Sorry for the cryptic title, but I wasn't sure exactly what to write. Also, I'm fairly sure that I may get people chuckling at the following question(s), but we'll see!

Do you think it's possible for someone coming into the hosting business to start with a dedicated server, rather than a resold server? Obviously this person (i.e. me!) already knows how to administer a Linux to some extent, although I'm not an expert by any means.

Has anyone done this and been successful?

What are the pitfalls to be wary of?

I won't explain my reasons for asking this; it's more out of curiosity than anything.

Thanks!

Maybe you should learn how to drive before selling cars, if you catch my drift.

Yes a lot of people start with a dedicated server, but most start as a reseller. Unless you have a very large budget I would recommend a reseller account. If you get a server get a managed server not one of these $99 specials. They are not the best for a beginner.

Dibz: I see your point, and it is a good point, but I was primarily thinking from the following angle.

I was just wondering whether reselling was worth my while. It would be a full time job, and I don't want to work this job on the potentially small profits that might occur from reslling.

Now if I take the risk and create my business plan around dedicated selling, with the right plan and technical skills, the results (both financial and personal) would be far more rewarding.

But is this feasible? I mean is it such a vast jump between reselling and dedicated hosting that one shouldn't attempt it?

Thanks

I started with a colocated server, and here I am offering it myself.

I saw it this way...... if you know what you are doing, jump in and do what you need to do.
I saw reselling as a waste of time, for my needs.
Write up your business plan, figure out how you will pay for everything, and get cracking ;)

The problem is that you must pay for the server without having enough customers to put on it. Your server will remain emty and you are paying a resonable monthly cost.

If you start with a reseller plan then you will be able to move them to a dedicated later.

In this way you will create some selling and technical skills.

Mac

@wmac: But I don't see how you would gain sufficient technical skills from reselling? Aren't you primarly using the control panel?

Thanks guys

I am starting a new host and the only downside I see is the startup. I am a linux admin by profession. I do however suggest going with some sort of billing system hosted by someone else. Especially if you are not sure about security.

Originally posted by stodge
@wmac: But I don't see how you would gain sufficient technical skills from reselling? Aren't you primarly using the control panel?

Thanks guys

Well, you could always purchase a reseller package and while reselling, build your Linux Administration skills somewhere else. I mean, where did you learn your skills from? If you have the option to expand your administration skills on a server other than one you are about to buy, then reselling is fine.

If you do decide to go with a server, choose managed.

Suggestion:

Leave your option open, get a Dedicated Server. There are a lot providers offering them in the $70-$99 (and higher) range. Check out the special offer section on this forum. Get one with a Control Panel (like ensim or plesk) and also make sure the provider will give you root access. Start administering the server via Control Panel, as you gain expertise, you can start working at the shell level. Also pick a provider who has a program to upgrade the server or move you up a bigger server as your need grows.