Recurring-Revenue Managed IT Services Provider for sale

A managed services provider (MSP) with more than 25 years of history, supporting small and midsize businesses in legal, accounting, nonprofit, manufacturing, engineering, and real estate. Over the past two years, the company converted from customized IT support to a standardized recurring-revenue model: every managed client is on a single Master Services Agreement, most are on per-user plans, and security, backup, monitoring, and documentation standards are applied across the board. The owner is pursuing a planned exit with the business running in a steady, documented state.

Investment Highlights

Contracted recurring revenue. About $33.6K of monthly recurring revenue ($402.6K annualized) under a standardized MSA with 12-month auto-renewal, annual price adjustment, and assignment to a buyer without client consent.
Exceptional retention. Average client tenure of 13.1 years; 9 clients for more than 20 years; only one small account lost to a competitor in 36 months; largest client is 11.5% of MRR.
Strong, consistent earnings. Adjusted EBITDA (owner-operator basis) of $317K to $366K in 2023 to 2025 (41% to 49% margins) on a lean cost base with no facility lease.
Documented and transferable. SOPs, runbooks, client governance documentation, credential management, and continuity plans; a contract engineer was onboarded using that documentation in 2026.
Built-in upside. Temporary per-user discounts step down from 2027 renewals on top of contractual annual increases; growth to date has come almost entirely from referrals.

This Mid-Atlantic-based MSP operates from a home office with no facility lease obligations and serves more than 25 SMB clients across 11 industries. The business currently supports 256 managed and 95 unmanaged workstations, providing a diversified client base and recurring service relationships.

The company is led by the owner, who serves as the technical lead, supported by a fractional contract engineer. Following the successful completion of a multi-year modernization program, the owner is seeking a planned exit from the business.

The opportunity is well suited to a regional or national MSP, a private equity-backed MSP platform, or an experienced IT operator looking to acquire a scalable, SBA-financeable business with an established customer base and strong technical foundation.