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The terms of a managed IT service contract can tell us a lot about the intent and delivery of the relationship before working with a managed IT provider. Asking a few questions about the terms of the managed IT service provider's contract upfront will certainly help save you some hassle as you narrow down your choices.
How Long Is the Initial Term?
The length of the initial term often varies from one to three years. When it comes to terms longer than one year, the managed IT services company should be able to give you a clear and valuable reason they are asking for a longer commitment. This establishes a business partnership, not a hold-you-hostage event. Be sure they are not using a longer term to protect themselves because they do not know what they are getting into.
Read: 5 Questions to Ask When You Are Evaluating an IT Managed Service Company
Are the Promised Deliverables Written into the Contract or Agreement?
Be sure the deliverables in the document match the deliverables from the proposal. This one is pretty straightforward but promises on the proposal must also be on the contract or agreement.
What Is the Hassle-free Guarantee?
If the deliverables are not met, do you have a clear and easy out? Is there simple written language that puts you as the client in control of non-performance by the managed IT provider? Do not assume the managed IT provider will just let you out. On more than one occasion, we have seen other managed IT providers deploy their legal teams, preventing companies from leaving, even after a cyberattack.
Is This a Contract or an Agreement?
There are two kinds of documents used by managed IT service providers. The first is a legally binding contract that articulates the agreed-upon services to be delivered for a set price over a set term. The second is an agreement, the written establishment of a business partnership with clear expectations of who is doing what for a set price over a set term.
