Web Hosting Talk : Web Hosting Main Forums : Web Hosting : Making Webhosting Business

[ohcrap]

Hey! Arg, well ive seen many MANY MANY retarded, overpriced webhosting sites here and there. Now as a new source of money I would like to start up one of my own with hopefully cheaper prices then those i've seen. Can anyone tell me what to do to get my own server, space for my clients and such. I dont want to just own a dinky reseller and split it up through that. I would a full blown out webhosting company. Can anyone point me in the right direction towards that with links and such? Thanks!

[eddy2099]

As a web host, you will need a good balance of business, communication, marketing and technical skills. The first three making the bulk of the requirements. Technical skills are vital too but remember you are dealing with people.

But since what you are asking for is more on the technical issues, before you do anything ask yourself "How competent are you in Linux Administration and in trouble-shooting in root access ?"

If your answer is 'very competent' then you are 30% secured as far as the technical end is concerned. Linux is equipped with a web server, ftp and email servers. So you will definitely have to configure them to get them working for you.

If you intend to house your own server then you will need to know how to set the hardware up, configure the router, firewall and so on.

As for client administration, there are several control panels available which would aid the work, some are Cpanel/WHM, Plesk and Ensim.

You could probably also lease a server from a web host and manage remotely but you still need to monitor the server 24/7 and tweak it as and when it needs troubleshooting. An unmanaged server should set you off at anywhere from $100 to several thousands a month, depending on the configuration, network and software installed.

Remember that your clients are depending on you to provide uptime and guaranteed performance and as such, you will be required to have a support and sales team 24/7 to attend to their needs. Of course, they have to be competent in Linux administration too.

It can be an rewarding or frustrating business, depending on how you do your business planning. The business is highly saturated and very competitive and the margins are very low so if you are planning to be involved, be prepared to put in a lot of effort, give up your nights, days and weekends into the work. Most web business would take between 6 to 24 months to break-even and turn profitable so be prepared for the long haul and have sufficient cash reserve to sustain through that time. Be prepared to invest heavily in advertising so as to be able to gain a foot hold into the industry.

Most people start off with a reseller's account because it will be cheaper and it helps you gain a foothold into the market to see if it is for you or not with the minimum impact on you. Launching towards dedicated servers when you have sufficient cashflow.

Just remember, the more customers you have would mean more time and effort you need to put in to supporting them. And ensure that when you are in the business that your customer would not post the same post you post today about you calling you in the negative way.

First and foremost, do a SWOT analysis, chart your investment, your forecasted cashflow, profit and loss and most importantly your business plan.




Good luck in your business.

[Planets Host]

Hello,

I want to give you a suggestion.
As you said “Hey! Arg, well ive seen many MANY MANY retarded, overpriced webhosting sites here and there.”
It is true that there are some overpriced web hosting sites here but you should also consider the fact other end too. There are some very good web hosting company here that with an excellent price. Well if you can have like over 50 servers you can give a very good price. Anyway just don’t overlook the market. Nevertheless I hope you will be successful.

[sprintserve]

It does depends on which angle you look at. You being someone who never ran a hosting company (and probably has no notable working experience) may simply be overlooking a lot of expenses that's necessary.

Of course, if you don't even know how to get started, I think it's clear that you had simply underestimated the cost of doing business.

[pmabraham]

Greetings:

"Now as a new source of money I would like to start up one of my own with hopefully cheaper prices then those i've seen."

Why do you need to compete on price? Will you not be adding any value?

Please consider finding out about the "Shiltz beer story" as it relates to competing on price. You may learn some interesting facts.

Then start doing searches on WHT to see how many companies that failed because they tried to be cheap.

Thank you.

[NexDog]

Bleh, most of the hosts here are the cheap end of the market. Kudos to the ones who are reasonably priced I say. Think about it for a minute, most webmasters spend a hell of a lot of time online and working on their websites. I would think that $10/mo to see the fruition of that work on the net is ridiculously cheap as well as leaning on the host for their support 24 hours a day - getting scripts installed, tips on programming etc.

We should be paid $50/mo for the smallest of sites, then the industry would be in better shape. As it stands, the average host, needs 200 clients before it can turn a serious profit.

Just what the industry needs, another bedroom ran cheap host.

[Martie]

Originally posted by ohcrap
Hey! Now as a new source of money I would like to start up one of my own with hopefully cheaper prices then those i've seen.

Speechless!

[Aaron]

Just what the industry needs, another bedroom ran cheap host.

and the serp clogging spam that goes with it.

[poolking]

I'm sorry to bring age up again, you're 16 according to your profile right? I'd not even think about setting a company up until at least in your 20s maybe you should put this money to another use.

You won't be able to give up once you've started because its become too tough for you, as clients would be depending on you.