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Established Hosting Business for Sale

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  #1  
Old 07-06-2004, 12:59 AM
stftk stftk is offline
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Join Date: May 2003
Posts: 472

Established Hosting Business for Sale


Hello,

It is a possibility we may sell our business within a months time. We are looking to collect offers.

Here is a little bit about the business:

- Have been around since early 2003
- Have a professionally designed custom site ( www.dynamohosting.net )
- Have two dedicated servers
- Uses modernbill billing system for $24.95/month
- Have a SSL certificate on the domain dynamohosting.net
- Have a 1 server license for the iCandy cpanel skin ( www.dynamohosting.net/cpanel : user - democp , pass - demo )

I think since the site itself is worth a lot and that the customers are settled in on the server, it would be best for a business to take over this in its name, possibly either keeping the server or keeping site and server and changing the name.

Server 1 details:
- $250/month from liquidweb.com
- Paid for up to August 1st
- Has been secured and tweaked and constantly updated
- Dual AMD Opteron 240 processors
- 2GB Ram
- dual 160GB hdd's
- Cpanel and Fantastico
- 1000GB bandwidth
- Remote Reboot Port
- Hosts 403 accounts total
- About 100-150GB/month total bandwidth usage
- Accounts use 11% of hda
- hdb is dedicated for daily backups with 6% used

Server 2 details:
- $260/month from *******.com
- Paid for up to September 1st
- Has been secured and tweaked and constantly updated
- Dual AMD Athlon MP 2400+ processors
- 2GB Ram
- Dual 80GB hdd's
- 750GB bandwidth
- Remote Reboot Port
- Spare server at the moment

We have 97 active clients. We bill each monthly client on the 1st of every month. Our clients are very happy with our service/support so as long as you provided good service/support they would not leave.

Client Breakdown:

Monthly Clients - 48
Quarterly Clients - 6
Semi-Annual Clients - 12
Annual Clients - 29
Bi-Annual Clients - 2

Revenue Breakdown (taken from modernbill income forecast):


Monthly clients account for $551.53 per month or $6,618.36 per year.
Quarterly clients account for $50.04 per month or $600.48 per year.
Semi-Annual clients account for $83.60 per month or $1,003.20 per year.
Annual clients account for $197.07 per month or $2,364.78 per year.
Bi-Annual clients account for $7.50 per month or $90 per year.

Total Revenue - $889.74 monthly and $10,676.82 yearly

When we are bringing in nearly $11,000 per year along with including a site worth $1-2K, we are looking for offers in the range of $8,000+

In the entire time we've been operating, we've only spent about $30 on advertising. Most of our sales come from word of mouth of our customers.

I would prefer if the buying company would keep our server number 1 as the clients have recently been through a server move where a few things went wrong, wouldnt want them to experience that again.

We are looking to get out of the hosting market simply because of how saturated the market is. Besides, our specialty is managing servers. It would be great if the buying company offers a part-time server management position.

Terms: Buyer must provide our clients with a high level of service and support. Buyer must host all clients at least until term ends (ie - not cutting off yearly clients if they have already paid us).

Note: We may not sell to the highest bidder. We are looking to collect offers and if we receive an offer we feel is acceptable we will sell.

Methods of contact: thread, PM, or emailing info@dynamohosting.net

Thanks,
Dan


Last edited by stftk; 07-06-2004 at 01:07 AM.
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  #2  
Old 07-06-2004, 03:22 AM
stftk stftk is offline
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Join Date: May 2003
Posts: 472
Hello,

Just to clear things up - We dont use and you would have no need to pay for server 2, so there is no reason to add that into expenses.

We are only using server 1 right now, but we have server 2 already paid for next 2 months, you would have no need to renew it after that period.

Also, you can transfer the clients to your servers after the sale, but you must guarantee it be a transition without any inconveniences to the customers.

Thanks,
Dan


Last edited by stftk; 07-06-2004 at 03:31 AM.
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  #3  
Old 07-06-2004, 05:12 AM
tomcromp tomcromp is offline
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Join Date: Feb 2003
Location: london
Posts: 17
whats the current high bid and would you accept monthly payments?

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  #4  
Old 07-06-2004, 10:33 AM
cmtusa cmtusa is offline
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Join Date: Jun 2003
Posts: 222
very interested

Would you be willing to accept some sort of monthly payment plan, say $500/month for 16 months?

Chris

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Powerful Web Solutions for Small Businesses

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  #5  
Old 07-06-2004, 11:00 AM
stftk stftk is offline
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Join Date: May 2003
Posts: 472
Hello,

tomcromp - Several people have contacted us about our business with interest, and we have responded to their questions. At this point there is no bid yet.

cmtusa - As long as there is a contract, something like that would be fine.

Thanks,
Dan

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  #6  
Old 07-06-2004, 11:33 AM
stftk stftk is offline
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Posts: 472
Hello,

Highest bid: $8,000

Thanks,
Dan

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  #7  
Old 07-06-2004, 12:14 PM
volmasoft volmasoft is offline
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Join Date: Mar 2004
Posts: 143
how about $600 monthly?

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  #8  
Old 07-06-2004, 12:25 PM
stftk stftk is offline
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Join Date: May 2003
Posts: 472
Hello,

We are really looking to get someone to pay with a deposit and the remaining amount at once or the full amount at once.

Reason being to avoid paying several hundred dollars to have a lawyer draft up a payment contract.

As a buyer you could always just get financing options so you would only have to pay a monthly amount.

We will accept all offers, but offers without a monthly payment schedule will be held in higher regards.

Thanks,
Dan


Last edited by stftk; 07-06-2004 at 12:28 PM.
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  #9  
Old 07-06-2004, 12:50 PM
tomcromp tomcromp is offline
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Join Date: Feb 2003
Location: london
Posts: 17
do you have aim so we can talk, also the control panel login what script is that using?

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  #10  
Old 07-06-2004, 12:55 PM
stftk stftk is offline
Web Hosting Evangelist
 
Join Date: May 2003
Posts: 472
Hello,

Yes you may contact me via AIM using the screen name DynamoSupport .

I have two cpanel login scripts, one custom developed by our programmer and one found on the cpanel forums. I believe currently we are using the one from the cpanel forums.

Thanks,
Dan

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  #11  
Old 07-06-2004, 01:07 PM
tomcromp tomcromp is offline
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Join Date: Feb 2003
Location: london
Posts: 17
i shall be contacting you shortly

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  #12  
Old 07-07-2004, 12:31 AM
vivehosting vivehosting is offline
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Join Date: Jul 2003
Posts: 148
How many sales are you getting per week?

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  #13  
Old 07-07-2004, 12:46 AM
stftk stftk is offline
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Join Date: May 2003
Posts: 472
Hello,

Due to the fact that we do not advertise, I would say we get about 2 sales per week on average. The past month has been pretty slow with new sign ups, only one this week, however we usually have several people upgrade plans each month. With advertising I'm sure you could easily increase the sign-up rate.

Thanks,
Dan


Last edited by stftk; 07-07-2004 at 12:49 AM.
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  #14  
Old 07-07-2004, 05:03 PM
valleypage valleypage is offline
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Join Date: May 2004
Location: hughson,ca
Posts: 2
i'm interested in your site. I'm looking to better my buisness

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  #15  
Old 07-07-2004, 05:28 PM
stftk stftk is offline
Web Hosting Evangelist
 
Join Date: May 2003
Posts: 472
Hello,

I'm not quite sure I understand what your looking for, but you can contact me with any questions.

PM or email info@dynamohosting.net please.

Thanks,
Dan

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