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  1. #1

    Investing $ 15-25.000 in hosting company

    Well, i'm thinking of investing $15,000-25,000 in well established, profitable hosting company.

    Q: Why don't you start your own hosting company, locally ?
    A: I did, but here(Balkan), that is not so bright idea...don't ask why!

    Q: Are you investing only $$$ ?
    A: No, I could invest $, "myself", my server(no downtime in 130 days) etc..

    Q: Would like like to work for the company that you invest in, for a "small" paycheck ?
    A: Yes. Don't ask why!

    Q: Do you have any experience ?
    A: Yes, I have experience in hosting business, programming (html, some php), design, photoshop, flash, optimization, some experience in linux-redhat, apache, system securing & optimizing, networking etc... (and generally fast learning curve).

    Q: For example, can you run server without control panel ?
    A: Yes.

    Q: How old are you ?
    A: 25, thanks for asking



    Now, put yourself in my position..
    What should I ask the company that I might invest in ?

  2. #2
    Join Date
    Dec 2003
    Location
    London | UK
    Posts
    234
    I think there is a golden rule in the art of Q&A never give one words awnswers. And when you are investing $15,000-25,000. They should try to make a bigger impression.
    And why did'nt they awnswer question one?
    A: I did, but here(Balkan), that is not so bright idea...don't ask why!

    $15,000-25,000 is a heck of a lot of money to invest. One word of advice, don't spend it all at once. And have a plan on your spendings.

  3. #3
    Join Date
    Mar 2004
    Location
    na
    Posts
    256
    How about how much the company can pay you for that "small" paycheck?

    Also, how much of its total share do you own?

    What is your title in the company? Sales reps???

    What are you going to do with my money?

    What excuse can you make to make me invest more on you? meaning experiences/expertise that the company has

    Well the list will go on. and I shall write more when I think on it for a longer while.

  4. #4
    Join Date
    May 2001
    Location
    Colorado, USA
    Posts
    812
    "Don't ask why" - This would make me suspicious. You might scare away potential candidates for your offer.
    Web Hosting Resource Kit - Web Hosting Reviews & Hosting Tutorials

  5. #5
    Join Date
    Nov 2002
    Location
    Canada
    Posts
    1,544
    If I was going to invest 12 - 25 thousand dollars into a company, I'd want a huge document that outlined their plan for my money, how they were going to use it and why they thought it would be successful as well as what the return would be.

  6. #6
    Join Date
    Mar 2004
    Posts
    1,301
    You should buyout a smaller company, check www.thewhir.com and ask them for help in finding companies. You should start your own company and provided the money you have advertise on the web and search engine optimization from professionals like www.highrankings.com www.bruceclay.com www.patrickgavin.com You should also have 24-7 chat support even if its outsourced, not only chat all forms of support.

    Spend on a nice design, good marketing/advertising plan. Focus on support, because you can grown quickly by spending a good sum on advertising online. You have enough experience to do things on your own so become your own boss! Have a solid business plan, find your niche, have good hardware, support and you will get busy thanks
    "Web Hosting is not just about selling space, it is about facilitating customers needs with your plans and supporting the customer for a long lasting mutually beneficial relationship."- Yaser

  7. #7
    Originally posted by TheFish
    "Don't ask why" - This would make me suspicious. You might scare away potential candidates for your offer.
    At the moment I'm not offering anything, suspicious(??) or not, I'm not joking and I'm not a scam either..

    I just asked something..

    Thanks all for your answers/questions ..

  8. #8
    Yaser

    You work for thewir or something ? Just joking .. I've seen you recommended the same to someone else.. porche guy or someone else nm..

    Well, I was thinking about that but.. I would need
    1. Outsorced support staff
    2. Telephone support
    3. Merchant account / can't have one, no one supports my country, not even ikobo..
    4. etc

    On the other hand, I can easily design good looking website, html & css valid, already have 1 ded. server, can maintain server(s) ...

    Maybe I should partner up with someone who offers outsorced support ?? Uhmm..

  9. #9
    Join Date
    Jan 2004
    Location
    Singapore
    Posts
    1,032
    Well for starters the GREATEST PITFALL for InterNet Industries or any information Tech industry is the high cost....

    You would be spending a lot on the servers, connection and marketing already... You sure you want to dump more money into support staff or the work that you can easily do yourself or divert it to your marketeer?

    You have zero customer base when you start out and please plan to have that amount for a few months as you are still getting the company started..... All will pick up in a few months and "judgement day" wil come after 2 or 3 years to see if what you did at the very first day of starting your company was the right move or not.

    Designing, maintanence is not everything...... Customer Support and the Marketing is the prime of everything to getting you customers.
    "If you can sell a banana to a monkey thats nothing great, but if you can get a cow to buy your bunch of bananas you are on the right track -- )l
    -=- GQ Hong -=-
    GalacNet WebMaster

  10. #10
    Join Date
    Mar 2004
    Posts
    1,301
    Insider, i would love to work for thewhir hehe. Its just that they have an abundant amount of info on their website and it is great for a person starting up to get a hang through their articles. Outsourced support can be done through www.actsupport.com www.tripodsolutions.com www.bobcares.com

    try www.authorize.net for your merchant account if that doesnt workout try some bank or financial instiution locally, if still nothing happens i think you will have to get one made, but i wouldnt recommend that. You have the money, so provide support 24-7, Actsupport has reps that will be on your site 24-7 to do pre-sales chat. You can also buy demos online from www.demodemo.com
    Letme know if you need anything else
    "Web Hosting is not just about selling space, it is about facilitating customers needs with your plans and supporting the customer for a long lasting mutually beneficial relationship."- Yaser

  11. #11
    Originally posted by galacnet
    Well for starters the GREATEST PITFALL for InterNet Industries or any information Tech industry is the high cost....
    I'm not starting anything (yet)

    You would be spending a lot on the servers, connection and marketing already... You sure you want to dump more money into support staff or the work that you can easily do yourself or divert it to your marketeer?
    Yeah, it would be great to partner up with outsorced support company.. or something like that ..

    You have zero customer base when you start out and please plan to have that amount for a few months as you are still getting the company started.....
    Thats why I would like to Invest my money and Myself in established company.

    Designing, maintanence is not everything...... Customer Support and the Marketing is the prime of everything to getting you customers... - )l
    That is why I did not start my own International hosting business,

    You missed the part where company from 3rd world country CAN'T easily get merchant account, authorizenet or local financial institutions doesn't seems to be helpful .. I couldn't find solution for payment processing.

    Thanks for your reply.

    P.S. Stop scaring people, hosting business is not that scary...
    Last edited by Insider; 05-05-2004 at 01:28 AM.

  12. #12
    Join Date
    May 2002
    Location
    Sunny California
    Posts
    1,679
    Originally posted by acidbase
    How about how much the company can pay you for that "small" paycheck?

    Also, how much of its total share do you own?

    What is your title in the company? Sales reps???
    I think these are some good questions. What do you expect for your investment -- ownership? Interest payments? What role do you want to play in the company where you invest money?
    Erica Douglass, Founder, Simpli Hosting, Inc.
    I founded Simpli Hosting, and sold it in 2007 to Silicon Valley Web Hosting after over 6 years in the business.
    Now I'm blogging at erica.biz!

  13. #13
    Join Date
    Jan 2004
    Location
    Singapore
    Posts
    1,032
    Scary?? Its not scary at all Its the few procedures for starting a business that you would have to look out for
    Because I have seen too many... and I would say too many people starting out with no plans for the future or any solid business proposal...... They just keep on dumping the money they loaned from the bank and hope for something....

    Anyway Insider : How and when do you plan to start?
    Because of your location you may have some difficulty in processing the payments....

    I got a suggestion if you like to try it out
    PM me or MSN : [email protected] or if you like I will post here.
    Last edited by galacnet; 05-05-2004 at 01:48 AM.
    -=- GQ Hong -=-
    GalacNet WebMaster

  14. #14
    Invest your 15K in my wallet

    it will stay there for a short time and then puff no more money

  15. #15
    Join Date
    Jan 2004
    Location
    Singapore
    Posts
    1,032
    Good one Shraz
    BUT I AM HERE FIRST!!!
    Its mine!!! ba hahahaha!

    LOL
    -=- GQ Hong -=-
    GalacNet WebMaster

  16. #16
    Join Date
    Dec 2003
    Location
    ./Southest Missouri
    Posts
    601
    Insider:

    I believe that when looking to invest any monetary amount in any company, you should have a good understanding of why that company does what it does, and how it does it.

    Get to know the person/persons on a more than business level, make it personal.

    Here are a few questions you may want to consider asking, along with a few answers, if/when you decide to go through with this.

    Q: What made you decide to start a hosting business?
    A: Due to a bad experience with a previous webhost, I took it upon myself to provide services for myself as well as others who have had similar distasteful experiences.

    Q: To you, what is the most valuable asset of your business?
    A: The customer. Without customers, you have nothing but a money pit. The customer is the ladder.

    Q: What makes you different from the other web hosts out there?
    A: The vision. Yes, there are a lot of hosts out there. The market is oversaturated, everyone is looking for extra income, but do they have the vision? Do they have the determination to work 3 and 4 days with no sleep to finish a clients project? Do they have the determination to not give up and close shop when things are looking down? I do.

    Q: What is the largest downfall of your company?
    A: Advertising. In order to reserve as much working capital as possible for client sataisfaction, and to ensure that the necessary bills are paid, we have relied on word of mouth only.

    Q: What would you do with the invested money?
    A: Invest in advertisments, put the rest in the bank to make interest until it was needed. There's no sense in blowing money on things that you don't need.

    Well, those are the basics that I came up with off the top of my head. Hope it helps.

  17. #17
    Join Date
    Mar 2004
    Posts
    1,301
    Good advice! Most of the money should be spent wisely on finding where your niche is online and advertising there, providing quick support and sticking to the business plan.
    "Web Hosting is not just about selling space, it is about facilitating customers needs with your plans and supporting the customer for a long lasting mutually beneficial relationship."- Yaser

  18. #18
    Originally posted by Rman2003
    Insider:

    I believe that when looking to invest any monetary amount in any company, you should have a good understanding of why that company does what it does, and how it does it.

    Get to know the person/persons on a more than business level, make it personal.
    That is something I hope for.

    Well, those are the basics that I came up with off the top of my head. Hope it helps.
    Sure it does, Thanks a lot

    With all the help I got here, I think i migth have enough questions to ask.. Without being scamed or something..

    And big THANK YOU to everyone who replyed.
    Yes, even you shraz.

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