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Hosting Discussion > Operating a Web Hosting Business > Billing and Accounting > Do you think that it is safe to pay annually?
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  Post #1 (permalink)   12-30-2009, 09:07 AM
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How do you prefer to pay? MONTHLY or YEARLY?

  Post #2 (permalink)   12-30-2009, 09:17 AM
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Depends on the provider - with some I wouldn't mind paying yearly to get the discount, but with others, I don't trust that they'll be around six months from now.
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  Post #3 (permalink)   12-30-2009, 09:57 AM
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Monthly..only way to fly.


  Post #4 (permalink)   12-30-2009, 01:17 PM
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Personally I’m with Steave, Depends entirely on the provider and the level of discount offered, one perhaps to lookout for is the level of discount, if to great it could indicate something doesn’t quite checkout however this is not always the case.
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  Post #5 (permalink)   12-30-2009, 10:44 PM
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It depends on the relationship. Many of the contracts that we hold are yearly or longer (that's us with OUR vendors). Our clients have the option from 1 month to 3 years, and domains or SSL's even longer (5-10 years). Most of our clients go Monthly initially and then move up to a longer term (quarterly or longer) - it's just less for them to think about.

Besides, if you're paying $4.00/month for hosting, do you really want to have to break open a check book every week and write a $4.00 check or just send $40 and be done for the year?

All depends on the price (total price) and the confidence. There are people that will pay $2k for a server for 1 year. There are others that don't know how long THEY will be in business, so they pay Monthly.

Takes all kinds really. I pay my car payment MONTHLY, but I pay my Insurance on the car SemiAnnual.
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  Post #6 (permalink)   12-31-2009, 03:43 PM
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We have a few that pay annually but they have been with us a long time. For new clients we recommend that they pay monthly.

This protects the clients and ourselves.
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  Post #7 (permalink)   01-03-2010, 04:12 AM
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If a hosting provider is well-known, annual payment will be ok.
Otherwise, paying annual payment is not recommended..
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  Post #8 (permalink)   01-07-2010, 02:11 AM
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Being an old customer if you're satisfied with the service I think there should not be problem in shifting to yearly payment mode.

Last edited by bobchrist : 01-07-2010 at 02:13 AM.

  Post #9 (permalink)   01-12-2010, 05:03 PM
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and quarterly if you like the webhost so you get a reduction.
Annually I only do it with companies in my own country which have a tax number and if I can pay with a local bank transfer.

  Post #10 (permalink)   01-16-2010, 12:13 PM
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It depends on the price and on the relationship. Many of our clients start paying monthly and then they move up to yearly payments as it is easier for them. The same for us as clients.
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  Post #11 (permalink)   01-18-2010, 07:38 PM
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Well it depends on the provider. If It is a company you do not need to worry about any thing . If you decide to leave them you can have a refund of the unused months.
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  Post #12 (permalink)   01-18-2010, 08:32 PM
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If the company is stable and reputable I would pay annually. Like Steve said, it all depends on the provider. If the provider seems sketchy in any way or is new I would pay monthly and after I get some experience with that company then might consider annually.
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  Post #13 (permalink)   01-25-2010, 11:53 AM
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I wouldn't recommend any one paying annually. I don;t even have it allowed on my dedicated and vps plans. **** happens, even with the best hosts.

  Post #14 (permalink)   01-25-2010, 12:12 PM
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We still think in the same way: "It depends on the price and on the relationship" with the supplier/client.
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  Post #15 (permalink)   01-25-2010, 12:49 PM
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It depends what kind of service anyone wants to purchase. When it comes to a VPS hosting the monthly billing is more appropriate, unless there is significant discount on annual subscription. On the other hand annual payments work better both for providers and customers in Shared hosting. When it comes to dedicated server it depends of the service and of the client's requirements.
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