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Web Hosting Company any suggestion.


Offshore Agent
Jan 15, 2009
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I consider to start my own web hosting company, which means, I will go and rent a server somewhere and setup accounts on it.

Any suggestion if this is still a money maker or just a saturated marked ?
I would say, a hosting biz isn't the way to go now a time. You should look into something else where you don't have all this competition!

Setting up a server with some hosting centre will surely be easy but the Internet is floading with such resellers and you will need to go down to "$1 a month plans" to even get a single customer.
I myself am holding Web/Graphics Design/Development company. But my initial idea was to start a hosting company. Couple of years back maybe there was a little less inconvenient time to start such a business. I even funded some initial equipment but after first few months of very few clients I gave up because my expenses overwhelmed my income. My advice to you, don't open a hosting company. I suppose you are Administrator yourself? Use your skills in some other line of Internet related jobs, there are many...
I must admit with the other replies, starting an webhosting business now is way to late, there are so many other good niches to start in and which give you some money pretty soon once you get started, that it isn't worth the effort to deal with any hosting biz from scratch.
Yes, as you said, there are other niches as well. This is the reason why I asked is he an administrator, because people usually strive to do what they are good at. This is not in anyway a bad thing, but sometimes the market is just too crowded and you have to face the facts.
thank you all, I realized that a Webhosting company isn't anything to start for me, it's just so pretty simple and it would be easy money :)

Yes I know how to handle a server and all this stuff, and maybe it would be the right direction to find other niches like SEO optimizing, help people to install scripts, CMS and all this stuff, as I see on many forums aroung there are plenty of people which don't know how to do that stuff.
Yes, you are right. There is always some place for you in some niche, just keep digging the possibilities. Another thing about hosting business, even if you create the most reliable excellent hosting service you'll need hell of a marketing to gain people's trust and to reach high rankings on SEO. One thing also, you'll have to be cheaper than most of the competition but it's not worth the trouble because there are very cheap ones out there.
I wouldn't recommend webhosting company business because there are almost 14,000 webhosting companies in US alone. Further the number of companies failing in the webhosting field is very large and the competition is such large that a new comer without much skills would find it really hard to survive.
Actually there is something you can consider doing. If you already have some people that you know will host their sites with you, you can make a tight list and see if it will pay off. I knew someone in web development business who never think of doing hosting services but so many clients of his asked him where good hosting can be found, and one day he went and setup couple of servers and he now lives well from those 10-20 loyal customers.
This is a very saturated niche right now. Maybe back on the 90’s when the internet is still young; you can make easy money from offering hosting account but now, it seems that everyone else is offering the same.
Do not prefer Web hosting company as per my advise. Now a days there are almost lakhs of companies working on Web hosting concept. You will have to face a lot of compitition to get success in this feild. Come up with something new that is not having much compititors.

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