Thinking of starting own hosting business- need expert opinion

I am thinking of starting my own hosting business but not until 2-3 years. I will be finished school in about 1.5 years. I have little knowledge about web hosting but I have been developing websites for over 1 year. I am creating this thread so people can recommend where I can learn stuff about web hosting and servers and all of that stuff. I am not wanting to start this to make big bucks but just something on the side, I do not expect to make big profits. Also how much would you expect it would cost? I know servers are expensive. And my last question, do I need any special internet connection or power source. It would be great if you could help me so I can start to learn more about hosting. Thanks in advance.

forumSEO

 

Start with a dedicated server at about $100 USD/month

You can usually get some good space (300GB most likely) and really good features if you shop a little.

Before you throw yourself into a dedicated server, you should be well experienced with WHM and CPanel.

Once you get a good amount of clients buy a few servers (a few grand ea.) and get a t1-t3 connection.
(no your cable connection or DSL won't let you do it, let alone handle the traffic)

the internet connection alone is around $150-$500/month

 

Let me clarify this, please tell me if I am right or wrong. small web hosting companies buy hosting off bigger companies (dedicated) where they rent their own server. Does anyone go out and buy their own servers? Lets say I buy a dedicated hosting plan, what do I get, do I need to install software? I will have more questions later. Thanks

 

Some people do buy their own servers, but it's easier not to, at least to start with. If you get a good dedicated server from someone else, you can always sell hosting packages on it.

If you use your own server, it's not just the server, but the server backup, the internet connection, the uninterrupted power supply, etc. Far easier to let someone else take care of that end of it.

Dedicated server plans will often come with WHM (Web Host Manager) and you can set up hosting plans via that.

 

From what I can see dedicated hosting plans are about $100 per month. Lets say I brought one now with Web Host Manager installed. Is there anything else I would need to purchase like any software? And would I need to know any complicated coding or anything? i.e how easy is it to run a hosting business of WHM. Also if I went into a partnership with someone and split the earnings/costs 50/50 what are some steps to ensure they will not scam me. Thanks.

 

I share a dedicated server with someone. It's what I get in exchange from doing website coding for them, managing the servers, plus I get cash to the side.

If you get a dedi with WHM and Cpanel installed, you shouldn't have to buy any other software. most things you can install right off of whm without paying for anything.

 

I'm in your exact shoes. Two months ago I decided to go out build a web hosting company. The first thing I did is go out and purchase a reseller account. I would still recommend this for any new web hosting company. It doesn't cost much out-of-pocket and still gives you the opportunity to build up slowly. Dedicated servers are expensive and 90%+ of the hosting companies out there do not have the customers to pay for itself.

Hosting is a packed business. You have to offer something unique to bring in new customers. Being a designer/web development guy as you, I offer these services as well which has helped bring in about 10 customers in the last 2 months.

The mistake i've made and the recommendation I can make is to NOT go out and buy the cheapest reseller account that has the most space/bandwidth allowed. I would recommend going with someone who has overselling enabled, but ensure that they are reliable. I've heard great things about resellerzoom.com and have decided to go out and try them after my initial reseller account has been down for 3 days now. I've got upset customers who I have given full refunds to (honoring my 99.9% uptime guarantee) but I'm not able to access their accounts to move them over at this point. Going with an unreliable and unproven host for my reseller account was the biggest mistake i've ever made and has probably cost me several customers. I'm hoping that my honesty and committment to 99.9% uptime guarantee is enough to keep them.

I would recommend going from a Reseller account to a VPS (again, find a reliable company to go with) and then finally to a dedicated server. This will keep your overhead expenses low. Let me know if you have any questions.

 

All I had to do was manage servers.


So I have half a dedicated server for managing 2 dedicated servers...

If you want to start with some reseller hosting, I can get you some. just PM me if interested.

 

Hi,

This is not the best place for information on hosting.

Try reading Alot at WebHostingTalk.com

Good luck!
Sean

 

if you dont no much about webhosting i wouldnt recommend going into it. i run my own company for 2 nearly 3 hours had a large number off clients but decided to sell up as its so hard to compete in the industry.

if you dont have the money to start off then dont bother or just want some pocket money, as you need money for server, server managment, billing/supports scripts, website design, and eventually staff plus what ever else.

and usally it will take 5 or 6 months before it all pays off and you break even. and thats if your lucky

my advice is to think hard about this and go to web hosting forums for advice and more info www.webhostingoffers.net, www.webhostingtalk.com, www.webhostingchat.com

 

to answer you previous question, running a web hosting bussiness out of WHM is very easy, it's what it was made for
but do keep in mind, that if you do buy your own servers, you will need to buy a cpanel license too, they run at around 400-450 dollars a year

 

You would be stupid, crazy and naive to think you could pull it off. Please, do not go down this route and try something else!

 

I would recommend that you buy reseller hosting and try that out first. This way you'll learn some information about the hosting industry. Also theres less responsibilities when you buy reseller hosting because the company you bought it off manages the server and $100 is a lot to put into something you know nothing about, plus you'll have other costs like managing the server, advertising, etc. when you can pay like $5-$10 a month for a reseller.