Startup

[.Andy]

I'm in the process of outlining my business plans to start my own web host.
I was outlining the basic startup costs for a full year of business as I think I definitely need to afford to keep running for a year with out profit to be able gain clients trust and security

Please tell me if you think my budget is accounted for good and if I need anything else I should add to.
$600.00 vps Server
$120.00 Fantastico whm reseller / client exe
$25.00 Rv Skin (owned)
$62.20 Rvskin site builder (yearly)
$300.00 Server Management
$199.00 Kayako Yearly
$60.00 Skype in
$49.00 2checkout
$23.60 Unlimmited Calling (skype)
$33.12 2000 visitors(pay per click)
$200.00 Webdesign
$20.00 SSL
$85.00 Vbulletin
$29.00 domain ('ll probably buy one on the aftermarket)
$200.00 LLC filing
$150.00 Backup storeage

$2,005.92 Total

[EW-Andy]

$144 for cPanel license for your VPS?
You didn't include that

[.Andy]

The server company Im' thinking of using provides that at no cost as part of a special offer.

[splatcatballa99]

You'll also need money for unforeseen costs. It's always a good idea to have some extra money just in case.

[.Andy]

You'll also need money for unforeseen costs. It's always a good idea to have some extra money just in case.

Good Point made. How much would you suggest haveing?

(this is my first real company and I want to put the most into it)

Now that I have a part time job I can afford to put alot more into my bussniess.

[fnixws]

Well, when making car mods, i always allow 1/3 extra.
I know webhosting and cars are alot differnt, but it pays to be prepared.

[.Andy]

but it pays to be prepared.

Oh tottaly I want my host to be known for quality and stabebility thats why I plan on having a seperate bank account for monthly expenses (however I'm going to buy alot of owned so I dont have to)I'm going to shread the atm card so I'm not tempted to spend from that account and have an automated payment plan in order.

[Decker]

On a quick look over add an extra $600 for VPS increase in capacity required (as mentioned for other costs, etc.) $200 petty cash (who knows, offsite backup supplier, etc.), an extra $100-200 for advertising wouldn't go amiss as your plan is for a year (business plans are normally 3 year min and more usual 5 year) a bit more if you can on advertising as you need to have it self funding by month 6 and in profit by month 9.

Hope that helps a bit :)

[SC-Daniel]

offsite backup supplier

Nah, who needs backups these days :D

You should definitely factor that into your costs, especially since the price of backup space is so cheap these days. I personally have a pretty hefty backup plan in place because I am paranoid about data loss, which is a good thing in this industry. All of our shared and reseller servers take nightly backups and then those backups get transferred to a server in Canada over SCP.

PLEASE do not do like what a lot of these hosts do and not plan for data loss, because god forbid you accidentally terminate an account or a hard drive fails.

COVER YOUR BUTT WITH A DECENT BACKUP STRATEGY!

I believe Decker will agree :D

[Decker]

Nah, who needs backups these days :D

You should definitely factor that into your costs, especially since the price of backup space is so cheap these days. I personally have a pretty hefty backup plan in place because I am paranoid about data loss, which is a good thing in this industry. All of our shared and reseller servers take nightly backups and then those backups get transferred to a server in Canada over SCP.

PLEASE do not do like what a lot of these hosts do and not plan for data loss, because god forbid you accidentally terminate an account or a hard drive fails.

COVER YOUR BUTT WITH A DECENT BACKUP STRATEGY!

I believe Decker will agree :D

:fork: Don't get me off-topic or I'll :bkick:

[LSComputers]

Everything looks okay, but know that typically hosts do not fully break even until after the first year. (I dont see anywere in there for support techs wages). So theres still a few things your need to plan for.

[.Andy]

Well technicaly It is a partnership and we plan to work different hours of the day with a few other people.

Good idea for backup I'll figure in another 150$
I plan to have a diffent hard drive for backups and once a week make a dvd backup and store it at my house. Dose that sound reasonable?
I'd keep the backups in a firefproof safe (locked so its secure) Or do you think that is more of a liability incase someone was to break into my house?


P.s I only have a 2,500 budget. Good job helping me spend my money

[LSComputers]

Well I can say that doing a backup on a dvd is very impratical anymore. And would be extremly costly. I still would say you need to have a budget for staff etc. Even 2 people is not enough to do things right. You cannot always be on 12hrs a day..

[SC-Daniel]

I would recommend getting a P4 1.5 or something from BurstNET with a couple 500GB hard drives and using it for backups instead.

Always factor in the possibility that you will grow rapidly and require a full time tech or two.

[cfhdev]

Keeping a off site backup is a good idea. Keeping it at your house in a safe is a good idea. If you happen to host any customers that store personal client or patient information then that might not be a good idea. Safe deposit boxes are rather inexpensive and are probably a better choice. I would recommend using 2 external hard drives and alternating them weekly. Or get a or dedicated somewhere else and just use for backup.

[utcrazy]

You also have to factor in the new host tax, you can pay that directly to me and I'll send those funds to the proper people.

[.Andy]

You also have to factor in the new host tax, you can pay that directly to me and I'll send those funds to the proper people.


Ok I'll send you a .01 tip via paypal?
I heard you weren't making money and submited your resume to GeekRack at one point

[Decker]

Nice try UT :lol:

Andy, play nice :wink2:

Offsite backups is a good option if you chose one of the larger DC's that offer SAN/NAS backup storage as this tends to ALMOST never lose data, even in extreme circumstances they should backup daily to tape which is then couriered to another site with firesafe storage.

And it's not too expensive nowadays :)

[.Andy]

Andy, play nice :wink2:

Never:crysad::crysad:

j/k U really think that was to mean?


Nice try UT :lol:

I thought so to. I think I even gave him + rep for that good of a laugh