It is not an easy task to keep the servers up at all times, especially when your website has a very high traffic. However, some IT experts still consider putting up their own web hosting business. It is a tough job, but once you have worked your way up, it can also be rewarding. For one, it has a low start up cost. You can even make it as your second means of income.
What are some important things that you should know before considering this web hosting business?
• Business Experience - If ever you do not have a business experience, at least get to know about the basics of establishing this business. All the legality, papers, taxes, handling employees, and other important matters that you should not ignore. It would be an edge if you have had an IT-related business in the past or if you have a work experience in an IT company.
• Entrepreneurial Mentality - You must be competitive and innovative. Information Technology advances rapidly from time to time and you have to get yourself updated. You have to study on how you will win the competition. Knowing your strengths, weaknesses, opportunities and threats are essential in succeeding in every business endeavor.
• Technical Know-How Is A Must - Scripts, HTML, internet servers, Linux, Windows, control panel software, etc. You have to know these things or you will not be able to survive in this type of business. You have to be aware that in this field, you will be staying almost most of the time in front of the computer, monitoring your clients' websites 24/7.
• Stable Internet Connection - You need to have a stable internet connection or you will lose your clients. You need to make sure that their websites are safe from Cyber Squatters, hackers and the like.
• It's In Your Server - Your money is in your server. You get income from the space in the server that you provide to your clients. You have to decide whether you will choose Co Location hosting (where you entrust your server to a data center, while your responsibility is just the server's upkeep), Reseller Hosting (wherein you serve as the middle-man and you get the account at a lower price so you can place your mark-up when you sell it to a client), or Dedicated Hosting (where you lease a server that you will not be sharing with anybody).
• Software - For administrative tasks, you will need three kinds of software: control panel, billing and help-desk. It will cost a lot per server to have these, but it will make your life easier. If you are a Reseller, then you do not have a problem with this.
• Technical Support - This is very important in maintaining relationships with your clients. It is impossible not to have any problems to be encountered after they purchase your services - there will definitely be. You have to know troubleshooting and you cannot make a mistake. A poor technical support can jeopardize your web hosting business.
• Expect Credit Card Payments - Especially if you plan to have clients overseas, then you will definitely get paid through credit card. You will need third-party payment gateways like PayPal.com or 2checkout.com. You also have to be aware that there will be credit card fees and much higher when you deal with international transactions.
• Marketing - With your entrepreneurial mentality, surely you will prioritize marketing your services to get clients. You have to expose your company all over the internet so you will attract potential clients.
Establishing your own web hosting company is not a piece-of-cake. You need to be an expert in this field or you will suffer the consequences and worse, get a net-loss. You also need to be responsible with the number of clients you decide to get since you have to keep their websites safe at all times. However, it can be really rewarding if you put your passion and effort in it. No business is stress-free anyway.
