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Thread: Where to start?

  1. #1

    Where to start?

    So I've been thinking about starting my own Web Hosting company for a while now as I used to work for one years ago. So my main question is where do I start as far as the base of the business. Meaning, should I start with one, dedicated server? Is even that too much? Should I go with a VPS instead then? I don't have too much money to start this off but I do have enough. If you recommend a dedicated server, where should I purchase it from? Same goes for the VPS. Any current web hosting owners, I would love to hear how you started off.

  2. #2
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    its better to start with a reseller account,because in this case you haven't pay license fees and other costs but you have limited abilities for manage your clients,another solution is vps,in vps you will have more ability to manage your hosts. what is your monthly budget?
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  3. #3
    It's best to start off with a reseller account if you don't have too much money to start off with, but, of course, the downside is that you have less control and flexibility--you are pretty much tied down to the host that you go with.
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  4. #4
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    Yes, A reseller hosting is best to start. If you want to learn also, get a cheap VPS to learn basic things of web hosting / server management.
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  5. #5
    Quote Originally Posted by ServerSub View Post
    its better to start with a reseller account,because in this case you haven't pay license fees and other costs but you have limited abilities for manage your clients,another solution is vps,in vps you will have more ability to manage your hosts. what is your monthly budget?
    I'm taking license fees and costs like that into mind if I were to go with a VPS or dedicated server. With a reseller account, can I still operate out of my own website?

    My monthly budget is around $150 max to start off.

  6. #6
    Quote Originally Posted by ravi_9793 View Post
    Yes, A reseller hosting is best to start. If you want to learn also, get a cheap VPS to learn basic things of web hosting / server management.
    I used to work for a webhosting company so I know my way around. And I already own a small VPS that I've just been playing around with.

  7. #7
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    As many recommended, you better to start with reseller hosting and when you will feel that you are getting good response easier to get upgraded to the dedicated server. If you start with dedicated server, it would increase you expanses from the beginning and you may not spend enough on marketing.
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    Quote Originally Posted by Networking View Post
    I'm taking license fees and costs like that into mind if I were to go with a VPS or dedicated server. With a reseller account, can I still operate out of my own website?

    My monthly budget is around $150 max to start off.
    With reseller account you can particularly manage your clients,but you will not have full access to some commands such as firewall configurations,installing plugins and ...,also your service quality will depended on the main server which may be oversold!but in virtual and dedicated server you know what was done!
    your budget is good for start with a managed vps or a dedicated server.in server solution you will be sure about assigned resources for your hosting.
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  9. #9
    If your budget is $150, I would go with VPS. It all depends on your dedication and technical skill. Do you know what are you going into? You won't see any profit in first couple of months, but that depends on your advertising techniques too.
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  10. #10
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    In Reseller you're bound with the provider for Technical support regarding server settings / module installation etc. which will end up with a pain when your provider is not available and your client is in need of some module / plugins to run their software.

    You can have a good VPS with cPanel and managed support in your budget.

  11. #11
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    Yes A good VPS with a Cpanel license is good enough to start your business. Or if you are only providing your service at your local market. Then a open sources control panel would be good enough as well.
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  12. #12
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    I would always recommend starting with a VPS as it gives you more flexibility in actually managing the server but if you don't have any server admin experience i would start with a reseller account or a fully managed VPS.

    I would spend some time on a business plan thinking where your target market will be and this may point you in the right direction - reseller, VPS or dedicated.

  13. #13
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    Quote Originally Posted by Networking View Post
    I don't have too much money to start this off
    Then don't start anything right now - because it's going to cost you at least 3 times what you guess

    Spend the money on a book about business plans and some time writing a *comprehensive* one, and do not skimp on the marketing section.
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  14. #14
    I personally would always recommend starting off with a reseller account.

  15. #15
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    Quote Originally Posted by Networking View Post
    I used to work for one years ago. So my main question is where do I start as far as the base of the business.

    The best person or group of people to ask...your former employer. Some might look at it as not a good avenue since they are your competition...but depending on who your dealing with, they might be helpful..they had to start somewhere.

    Also a good rule of thumb to run your business....envision your still at that old company. What were there procedures? Who were there customers? What protocols did they have in place to deal with issus.

    Most of those will be covered with a reseller or managed VPS...but if your going into business, you have to think business......and I'm old school....asking where do I start by letting others do your research is not exactly business. But don't get me wrong...we all have to start somewhere...just tired of seeing hosts suddenly shut down leaving customers stranded.

  16. #16
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    I would take the VPS route as you will have more control over your environment. You can pick some good offers up in the offers section. Then cPanel isn't that much ($15 orso) some may give it cheaper / free.

    You will obviously need a website and WHMCS too.

    And you will need other things depending what you wish to offer your customers I.e script installer / website builder etc.

    Hope this helps and if you need a hand with anything drop me a PM ill answer any questions you have.

    Good luck in your new hosting venture!

  17. #17
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    Go for a reseller if you want to save money and use it for something else.
    Or go for a VGS if you want to stay in control of your server.

    I would recommend you to go for Ezpzhosting. They have great prices for both resellers and vps plans
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    $150 is a good budget to start with 2 VPSes. One for the billing and one for the customers. Or may be 1 dedicated server virtualized after that is a good option as well.
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    Quote Originally Posted by WebHostDog View Post
    $150 is a good budget to start with 2 VPSes. One for the billing and one for the customers. Or may be 1 dedicated server virtualized after that is a good option as well.
    $150....a month....6 months....a year????


    If it's 6 months, OP would need to put aside $900....a year $1800. After the OP starts, where are the customers? Are they already lined up waiting to buy?

  20. #20
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    Your very well better off going with a decent reseller with WHM/ CPANEL . It will make it very easy on yourself. Once you outgrow the reseller you can then plan to move to vps and start making big moves but for the start off its very important to build yourself a strong foundation that is hard to take down.

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    Quote Originally Posted by 48-14 View Post
    After the OP starts, where are the customers? Are they already lined up waiting to buy?
    I'm surprised nobody else has mentioned this.

    These days, sales ability is arguably more important to running the business than technical ability. You can hire competent people to manage your servers for $30+ / month and up (Platinum Server Management comes to mind), but sales staff will cost far, far more. Having the world's best server platform means nothing if nobody knows you exist.

    OP, think about your customers. How much will they pay? What ARPU (average revenue per unit) do you need to obtain to break even? If your total monthly expenses are $150, do you want 10 customers at $15 / month each, or 100 customers at $1.50 / month each? How are your customers going to find out about you? Why should your customers choose you over anyone else?

    Most (NOT ALL, because I always get rage quoted every time I type this) customers aren't interested in what CPU or RAID controller you use. They just want their site to work and be reliable. They need to feel that they're getting the best bang for their buck. To achieve this, you need to sell the sizzle, not the steak.
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  22. #22
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    Quote Originally Posted by FRH Lisa View Post
    I'm surprised nobody else has mentioned this.

    These days, sales ability is arguably more important to running the business than technical ability. You can hire competent people to manage your servers for $30+ / month and up (Platinum Server Management comes to mind), but sales staff will cost far, far more. Having the world's best server platform means nothing if nobody knows you exist.

    OP, think about your customers. How much will they pay? What ARPU (average revenue per unit) do you need to obtain to break even? If your total monthly expenses are $150, do you want 10 customers at $15 / month each, or 100 customers at $1.50 / month each? How are your customers going to find out about you? Why should your customers choose you over anyone else?

    Most (NOT ALL, because I always get rage quoted every time I type this) customers aren't interested in what CPU or RAID controller you use. They just want their site to work and be reliable. They need to feel that they're getting the best bang for their buck. To achieve this, you need to sell the sizzle, not the steak.


    You have no idea how people can't figure out this basic concept...in any industry. I can break it down between hosting and music;


    Hosting;
    - greatest server, no marketing, no one knows

    Music;
    - greatest artist, no marketing, no one knows (although now that times have changed youtube has helped filled such voids...but still requires some form of marketing).

    I would work with artists that had a $4000 budget to create a cd. No marketing, no flyer, no interviews, nothing. So they would have the greatest cd ever made. Only the artist the engineer knew about it. How are they recouping that $4000?

    I would see groups come to the studio where all of them were "fighting" for the microphone. I would ask them if everyone is on the stage performing, whose in the crowd passing out card/flyers, whose selling shirts, whose trying to get another show. You need a sales person. All business's need one. Just as fun as music is/was, it's business, just like the hosting business.

    I laugh but get frustrated and feel sorry for customers who come across train-wreck situations like this....what's even worse, encouraging it. Telling someone go out, get a server, put your customers and billing on the same server, but no advice on getting customers....oh wait....they're also the competition, so I will push them in the direction to fail and hope to gain those customers after.

    I also agree with your statement, and I never understand why it would lead to an argument. Customers juts want their site up and their email working...that's it.

  23. #23
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    Quote Originally Posted by 48-14 View Post
    You have no idea how people can't figure out this basic concept...in any industry. I can break it down between hosting and music;
    Funny you mention that -- a good friend of ours was a successful music booker at a hip local joint, and he always lamented about groups who had either no marketing efforts or who were overly obnoxious. Both efforts led to being passed over, regardless of talent. When a group would send in a kit and expect to be booked because "we rock", or when a group's promoter would text five times a day every day, it was no skin off his back to pass.

    Anyway, yeah -- there's often too much focus on the technical details and not enough on making customers want to host with you. Again, for the sake of anybody else reading this, I'm not saying technical details aren't important; I'm saying most customers couldn't care less if you're running Haswell or an ostrich, they just want everything to work. And if you can't get the word out about yourself, none of this matters. It's all in vain.

    If more startup hosts gave as much consideration into how they're going to break into the market and give customers a better option as they do what model hard drives to buy, the industry (and consumers) would be far better off.

    no advice on getting customers....oh wait....they're also the competition, so I will push them in the direction to fail and hope to gain those customers after.
    I've always liked that WHT is a watering hole where top-tier hosts rub elbows with week-old startups. Despite the extremely competitive nature of the industry we still see big-time hosts helping out the little guys (and gals), and sometimes even vice-versa.

    I also agree with your statement, and I never understand why it would lead to an argument. Customers juts want their site up and their email working...that's it.
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  24. #24
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    now all new web hosting company is necessary have ddos protection or you business is down for newbies hack

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