While Microsoft once offered a 23 percent margin for 2,500 seats, today, the average profit margin on a Microsoft resell is around 15 percent (for Microsoft CSPs).
Some MSPs, however, are making almost no profit from their Microsoft 365 licenses. While some MSPs are focusing less on Microsoft as a result of reduced margins, others are finding creative ways to expand on their Microsoft offerings by creating value-added managed security services.
The key is in finding complementary solutions that will help you consolidate your stack in a way that is both efficient and profitable.
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