Why do some clients ask " Are you going to stay in business for long, my last host went under" .

Is there realisticly any host out there that ever replies and says they dont plan on being here long ? Isnt the point of starting a business to try and make it ? Does anyone open a business with the ultimate goal of going out of business ?

LOL. I think the question probably means "I'm really pissed off at all the "joke-hosts" out there, how can you assure me you are not one of these?"

Well I agree, what host, professional or otherwise, is going to say... "ahh yes, you have me there, I'm in it for a quick buck and will be gone tomorrow".

Good point Jag.

Hmm..I've had these same questions too. Its actually unnerving to think that some people EXPECT you to go out of business.

Thats the state of the industry these days I guess.

Just how many fly by night opperations are out there. I hear alot of young people on this board asking hay Im thinking of getting into the web hosting business what do I do LOL

My God I bet 60% of the companies out there will go under in less than a year.

Good, then there will be more chance of long term stability in this industry... Oh, but wait, then I guess as one closes, another 5 will start. :bawling:

LOL @ JMD. Yes, perhaps. I've seen plenty of new hosts post in the advertising forum then die a week later :eek:

wow...you gotta love the business plan that determines only one week of expenses are needed :D.

well,
I am starting one up my self i broke away from my soon to be former host and i am getting my own server and i have for the most part got a good business plan layed out in my mind not on paper. i know how meny clients it going to take me to keep the server running. I also know my posable proffits from this as well.
I also am planing on a back up fund incase i need to get a second server or i need to move do to somthing going worng with my new provider (and no its not rackshack). I just hope that people will give me a chance to prove my self and my team that we can and will be there when we are needed.
anyway,
anyone with out a good business plan at lest thought out is not a host you wish to be with, As jstonehouse said for every one that goes under 5 or more show up. and I for one is not planing to be the one that goes down after 1 week or even 10 years.
just my 2 cents
James

Jag,

I don't think anybody ever plans on going out of business, but it's a reality. Most small businesses do fail within their first year, as many don't realize all the true costs of ownership of a business. I usually respond with how long we have been in business, what our strengths / weakness are, what improvements we've made, and how we compare to our competitors (if asked). I let them be the judge. I also try to find from my clients what their business strategy is, so that they don't go way in over their heads, and buy dedicated, when shared would suffice, or vice versa. I think it's part of the world we live in when so much advertising is put into "the internet expects to grow to 10 billion dollars in revenue by year 200X" that it gives a false desire to people that they can just reach out and grab a piece of it, cause it's ripe for the picking.

P.S. I'm not debating with you, I'm agreeing, there's no true response to this question, just pure honesty.

We get this same question from alot of users who are locked into contracts and it is ending in say 3-6 months and just test the waters with seeing how fast support responses get answered then in 6 months or so when there perpayment or contract is up then end up moving over..