The Benefits of Managed Hosting for Small Business

Boney Pandya
Boney Pandya

Just about the last thing a small business running an online store or a company website wants to spend time, money and effort on is server management. That’s why the best solution is to go for fully managed hosting services.

Sure, I would say that, working as I do for a provider of such services. But hear me out. I’ve seen enough web businesses, freelancers and small companies get into serious problems due to server issues to be totally confident that managed server hosting is the right answer for many.

Managed Hosting

So, what are fully managed hosting services? You’ve probably come across the phrase “managed hosting” many times, or have seen it offered on hosting providers’ websites while doing your research. In this article, we’ll go into some detail to find out the real benefits of managed hosting services and whether it can help small businesses.

In the simplest terms, Managed Hosting means the hosting provider takes care of all your server related issues. You not only rent the hardware from the host, but you also pay them for managing it. It’s similar to getting a full warranty with free oil changes and maintenance when buying a new car.

In unmanaged hosting, you just rent the server from the hosting provider and you are solely responsible for all service and maintenance tasks. There is a middle ground, sometimes called self-managed hosting where – depending on the nature of your agreement – some basic server maintenance is provided but the day to day running of the servers, including dealing with most issues that come up, is in your hands.

In order to discuss the benefits of Managed Hosting, I’ll break it down into two parts: the Technical Benefits and the Business Benefits.

Technical Benefits of Managed Hosting

Server Monitoring

Server monitoring is simply critical for your organization. It’s a process of constantly scanning the servers to search for any irregularities or potential failures. System admins constantly monitor the servers to identify such points of failures so that they can address them before they become major problems.

The basic principle here is, as the saying goes, “prevention is better than cure”. In Managed Hosting, the consistent, detailed attention system admins provide in constantly monitoring servers, goes a long way to guaranteeing the good server uptime and network availability you want to provide to yourself and your clients.

Server monitoring is not impossible to self-manage, but demands specific skill sets, time and money.


Server security is a huge priority for any business. Server security covers various aspects of security under its umbrella such as:

  • Running security audits
  • Spam filtering
  • Virus scanning
  • Software firewall configuration
  • OS updates

Hosting providers are well equipped with various tools and have tons of experience dealing with server security related issues. They constantly scan the operating system and core application to find security vulnerabilities, which they can fix in order to prevent the server from being attacked.

Managed Storage

The storage requirements of a company can and will change from time to time. The amount of space needed now by an organization may not be the same as they will need a few years or even months down the line. Getting the balance right again requires specific technical skills and an ongoing commitment and availability to give it proper attention. Managed storage means outsourcing a company’s storage needs to a managed services provider. This is beneficial for the company because it helps them reduce the costs related to buying and administering storage services.

Managed Database

This is very much on the same lines as Managed Storage, but calls on the skills and expertise of an experienced Database Administrator rather than more generalised system admins. The DBA acts as a software and service consultant to design the best database system to meet your needs and requirements. Managed Hosting providers typically have DBAs who are, at the minimum, experienced in SQL Server, MySQL and Oracle. So as a company you will definitely find the expertise that you need.


Lost data can be extremely costly for a company. It is therefore essential to have a process that regularly backs up your data, keeps its secure, and preserves its integrity. Research shows that small businesses can lose more than 50% of their data after a man-made or natural disaster occurs. With managed services, you as a business owner can have the peace of mind that your data is secure and backed up because your hosting provider has processes and procedures in place to deal with such scenarios.

Now that we have looked at some of the technical benefits of managed hosting, let’s look at some of the business benefits.

Business Benefits of Managed Hosting

Customized to Meet Your Needs

Every company has different needs, and good managed hosting solutions go beyond a one-size-fits-all to meet your individual requirements. You can get a solution customized as per your needs. This is good because you can negotiate with your provider to choose the service that best fits your needs and the ones that are most critical to you, based on your businees needs – and budget.

Reduced Operating Costs

A small business owner already has a lot of expenses to manage. Hiring in-house system admins and a DBA to undertake server and database management is just an added expense for the company. It’s often more financially feasible to hire a hosting partner that is already equipped with people who have the experience and skill to handle any server related issues.

Save Time and Money

In business, time is money. As a small business owner, the time you spending on managing servers – and managing the people who manage the servers – is time that could be better used concentrating on your core business instead. There are only 24 hours in a day and it is very easy to spend way too much time focusing on tasks like server management. This remains true at the best of times, when everything’s running smoothly, and becomes undeniable at times of crisis. You need to be focused on growing your businesses and looking at the big picture.


There’s no doubt that nothing I’ve said here will come as a terrible surprise to anyone who has a business that maintains a web presence. Even so, it’s not always easy or convenient to consider all of these factors at one time.This is why some businesses keep using unmanaged hosting or self-managed hosting: because they simply haven’t considered all aspects of the Managed Hosting option.

I hope this article has gvien you a better understanding of what Managed Hosting services can offer and how they can be beneficial to you, your company and your clients.At the very least, I hope it helps you to review your current situation and explore what Managed Hosting can offer you.

I’m confident you’ll find that sometimes it is simply better practice to outsource a task like server management and let the experts do their job to help your business.

Frequently Asked Questions about Managed Hosting for Small Businesses

What is the difference between managed hosting and unmanaged hosting?

Managed hosting is a service where the hosting provider takes care of all the technical aspects of running a server, including setup, maintenance, updates, and security. This allows the business owner to focus on their core business without worrying about technical issues. On the other hand, unmanaged hosting is a service where the business owner is responsible for all the technical aspects of running the server. While unmanaged hosting may be cheaper, it requires a higher level of technical expertise and can take up a significant amount of time.

How does managed hosting improve website performance?

Managed hosting can significantly improve website performance in several ways. First, managed hosting providers use high-quality server hardware and software, which can handle high traffic volumes and complex website functions more efficiently. Second, they provide regular updates and maintenance to ensure optimal server performance. Third, they offer expert technical support to quickly resolve any issues that may affect website performance.

Is managed hosting secure?

Yes, managed hosting is typically more secure than unmanaged hosting. Managed hosting providers have expert security teams that monitor the servers 24/7 for any potential threats. They also implement advanced security measures, such as firewalls, intrusion detection systems, and regular security audits, to protect the servers from cyber attacks.

What are the cost implications of managed hosting?

While managed hosting may be more expensive upfront than unmanaged hosting, it can actually save businesses money in the long run. This is because managed hosting eliminates the need for businesses to hire and train their own IT staff to manage the servers. It also reduces the risk of costly downtime and security breaches.

Can managed hosting support business growth?

Yes, managed hosting can support business growth by providing scalable resources. As a business grows and its website traffic increases, managed hosting providers can easily upgrade the server resources to handle the increased load. This ensures that the website remains fast and reliable, even as the business grows.

How does managed hosting affect SEO?

Managed hosting can positively affect SEO in several ways. First, it improves website speed and reliability, which are important ranking factors for search engines. Second, it ensures that the website is always online and accessible, which can improve its visibility to search engines. Third, it provides a secure environment for the website, which can boost its trustworthiness in the eyes of search engines.

What kind of businesses can benefit from managed hosting?

Any business that relies on its website for operations or revenue can benefit from managed hosting. This includes e-commerce businesses, online service providers, media companies, and any other businesses that need a fast, reliable, and secure website.

How does managed hosting handle data backups?

Managed hosting providers typically offer regular data backups as part of their service. This ensures that the business’s website data is always safe and can be quickly restored in case of any data loss incidents.

What kind of support can I expect from a managed hosting provider?

Managed hosting providers typically offer 24/7 technical support. This means that any issues with the server can be quickly resolved, minimizing downtime and ensuring that the website remains accessible to users.

How can I choose the right managed hosting provider for my business?

When choosing a managed hosting provider, consider factors such as their server performance, security measures, support services, scalability, and pricing. It’s also a good idea to read reviews from other businesses to get a sense of their reliability and customer service.