Semester 1, Session 4: Expanding Recurring Revenue

Summary

If you’re serious about growing your MSP in today’s competitive, AI-fueled market, Session 4: Expanding Recurring Revenue is a must-watch. This session delivers a wake-up call: while the MSP industry is booming, 90% of providers are being left behind—missing out on explosive growth because they lack the infrastructure, processes, and systems to scale recurring revenue. Chris Smith and Ebrahim Nalwala dive into the real-world challenges MSPs face—from Excel-driven chaos and revenue leakage to poor customer experiences that crush retention. You’ll hear firsthand how leading MSPs are automating renewals, streamlining billing, and eliminating friction through integrated, scalable tech stacks—unlocking hundreds of thousands in financial upside without adding overhead. If your goal is to grow smarter, avoid hidden risks, and become part of the 10% capturing the future of the MSP space, this session gives you the roadmap. Watch the full replay and get the tools to build your revenue rocket.

The $100B Opportunity—But Only 10% Are Ready

The MSP industry is one of the fastest-growing sectors—outpacing even EVs and renewable energy—driven by the explosion of AI and data. But as Chris Smith, Founder of Empellor CRM, and Ebrahim Nalwala, CRO of Work 365, emphasize, only 10% of MSPs are positioned to seize this growth. The other 90% risk falling further behind. This session challenges MSPs to stop waiting and start acting—because those who fail to modernize their operations are walking away from a massive opportunity.

How a Bad Customer Experience Kills Renewals

This story highlights a painful truth for many MSPs: poor customer experience is killing their ability to drive renewals and expand accounts. A simple request—like adding a few Microsoft 365 seats—turned into a multi-week, manual nightmare involving phone calls, tickets, quotes, and delays. If your process frustrates customers at every step, don’t expect loyalty or growth. Streamlining these interactions isn’t just operationally smart—it’s essential for retention and recurring revenue.

Recurring Revenue Magnifies Your Mess

This is the moment in the session where theory meets reality—and it’s a must-watch. If your MSP is aiming to grow recurring revenue, you can’t wing it. Every upsell, license change, and feature update adds operational complexity, and without clear, repeatable processes in place, it quickly turns into chaos. This segment delivers the brutal truth: recurring revenue only works if it’s growing, and growth amplifies every inefficiency you haven’t addressed. Whether you’re scaling from 10 customers to 100 or just trying to stop things from falling through the cracks, this part of the session will hit home and show you exactly what needs to change.

Excel Is Not a Strategy—It’s a Risk

This segment is a reality check for every MSP still relying on Excel as the backbone of their operations. While it’s common to start with spreadsheets, they quickly become the glass ceiling that holds your business back. Manual updates, disconnected systems, and tribal knowledge locked in “Jim’s spreadsheet” aren’t just inefficient—they’re dangerous. Pricing changes, renewals, and customer data can’t flow fast enough to scale, and one staffing change could cripple your revenue engine. If your goal is to drive more recurring revenue, this clip will make it clear: Excel isn’t a strategy—it’s a ticking time bomb. Watch this part of the session to see why replacing spreadsheets is the first step toward real, scalable growth.

Winning in a Red Ocean Requires Precision

Competitive “red ocean” market. With shrinking margins, rising talent costs, and increasing pressure to scale, surviving—let alone thriving—requires more than just hard work. You need to automate, eliminate revenue leakage, escape Excel hell, and zero in on the right products and markets. Generalists won’t win here—focus and efficiency are your growth multipliers. And most critically, if you can’t measure it, you can’t manage it. From MRR to churn to margin by product, this section outlines exactly what you musttrack to scale recurring revenue and stay ahead of the pack. This is strategy gold—don’t miss it.

Building the Revenue Rocket

The Importance of Validating Market Assumptions
This clip is packed with hard-hitting advice for MSPs navigating today’s hyper-competitive “red ocean” market. With shrinking margins, rising talent costs, and increasing pressure to scale, surviving—let alone thriving—requires more than just hard work. You need to automate, eliminate revenue leakage, escape Excel hell, and zero in on the right products and markets. Generalists won’t win here—focus and efficiency are your growth multipliers. And most critically, if you can’t measure it, you can’t manage it. From MRR to churn to margin by product, this section outlines exactly what you musttrack to scale recurring revenue and stay ahead of the pack. This is strategy gold—don’t miss it.

$400K+ in Recovery—Without Adding Headcount

This clip delivers a powerful case study in what’s possible when MSPs invest in the right technology, processes, and mindset. One enterprise-level MSP transformed its entire business—cutting $114K in underbilling, preventing $246K in overbilling, and saving $53K in time and costs—all without adding headcount. Even more impressive? They now have the foundation to scale 40% year-over-year. But the biggest takeaway: recurring revenue is customer experience. If you’re overbilling or making invoicing errors, you’re not just losing money—you’re losing trust. In a business built on relationships and reliability, that’s the fastest path to churn. This segment is a must-watch for any MSP serious about operational efficiency and sustainable growth.

Infrastructure That Scales with Growth

This clip drives home the critical link between growth and operational readiness. By architecting a system where billing and provisioning are fully integrated, one MSP eliminated revenue leakage and system drift—unlocking a $308,000 financial gain in just 3–6 months. And this wasn’t some massive CSP—it was meaningful ROI at a manageable scale. The lesson? If your systems aren’t aligned, every success creates more chaos. To truly grow—whether it’s Teams, Co-Pilot, or anything else—you need the infrastructure and automation to support it. Without it, growth turns into a never-ending headache. This is essential insight for any MSP preparing to scale.

These clips are just the tip of the iceberg—submit the form below to unlock the full session on Expanding Recurring Revenue and discover the systems, strategies, and real-world lessons top MSPs are using to drive explosive, scalable growth.

Scroll to Top