Technology makes or breaks a business—yet many leaders still wrestle with the same question: do we build an internal IT team or outsource to an external provider? It’s not just about convenience. The choice between internal vs external IT can impact security, growth, and even whether your employees lose hours of productivity every week.
A recent study by Gartner found that businesses lose an average of $5,600 for every minute of IT downtime. That means your IT strategy isn’t just an operational detail—it’s directly tied to your bottom line. So, let’s cut the fluff and look at the hard facts, the real benefits, and the drawbacks you should know before making a decision.
What Internal IT Really Means
Internal IT is when you hire full-time staff to manage your technology. They’re employees, not contractors, and they typically handle:
- Daily help desk support
- Network and server management
- Cybersecurity monitoring
- Hardware setup and maintenance
- Company-specific software management
Think of them as an embedded force—people who understand your systems, your quirks, and your workflow inside out.
Fact to know: According to Glassdoor, the average IT manager salary in the U.S. is $110,000+ per year, not including benefits, equipment, or training. For small businesses, that’s a serious budget line.
Looking for strategies to make the most of in-house IT? Saltech Systems offers custom IT solutions that can integrate seamlessly with your internal team.
What External IT Covers
External IT (also called outsourced IT or managed IT services) means bringing in a third-party provider to manage part—or all—of your technology needs. That could include:
- 24/7 system monitoring
- Cloud and backup management
- Cybersecurity services
- Software licensing and patching
- Strategic IT consulting
You get a team of specialists without paying them as employees.
Fact to know: A managed IT provider typically charges $100–$250 per user per month, depending on the service level. For many small to midsize businesses, that’s cheaper and more scalable than an entire IT department.
At Saltech Systems, businesses can get scalable IT services without the overhead of hiring a full team.
Internal IT: Benefits That Matter
- Faster On-Site Response—Your team is physically there, not a phone call away.
- Deep Company Knowledge—They know your workflows, your staff, and where the bottlenecks are.
- Direct Control—You decide what gets prioritized. No competing with other clients.
- Customization—Internal IT can design security and compliance procedures tailored to your industry.
- Culture Alignment—Your IT team becomes part of the company, not an outsider.
Internal IT: Where It Falls Short
- High Fixed Costs—Salaries, healthcare, training, and turnover can drain budgets.
- Skill Gaps—A small team can’t cover cloud, compliance, cybersecurity, VoIP, and everything else.
- Scalability Issues—Growing means more hires, more equipment, and more expenses.
- Coverage Risks – Vacations, sick leave, or resignations leave you vulnerable.
- Burnout Potential – Small internal teams often get overloaded and reactive instead of strategic.
External IT: Benefits You Can’t Ignore
- Cost Predictability—Subscription pricing avoids surprise IT bills.
- Access to Experts—Providers hire across specialties like cybersecurity, cloud, and compliance.
- 24/7 Availability—Most MSPs monitor systems around the clock.
- Scalability—Add or remove users quickly as your business changes.
- Proactive Maintenance—Many providers focus on prevention, not just fixing after failure.
Fact to know: A report from Deloitte showed 57% of businesses outsource IT to focus more on core business functions (source). It’s not just cost—it’s about freeing leadership to actually lead.
External IT: The Drawbacks
- Less Immediate Response On-Site – A crashed server still needs someone physically there.
- Limited Business Knowledge—Providers don’t live inside your workflows the way employees do.
- Shared Attention—You’re one of many clients. Urgency may compete with others.
- Data Security Concerns – Sharing access with outsiders creates potential risks.
- Rigid Contracts—Some MSPs lock you into terms that don’t scale with your needs.
Internal vs. External IT: Which Works Best?
Here’s the truth: neither is perfect.
- Internal IT is best if you have complex, industry-specific systems and need someone on-site daily.
- External IT is best if you want to reduce costs, gain access to specialists, and ensure round-the-clock coverage.
- Hybrid IT (a mix of both) is the rising trend. Many businesses keep one or two internal staff for daily operations and partner with an MSP for advanced services like cybersecurity, cloud migrations, or compliance audits.
Fact to know: CompTIA research shows that nearly 60% of companies now use a hybrid IT approach. That proves most businesses don’t choose just one side.
Want to explore how a hybrid IT model could work for you? Saltech Systems can help design a tailored strategy to balance internal control with external expertise.
Final Takeaway
When it comes to internal vs. external IT, the best approach is the one that aligns with your company’s size, industry, and long-term goals. Internal IT offers control and deep company knowledge but comes with higher costs and scalability issues. External IT provides expertise and flexibility, but you may sacrifice immediate response and full customization.
For many companies, the real solution isn’t either/or—it’s both. A hybrid approach gives you the reliability of internal staff and the flexibility of outsourced experts. The best IT strategy is the one that doesn’t just keep your systems running—it keeps your business moving forward.
If you’re ready to explore your options, check out Saltech Systems’ IT Support Services or learn more about our Cloud Hosting Solutions to see how we can strengthen your IT infrastructure.