We’ve spoken with many MSPs about the benefits of transitioning from on-premises to cloud servers to grow their business. From being able to support more clients with fewer technicians, to generating steady recurring revenue, to scaling their services without the limitations of a 75-mile service radius, there’s a lot to love when it comes to the cloud!

Today, I’ll be sharing a step-by-step guide for MSPs looking to transition to the cloud. Let’s get started with how to identify your client’s needs.

1. Identify Your Client’s Needs

Step one is to identify your client’s needs—whether they’re a current customer or a prospect! Many MSPs make the mistake of assuming that all clients require the same solutions, believing a single cloud setup will fit everyone. We wish it was that easy, but that’s far from the truth!

You’ll want to approach each client or prospect on a case-by-case basis.

Start by conducting a needs assessment and sitting down with them to discuss their specific pain points and challenges. Offering a cloud or IT assessment can also be a great magnet for attracting new prospects!

Before the meeting, research their industry, as certain sectors will sometimes share common challenges. Then, when meeting with the prospect, pay close attention to the following details:

1. Have they encountered security issues in the past?
2. Do they handle what they consider sensitive data?

Often, prospects need to meet compliance requirements like PCI or have faced unresolved security concerns. These discussions are a great opportunity to highlight the scalability of the cloud, showing how it can address their needs more efficiently!

Since each client has unique needs, we developed demo environments to test different setups, such as file sharing or ERP applications, enabling us to show clients exactly how their systems would work in the cloud.

This hands-on approach helped us price accurately and confidently support clients, easing concerns over the cloud transition. It also made transitioning our MSP to the cloud much more sustainable!

By truly listening, you can almost always translate a prospect’s needs into the right cloud solution.

2. Educate Clients & Prospects on Cloud Benefits

Although most clients have heard about the cloud, many don’t fully understand how it can benefit their business…

Luckily, providing real-world examples to them makes the benefits clear!

One example we used at our MSP involved a trucking repair company with a challenging, grimy environment that caused frequent server failures. Moving them to the cloud eliminated the need for on-site servers, solving a recurring problem and creating smooth operations without constant replacements. Once our clients understood how cloud could simplify their setup, it was an easy transition: you need to master this process at your MSP to showcase the true strength of the cloud!

Another example our MSP used was a growing CPA firm that acquired an office in a different location. Previously, their setup relied on a VPN with constant connectivity issues. By moving to the cloud, they gained seamless access to all applications from any office, allowing the team, especially the owner, to work consistently no matter where they logged in!

After we tangibly explained the efficiency and consistency that the cloud offered compared to the alternative, our prospect was on board.

In each case, we listened to their needs and tailored the cloud solution to solve specific pain points. Approaching clients with a simple cloud offering often falls flat, but connecting the cloud’s advantages to their unique challenges makes it a compelling, easy sell!

3. Choose the Right Cloud Provider to Support Your MSP

Now that you understand the needs of your target client / prospect and have sufficiently educated them, it’s time to partner with the right cloud provider to get this implemented!

Choosing the right cloud provider is essential. Providers like AWS and Azure don’t always offer the control MSPs need. A good partner does the heavy lifting while keeping you in control! Think of it like an iceberg: while clients see the smooth service above, a lot of critical support happens below the surface.

Cloud setups differ from on-prem solutions in that they’re highly customizable to avoid unnecessary costs. That’s why we created Cloud Services For MSPs  – to simplify the process for MSPs with everything we wished we had when we were an MSP! We’ve tested various setups, so we can quickly guide you to the best solution for your clients if you need any help.

These steps—identifying needs, building solutions, and partnering with the right cloud provider—are key to guiding your clients successfully to the cloud!

Common Cloud Mistakes

Quickly, let’s talk about two common mistakes that we see MSPs make all the time when transitioning to offering cloud services!

Make sure you’re giving your clients a choice.

Instead of saying, “We’re moving everything to the cloud,” guide them towards it. You could reach a point where you only accept clients willing to go cloud, but in the meantime, offer choices to help them see the benefits!

One approach is to provide straightforward comparisons. For example, we would quote both a full cloud server environment and a new on-prem server, highlighting the differences. Often, cloud made more sense, and by presenting it honestly, clients saw the long-term advantages of moving their servers out of the office.

Additionally, building trust is essential. Most clients won’t understand every technical detail, so they’re relying on you to steer them in the right direction. When you clearly outline each option and its benefits, they’ll often trust your recommendation.

Focusing too much on upfront revenue.

This is a simple one, but it’s extremely important!

Selling an on-prem server might bring in a big one-time payment, while cloud servers bring in steady monthly revenue. It may seem like on-prem generates more profit, but cloud solutions provide stable, recurring income that can be more valuable over time.

Trust the process and you’ll see a big return for your MSP over time as long as you’re consistently following the steps we’ve outlined above!

Feeling Prepared?

My main piece of advice when it comes to transitioning your MSP to the cloud is this: don’t wait! Be proactive and prepared.

Our approach is simple—if your clients aren’t asking about the cloud, they’re either unaware of it or talking to someone else who is. Neither situation is ideal. Get ahead by bringing up cloud solutions with them now!

Even if a client recently installed a new on-prem server, you should keep cloud in mind for future needs. Make it a habit to assess whether cloud solutions could benefit each client, so when the time comes, you’re ready.

Today I’m going to leave you with this quote from Sam Walton: “There is only one boss – the customer. And he can fire everybody in the company from the chairman on down, simply by spending his money somewhere else.”

Have a great week!