Hi I am pretty confused about how it is done. Alright because I am too young to have my own servers right now, therefore I am preparing myself for the future now. I share great passion with anything that is related to IT (Hardwares, softwares, designing, etc). The recent years I've hopped into the hosting business and bought a reseller from a local company then start doing customer services and stuff but I want to know more, and I feel that I could apparently do better than this. So I am actually gather information about the hosting business. I am actually curious about how much you guys earn a month, I know myself this is a bad question but I seriously am curious. Just give me a rough amount. The reason behind this is because I have been checking on prices of 1Mbps connection in the datacentres and it appears to be like approximately $100/Mbps dedicated line thats equivalent approx. USD$65, I don't know how much it cost in the states but to me that's pretty much a lot. As I've tried buying a dedicated server to host game servers and it turned out that it'll take up to 2.5Mbps to run a few Counterstrike servers, and it's not earning for me. I know it's a little messy here but I seriously am interested to learn. I hope you can help me out and explain to me how you guys actually can earn. I know through overselling is one of the marketing strategies but say for a server I bought for like USD$1300 with like monthly 2Mbps dedicated line (Colocation), in what ways can I learn back the $1.3k with over a hundred bucks of bills every month? Once again, I thank you for your time and help.
I earn around $3000/month from my hosting biz. That too bad,the hosting DC is overcharging you. The tips to get lower hosting fee is you should tie contract with the DC for let say 36 month. For me i normally tie contact is 60 month with my DC. That why they give me special price.
Before you start laying out all sorts of money for overhead, you need to make sure you always follow the first two rules of Jack Welch No.1: Never lose money. No.2: Never forget rule No.1 You are already set up to lose money with your monthly outlay. Go back to your reseller accounts and make money on the value you provide your customers. Also check what your customers need. Most users want a simple blog / website that doesn't require lots of bandwidth or space. I always tell my customers that I have no problem upgrading their packages if they need it, but I'm not trying to sell them on numbers that they don't need / can't use. Most folks are happy to pay $10 a month to make sure their small website is up - if you are losing money because you can't fit enough people on the server, you should decrease the amount of bandwidth/space they receive or increase your rates so you make money. Once you've got 10-15 different reseller accounts, with 10-15 clients on each, charging $10 a month, it may cut a few hours out of your day to consolidate onto your own server. Once most folks are set up and ask their original questions, its just a matter of receiving the payment each month.