For a company of 20 users it just seems a lot to handover a few admin passwords. Personally if a customer wants to leave me then im happy to hand over everything for free.
Well it’s not just passwords, Visio diagrams take time to do and keep up, documentation for ISP acct numbers and info.
Plus not to mention I’m sure there might be a transition period where some things need to be answered by the previous staff. Where is such and such, or forgotten things. All that takes time. Answering the emails, phone calls, possibly arguments on whose responsibility is what.
And although you may not do these things and just tackle everything head on yourself and really only use the passwords and diagrams they provide, there’s a lot of others that won’t be so driven.
For me $1000 is a little over 8 hours. Would I think it would take 8 hours to bring someone up to speed on network/account info, software licenses, phone system, firewall restrictions? Probably not, but it can easy surpass that with a bunch of phone calls and back and forths. They just want to cover themselves for worst case scenario.
I would make sure you get all that info that they said they will though, but not necessarily go through your client to ask for things. Get their contact info yourself, possibly even have an introduction, and handle things yourself like the client expects you to. Business is business, a professional won’t be salty about it.