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How to Make Smarter IT Budgeting Decisions

It’s not unusual for business owners to think of their IT budgets as something akin to a black hole on a balance sheet. It seems like it keeps going in, but they aren’t sure what, if anything, ever escapes out of the other side. They need technology, but aren’t sure whether they are getting good value for the dollars they’re spending.

We can understand. It’s hard enough to make the right IT budgeting decisions when you’re in the industry and know the features and benefits of each product. For an outsider, being bombarded with different ideas and buzzwords, they can easily become overwhelming.

That doesn’t mean you have to simply give up and accept that some of your technology budget is going to be wasted, though. We have a few simple pieces of advice you can follow to make the most of every expenditure…

Don’t Pay Hourly

While we love working with our clients, we hate sending them invoices for hourly IT work. That’s because nearly every business would be better served by opting for a managed services agreement, which lets us handle their technology proactively for monthly fee, rather than simply responding to emergency calls as needed. Those last-minute technology disasters come unexpectedly, and they can cost you dearly when you’re paying for time instead of expertise. Do yourself a favor, and sign up for a monthly rate.

Opt for Subscriptions When You Can

Speaking of monthly rates versus unexpected charges, most businesses are better served by renting equipment and paying for software on a subscription basis than they are replacing expensive hardware and applications on an irregular basis. With subscriptions, you get the latest and greatest technology, a predictable cash flow, and the luxury of stopping your service when something isn’t working. Shell out big money for an upgrade or version improvement, though, and there’s a good chance you’ll find yourself doing it again in the near future.

Get Good Technology, But Not the Newest Gadgets

Technology sales professionals can be great at helping you identify opportunities for efficiency and functionality, but they can also be guilty of selling you the latest and greatest gadgets when you don’t really need them. When you buy a piece of tech that’s fresh off the shelves, you’re probably paying top dollar for it. Why not wait months until it’s cheaper and all of the bugs have been worked out? A lot of salespeople won’t tell you, but that’s the “sweet spot” in the technology market where the biggest bargains can be found.

Find a Proactive IT Partner

Your hardware, software, and devices all cost you the most when they aren’t working. That’s because the minute they fail, you and your team usually stop working, too. From there, the losses (in terms of sales and productivity) just add up one hour after another. To avoid that kind of situation, you should find a good IT vendor who will work proactively to not just fix problems, but ensure you won’t have outages in the first place. That’s the ultimate IT money-saving tip.

When you need a team of committed technology professionals who will get to know your business and help you maximize your bottom line, we are ready to help. Call us to set up a free consultation and learn about the different ways we can make your company stronger.

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