In the majority of the hosting related forums that I read, there is always a post about how someone should start their hosting business. Usually there are a few responses about starting out as a reseller, getting the right billing software, being patient, advertising your business online, etc.
All these things are nice to know, but the truth is you don't need them.
Yes you should start your business as a reseller, especially since it's more cost effective for the new web host.
But, don't make the mistake that so many others are currently making by chasing after the cheap hosting market. It's crowded, there's too many customer service issues, it's expensive to market... There are just too many issues with that particular market segment to make it worthwhile.
So here is a business model that actually does work, provides the owner with continuing income, and has less than 1% of the customer service issues.
1. Get yourself a reseller hosting plan from a reputable hosting provider.
2. Put up a single page website that says something similar to this:
As a small business owner, shouldn't you be spending time running your business instead of dealing with the daily hassles of keeping your website online? Wouldn't you rather be spending your precious free time with your family and friends, instead of dealing with another headache?
Look, I know how you feel. i am, after all, a small business owners myself. That's why we provide only custom, fully managed website solutions at a price you can afford. (less than a $1.50/day)
Yes, there are cheaper web hosting companies, but then again, you're back to spending your time doing everything yourself, instead of spending your time doing what you want or need to do.
To find out what "my company name" can do to help you, just call me at:
Name
Phone #
I'm usually available been 9am - 5pm, unless I'm meeting with other business owners like yourself. So if I'm not available, leave a message and I'll personally get back to you shortly.
3. Give free hosting for 90 days to 10 local business owners. Provide an exceptional level of customer service. As I stated in another post, at 30 days, contact each one of them and ask for suggestions and feedback. At 60 days, do it again, and inform them that their free hosting is due to expire, but you'd be willing to extend it for another 90 days, if they would recommend your custom managed hosting to their business associates. Tell them that for every 3 paying customers they recommend, you'll extend their free hosting for 90 days.
4. Create a custom hosting plan for each individual business. Since it's a managed hosting plan (ie: you'll be adding email addresses, uploading their website for them, making minor changes as asked, etc), you'll be able to charge a premium hosting fee of $30, $50, $75 dollars a month or more. Collect a check for a full year of hosting in advance.
5. Maintain a high level of customer service with your existing customers.
6. After you're able to quit your day job, set specific hours of operation, and live by them religiously.
With this business model, you don't need a server (just a reseller account), billing software (use an excel spreadsheet), or 90% of the other junk you see people promoting. If you want to hire a designer you can and that would be a good additional income stream.
Value added service is where the money is in this business.
All these things are nice to know, but the truth is you don't need them.
Yes you should start your business as a reseller, especially since it's more cost effective for the new web host.
But, don't make the mistake that so many others are currently making by chasing after the cheap hosting market. It's crowded, there's too many customer service issues, it's expensive to market... There are just too many issues with that particular market segment to make it worthwhile.
So here is a business model that actually does work, provides the owner with continuing income, and has less than 1% of the customer service issues.
1. Get yourself a reseller hosting plan from a reputable hosting provider.
2. Put up a single page website that says something similar to this:
As a small business owner, shouldn't you be spending time running your business instead of dealing with the daily hassles of keeping your website online? Wouldn't you rather be spending your precious free time with your family and friends, instead of dealing with another headache?
Look, I know how you feel. i am, after all, a small business owners myself. That's why we provide only custom, fully managed website solutions at a price you can afford. (less than a $1.50/day)
Yes, there are cheaper web hosting companies, but then again, you're back to spending your time doing everything yourself, instead of spending your time doing what you want or need to do.
To find out what "my company name" can do to help you, just call me at:
Name
Phone #
I'm usually available been 9am - 5pm, unless I'm meeting with other business owners like yourself. So if I'm not available, leave a message and I'll personally get back to you shortly.
3. Give free hosting for 90 days to 10 local business owners. Provide an exceptional level of customer service. As I stated in another post, at 30 days, contact each one of them and ask for suggestions and feedback. At 60 days, do it again, and inform them that their free hosting is due to expire, but you'd be willing to extend it for another 90 days, if they would recommend your custom managed hosting to their business associates. Tell them that for every 3 paying customers they recommend, you'll extend their free hosting for 90 days.
4. Create a custom hosting plan for each individual business. Since it's a managed hosting plan (ie: you'll be adding email addresses, uploading their website for them, making minor changes as asked, etc), you'll be able to charge a premium hosting fee of $30, $50, $75 dollars a month or more. Collect a check for a full year of hosting in advance.
5. Maintain a high level of customer service with your existing customers.
6. After you're able to quit your day job, set specific hours of operation, and live by them religiously.
With this business model, you don't need a server (just a reseller account), billing software (use an excel spreadsheet), or 90% of the other junk you see people promoting. If you want to hire a designer you can and that would be a good additional income stream.
Value added service is where the money is in this business.
