggle. Brilliant marketing without an effective sales process is like pouring water into a bucket full of holes—it just doesn’t work.
The problem is compounded by the fact that most MSP owners come from a technical background. Many have never had a sales job or made a cold call in their life. So, not only do they lack a process, but they’re also starting from scratch without the skills or experience to build one.
If this sounds familiar, the first step is to educate yourself. Understand the numbers, learn how to craft offers that work and align your marketing strategy with your sales process. And don’t underestimate the effort required. This is a marathon, not a sprint, and you’re only at mile one. Your feet might hurt, but you’ve got 25 more miles to go.
Barrier #2: Lack Of Leadership
Growing an MSP business takes more than technical expertise or even marketing know-how. It requires leadership. And leadership is about more than just managing people; it’s about setting goals, understanding financial metrics and building a scalable business model.
When I started my business, I thought my background in sales and marketing would be enough. It wasn’t. I had to learn how to hire and lead a team, manage contracts and make data-driven decisions. These are skills that don’t come naturally to most people, but they’re essential if you want to grow.
Start by getting clear on your goals and understanding the financial health of your business. Are you underpriced? Do you know which clients and services are profitable? If not, you’re flying blind. Leadership isn’t just about having a vision; it’s about having a plan and the metrics to back it up.
Barrier #3: No Money
Let’s face it: many MSPs are trying to grow their business on a shoestring budget. Worse, they’re often underpriced and have little understanding of where their money is going. If you’re not tracking your profitability and cash flow, it’s nearly impossible to scale.
One of the first things you need to do is fix your pricing. Too many MSPs undercharge for their services, which leaves them scrambling to cover costs and invest in growth. If you don’t know how to package and price your services effectively, check out this guide: How to Sell MSP Services: A Guide to Packaging and Pricing Managed Services.
Once you’ve addressed pricing, focus on building a budget that allocates resources toward marketing, sales and leadership development. Remember, growing your business isn’t about spending wildly; it’s about investing strategically.
Why MSPs Fail And How To Avoid It
Failing in business often comes down to three mistakes: giving up too soon, focusing on the wrong things and failing to show up consistently.
- Don’t Give Up Too Soon:
Building a business takes time and perseverance. If you’re not willing to push through the tough times, you’ll never reach your goals. Think of Zig Ziglar’s pump story: success requires consistent effort, even when it feels like nothing is happening. - Focus On What Matters:
Too many MSP owners get bogged down in the technical work and avoid selling and marketing. Yes, marketing and sales can be uncomfortable, especially if it’s not your area of expertise. But if you’re not bringing in customers, your business can’t grow. Period. - Show Up Consistently:
Whether it’s attending meetings, participating in coaching sessions, or implementing what you’ve learned, showing up is half the battle. Saying you want to be successful isn’t enough—your actions need to match your words. If you’re spending more time on Reddit or Facebook than on growth activities, it’s time for a reality check.
The Secret To Growth: Urgency And Intensity
Finally, let’s talk about pace. Growing a business requires urgency, intensity and discipline. You can’t dabble in growth—it demands focus and a relentless drive to succeed. If you’re ready to step up, take a hard look at where you’re spending your time and energy. Align your actions with your goals, and don’t let anything distract you from building the business you want.
