I am wanting to buy this business...

Discussion in 'General Business' started by TonyVeigas, Aug 22, 2008.

  1. dog222

    dog222 Active Member

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    #21
    Their About Us page says 3 years?
    http://www.hostpug.com/about.html
     
    dog222, Aug 23, 2008 IP
  2. ctrq

    ctrq Peon

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    #22
    This look to be one of those "set up with the intention to sell" website. I don't believe they had real interest in this other than selling. 1 month revenue is worthless.
     
    ctrq, Aug 23, 2008 IP
  3. Christian Little

    Christian Little Peon

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    #23
    Just a word to the wise, if you do end up wasting your money on this, please don't waste forum space by crying about it in a few weeks when it fails horribly for you. That happens too much here as it is, and you've been given a lot of warnings about it from people.
     
    Christian Little, Aug 23, 2008 IP
  4. TonyVeigas

    TonyVeigas Banned

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    #24
    Thanks for the heads up. But web hosting area is something that I have great experience in. I sold my other hosting company as it took too much time but the revenue at that time was great. I just think i can turn hostpug around as I have the knowledge but I am still in the midst of decision.

    -Tony
     
    TonyVeigas, Aug 23, 2008 IP
  5. Christian Little

    Christian Little Peon

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    #25
    Now I'm lost...you sold a hosting business even though it was successful, and now you are buying a new one? What the hell is wrong with you?
     
    Christian Little, Aug 23, 2008 IP
  6. slaydragon

    slaydragon Banned

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    #26
    yes, i am wondering about this too.. contradicting? if you are looking to venture into hosting, y sell your established company and buy a new one? To start all over from zero again?
     
    slaydragon, Aug 23, 2008 IP
  7. ecksit

    ecksit Peon

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    #27
    If a web hosting company already has a huge web hosting service, why would they go out of their way and go thru all this trouble to make a quick thousand bucks?
     
    ecksit, Aug 23, 2008 IP
  8. wisdomtool

    wisdomtool Moderator Staff

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    #28
    True, the conspiracy theory does not stand. Though it would do you good to do the due diligence especially as this is such a new company.

     
    wisdomtool, Aug 24, 2008 IP
  9. TonyVeigas

    TonyVeigas Banned

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    #29
    For those of you who asked why I sold my other hosting company and why I am thinking of buying a new one. Here is my answer.

    The time I had my hosting company was more than 6 years ago. And those were the days when I was not very successful on the internet. But that hosting company was sure worth a lot as it was one of my first business to start out. After i got engaged I just did not find the time to run it anymore. Also I needed the money to buy the basics for our new house. So I sold the company, and now that I am more financially settled with many companies I own, I would like to expand my network with this already established one. So anyone called that contradicting but it's my decision I would like to make. As I have seen the potential of this niche a few years ago.
     
    TonyVeigas, Aug 24, 2008 IP
  10. rcadble

    rcadble Peon

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    #30
    I don't think it's worth the risk in my opinion. There are too many risks when you're going about buying something like this.
     
    rcadble, Aug 24, 2008 IP
  11. Raisin

    Raisin Active Member

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    #31
    The reason people are accusing you of advertising your own site is because most people would never reveal the url of a site they're thinking of buying. What's to stop someone from seeing this thread and contacting the site owner with a better offer? Of course if you're the owner of the site that's not a issue for you.

    I'm going to assume you're telling the truth and recommend you don't buy the site. Mainly since it sounds like the site was built purely to sell. There's a very likely chance that the client base are all dummy accounts set up by the seller to lure in a buyer. It wouldn't be that difficult for someone to get a couple of their buddies to sign up for a service and then have them all cancel after the sale is complete. Anyone looking at the financial details wouldn't be able to see it since all the sales come from legitimate credit cards.

    Also even if it wasn't a scam I still wouldn't recommend buying it. Hosting as a standalone business really isn't that profitable. There's a lot of competition in the field driving down prices and pretty much forcing you to oversell. A good reseller won't allow you to oversell so that means that you either have to settle with a unreliable reseller or take the plunge and get a dedicated server.
     
    Raisin, Aug 24, 2008 IP
  12. Jon1771

    Jon1771 Well-Known Member

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    #32
    For $900 you would be better off setting up your own company from scratch, then you would know everything and not have any poor reviews from previous owners!
     
    Jon1771, Aug 25, 2008 IP
  13. TonyVeigas

    TonyVeigas Banned

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    #33
    Well the thing is that money is not a huge issue for me. $900 is a root bid i always start on for most established companies making money.

    I just love the name "hostpug" and a little active forum they have.

    I am thinking of a redesign and whole new look for this company.

    If it succeeds it succeeds, if it fails it fails

    that's my thinking.

    But after some negitiations on skype I did manage to bring up all of the problems and concerns mentioned in this thread. The owner dropped the bin to $400. So i guess when one of you mentioned "this is a made to sell business" you were right. But I see it as a business template that I am going to modify all over.
     
    TonyVeigas, Aug 25, 2008 IP
  14. Raisin

    Raisin Active Member

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    #34
    I guess people have paid more for domain names but I really wouldn't call that an active forum. There's only 2-3 stater threads in each section. It's going to take a lot more work to get that forum off the ground.

    Overall I guess it's not bad as long as you view it as a template. Although personally I wouldn't pay $400 for something that really only amounts to like a day or two of work to build from the ground up. Plus you can build it the way you want without having to go back and mess with someone elses code.
     
    Raisin, Aug 25, 2008 IP
  15. slaydragon

    slaydragon Banned

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    #35
    hi, the active forum could be bought by using paid posting services.. i think it is better for you to email those customers, ask for their feedbacks, if 90% are happy and continuing hostpug services, y not buy it and take it as a 'risk" investment? Provided if you have the money to spend. I think $900 should not be a prob to you as you are making 12k monthly.. :)
     
    slaydragon, Aug 25, 2008 IP
  16. TonyVeigas

    TonyVeigas Banned

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    #36
    The bin dropped to $400 firstly.

    But I guess i am in this for the catchy name rather than anything else.

    -Tony
     
    TonyVeigas, Aug 25, 2008 IP
  17. webgal

    webgal Peon

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    #37
    Well, it's website flipping. They started it and they're churning them out to sell them. Not that this is inherently a bad thing. It's just that web hosting is not a total piece of cake. And there is fierce competition in this market. Hosting companies drop like flies every day.

    SEO score is 83% which is only OK.

    You'll have a bit of an uphill battle since it's so generic. The "why choose us" is pretty weak as unique selling positions go. You do have to wonder how many of these they'll stamp and repeat making it pretty hard for you to stay in business.
     
    webgal, Aug 25, 2008 IP
  18. TonyVeigas

    TonyVeigas Banned

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    #38
    I appreciate your concern here. But I am going to remake this site with a fresh new design. It is mostly the name I am in for. And yes i agree, i think that part was a bit rushed in my opinion.
     
    TonyVeigas, Aug 25, 2008 IP
  19. tilt81

    tilt81 Peon

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    #39
    if you earn 12k a month then i guess you can gamble your $900 on the site you're interested in buying. good luck man.
     
    tilt81, Aug 25, 2008 IP
  20. VacationGuy

    VacationGuy Peon

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    #40
    i think i would pass on this one
     
    VacationGuy, Aug 26, 2008 IP