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  1. #1

    * Start Up Web Hosting

    I have been thinking of starting a web hosting company, and while I'd like to just be confident and jump right in, I don't know everything and will likely ask some rehashed questions here.

    First of all, currently I have $900 for use towards this new business (+ money from my job everytime I get paid). Not a lot, I know. So I am wondering, what would be the best way to go- considering my budget?

    A few questions that came up in my mind were:
    -Should I buy an actual server and physically have the hosting from where I am? -If so, what kind of internet connection would be required for now, where could I find a provider/how much would that cost in itself? (I currently have "5 meg" Cable, doubtful that would be enough bandwidth). -Should I just use a regular computer with lots of storage and go from there? -Should I instead resell in the meantime?

    I realize that web hosting is a saturated market, and that most nights i'd likely fall asleep at the computer because of the demanding hours-- but I'm just a guy looking for some freedom and to earn what I deserve, $6.50 an hour isn't really cutting it. So-- I have the willpower behind this to make it work, if anyone has some suggestions/tips/commentary from your experiences I'd love to hear them.

  2. #2
    Join Date
    Mar 2005
    Location
    USA
    Posts
    667
    Hi Alive, to begin with you'd probably want a reseller account. You really wouldn't want to try it from your house. The only thing you'll really need to decide on is which platform you want to sell. i.e. Linux, Windows, both, H-Sphere, CPanel, Helm, etc., etc. Look around here for some reviews. Be very careful who you choose for a reseller, remember, paying a couple extra bucks for a plan in itself isn't a guarantee, but could make a big difference with support for you and making your company look good, or not so good.
    There's plenty of other things to concider when starting up, but hang around here, do plenty of searches and ask plenty of questions. Most of your questions have probably already been answered and there's plenty of people here that will help you, if your serious and committed.
    Jim - 2Macs H-Sphere Web Hosting
    Since 2001 - H-Sphere Clustered Shared Linux & Windows Hosting
    Fully Managed Services| Custom Web Designs
    Unconditional, 30 Day Money back Guarantee!

  3. #3
    Thanks for the reply.- I started browsing through this forum and found a few threads that led me to reselling as the way to start as well. That makes sense, it will likely be a learning experience for a while.

  4. #4
    Join Date
    Oct 2006
    Location
    Madrid (Spain)
    Posts
    9

    Lightbulb

    Quote Originally Posted by Alive
    I realize that web hosting is a saturated market, and that most nights i'd likely fall asleep at the computer because of the demanding hours-- but I'm just a guy looking for some freedom and to earn what I deserve...
    As you said, it's a saturated market.
    I recommend you to offer something different, no yet-another-plain-vanilla web hosting. This way you can find some clients willing to pay for such different thing...that for what you think you deserve more that a few bucks/hour.
    ::
    :: K.Huertas
    . Not only python hosting . www.hub-hub.com
    :: Django . Trac . MoinMoin . Textpattern . Roundcube
    ::

  5. #5
    Alive,

    Yes..a reseller package will serve you nicely for starters, when you grow..you'll then need to either migrate to VPS or Dedicated.

    As for the saturated hosting market, it's true..but as you can see there are a lot of new companies that make it big in this saturated market as this mainly depends on the people working on the project and how hard they're willing to work to give their company proper exposure and study the market well to be able to rise above competitors.
    Caro.Net: Support is everything
    Offering High Quality Dedicated Servers.

  6. #6
    Join Date
    May 2001
    Location
    Colorado, USA
    Posts
    814
    Even if a market is saturated - for the right business owner with the right business plan and the right attitude to make it a success - there will always be room for. But if you are trying to just be another "average" web host, find a different industry and a different business model.

    Christoph
    Web Hosting Resource Kit - Web Hosting Reviews & Hosting Tutorials

  7. #7
    Join Date
    Oct 2006
    Location
    Florida
    Posts
    220
    Hello

    I just started a company, so I think I have some words of wisdom for you.

    1. Have a plan. A plan / strategy is so important, I cannot even stress it. I started my company without a plan, and it took me a lot longer to get everything together.

    2. Start researching the industry standards in software. You will need billing software, customer support software, preferably live help software, forums, and a solid web template to integrate everything into. Keep in mind, template is important because first-impression is a big deal to customers. If your template is one of those that hundreds of people use, then your company will not look unique.

    3. You need a reseller account with good support, so you can start installing your software.

    4. After you've researched all the software / hosting plan you are going to buy (along with other considerations such as domains, SSL, and live help), you need to create a budget. Also, don't expect to make loads of money right away.

    5. After you have purchased hosting, you need to create your own hosting plans. This was a lot harder than I expected it to be.

    6. Find a buddy, or an IRL friend that you can really trust to help you out. I did a lot of the tech stuff, and had a buddy help me with GFX and continues to help me with customer support. Doing EVERYTHING alone can be a burden, and cause some serious stress.

    7. Keep an open mind, and be willing to learn! This is not going to be an easy process, but if you do it right, it will be well worth it.

    Hope my advice was of some help, good luck and keep us updated on your decisions / progress.

    -Sam
    HostingChoice Web Hosting and Consulting Services
    Host unlimited Domains, MySQL Databases, E-mail Addresses, and FTP Accounts.

    Visit us today - http://www.hostingchoice.net

  8. #8
    Join Date
    Jul 2005
    Location
    Australia - NSW
    Posts
    1,053
    Here's something you can read - http://webhostingtalk.com/showthread.php?t=530026
    Recommended: Stablehost, Hivelocity, Fused

  9. #9
    Join Date
    Jul 2005
    Location
    Atlanta, GA
    Posts
    13
    I second the reseller option, but before you do that, find a couple friends or acquaintances who are willing to let you host their sites for a set rate. You probably only need a couple of these to cover the cost of the reseller plan. The point is you start out small but profitable, and you can learn the ropes with a forgiving set of customers. Plus you find out really quickly if you can really sell.

    <<Signature to be setup in your profile>>
    Last edited by anon-e-mouse; 10-25-2006 at 09:58 PM.

  10. #10
    Join Date
    Jul 2005
    Location
    Milton Keynes, UK
    Posts
    411
    Quote Originally Posted by hubhub
    As you said, it's a saturated market.
    I recommend you to offer something different, no yet-another-plain-vanilla web hosting. This way you can find some clients willing to pay for such different thing...that for what you think you deserve more that a few bucks/hour.
    I agree. Anyone wanting to enter the industry should really try do something different. If there are millions of companies selling the same as you, would would make you stand out? And why choose you?

    The way overselling and sub reselling is going, who knows what is going to happen.

    Just my opinion. Hope you find it useful.
    MK Hosting - Reliable Affordable UK Hosting Since 2005
    www.mkhosting.co.uk
    Shared Hosting - Reseller hosting - Dedicated Servers - VPS - Colocation - IT Services

  11. #11
    Yer i agree peaple have to be differant, you see its hard to think of new ideas becouse all us guys are doing really is selling the same thing allthough there are many differant variations of how you can get it ect... Im just lost for ideas really on what ideas to bring in that would be of any use.

    Good look with starting your company

  12. #12
    Join Date
    Jan 2006
    Location
    Ontario, Canada
    Posts
    958
    Short and sweet.

    -Do it right the first time. Never skimp out on anything. And when chosing a reseller, make sure they will be there to answer your many questions

    I hope you find this venture rewarding and challenging as many of us have! Dont Give up!
    Kdoubt.net - Gameing discussion, arcade, all around good fun

  13. #13
    Hello,

    Webhosting business purely runs on what you are offering to your customer and the support you are giving them. The key here is the support you provide them, once the customer signups for your hosting.

    Also regarding the server, the server has to be robust, so that it supports the a huge number of customers and also their activities.

    Thank you.

    Regards,

  14. #14
    Join Date
    Oct 2006
    Posts
    31

    Standing Out

    I'm not completely sure how to start out. Reseller service seems like a good idea but it makes it difficult to really offer something different.

    Find something that you're interested in (even better if you're knowledgeable at it!) and think of how you can let others benefit from your experience.

    Look at these forums and read about all of the problems people have, and remember there are 2 problems that people complain about:
    1. They're trying to use something the host provides but it's broken. Support sucks, service is slow (or worse), and they're stuck.
    2. They don't know what they're doing. Some people really need a hand in getting up and running. Existing tools may work, but aren't always easy to understand or documented.

    So, with that in mind, you can really push for making sure you understand how to fix problems and also make sure you make it easy for customers to figure out how to get stuff done.

    Helping people on forums like this might be a good starting point for a reseller business.

    I'm a control freak so my biggest suggestion regarding reselling and the like would be to set yourself up in a way where you rely on them as little as possible. It's hard to do but worth the effort.

  15. #15
    I prefer getting a server from LT who offers good Pentium 4 servers around $100/month and then get a Managed Service @ $29/month from PlatinumServerManagement and concentrate on SALES!

    With Reseller packs you wont be able to offer something different! With Dedicated Server you will be able to use/modify your packages the way you wish!

    If you have a decent budget then you should go with Dedicated server and if you are starting with a smaller one then Reseller package suits your needs.

    Good luck!
    IndoUS Hosting Quality IT Services since 2004
    Shared Hosting • Reseller Hosting • Dedicated Servers • Domain Names
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