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Starting My Own Hosting Company

Posted April 15th, 2010

hosting-companyThe hosting business is one business in which everyone will be able to make some money. However, you should know what you are doing, in order to make some money. Just like in any business, you will need to invest some money to begin your hosting business. There is not a single business in which you will invest zero dollars. The great thing about the web hosting business is that you do not need to invest a lot of money. With only a couple of dollars a month, you can jump start your very own hosting business. Large companies offer reseller hosting plans for great prices, and you can just purchase one and resell the services.

Before you begin thinking about what plan to get, you should think of name for your company. Once you have selected a name, you should buy your domain name. If you have some extra money to spend, you can buy several other extensions of the same domain in order to brand it. Next, you should look for quality hosting companies offering reseller plans. Do not go after the lowest price, but rather the best quality in service and support. If your clients website is offline they will come to you, and you should be able to contact your reseller provider. Look for a company that has 24/7 support either through the phone or by live chat. Before buying into the plans, you should speak with a customer representative about your situation. Since you are just starting off, you can being with the lowest plan and move up as you gain more clients. To be more efficient, you should offer each of your clients enough space and bandwidth.

If your business is growing at fast pace, you can buy more reseller plans, or simply just switch to a dedicated hosting solution. However, you should not switch to your own server without doing the math. A simple business plan will give you an idea of how much profit you can expect by switching to your own server. Leasing your own server will cost a lot of money, so think before you make the final move. Usually, a brand new company would stick around with their reseller plan for about one year or so. If you have no intention of leasing your own server, you can just run your business from several reseller hosting plans. After a certain point, you will be able to profit from having your own server, but this is definitely not in the early stages of your business.

Once your business is setup, your next step is to market and promote it. Marketing your business is quite simple, as you are only focused on two groups of people. These two groups are those who have websites and those who plan on having one. When advertising your services, you can target just these two groups. In order to attract new clients, you can offer incentives to your new clients.

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