When Singapore SMEs look to IT service providers for expertise, they expect impartial guidance, reliable support, and IT solutions that truly fit their business needs. What most businesses don’t see, however, is that the traditional IT services model puts providers’ financial interests at odds with those of their clients—with commissions and markups often taking priority over quality service and security.

In this post, we’ll demystify how conventional IT service companies make their money, the conflict of interest that creates, and what you should really look for in a managed IT partner. Plus, we’ll show how Techease Solutions is different—by putting your business first.

How Traditional IT Service Providers Really Make Their Money

While they’re marketed as technology partners, most IT service companies derive the bulk of their revenue not from actual IT support, but from behind-the-scenes commissions and lucrative markups on physical and digital products:

1. Hardware Sales and Markups

When you need a new server or want to upgrade laptops, traditional providers typically act as resellers. They often nudge you toward specific brands or models because they receive substantial margins—sometimes up to 50%—for each piece of hardware sold. This means you could be buying more than you need, or paying more than you bargained for.

2. Software Subscriptions

Office suites, security apps, cloud storage—these are often bundled or upsold unnecessarily. IT providers pocket ongoing commissions on licenses and recurring renewals, sometimes pushing clients toward pricier options that aren’t always optimal for the actual use case.

3. Extended Warranties & Support Contracts

Providers routinely push “premium” warranties and extended support—paid upfront or renewed annually—where the commission goes straight into their coffers, often without adding meaningful value to your business.

The Conflict of Interest: Who Really Benefits?

This commission-driven model creates a fundamental conflict of interest between your business and your IT service provider. Instead of serving as your trusted advisor, providers are often incentivized to recommend solutions that maximize their own commission rather than optimize your costs or effectiveness.

Consider this:

• If an MSP is paid more whenever you spend more, do their recommendations truly serve your bottom line?
• Are the proposed solutions right-sized for your business, or just chosen to meet vendor quotas?

This misalignment leads to higher expenses for you, and potentially unnecessary complexity or risk as you accumulate tech you may not fully use or understand.

The Problem With Prepaid Hours—and What’s Really Included

To make matters worse, many IT providers offer service contracts that look appealing on the surface, but are fundamentally inadequate:

Unrealistically Low Prepaid Hours

A common practice is to bundle in a tiny number of prepaid support hours—sometimes as little as 12-24 hours per year—disguised as a “comprehensive” maintenance contract. Let’s do the math:

If you’re paying for 20 hours of support annually, that’s barely enough to cover less than one month’s salary for a single experienced IT engineer.

This raises key questions:

• With so few hours, how can they deliver thorough, ongoing support and preventive maintenance throughout the year?
• Is your business actually protected, or is the provider hoping you’ll never need them—while raking in commissions from product sales instead?

Vague Service Coverage: What’s Missing?

Many MSP contracts are packed with generic assurances about “IT support,” but often lack clarity on what is—and isn’t—included. Patching, firmware updates, and regular upgrades are frequently not part of the standard bundle.

Why This Is Dangerous

When patching and firmware updates are excluded, businesses are left exposed to serious vulnerabilities. It’s not uncommon for a breach or even a ransomware attack to occur, only for the SME to realize the provider isn’t responsible for applying critical security patches—this was “your responsibility.”

Our advice:
Before you sign, always ask your provider:

• Who is responsible for patching operating systems, firmware, and business-critical applications?
• Are hardware updates, firewall patches, and vulnerability scans included—or not?
• Who will monitor for emerging threats and apply updates in a timely manner?

Neglecting these basics can lead to devastating, costly incidents—most of which are entirely preventable with proper managed service coverage.

How Techease Solutions Is Different

At Techease Solutions Pte Ltd, we’re fixing everything that’s broken with the traditional IT support model in Singapore.

1. Fee-Only, Service-First Approach

We don’t accept commissions, rebates, or vendor kickbacks. Our revenue only comes from service fees, so our independence—and your trust—remain protected. You get clear, service-based pricing without any sales-driven surprises or hidden incentives.

2. Transparent, Predictable Pricing

We provide detailed, tiered plans that clearly spell out exactly which services are included, from remote and on-site support to patch management, device monitoring, IT health reviews, security awareness training, and compliance guidance. No vague terms, no hidden omissions.

3. Proactive Maintenance & Security

Unlike most traditional providers, our managed service plans include scheduled patching, firmware updates, and ongoing system health checks. Our goal: keep your environment protected, not upsell you when things go wrong.

4. Unbiased Guidance, Maximized Value

We help you minimize upfront costs by prioritizing cloud-first, OPEX-based solutions and flexible leasing—no pressure to over-invest in hardware you don’t need. Our only agenda: what’s truly best for your business.

5. Open Communication and Accountability

We encourage our clients—and all SMEs—to demand clarity. Ask us (or any IT provider) to spell out what’s included, who’s responsible for patching, and how updates are managed. The right partner will have nothing to hide.

Protect Your Business—Ask The Right Questions

In today’s digital landscape, Singapore SMEs can’t afford to leave IT service details to chance. Whether you’re considering switching providers or simply reviewing your current contract, remember:

• Verify service details—don’t settle for generic service promises.
• Confirm responsibility for patching and regular maintenance.
• Beware of deals that seem cheap but lack substance in actual IT protection.

Security breaches and ransomware attacks due to unpatched systems can cripple an SME. Make sure your provider’s interests are aligned with yours—and that your business is truly protected.

Experience the Techease Difference

At Techease Solutions, our only incentive is your long-term success. We believe in democratizing high-quality IT support, with honest, transparent, and proactive services that actually protect your business—not our bottom line.

Contact us today to discover how our fee-only managed IT and digital transformation services can empower your SME to achieve more, spend less, and enjoy true peace of mind.