What things should be noticed before starting a hosting company?

Discussion in 'General Business' started by samlocalguy, Aug 12, 2008.

  1. #1
    Hosting Business is now very competitive and profitable too....

    Daily lots of companies are coming in Market. What you think the future of new coming companies?

    And What things should keep in mind before starting a hosting company?
     
    samlocalguy, Aug 12, 2008 IP
  2. priviet02

    priviet02 Banned

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    #2
    Well the location is the key as more and more people are moving offshore so that could be a bonus.Also support whenever needed is a prime as people will always certainly need support.And finally if you advertise as you dont oversell and keep good space on the server then thats going to get people interested aswell because alot of offshore companies oversell
     
    priviet02, Aug 12, 2008 IP
  3. samlocalguy

    samlocalguy Active Member

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    #3
    Yeah Overselling, supports are big issues..

    Peoples love support first...
     
    samlocalguy, Aug 12, 2008 IP
  4. samcroft11

    samcroft11 Peon

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    #4
    You have to think about if you really want to get into it since you can't really run away half way through.

    You've got to think if you will still want to do this years down the line, be ready hand on foot to do anything, put in long hours and money.

    Why do you want to get into the hosting business?

    Support is a big plus in the hosting business, give it a personal touch, takes more time but it will pay off.
     
    samcroft11, Aug 12, 2008 IP
  5. samlocalguy

    samlocalguy Active Member

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    #5
    I think no one can earn in hosting business first year? Its too hard...
     
    samlocalguy, Aug 12, 2008 IP
  6. newgenservices

    newgenservices Well-Known Member

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    #6
    It would be Support , Uptime (Get a server from good DC or a reseller / vps from a good host) and Resource Availability and Marketing Plan strategy and Budget. Most of them don't have an idea of what budget do they need to start a hosting company which has to survive on its own for an year.
     
    newgenservices, Aug 12, 2008 IP
  7. NorTED

    NorTED Banned

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    #7
    Actually this is very much possible! But you need a strategy, a budget, a DC and basicly a fully planed plan before you go of and launch your company!

    Good "Kick Off" promotions is always great and attracts customers, you may also attract them by offering competiting prices and amazing support!
     
    NorTED, Aug 12, 2008 IP
  8. samlocalguy

    samlocalguy Active Member

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    #8
    From which pack any new one starts?

    1 Reseller
    2 vps
    3 dedicated... or else...
     
    samlocalguy, Aug 13, 2008 IP
  9. FISHKINZ

    FISHKINZ Banned

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    #9
    I started off on a reseller, moved to a VPS then dedicated, and a couple VPSs :)
     
    FISHKINZ, Aug 13, 2008 IP
  10. RWHost

    RWHost Active Member

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    #10
    I strted off with a VPS, Now i have moved to colocation and we now own our own nodes :)
     
    RWHost, Aug 13, 2008 IP
  11. moneydude

    moneydude Well-Known Member

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    #11
    My company already making a little profit after about 3months. But yeah main key to success is support, great uptime and of course affordable prices.

    If you don't have at list $1000 and a lot of knowledge then don't even think about starting hosting company, it will be bad for your and for your clients.

     
    moneydude, Aug 13, 2008 IP
  12. samlocalguy

    samlocalguy Active Member

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    #12
    You are right...

    What points should be noticed before starting hosting business?
    Where we can get a complete guide?
     
    samlocalguy, Aug 13, 2008 IP
  13. IwhiC

    IwhiC Peon

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    #13
    This does not belong in the bst area... we all get infractions for bumping (and posting legitimate posts) but we have to deal with the non sense that does not belong in bst

    google your questions you will find alot.

    read the similar threads at the bottom and you will have others asking the same questions
     
    IwhiC, Aug 13, 2008 IP
  14. MarbleHost.com

    MarbleHost.com Well-Known Member Affiliate Manager

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    #14
    It is important to decide if you will target mainstream or specific niche. If you have strong marketing skills you can try to target mainstream and in case of success there is the biggest potential. If you are going to run web hosting business like part time job then try to find less competitive niche.
     
    MarbleHost.com, Aug 14, 2008 IP
  15. Seqqa

    Seqqa Well-Known Member

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    #15
    I really do believe that it's the affiliate program that makes or breaks a web hosting company, if you have a kick ass affiliate program everyone is going to want to promote you the only job you have is supplying a good service and paying your affiliates.
     
    Seqqa, Aug 15, 2008 IP
  16. newzone

    newzone Well-Known Member

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    #16
    To have success you must oversell i think , i saw most people search for huge amounts of space and bandwidth just because they want to be sure *have enough space and bandwidth even if they don't have.

    In other words promise to 1 user your entire server, can NOT be true but my conclusion from what i saw reading... it works.

    This will make soon no difference between small and big hosts because anyone can oversell.

    Second illegal hosting, make a warez, copyrighted materials host and a lot of people will love you just because a lot of people want to break the law.

    I don't like my advices but are true in my opinion.
     
    newzone, Aug 15, 2008 IP
  17. nimhost

    nimhost Active Member

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    #17
    i'm running a web hosting business with quality as an important point and the price was 2nd

    in my country people looking for cheapest price without thinking about the quality
    in the first 1 year i'm already loss about $7000 more for renting ds, design, advertising, etc
    thx to God i have knowledge how to managing the server and hardening it so until now my clients was very satisfy with my services

    but yes it's really hard to campaign with other hosting provider which provide cheap prices because most of the people is looking for the price first for their main point :(

    i'm glad right now people know my hosting business and how much the services i provide worth from mouth to mouth :)

    Here is some points you should make it as your attention if you want make good quality hosting provider

    1. never overselling your server, each server have maximum process they can handle so don't try to overload it because it will make your clients site will take long enough to load, in worst case it will make the server getting overload
    2. hardening your server and make sure your server was secure
    3. use remote server as your backup to store your clients data so if your web hosting server got problem you still have your clients backup on your backup server
    4. watching smtp, in most case e-mail can increasing the load of server
    5. never let open relay on your SMTP as for the bad result your server can be used as spam server and will result your server getting listed on blacklist
    6. ready to answer almost of your clients question
    7. patient is needed for clients which need to much from you :)
    8. choosing best datacenter for avoiding ddos attack to your network which can impact to your server connection too
     
    nimhost, Aug 15, 2008 IP
  18. nimhost

    nimhost Active Member

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    #18
    I'm agree with your opinions but in reality i'm not doing your opinions
    I'm sure it just matter of time where people looking of valuable and good quality hosting provider :)
     
    nimhost, Aug 15, 2008 IP
  19. one2three

    one2three Banned

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    #19
    You could not be more wrong, by the end of my first month in hosting, all of the bills were paid for the next year. :)
     
    one2three, Aug 15, 2008 IP
  20. meister

    meister Member

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    #20
    I'd second the comment about the necessity of a generous affiliate program. If i was starting a hosting company that would be my primary focus.
     
    meister, Aug 16, 2008 IP