Web Hosting Talk







View Full Version : Profit...


Derek
08-19-2002, 06:44 PM
I'm really just curious, as I am curious in all businesses with this much competition in the market, how much do you make per year... please list them in 2 forms...

Your annual profit:
Company's profit before taxes, company supplies, etc...:

Just list the profit you make per month and the profit the company makes which will be split amoing staff, supplies, taxes, etc... etc...

ShagHost
08-19-2002, 06:49 PM
Getting a bit personnel there Derek.
Would you like to see the tax records too?
:smokin:

Derek
08-19-2002, 06:50 PM
Well, I only asked because I have seen a couple mentions of profit from people earlier on.

ForumsAddict
08-19-2002, 06:51 PM
The host i used to work with earned around $4000/month after taxes etc

Derek
08-19-2002, 06:58 PM
That's actually not bad... another reason I asked is because I will be getting into this, and would like to know what to expect... I know it won't happen overnight, but what to expect in years to come.

smidwap
08-19-2002, 07:01 PM
Taxes only come in to account if you actually have offices and a data center, or what? :bawling:

ForumsAddict
08-19-2002, 07:01 PM
Well actually its the amount of investment one can afford to put in plus a lot of grip.

Investment in the sense of advertising and infrastructure.
Grip in the sense of customer support and satisfaction.

edb49
08-19-2002, 07:26 PM
In the UK companies have to file their accounts every year, which you can obtain for a small fee. Why not take a look at some of these? I doubt you'll get good numbers by asking on here!

Derek
08-19-2002, 07:32 PM
I mean, I'm asking here as these are hosting companies, which I am interested in knowing more about. I'm starting my own, and am just interested in knowing what competitors make.

EzHost
08-19-2002, 07:35 PM
smidwap,

You are VERY mistaken. Taxes come into account no matter what your setup is. If your a reseller, and conducting a business you need to be keeping books, and filing tax reports.

Depending on the state even you may need to be collecting state sales taxes also.

Why would you think you only have to pay taxes if you have an office and data center? In your scenario I could work at home and make 100,000.00 a year and pay no taxes? NOT

edb49
08-19-2002, 07:57 PM
Derek - I just don't think you'll find anyone willing to tell you. Search the forum for UK companies and take a look at their filings, that's my best advice!

okihost
08-19-2002, 08:10 PM
I listened to Mrbling and made 1million my first year :rolleyes:

ChickenSteak
08-19-2002, 08:35 PM
Originally posted by OKIHost
I listened to Mrbling and made 1million my first year :rolleyes:
Lol don't you just love those late night paid tv advertisements?:D

Aussie Bob
08-19-2002, 09:01 PM
There's good money to be made but be prepared to work hard for it and spend money on good servers, good staff etc. Getting the balance of revenue generated from your servers and server stability is the skill. I personally make a good income now. Nothing spectacular but so far, so good. I am way infront of my 12mth projections, so I couldn't be happier. It's a long term commitment etc. :)

Derek
08-19-2002, 09:02 PM
Yea, I understand that. I mean, I plan on creating multiple businesses, and hosting is where I will be beginning... the Entertainment industry is where I want to end up though.

UmBillyCord
08-19-2002, 09:15 PM
Originally posted by OKIHost
I listened to Mrbling and made 1million my first year :rolleyes:

:D

I think that thread goes down in history on WHT.

Derek
08-19-2002, 09:19 PM
I never paid attention to that comment cause I didn't know what it was referring too... what thread are you guys talking about?

MCHost-Marc
08-19-2002, 09:28 PM
Originally posted by edb49
Derek - I just don't think you'll find anyone willing to tell you.

I agree. Except maybe that nigerian prince that spams my mailbox every morning and wants me to take his $100 million in exchange for a swiss bank account.

Derek
08-19-2002, 09:35 PM
God, I wish someone would actually do that... lol

bruce1234at
08-19-2002, 09:38 PM
what is up with those nigerian spam emails? i think i get at least one a week!

Aussie Bob
08-19-2002, 09:54 PM
You mean I aint getting the money from Nigeria?? :eek: :confused: :bawling:

cedwards
08-19-2002, 10:03 PM
Dont expect much. Really unless you are going to go all out and get lots of stuff really you wont last long in the hosting business as a reseller. Rackshack has made it so that any 12 year old could start a business with a small lawn mowing side job and have no hassle at all. But not to really discourage you if you could make some deals with some places and start aucally making enough money its great but really if your going in on the entertainment business the best bet is just to be popular and get many hits to your site. I have a site (currently down) but i get paid per 1000 impressions about 4.50 or so and i get 5k impressions...or was getting that to the site making like 20 or so dollars a day off the site. I acually see it expanding soon to be making a good 10k in the next month or so once its back open but really man thats the only way you could go to make a little profit. Now if you become that big and start to offer hosting you might acually get some customers that way but really if your going to start out as nothing its going to take a hellalot of advertising to get you up to making a pretty big company.

universal2001
08-19-2002, 11:01 PM
If you try really hard you can probably make $200/mo USD... DAMN thats good money....

okihost
08-19-2002, 11:23 PM
Originally posted by Derek
I never paid attention to that comment cause I didn't know what it was referring too... what thread are you guys talking about?

Here you go.. It was as first basically the same question you asked but some of the "pros" showed up and decided to start babbling and get everyone worked up..

http://webhostingtalk.com/showthread.php?s=&threadid=65561

MCHost-Marc
08-19-2002, 11:24 PM
Originally posted by universal2001
If you try really hard you can probably make $200/mo USD... DAMN thats good money....

I wouldn't even get out of bed for that. :eek:

Rochen
08-19-2002, 11:35 PM
Originally posted by Kiwi


I wouldn't even get out of bed for that. :eek:
*Agrees*, sleep is more important than $200, not that I get much of it anyway :D

Aussie Bob
08-19-2002, 11:37 PM
Originally posted by Kiwi


I wouldn't even get out of bed for that. :eek:
With the size of your business Marc, I would hope that you've made that by the time you get out of bed each afternoon. :D

mtgm
08-20-2002, 01:07 AM
The hosting market is already saturated. Is it even worth the time and effort to become a web host?

MotleyFool
08-20-2002, 01:09 AM
What ever little I make I keep reinvesting on new servers! Well I dont carry a nic like mine for nothing :)

eddy2099
08-20-2002, 01:14 AM
Originally posted by mtgm
The hosting market is already saturated. Is it even worth the time and effort to become a web host?

I am not in web hosting because I do not know enough to support the business so it was definitely better that I do not get involved.

Although the market is quite saturated, there are still opportunities in the business if you know where to look. Of course, if you have tons of money to spend and lots of connections, you could probably lead the market by being a price/feature leader. Of course, it may be rather a costly venture but if you do your maths, it could probably work.

But if you do not have that financial power, you may want to consider niche marketing. That is either concentrate on a certain region (your home town), a target market or something to that nature. It may not make you very big but it can still be rather profitable (depending how what is your definition on what is your profit target).

Like any business, it requires a lot of patience, hard work, dedication and the love and passion for what you do.

chrisb
08-20-2002, 01:25 AM
Originally posted by Derek
Yea, I understand that. I mean, I plan on creating multiple businesses, and hosting is where I will be beginning... the Entertainment industry is where I want to end up though.

The entertainment business does have alot to do with the hosting business, and vice-versa. :)

Unless you are willing to take the time to learn about server security, programs, control panels, server administration, please don't attempt it.

tribby
08-20-2002, 01:25 AM
Originally posted by mtgm
The hosting market is already saturated. Is it even worth the time and effort to become a web host?

If web hosting is your calling in life, then hey, sure. But if you're in it to try and make a quick buck then I don't think so.

Aussie Bob
08-20-2002, 01:32 AM
Originally posted by mtgm
The hosting market is already saturated. Is it even worth the time and effort to become a web host?
How wrong that is. :D

MotleyFool
08-20-2002, 01:56 AM
I remember reading somewher that there are about 10,000 domains getting registered every day.

I dont think 100 hosts crop up every day, but I could be wrong here.

Cheers
Balaji

bitserve
08-20-2002, 02:14 AM
I agree with everything edwin said.

Here's what Quicken has for national averages for the year of 2001:

Net Profit for Self-Employed business: $12,800
Net Loss: $-4,660

I guess most businesses that had a Net Loss had the negative number, and most businesses that had a Net Profit had the positive figure. Don't know if there were more that lost than profited.

I'd wager that most businesses won't survive five years. Especially web hosting ones. Very few have.

Derek
08-20-2002, 10:03 AM
I don't want web hosting to be my "calling in life" but I am very interested, and have been. Of course I will be learning linux and server administration... that's what you do when hosting. I still plan on running it, I only don't want to focus on only hosting because it may not last as long as I will (hopefully I'll live long =| ).

archie2
08-20-2002, 02:22 PM
I'd like to venture into some programming, I think there are a lot of room and jobs to move in with programming.

jhcashman
08-20-2002, 03:11 PM
ha ha You get that too!!!!! Man i thought i was the only one!

Originally posted by Kiwi


I agree. Except maybe that nigerian prince that spams my mailbox every morning and wants me to take his $100 million in exchange for a swiss bank account. :stickout

ForumsAddict
08-20-2002, 03:13 PM
yeah....plus a canadian widow too.....