Are Managed IT Services for Nonprofits Worth the Investment?

Running a nonprofit often means balancing big dreams with tight budgets. As you may have noticed, tech is a huge part of getting this dream to work. But it's not always easy to effectively handle all the different tools you'll need.

If this reflects your current situation, managed IT services for nonprofits can prove to be a huge ally. These are third-party experts to whom you outsource your tech needs for a fee. Their services typically include cloud hosting, cybersecurity, IT support, system monitoring, etc.

Now, you may wonder: Do I really need these experts? Am I going to get my money's worth if I bring them on board? To get to the heart of the question, it'd do good to begin with challenges you can expect.

IT Challenges Nonprofits Typically Face

Here are a few challenges you should be prepared for:

Security Risks and Compliance Requirements

The cost of cybercrime has now reached over USD$ 9 trillion worldwide. Such threats don't just target normal businesses. Nonprofits too are at risk. Studies show that about 59% of humanitarian organizations don't believe their cybersecurity practices are well-funded. [1] [2]

Given that you may be handling sensitive data like donor information, financial details, and even health records in some cases, you can't afford to be lax about your cybersecurity posture. Managed IT services can keep your organization safe from these risks.

Limited Budgets and Resources

Do you know what the top two challenges for nonprofits in the US are? Increase in operating expenses and lack of adequate funds. As a rule, more than the exception, nonprofits often need to do more with less. That said, investing in technology can feel like a stretch. Managed IT services help by offering a predictable monthly fee instead of surprise expenses. [3]

Lack of Dedicated IT Staff or Expertise

Many nonprofits don’t have the luxury of hiring full-time IT professionals. Often, a staff member who knows a bit about computers gets stuck with IT tasks. This approach can be stressful and inefficient.

Increased Reliance on Technology

Nonprofits are using more tech than ever—online fundraising platforms, CRMs, email campaigns, and virtual events. The more tech you use, the more maintenance and expertise you need.

Anything can happen with tech. Systems can fail, you may get hacked, or you may need to adopt new technology to comply with government requirements. These are just a few reasons why IT support is crucial for nonprofits. It gives you access to experts who can promptly respond to emergencies or help you handle any tech issues that may arise. That leaves you to focus on your mission and vision instead of dwelling on what could go wrong with your systems. That's a win.

Benefits of Managed IT Services for Nonprofits

Here are the perks of investing in managed IT services:

Cost efficiency: Managed IT services offer predictable monthly fees. This helps you budget better and avoid surprise tech expenses. You’ll also save money by reducing the need for in-house IT staff.
Enhanced security: Managed IT providers use tools like firewalls, antivirus software, and encryption to protect your organization from cyber threats.
Scalability: Nonprofits grow and change, and your tech needs to keep up. Managed IT services are flexible, allowing you to scale up or down as needed.
Expert support: You get access to a team of tech experts who are available 24/7. This means faster problem-solving and fewer disruptions.

This is the good side of having managed IT service experts on board. But before you sign on the dotted line, you should be well aware of the potential drawbacks of this idea.

Potential Downsides

Weight these cons before making a decision:

Monthly costs may seem high: Managed IT services usually involve ongoing monthly fees. For nonprofits with tight budgets, these recurring costs might feel steep compared to a one-time tech investment.
Possible reliance on external vendors: Outsourcing your IT means putting a lot of trust in a third-party provider. If they're not responsive or aligned with your needs, it can lead to frustration.
Choosing the wrong provider: Picking a provider that doesn’t understand nonprofit challenges or has limited expertise can lead to mismatches. For example, a provider used to working with large corporations might not offer the affordability or personal touch that nonprofits need.

So, before deciding if managed IT services are right for your nonprofit, take time and do the math. Know where you are in terms of challenges and needs, and weigh the different costs you could incur between taking your IT services in-house or going for the managed solution.

Closing Thoughts

Managed IT services can transform how your nonprofit handles technology, and that's good news. This guide has opened you up to both sides of the coin. Use this knowledge to make a decision that'll serve your organization.

If you feel like you'll need access to managed IT services for nonprofits, do your research and ensure you work with providers who have a reputation behind them and are aligned with your business interests and needs.

Sources:

1. "Cyber Crime & Security", Source: https://www.statista.com/markets/424/topic/1065/cyber-crime-security/#statistic1

2. "Closing The Cybersecurity Gap For Nonprofits", Source: https://www.forbes.com/sites/tonybradley/2023/06/27/closing-the-cybersecurity-gap-for-nonprofits/

3. "Biggest challenges for nonprofit organizations in the United States in 2023", Source: https://www.statista.com/statistics/502411/us-nonprofit-organizations-biggest-challenges-for-fundraising/