Hello

I did several searches and came up with only a few threads regarding how to sell a hosting company. I figure it can't hurt to ask again...

I would appreciate it if anyone has the link to any good threads regarding this matter or if someone has gone through this process recently is willing to PM me.

Any information is appreciated. The main issue is payment/legal issues.

Thanks,

If you are selling a big hosting co, I suggest if u can afford it, get a lawyer go through the due diligence. If it is not worth getting a lawyer. Try drafting a simple contract on paper. Whatever clauses put it on paper and ensure the seller sign it. That is the minimal protection.

Originally posted by boonchuan
If you are selling a big hosting co

Quite the opposite, really. :)

I would go talk to a lawyer about this beforehand - problem is I don't know any lawyers and would rather not get suckered into paying something unnecessary.

Are there any good templates online for this sort of thing?

You can do a search online for selling a business legal forms; I'm sure there are at least a few sites that have something to that effect.

Originally posted by P-nut
You can do a search online for selling a business legal forms; I'm sure there are at least a few sites that have something to that effect.

Thanks, I'm searching right now and see plenty.

Now the question is which ones?

Im just curious what are the statistics of your business?

Originally posted by Z1 hosting
Im just curious what are the statistics of your business?

Irrelevant - But I am looking to sell everything for $1000

I have done a bit of research and have found that most sites offering advice are only offering advice for large sized small businesses that have physical assets.

What I am looking to sell is a very small hosting company(~$1,000) where everything is done online...

It looks like none of the formal tax laws or anything would be relevant in this case since it's going for so little...

So I'd basically need to get ahold of some sort of contract that states what is to be sold and for how much, then I'd transfer all the necessary info, etc.

Am I missing anything here?

Thanks :)

Nope. To be honest, if the total amount you want is only $1000, then you're probably going to wind up with a worthless piece of paper that someone has "signed" to make the deal with you.

In other words, what are the odds you are going to go after someone who screws you? The whole sale is worth only $1000, so it's unlikely you're going to drop another few grand to pursue legal attack if your buyer screws you over.

I hope this helps.. my point is that you should be VERY careful about whom you select to purchase from you because for the amount you are talking about there are many people who are willing to take you for a ride.

PM me when you're interested and are ready to sell, as we regularily purchase companies, etc..

Cheers!

Thanks for the reply.

That's what I was thinking... It's not really enough money to be overly concerned about but I still want to make sure I do get it. ;)

And yeah, I've already had several people PM me wanting to buy the company(just because of this thread, I didn't even say it or what was for sale yet) that also happened to have subpar spelling/grammar skills. :)

Originally posted by webmultitude
And yeah, I've already had several people PM me wanting to buy the company(just because of this thread, I didn't even say it or what was for sale yet) that also happened to have subpar spelling/grammar skills. :) It's amazing, isn't it?

Pretty much any post in the "offers and requests" forum (where most of the "for sale" posts go) will get many people making bids on a company that is for sale.. and often the original sales post doesn't even have basic information like number of clients, income/expenses, etc.

I wonder sometimes if those posts are just scammers...

There are a few websites out on the net that specialize in selling online businesses, but for the amount you have discussed ($1000 or so), you're probably best to just post a new thread in these forums and then someone will surely give you whatever you ask for. Just a matter of deciding which offer you think would be best for your clients -vs- offered money.

Best of luck to you!

Something to keep in mind might be that you could find someone here on WHT who would manage everything for your company. You could offer them 60% of all net profits or something. This way they would be inclined to get more users and you would still have a company of your own :)

Originally posted by AgaBoogaBoo
Something to keep in mind might be that you could find someone here on WHT who would manage everything for your company. You could offer them 60% of all net profits or something. This way they would be inclined to get more users and you would still have a company of your own :)

The thing is I want to get out of the business for good. :)

Originally posted by webmultitude
Quite the opposite, really. :)

I would go talk to a lawyer about this beforehand - problem is I don't know any lawyers and would rather not get suckered into paying something unnecessary.

Are there any good templates online for this sort of thing?

After buying a few businesses, I can make two recommendations:

a. Get a lawyer. It costs money, but is well worth it.
b. Get your books in order. Your business is only attractive if it
looks well run. You'll need to be able to back up every penny.

I would not acquire a business that was not represented, or
was not able to back up their figures.

Dan

Good advice Dan :) although whether or not someone consults a lawyer could be dependant upon the selling price etc, imo.

If the selling price is between 1k to 10k, the maybe a lawyer is not worth it? However if the selling price is in the multiple hundreds of thousands of dollars, then a lawyer is a must, for both the buyer and the seller. :)