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Why Open a Franchise MSP with Paul Ongioni
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Entering the MSP market
MSPs love to hear from other MSPs – particularly from those who are new to the space. When I came across an entrepreneur who jumped from software development to launching the first Nerds to Go franchise in Chicago just six months ago, I had to know what he’s observed so far.
I recently welcomed Paul Ongioni onto a bonus episode of The Business of Tech to share his fresh POV on the state of the MSP. Here’s what drew him to the field, how business is going, where he thinks we’re heading next.
The Nerds to Go Franchise
If you’re unfamiliar with Nerds to Go, Ongioni shared an overview: it’s been around for about twenty years, originally started in Connecticut, and offers managed services as well as computer repair.
As a franchisee, Ongioni explained that while he runs a completely independent business, he does have a few constraints to follow. He has to use the company’s branding at his office and on vehicles, offer certain services, and, most notably, use ConnectWise for PSA and RMM.
Other than that, Ongioni handles his own hiring, sets his own prices, and can control the rest of his stack and use any vendor he wants. However, Nerds to Go actually has a whole franchise network with negotiated prices, so as a franchisee, he has access to better vendor deals. He still has to pay a royalty to Nerds to Go, but he sees the trade-off as worth it.
A Business Breakdown
Since starting his business six months ago, Ongioni has signed several MSP clients and taken on a few one-off projects for businesses. Word of mouth has been a key part of this growth phase, and he’s wound up with half residential and half B2B clients.
Staffing-wise, he has two full-time technicians, a part-time co-owner, and a part-time salesperson. I was curious about how hiring has been in the current job market, and Ongioni described it as having plenty of choices. With layoffs continuing to impact the Chicago job market, he had no problem filling his job postings.
Why an MSP? Why a Franchise?
So, why would a 15-year software developer – a relatively stable job – pivot to an MSP?
Ongioni enjoyed his health tech roles in customer success and project management, but when he was laid off from Epic last year, he felt he had an opportunity to finally become his own boss. He initially wanted to open a fitness studio, but ultimately decided to leverage his experience in the healthcare sector to zero in on small businesses. He noticed over the years that MSPs don’t often know a lot about the ins and outs of the healthcare sector, so he felt his expertise could really help local clinics.
With Nerds to Go offering MSP resources from the jump, he decided to go the franchise route.
AI and Cyber: What Are Customers Asking For?
We’ve all noticed the increased demand for AI services from customers, so I was curious if Ongioni had a similar observation. Just six months in, he’s noticing the same things as us vets:
“There’s certainly a lot of interest. And I think not a lot of knowledge. And I think there are a lot of misconceptions about what AI is and what AI is not,” he said.
Still, he’s trying to help customers make good decisions about deploying AI and using AI tools internally to be more efficient providers.
I asked the same about security – what are conversations with customers looking like on the cyber front?
Again, he described it as a lot of fear but not a lot of knowledge. Chicago’s healthcare scene has seen a decent amount of attacks lately, including a hacking at a nearby children’s hospital; as a result, he’s had smaller healthcare clients reach out for help strengthening their systems within a smaller budget.
Out of curiosity, I asked what his security solutions look like so far. Ongioni explained that while the end customer only interacts with his team and Nerds to Go-branded services, he does outsource his top layer of enterprise-level security. His team offers a core set of tools, like their RMM with endpoint security and network monitoring, but outside vendors handle higher-level services like 24-7 SOC-type monitoring. This helps those 10-person doctors’ offices afford more robust protections at a more reasonable price.
The Next Big Growth Space
Ongioni wouldn’t have gotten into this business if he didn’t think there was room for growth. So, where do new leaders in this space anticipate the next great opportunity?
His answer is simple: cybersecurity. As enterprise organizations level up their security, he believes small businesses will become even bigger targets. The week we spoke, Ongioni said he had both an interior design firm and a fashion boutique – businesses that barely even have firewalls in place – reach out for support.
As for AI, he believes growth is inevitable, but can’t quite predict what the role of the MSP will be.
Whether you’re an MSP veteran or brand new to the space, there’s something to learn from the industry’s newest businesses.
As always, my inbox is open for questions, insights, stories, or whatever else is on your mind.
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