For modern accounting and finance firms, where system reliability and data security are paramount, IT support models can dramatically impact your bottom line. Two frequently debated approaches are break-fix (sometimes called break and fix, break/fix, or breakfix) and managed IT services. Understanding their definitions, practical differences, and real-world impact is vital for any business making strategic IT decisions.
What Is Break-Fix?
Break-fix is an IT support model where service providers step in only after an issue occurs—when something “breaks,” the vendor is hired to “fix” it. There’s no ongoing monitoring or preventative maintenance; support is strictly reactive.
- Typical example: Your firm’s accounting server crashes during busy tax season. You call an IT provider, who charges an hourly rate to diagnose and repair the server.
- Break fix meaning: You pay for fixes on a case-by-case basis—only after problems arise.
- Break fix services: Can include repairing downed servers, addressing software errors, network outages, hardware failure, “computer break-fix,” and recovering lost data.
- Break fix support: No fixed contract; you’re free to change providers at any time.
“Break-fix refers to the method of providing IT services and support to businesses by addressing issues only when they break (malfunction) and require a fix (repair). There is no continuous or preventive maintenance involved; instead, the support is purely reactive”.
Key Features
What Are Managed IT Services?
Managed IT services mean you contract with a provider (Managed Service Provider, or MSP) for continuous, proactive IT management. The MSP oversees all aspects of your IT environment, including monitoring, security, maintenance, and upgrades—for a predictable monthly cost.
- Real-world example: Your firm pays a fixed rate for ongoing 24/7 network monitoring, cybersecurity, regular maintenance, and help desk support. Issues are often detected (and resolved) before staff even notice a problem.
- Managed IT services vs break fix: Managed services prevent downtime instead of waiting for things to break.
- Managed IT support: Includes proactive monitoring, data backups, patch management, cybersecurity, compliance management, and disaster recovery planning.
“Managed services provide ongoing, proactive information technology (IT) support for a fixed monthly fee. This model emphasizes continuous monitoring, maintenance, and prevention—keeping systems stable, secure, and aligned with long-term business goals”.
Core Features
Break-Fix vs Managed IT Services: Key Differences at a Glance
How Each Model Impacts Accounting & Finance Businesses
Break-Fix Model in Practice
- Pros:
- Cons:
- Higher risk: Delays in resolution can lead to extended downtime. This can cripple accounting firms during busy periods, risking client deadlines and revenue.
- Unpredictable costs: A sudden disaster (e.g., malware attack or network outage) can result in huge unplanned expenses.
- No proactive improvements: No regular upgrades or security monitoring, making firms easy targets for cybercrime.
- Poor fit for regulatory environments: Compliance needs are barely considered.
Managed IT Services in Action
- Pros:
- Proactive prevention: Immediate response to threats, reducing downtime, and business interruption.
- Compliance: Services often include support for financial industry standards (SOX, GLBA, etc.).
- Predictable costs: Easy budgeting, no costly surprises.
- Strong security: Regular security patches, updates, ongoing monitoring reduce data breach risks—a major concern for finance & accounting.
- Scalability: Easily grow support as your firm expands or needs change.
- Vendor leverage: Advantageous purchasing, vendor management for software/hardware.
- Cons:
- Recurring cost: Monthly fees, which may seem higher up front, particularly for microbusinesses.
- Less flexibility in provider selection (longer agreements).
Industry Data & Real-World Facts
- The average unplanned IT downtime costs businesses $5,600 per minute (Gartner). For finance and accounting, hours of downtime can mean missed deadlines, client loss, or costly regulatory penalties.
- 46% of managed IT service users have cut their IT costs by 25% or more (CompTIA)—this equates to thousands in savings.
- 41% of small businesses have experienced a cyberattack, with average incident costs at $8,300 (Hiscox, 2023 survey).
- The managed IT services market is growing rapidly in the US as companies move away from “break and fix” models for reliability, cost savings, and strategic growth.
- Leaders in the Gartner Magic Quadrant for Managed Services consistently outperform break-fix providers on client satisfaction, cost containment, and security.
Visual Comparison: Break-Fix vs Managed IT Services
| Feature | Break-Fix | Managed IT Services |
|---|---|---|
| Payment Model | Pay per repair (“break/fix”) | Monthly subscription/fixed rate |
| Maintenance | None/provided after failure | Continuous/preventive |
| Issue Response | After-the-fact, sometimes delayed | 24/7, proactive alerts & rapid recovery |
| Security Updates | Not included | Included/automated |
| Ideal For | Basic IT, infrequent issues, low budgets | Compliance-driven, growth-centric firms |
| Downtime Cost Impact | Severe/Unpredictable | Minimal/Planned for |
| Management Complexity | Simple (call as needed) | Turnkey—one point of contact |
| Regulatory Compliance | Rarely meets industry standards | Aligned with finance/accounting compliance |
Practical Example Scenarios
Break-Fix Example:
“A small CPA firm only uses QuickBooks and email. Their IT is fairly stable—only needing help once a year for upgrades. Break-fix may save them money but leaves them exposed during critical periods.”
Managed IT Example:
“A regional accounting firm with 30+ staff and sensitive client financials uses managed IT. Routine monitoring prevents a ransomware attack, avoiding client data loss and regulatory fines, while monthly billing simplifies budgeting and planning.”
FAQs: Break-Fix and Managed IT Services for Accounting & Finance Firms
Break-fix services provide IT support only when something goes wrong; you pay per repair event. There’s no ongoing contract, monitoring, or scheduled maintenance.
Managed IT means ongoing, proactive support provided for a regular monthly fee. The provider monitors, maintains, secures, and supports your whole IT system.
At first glance, yes. However, the risk of surprise costs—especially after major failures or cyberattacks—can make break-fix far more expensive in the long run, especially for finance and accounting businesses with regulatory requirements.
Absolutely. Many growing firms migrate to managed services as their IT needs become more complex or as downtime risk becomes untenable.
No. In fact, small and mid-size accounting firms are often the biggest beneficiaries thanks to affordable access to enterprise-level IT tools, cybersecurity, and compliance management.
Break-fix providers rarely offer robust compliance controls. Managed IT services include monitoring and reporting to align with financial industry standards.
Unexpected downtime and costly emergency repairs can halt business, cause data loss, and damage client trust—critical in accounting and finance.
Proactive monitoring and immediate response can reduce downtime by more than 80% compared to ad-hoc, reactive models.
With both models, you own your data and hardware. Managed IT services help safeguard and back up data regularly.
Conclusion
For a majority of US-based accounting and finance businesses, the move from “break fix” to managed IT services is not just about technology, but about business continuity, security, and sustainable growth. In an era where every minute of downtime equals dollars lost, reliable, proactive IT support is more critical than ever.
If you’re rethinking your approach to IT, now is the perfect time to make the switch to a model that prioritizes your firm’s uptime, client confidentiality, and regulatory peace of mind.
Ready to boost your firm’s productivity and safeguard your clients’ data?
Contact OneUp Networks today for a free IT assessment and discover the smarter way to manage your technology!
