Web Hosting Talk







View Full Version : Running A Webhosting Company Earn You Enough Money..?


_Techie_
06-24-2009, 02:24 AM
To actually support yourself? How much do you guys/gals actually earn a year by selling shared, resellers, vps, and dedicated servers? (Doesn't have to be all of those, but what do you all make with your webhosting company)

Gross, and net income. What do you make before all your expenses, and after your expenses.

Thank you,
Techie.

SiberForum
06-24-2009, 02:36 AM
I suppose that is kind of confidential information ;)
BTW I suppose that is a bit wrong section for that. I would recommend you repost that in the "Running a web hosting... "

_Techie_
06-24-2009, 02:51 AM
Thank you, I didn't realize I posted it in the wrong section.
As well I didn't mean to intrude in anyone's personal space I was just curious I guess.:)

MikeDVB
06-24-2009, 03:20 AM
I don't know that anybody is going to give you specifics but I can tell you that if you really want to make a living selling hosting it's a long and hard road and it requires a lot of hard work for it to be really grow to where it can sustain your lifestyle without a secondary job.

Jedito
06-24-2009, 03:34 AM
you earn enough money, but not enough to get a life :P. It does really eat all your time, you have no vacations, not holidays, etc.

m1key
06-24-2009, 03:38 AM
you earn enough money, but not enough to get a life :P. tc.

Very True, unless you run a big company and have other people running the business for you.

040Hosting
06-24-2009, 03:44 AM
It does really eat all your time, you have no vacations, not holidays, etc.

I already wondered what happened to those :P No seriously running a webhosting business is not easy, it takes a long time to build up a good reputation and customers can break it off just as quickly when unfortunate events occur, just follow WHT for a while and you know what i mean.

But on the other side it is a great job (well at least i think so) and lots of nice people around. Just wished some do not see everyone as a competitor.

jweeb
06-24-2009, 04:11 AM
How much you earn would depend on the business strategy I guess. One may have lower magins by bigger customer base, while the other may have higher margins and lower customer base. Like any other business, there is a risk.

NexDog
06-24-2009, 07:41 AM
There is no money in web hosting. If you're thinking of starting a web hosting company I advise against it. If you're just starting out you should sell up asap.

Ahem.

CretaForce
06-24-2009, 09:57 AM
If you are good in what you do and don't give up because you don't earn enough money the first years then you can succeed and start earning more money than working for someone else.

Of course webhosting when you are the company owner doesn't have set hours, you don't stop working after you complete 8 hours of daily work. Sometimes server issues can waste your holidays, and you always need to take care of things even if you are on holidays.

UH-Bobby
06-24-2009, 10:12 AM
There is no money in web hosting. If you're thinking of starting a web hosting company I advise against it. If you're just starting out you should sell up asap.

Ahem.

Then why are you in hosting if there is no money in it? I think this is a little bit of a flawed statement. When you first start out in hosting, yes, there is no money in it. However, like all businesses you shouldn't expect to profit in the first year of even operating the business.

So, if you want to start up a hosting company, then go for it. Realize though, that like all businesses, you need to have at least 12 to 24 months worth of operating expenses stored up, or be prepared to go 12 or 24 months without profiting.

net
06-24-2009, 10:14 AM
Moved > Running a Web Hosting Business.

chrissie-penguin
06-24-2009, 10:31 AM
I agree, hosting is a 24/7 job and one that you have to dedicate your time and effort to in order to build a good reputation to sustain and grow your business - holidays/weekends/sleep time is likely to be a thing of the past in the beginning too. You are unlikely to make considerable money for some time and so you are likely to work for the equivalent of peanuts for a time while you get things established. It can be a very rewarding job though as you can be lucky enough to get some awesome customers - of course it is like any other job, not all customers are great to work with but for me, I am happy enough that the vast majority of my customers are great and have been with us for a number of years, recommending us along the way.

ldcdc
06-24-2009, 10:56 AM
Then why are you in hosting if there is no money in it? I think this is a little bit of a flawed statement. It was tongue in cheek. Competitor talk. :P

WHNChris
06-24-2009, 10:56 AM
Web Hosting is a very dedicated business and you have to be 100% dedicated in order to be successful. You see all these new Web Hosting businesses close after a few months because they haven't planned very well and have gone and ran out of cash.

I can admit that the first couple of months of running my Web Hosting business was tough, but I planned it well and I have kept on top of everything. It seems that everything gets less 'tough' as time goes on.

I have been saving 'funds' for the business for ages! I have a dedicated and friendly support team which are certainly helping us move forward...I can't wait to see what the future brings for both us as a business and our clients, I hope we succeed in ever aspect.

NexDog, I disagree with you. You said there is no money in Web Hosting. I know you don't exactly make a fortune in the first few months of hosting, but like most businesses, it takes time and dedication.

Thank you.

honeyhosting
06-24-2009, 11:04 AM
I don't know that anybody is going to give you specifics but I can tell you that if you really want to make a living selling hosting it's a long and hard road and it requires a lot of hard work...

Everytime we open a new server we always are breaking even within a month. After 2 we make a profit on it. So it is true that it can be a long...hard journey. But, you have to have some basic knowledge (besides hosting, and linux/windows knowledge). It is about marketing, customer service, and how dedicated you are to "making it".

NexDog
06-24-2009, 11:04 AM
Dan gets me. ;)

lostmind
06-26-2009, 01:41 AM
Everytime we open a new server we always are breaking even within a month. After 2 we make a profit on it. So it is true that it can be a long...hard journey. But, you have to have some basic knowledge (besides hosting, and linux/windows knowledge). It is about marketing, customer service, and how dedicated you are to "making it".

I break even within 10 months.

But then I own an asset with minimal future costs and I suppose you just have some profit from your resold & leased server?

So there are many ways to play the game and all can make profit. But if you don't plan your strategy you are going to fail :)

Anyways, I make enough money to live pretty much the way I want. I'm not rich, not poor, I have employees, I take vacations but always have my laptop and internet access and am available 24/7.

hexahost
06-29-2009, 08:02 AM
That's True.

First few months you will not break even. Once you reach break even point, then the rest is your profit. You have a valuable business as an asset. This concept applies to every business in the universe, Just that the size will differ.

Never give up. Your business is your asset. All the best !

honeyhosting
06-29-2009, 08:51 AM
... I suppose you just have some profit from your resold & leased server?

We have offered great services for years now, and make more than enough to do everything you mentioned, plus support financing other new businesses (not hosts).

Atarim
06-29-2009, 03:45 PM
It seems that the common thread is that you have to get past a certain size in order to become profitable.