Web hosting company for sale –Gross Revenue ~$32K/yr
Web hosting company founded by myself in 2003 (10 years ago) It’s always been a part time business but has been fruitful. A new opportunity has come my way and it’s time to move on.
• Estimated annual income given by WHMCS is about $32,000
• Approximately 210 active customers, minimum monthly fee is $10/mo, it’s not a discount hosting company. We differentiate ourselves by providing excellent physical services and premium backup services able to go back four weeks and do a full backup of the cpanel account.
• 90% of clients pay annually
• The entire company including branding, website, WHMCS, domain reseller, R1Soft Premium backup systems, Cpanel/WHM, domain names etc. It’s a full meal deal, not piecing it out.
• We use managed services, the company is in the USA and is a premium provider of managed services. I’ve never purchased on price, always on quality, pay a little more but it’s been worth it 10fold.
• Support provided by email, haven’t been diligent with getting clients to go through WHMCS ticket system, but I have a record of everything in Kayako with my managed service provider. I deal with two or three tickets per week and these are usually related to my clients needing help resetting their email password
• Small number of resellers, but 95% of income is direct from customers.
• Mostly Canadian based clients, but we have clients in the US and some in the UK and Europe
• WHMCS license is leased, currently hooked up with paypal pro
• Appealing web design with WHMCS integration included
• Many clients have been with us since day one over ten years ago
• No adult content or illegal activity with any clients
• No spending on marketing/advertisements, purely word of mouth referrals
• Available to discuss sale over email and/or Skype
Managed services, SLA’s for hardware, software, uptime etc. One monthly fee and it’s all dealt with!
• cPanel, WHM, WHMCS
• Cloud Linux a lightweight Virtualized Environment, great tool that isolates accounts so one bad apple doesn’t impact the rest of the server clients
• Magic Spam in addition to all the CPanel/WHM spam tools this adds an additional level of adjustability.
• Softaculus – this is a premium script installer
• Domain Resellers with Enom, through WHMCS
• Approximately 150 registered domain names on behalf of clients
Other Relevant Information on the Web Host
A lot of time and energy has been put into building this business, the systems, policies and procedures are in place, even a novice can run this business or a seasoned veteran can build their customer base with quality clients.
Why do clients use us?
One of the biggest differentiators is out backup services, we use the standard Cpanel backup, but then we purchase a premium CDP solution from Idera (used to be R1Soft). This gives me and my clients piece of mind, individual files can be restored or full accounts: web, dbase, (web)email, webmail, hosting account settings or full account restore.
One of the core founding principles of our business was to provide a completely reliable hosting service. I originally helped friends to manage and design their websites, and found that the web hosts they were using to be unreliable. Unable to recommend a reliable web host, I decided to provide a web hosting service myself. This developed into the business we are today, and through providing reliable services and good customer support, it has grown mainly through word-of-mouth recommendation to what it is today.
We provide generous hosting packages at reasonable prices, very few customers use anywhere near all of the resources they pay for.
Why do clients renew their services with us?
We continually provide high levels of uptime, usually 100%
We are both fast and effective in dealing with support queries: we consistently provide a response within a reasonable amount of time and are as thorough as possible in dealing with customer concerns
This business has been run as a Sole Proprietorship, so there are no audited financial statements. All transaction information is through WHMCS. For serious buyers I am willing to provide additional financial proof ie: paypal transaction data, bank statements.
Bidding to start at $37,000 CDN. Sale to be conducted by sealed bidding. We will provide confirmation and feedback on your bidding position through the process. Low bids will not be responded to . Transaction will be through escrow.
If your interested send me the following:
Your business email address:
Why your interested ie: your background and how you plan to continue operating this business.
I’ll send you an NDA.
Email this to: [email protected], I’ll touch base with you to answer any general questions. If your genuinely interested and want to see more details, I will want to see proof that you have financing in place otherwise, I’m not wasting my time or yours.
I think your asking price is a bit high for a company with 90% of your clients paying annually and all by paypal. If you are willing to negotiate this, please send a NDA to sean.frank [at] xesolutions [dot] net. We are able to proceed quickly with an all cash deal.
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I would suggest you to post the details like the average monthly income, expenses and the profit. This would give a better idea to the people interested in your offer. To get more bids change the starting bid
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- Annual paying customers are worth less than monthly paying customers as the buyer must provide free service and support to them for the remainder of their term... with no guarantee of a renewal. And it's not only free service... the buyer is actually paying you for this privilege to provide free hosting. Purchasing annual term customers is a big risk for the buyer. (TL;DR: Annual customers are not worth as much as monthly customers.)
- Your post doesn't mention the number of customers.
- Your post doesn't mention your plan details. ie: How many customers do you have for each plan, and what resources are promised for each plan?
- Your post doesn't mention the actual resource usage. ie: What is the total amount of servers, bandwidth and disk space you are using?
The above are needed to give a decent offer, otherwise it's just a shot in the dark.. and as you mentioned, "I’m not wasting my time or yours."
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