Starting a Cheap Hosting Site Isn't Easy!

Starting a cheap Hosting SiteThe other day I heard a conversation that went like this: “I have the best idea! Let's start one of those cheap hosting companies – it'll be super easy, and you don't need much to do it.” Did I reply? No; but I did snicker.

Why? There's a simple business mantra that goes like this: if you think it's simple, it's not. Wait, that's not a mantra, it's just common sense (which Benjamin Franklin was once quoted as says “it isn't common!”). Why isn't starting a web hosting company simple? Here are a few reasons.

Cheap Hosting: Know What You're Selling

No tech background? No idea what shared or dedicated hosting is? No clue how a hosting company runs? It's time to learn or die trying. Can you just contract all of this out or rely on control panels? Not so much.

Yes, it is true that you can rent a dedicated server and provide hosting after familiarizing yourself with a control panel. However, the control panel isn't magical, and can't do it all. But, technology expertise is the least of your concerns. You have to get off the ground first.

Cheap Hosting: Calling All Investors!

Setting up a business – any kind of business – isn't free. Software isn't cheap, servers are expensive, and even renting can be pricey (and risky).

Cheap Hosting: Got Time?

Say ‘goodbye!' to your free time. Your customers will expect 24-hour service. Sure, you can contract customer support out, but that will cost more money, and you'll want to be sure that you hire people capable of representing your company. Add dollar signs here.

Cheap Hosting: You Are Your Own Island

Love being independent? Don't need help? Okay, superstar, go for it, but first consider the help you might need. Let's make a nice list, shall we?

  • Sales
  • Technical Support
  • Accounting
  • Legal backup
  • Content writers and developers

It's a lot to handle. Guess where we're at again? That's right, back to those dollar signs. Got a partner? Great! Make sure they have skills unlike your own.

Here's a nice little scenario to consider: imagine receiving an influx of sales calls. Not bad, right? Now the server just went down. Uh oh – tons of tech support calls! All on your own? Doubtful!

Cheap Hosting: More Technology Knowledge

Tech has to be your life. Read it, consume it, understand it, breathe it. You have to be up to speed on software, equipment, pricing, legalities – that's a lot of reading.

Another little scenario: If you aren't familiar with the software clients will be installing onto their websites, how can you expect to help them when they have a question? Now you have  security breach. Do you know how to fix it? What to do? Where to turn? Do you know SSH? You need to.

Cheap Hosting: Scary Things

Reconsidering starting that cheap hosting company? If you are, this probably isn't a good fit for you. If not (and you want to learn more), you have some gumption, that's great! Need more info? Are you contemplating starting up a web hosting company? Have questions? We can help!

Photo From ‘Origamiancy' via Flickr Creative Commons

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