Executive Summary
My Computer Guy, a longstanding break/fix IT services provider in Rockwall, Texas, had reached an inflection point. Overly dependent on a few large but unprofitable clients accounting for 50% of revenue, and limited by a technician-focused mindset, the company’s future was at risk.
In 2018, owners Sheila and Bill O’Brien made the pivotal decision to join the Seven Figure MSP program and completely overhaul their business model to a high-profit managed services approach.
Implementation required transformational shifts:
Pricing Model: Aiming for $300/user pricing at 80% gross profit margins on 36-month contracts
Service Offerings: Moving from reactive break/fix to proactively solving client needs
Sales Approach: Consultative discussions replacing technology product/tool pitches
Leadership: Sheila emerging as the outgoing President/CEO of the woman-owned business
The changes unlocked new levels of success but first required confronting internal doubts and external skepticism about the increased pricing and services. Consistent coaching reinforced sticking to the program’s teachings without skipping steps.
Within 9 months, Sheila landed their biggest client – replacing over 200% of the revenue lost from terminating that massive yet unprofitable anchor client. Her deep roots in local communities, boards and chambers generated a steady stream of referrals.
Other keys included dedicating scheduled “focus time” for sales/marketing, viewing initial “nos” as opportunities not failures, and getting the full team invested through events and training.
While still upgrading some remaining legacy clients, My Computer Guy has realized a complete business transformation. The sustainable managed services model has unlocked their path to Building a seven-figure MSP capable of continual profit growth.
Introduction
For years, Sheila O’Brien and her husband Bill ran My Computer Guy, a break/fix IT services company catering to home users and small businesses in the Dallas suburb of Rockwall, Texas. While it allowed them to build a client base, the consumer-level support model presented challenges as technology evolved.
“Back then you didn’t have all the security issues that you have now,” Sheila said. “You just wipe it and reload it…things were not as complex as they are now.”
Seeking a New Path
As an early managed service provider, My Computer Guy struggled with the transition. A handful of large but unprofitable clients made up the bulk of their revenue. There was an over-reliance on Bill’s technical skills and a limited sales/growth perspective.
“He knew that he wasn’t going to be a salesperson…that he is a tech,” Sheila said. “And so he kind of realized that it was holding the business back.”
Joining 7 Figure MSP™ Inner Circle Elite
The need for change led them to join the Seven Figure MSP program in 2018. The goal: implement proven processes to deliver higher-value managed services at sustainable profits.
“We came in at the right time because I was able to really start selling more on security and how we can solve their problems versus you know tools and solutions,” Sheila explained.
Pivoting the Business Model
Rather than simply pitching technology tools, Sheila learned to understand clients’ core business needs and recommend solutions, like a pricing model aimed at:
$300 per user
80% gross profit margins
36-month contracts
“We lost a bigger client that wasn’t profitable and was high risk, and got a smaller client that was very easy to maintain and turned into profitable,” she said.
Overcoming Doubts and Resistance
The changes required overcoming doubts – both internal and external. Sheila had to fight through “head trash” and self-doubt when presenting these higher-priced offerings.
“My advice would be to follow the playbook and and don’t skip steps because…I was trying to get things done and and stumbled through my presentations,” she admitted.
There was also skepticism from her own team about the ability to sell these increased prices and services.
Sheila’s Emergence as a Leader
Implementing the new managed services model sparked Sheila’s evolution from a quiet team member to the outgoing president and CEO of a woman-owned business.
“I think he [Bill] knew that he wasn’t going to be a salesperson or you know that…it was holding the business back and I was the community, the face of My Computer Guy,” Sheila said.
Leveraging Community Relationships
Sheila’s deep community ties and involvement proved invaluable for generating referrals and new business opportunities.
“Getting involved in the community and the Chamber has helped our business grow…I’ve served on multiple boards so I have a lot of relationships you know out there.”
Keys to Sustained Success
While the mindset shifts took time, Sheila stressed the importance of:
Having scheduled dedicated “focus time” for sales/marketing
Not giving up after initial “nos” – “sometimes those become success stories”
Getting the full team invested by involving them in events and training
“You have to go to events…talking to your peers and seeing the vendors, it’s you have to go.”
Results and Looking Ahead
The rewards of persistence have been substantial. Despite initially losing that huge unprofitable client making up half their revenue, Sheila shared:
“Nine months [later] to close our biggest client that replaced that income…it was a smaller client that more than doubled that revenue.”
While still upgrading remaining clients, My Computer Guy now has a sustainable model for continuing to build a profitable MSP business.
“It definitely changed our mindset…don’t embrace your comfort zone,” Sheila advises other MSPs. “Step out of your comfort zone.”