Hello, im thinking of starting a company after college. So now my question is, what would you need to start a web hosting company/dedicated server services too?

Any supplies?

I would love to hear from the ones who already have a company like this. I have been studying IT and programming for about 3 years now, after getting know computers for about 5~~ years. (Guess I was around 10 years when I got my first computer.

I know you would need to pay like a company that deliver the IP Addresses, but what more?

And would it be necessary to start a company like this, wouldn't it be possible to start a small business already at home? That would be okey too because im promised to get 100 mbts internet speed from my ISP but only getting like 95 in download speed.

However, waiting patiently for an answer!

Kind Regards,
nik

It really depends, you should check out the "Running a Web Hosting Business" section of this forum.

My advice would be to start with a reseller plan and do that for a few months to gauge if it's really something you want to do. It really is a a lot of work and if you don't really truly enjoy it, you won't want to stay in it and stick it out through the hard times.

It really depends, you should check out the "Running a Web Hosting Business" section of this forum.

My advice would be to start with a reseller plan and do that for a few months to gauge if it's really something you want to do. It really is a a lot of work and if you don't really truly enjoy it, you won't want to stay in it and stick it out through the hard times.

Hehe, thanks for your quick reply. I will check that section as soon as I have replied here :)

I am pretty used to hard work, currently hosting a game application on a dedicated server located in the USA and been doing that for about 5 months now (on different servers) and im working everyday to give away support to players, process payments and such things.

Hi Nikkster,

My advice is to always start small, unless of course you have the capital to start big. What I mean by start small is, for you to start off with a reseller plan (you can get a reseller plan for less than $50 p/mth as compared to dedi or having your own server). Learn the business aspect of running a web hosting company. After you have learn to manage the business, running the business and have announced yourself to the market that you are targetting, then perhaps you can think of expanding and getting your own dedicated server and such.

Careful planning is important. Web Hosting is a cut throat industry to be in. But if you have a solid plan, you can have a piece of the pie and be profitable in running it as well. :)

Hey,

I did also started my WebHosting company with a reseller account. For now i'm offering free hosting, just to get more clients, more index in google and getting more revenue from adsense and affiliates. I did also signed up a reseller for some products related to webhosting and web services. This did also increase revenue.

For personal knowledge, what you need to start it is :
- Reseller account with Cpanel
- WHM reseller script
- FHM to automate accounts scripts
- Good affiliate programs (Adsense, owado, hostgator)

And that's all !

Hey,

I did also started my WebHosting company with a reseller account. For now i'm offering free hosting, just to get more clients, more index in google and getting more revenue from adsense and affiliates. I did also signed up a reseller for some products related to webhosting and web services. This did also increase revenue.

For personal knowledge, what you need to start it is :
- Reseller account with Cpanel
- WHM reseller script
- FHM to automate accounts scripts
- Good affiliate programs (Adsense, owado, hostgator)

And that's all !

Hello, I was just checking a company that was having reseller solutions, if that was what you were talking about.

But what is it really, compared to other servers? What kind of benefits and features do you have with a reseller plan?

Hello, I was just checking a company that was having reseller solutions, if that was what you were talking about.

But what is it really, compared to other servers? What kind of benefits and features do you have with a reseller plan?

Check out http://www.webhostingtalk.com/wiki/Reseller_hosting for some useful information. ;)

All that you need from the very beginning is a start budget. Your website should be designed and developed professionally. Then you will need to promote it properly. You can order a small reseller packages first and then increase sizes.

All that you need from the very beginning is a start budget. Your website should be designed and developed professionally. Then you will need to promote it properly. You can order a small reseller packages first and then increase sizes.

Yea, I have got a pretty good budget to start out with.

However, should I host the website at the reseller package also?

But how does it works to have web hotels with the reseller packages, what would I need to give the customers access to?

By the way, I am having a dedicated server right now with 4 GB Ram, 2,0 gHZ processor, 100 MB Uplink port, 5000 GB bandwidth, located in Germany

However, would it be possible to run the web hosts through the dedicated server?

At the risk of getting hate mail,

you would benifit from some real life business experience, and maybe some 'theoretical business training'.

The 'technical side is just learning' the business side is quite differant.

At the risk of getting hate mail,

you would benifit from some real life business experience, and maybe some 'theoretical business training'.

The 'technical side is just learning' the business side is quite differant.

What do you mean with hate mail?

And would it work to have this on my dedicated server instead of a reseller plan to start with?

Yea, I have got a pretty good budget to start out with.

However, should I host the website at the reseller package also?

But how does it works to have web hotels with the reseller packages, what would I need to give the customers access to?
You can order private nameservers and host the website at the reseller package also. Yes, with WHM reseller pannel you will manage to create an account and provide each customer with access details. When selecting a reseller package you should pay the attention to how many accounts you can be provided with. In addition, all your customers will be provided with customer support. Reseller package is a good way to begin web hosting business.

You can order private nameservers and host the website at the reseller package also. Yes, with WHM reseller pannel you will manage to create an account and provide each customer with access details. When selecting a reseller package you should pay the attention to how many accounts you can be provided with. In addition, all your customers will be provided with customer support. Reseller package is a good way to begin web hosting business.

Ok, but as I asked before, wouldn't it work on my dedicated server also to start out with?

And creating a thing like this, would I need to sign up for a company name, pay taxes etc? Just for a small business like this, for a big one, I understand.

Ok, but as I asked before, wouldn't it work on my dedicated server also to start out with?

And creating a thing like this, would I need to sign up for a company name, pay taxes etc? Just for a small business like this, for a big one, I understand.

If your dedicated server has the means to provide web hosting (for example, control panels, FTP, MySQL and PHP, which are standard to hosts nowadays), then yes, by all means you can start a web hosting company with your dediserver.

And as to whether you are required to register the company and pay taxes, it depends by country. For example, if you are a reseller living in the United States you are required to fill out a W-9 tax filing form.

I hope I helped you and good luck with starting your hosting company :)

If your dedicated server has the means to provide web hosting (for example, control panels, FTP, MySQL and PHP, which are standard to hosts nowadays), then yes, by all means you can start a web hosting company with your dediserver.

And as to whether you are required to register the company and pay taxes, it depends by country. For example, if you are a reseller living in the United States you are required to fill out a W-9 tax filing form.

I hope I helped you and good luck with starting your hosting company :)

Thanks again for your helpful answer.

No, in fact im from Sweden, but what I know, we do only need to pay taxes if we reach more than $1700 a month, otherwise it's considered as a hobby activity.

However, I have 5 IP Addresses on the server right now, and I can control the whole dedicated server. So all I need to do is to is install a control panel like WHM or dotnetpanel and just order new IP Addresses, or what do you suggest? :)

the server you have seems pretty good, even on a par with what we use. Depending on what you have on the server, do you have any projects running on it or is it just a blank server?

if it is a blank server i would recommend installing either WHM/cPanel or Direct Admin on it and you can use it for hosting your clients, I would also strongly recommend hiring a server management company to look after the install of the control panel and also to help you out whilst you are finding your feet

Thanks again for your helpful answer.

No, in fact im from Sweden, but what I know, we do only need to pay taxes if we reach more than $1700 a month, otherwise it's considered as a hobby activity.

However, I have 5 IP Addresses on the server right now, and I can control the whole dedicated server. So all I need to do is to is install a control panel like WHM or dotnetpanel and just order new IP Addresses, or what do you suggest? :)

No, 5 IP addresses should be enough for now. From my understanding, shared hosting users usually share 1 IP unless they order a dedicated IP address (maybe you could use the 4 other IPs for that). Dedicated IPs are required if a client wants SSL (Secure Sockets Layer).

In addition to installing control panels (I recommend WHM/cPanel, you should be able to purchase it from your provider), for your hosting site you'll probably want to get a billing system like WHMCS in order to facilitate billing automation (believe me, proccessing 100 orders manually is a pain). These systems also come with a support ticket system allowing you to provide support to your clients.

You might want to also look into offering live chat support.

Ok, but as I asked before, wouldn't it work on my dedicated server also to start out with?
Yes, it is also possible to use a dedicated server for this purpose.

No, 5 IP addresses should be enough for now. From my understanding, shared hosting users usually share 1 IP unless they order a dedicated IP address (maybe you could use the 4 other IPs for that). Dedicated IPs are required if a client wants SSL (Secure Sockets Layer).

In addition to installing control panels (I recommend WHM/cPanel, you should be able to purchase it from your provider), for your hosting site you'll probably want to get a billing system like WHMCS in order to facilitate billing automation (believe me, proccessing 100 orders manually is a pain). These systems also come with a support ticket system allowing you to provide support to your clients.

You might want to also look into offering live chat support.

Ok, thanks. I already had the live chat support and WHMCS in mind :). But let's say, I get one customer who's uploading his html files to the web server (through WHM), and he is purchasing a .com domain. Now however, the domain needs to have one IP Address, right? ok, so lets say I agree with this, and then customer nr.2 comes in, and buy and uploads his server files and purchases a domain for the server, but what happen if I don't get a IP for him? Otherwise, can you explain the "sharing 1 IP Address" system if they want different domain names and websites?

Ok, thanks. I already had the live chat support and WHMCS in mind :). But let's say, I get one customer who's uploading his html files to the web server (through WHM), and he is purchasing a .com domain. Now however, the domain needs to have one IP Address, right? ok, so lets say I agree with this, and then customer nr.2 comes in, and buy and uploads his server files and purchases a domain for the server, but what happen if I don't get a IP for him? Otherwise, can you explain the "sharing 1 IP Address" system if they want different domain names and websites?

No, different domains do not require a seperate IP address. You see, the server is assigned an IP address like assigned to your computer. Now imagine the server as your computer. You have 2 domains on it. When the sites connect to the internet, they would be using the same IP address. This is a basic concept of the shared IP system.

Because the sites are hosted on the same server, the IP would be the same. The server is a computer with a connection to the internet, so to speak. Unless the client specifically requests for a dedicated IP, the IP addresses should be the same. This is the case with most hosting providers.

What do you mean with hate mail?

Hate Mail = lots of negative response for hinting at the need to have more than just the technical knowledge,
on WHT many hosts are 'young' and hate it when us 'more mature' WHTers,
hint at the need for life experience before running 'Any Business'.

As your in Sweden, you will need to comply with Swedish, EEC & international laws/taxes.
Best starting place is to develope a good relationship with an accountant a lawyer and your bank manager.

However, in case you are going to resell hosting using dedicated server you will need to setup all the necessary software yourself.

However, in case you are going to resell hosting using dedicated server you will need to setup all the necessary software yourself.

Yeah, I contacted my server provider yesterday and they told me the same.

However, I was checking the cPanel, it's pretty expensive though, $400~~ for a year.

I'm afraid I don't have got that much money yet though

Are there any free and good control panels?

Are there any free and good control panels?Actually, I don't know about this. I think not. All people get used to the standard Cpanel 11. But I know if you order reseller package you will be provided with WHM pannels to manage all your accounts - determine disk space, bandwidth, etc for each account and all your customers will be provided with Cpanel 11. That's why I recommended you to buy a reseller package for beginning.

Actually, I don't know about this. I think not. All people get used to the standard Cpanel 11. But I know if you order reseller package you will be provided with WHM pannels to manage all your accounts - determine disk space, bandwidth, etc for each account and all your customers will be provided with Cpanel 11. That's why I recommended you to buy a reseller package for beginning.


thanks for your reply

Alright, guess I'd need to order a reseller plan package then. Do you know any good and cheap companies?

I think good customer support is also part of a good hosting business. Try to get someone you trust (A friend?) to help you to lighten up the load.

Sharing profits might not sound like a good idea, but having more than one person in the business will be a lot better than only one in the long run. :)

I think good customer support is also part of a good hosting business. Try to get someone you trust (A friend?) to help you to lighten up the load.

Sharing profits might not sound like a good idea, but having more than one person in the business will be a lot better than only one in the long run. :)

Ok, sounds good.. but he should get a profit of the money right?

However, as I asked before.. do anyone know a good company that offers good reseller plans with unlimited domains maybe and accounts? ^^ I need a good and cheap one.

Kind Regards,
Nikkster

thanks for your reply

Alright, guess I'd need to order a reseller plan package then. Do you know any good and cheap companies?If to be honest I have never been connected with reselling hosting, so I haven't tried any companies. Make sure that the company is both affordable and reliable at the same time. What kind of packages would you like to offer to customers?

Hello:

Always starting an online business is good investigate all about, as you are doing, but work with experts while you start your own path, is our best advice, because you will spend less time and money in attemps.

kindly,

If you are planning to sell hosting you will have a professionally developed site first.

If to be honest I have never been connected with reselling hosting, so I haven't tried any companies. Make sure that the company is both affordable and reliable at the same time. What kind of packages would you like to offer to customers?

Well, atleast 1000 MB (10gb) bandwidth for each customer should be enough and unlimited with domains. (And support for PHP, Apache, SQL etc).

However, I am pretty used with supporting customers, as I have been doing this for a few months now and my game server has a great support system so me and my team will be able to help them within atleast one hour after they have encountered an error or something.

Ok, but as I asked before, wouldn't it work on my dedicated server also to start out with?

I see above you've already discovered how much cPanel costs (though keep in mind most datacenters will rent you cPanel at a monthly cost, usually around $35 a month). That may or may not put a damper on things... however...

What specs are your dedicated? Take it from someone who was in your situation, who had a low-end dedicated and insisted on putting people on it and skipping the reseller step. It's a mistake. If your server is something like a P4, your customers will get a better experience if you find a good reseller host than if you cram them on an old, tired server. If you can't afford at least a quad-core with several GB of RAM and at least RAID1, don't try to skip the reseller step.

You might consider a VPS, but you need to be careful of the same thing. A $35 reseller account is going to get your customers a much better experience than a $35 VPS. As with all things, it's buyer beware - research your prospective providers very carefully, there are some real gems out there in all segments of the market, you just have to find them.

And creating a thing like this, would I need to sign up for a company name, pay taxes etc? Just for a small business like this, for a big one, I understand.

You more than likely need to at least register a "DBA/Sole Trader/Fictitious name" with your local municipality (here's it's done on the county level). You do not need to incorporate to start with, but many people seem to think that shielding yourself from liability indicates more intention to stay around, which seems backwards, but the fact is I don't know of anywhere you can organize an LLC or Corp for less than $100, which provides a barrier of entry that keeps most kiddie-hosts out.

You absolutely, without question need to pay taxes on everything you make. In the USA there's a dollar amount (I believe it's $400 a year?) where you can no longer claim it's a hobby regardless of how seriously you take it, I'd personally start out claiming it as a business anyway... if nothing else all your startup expenses you can probably write off - talk to your tax guy.

Well, atleast 1000 MB (10gb) bandwidth for each customer should be enough and unlimited with domains. (And support for PHP, Apache, SQL etc).

However, I am pretty used with supporting customers, as I have been doing this for a few months now and my game server has a great support system so me and my team will be able to help them within atleast one hour after they have encountered an error or something.How much of disk space are you going to provide for hosting packages?

How much of disk space are you going to provide for hosting packages?

5-10 GB would do, I think.

Hm, I think it would be difficult to find a reseller package that will provide customers with such ammount of disk space.

5-10 GB is a lot for a web page.

Yes, some reseller packages provide only 10GB to be spread among all your customers.

Yes, some reseller packages provide only 10GB to be spread among all your customers.

Ok ^^ so you found any good offers?

Ok ^^ so you found any good offers?
You can use the WHT "Find a Host" to find a reseller suitable for you.

Using hosting reseller package you will manage to provide customers with 1-2 GB, however, this discspace will be quite enough for them.