Executive Summary

Since joining 7 figure MSP™ Inner Circle Elite, Raj Sidhu transformed his Managed Service Provider (MSP) – inTech Consulting LLC – by adding $130,000 in monthly recurring revenue while working just 4-5 hours per day. His company now generates approximately $3 million in annual recurring revenue (ARR) with an industry-leading 26% EBITDA. This case study examines how Raj achieved this growth by removing himself from technical work, implementing robust processes, and focusing on strategic leadership.

The Mindset Shift

The turning point in Raj’s journey came from a moment of brutal self-awareness. “I’m a shitty tech,” he admits candidly. “I realized how good some of these guys are at technical abilities, and at some point, I just said, ‘I’m not gonna do anything technical.'”

This realization led to a dramatic shift in how he approached his business. Today, Raj doesn’t even have administrative access to his own computer or any servers. This isn’t just delegation – it’s a complete removal from technical operations that allows true strategic focus.

“I need to work on the business instead of in the business,” he explains. “When I’m going on site, I’m meeting with directors of IT, CFOs, CIOs, and I’m listening to what they’ve got going on and planning a year in advance.”

Building the Foundation
Documentation and Process Development

Raj attributes much of his success to comprehensive documentation and processes. His company maintains what he calls a “digital binder” of procedures from A to Z. Key elements include:

• Weekly process meetings with three team members
• Regular gap analysis of documentation needs
• Continuous updates and improvements
• Assignment of process documentation tasks

“It’s a living, breathing document,” Raj explains. “We have an internal process meeting every Wednesday where we go through what we need to continue to document, what we’re lacking, where the gaps are.”

Team Development

Rather than micromanaging, Raj embraces a philosophy of learning through experience. He shares a striking example: “We have a guy that has lost over a quarter million dollars for us in mistakes… but he’s our best guy now. I’m okay with him making these mistakes because he’s learning.”

This approach extends to hiring as well. “The last four guys I’ve hired, I met them a couple of months after they had already been hired,” he notes. The team handles the entire hiring process, with Raj only providing initial strategic direction about needed roles.

Management Systems

The business runs on clear metrics and reporting systems:

• Daily AR reports
• Weekly invoicing summaries
• Project status updates
• Budget tracking
• Client payment monitoring

Strategic Market Positioning
Target Market Definition

Raj focuses exclusively on larger enterprises (500-5000 employees) in specific verticals:

• Manufacturing
• Aerospace
• Department of Defense contractors
• Compliance-heavy industries

Sales Approach

Unlike many MSPs, Raj takes a long-term approach to sales. “My sales cycle is like a year, year and a half,” he explains. This involves:

• Helping prospects with budget planning
• Providing strategic guidance before selling
• Building relationships through value-first interactions

“If they don’t have a budget, I sit down with them and help them through that process,” he explains. “When budgeting comes around, they always call.”

Trade Show Strategy

Raj’s approach to events is strategic and targeted:

• Sponsors events for visibility
• Researches attendee lists beforehand
• Connects with prospects on LinkedIn
• Focuses on 4-5 specific target companies per event

“I don’t take the shotgun approach to anything,” Raj emphasizes. “When I go to an in-person event, first of all, we sponsor them because that differentiates us from everybody else. I research people that are going to be there. I know which companies I want to work with in our area.”

Growth and Scaling Strategy
Current Operations

Raj has structured his business to run efficiently with minimal involvement:

• Works 4-5 focused hours daily
• Takes month-long trips abroad
• Maintains work-life balance
• Empowers team decision-making

“When I go away for a month, you will not see me on a phone call with a client or with one of our guys,” Raj notes. “You won’t see me with my laptop out fixing anything because that’s already been addressed.”

Future Plans

With current success as a foundation, Raj is looking toward:

• Growing from $3M to $5M annual revenue in 15 months through acquisitions
• Implementing formal marketing strategies
• Building toward a potential sale at appropriate valuation
• Personal goal of $150M net worth in 10 years

“I don’t love what I do,” Raj candidly admits. “I’m doing this because this is essentially a stepping stone for me to get to where I want to get to in life.”

Results and Metrics
Financial Performance

The company maintains impressive metrics:

• $3M annual recurring revenue
• Added $130K in monthly recurring revenue over 18 months
• 26% EBITDA (industry average is 20%)
• Nearly $1M in annual net profit
• Recently declined a $5M acquisition offer as significantly undervalued

“When I have stupid offers being made, I can laugh in their face,” Raj notes. “We generate almost a million dollars in net profit a year. Why would I sell my company for five million?”
Contract Evolution

The business has evolved from one-year to three-year contracts, maintaining premium pricing without offering discounts for longer terms. This approach has helped build sustainable, predictable revenue while maintaining strong margins.

Key Lessons and Takeaways

Remove Yourself from Technical Work Completely

Success came when Raj fully committed to stepping away from technical work. This wasn’t a gradual transition – it was a complete separation that allowed him to focus entirely on strategic growth.

Document Everything, But Keep It Living

While Raj freely shares his process documentation with others, he emphasizes: “You’re not going to be able to change anything with that. Nothing is going to change in your organization by just having these processes documented. You have to live that process, your people have to live that process, and you have to trust your people.”

Embrace Mistakes as Learning Opportunities

Rather than punishing errors, Raj’s approach treats mistakes as investments in employee development. This creates a culture where team members feel empowered to make decisions and learn from outcomes.

Focus on Strategic Relationships

The business has thrived by moving away from transactional sales to building long-term strategic relationships. This approach may take longer, but it results in more valuable, lasting client partnerships.

Maintain Strict Market Focus

By targeting specific verticals and company sizes, Raj has built deep expertise in his chosen markets. This allows for more effective sales processes and better service delivery.

Build for Scale from Day One

“My goal from day one was to have multiple people work for me,” Raj explains. “That’s why as soon as we formed the company, from day one I had an employee. By month three, I had six employees.”

Conclusion

Raj’s journey demonstrates how stepping away from technical work and focusing on strategic leadership can transform an MSP business. His success comes not from technical expertise but from systematic processes, strategic thinking, and trust in his team.

The results speak for themselves: growing to $3M in annual recurring revenue, maintaining 26% EBITDA, and building a business that runs efficiently with minimal owner involvement. Perhaps most importantly, Raj has achieved this while working just 4-5 hours per day, proving that with the right systems and mindset, it’s possible to build a highly profitable MSP without sacrificing work-life balance.

His approach challenges common MSP owner beliefs about the need to stay involved in technical work and demonstrates the value of thinking strategically about business growth from day one.