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[Hosting] How to get initial funding?
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[Hosting] How to get initial funding?

lifehomelifehome Member

Apart from earning money from work, what else (except gambling or trolling on this post) could be done to gather enough initial funding?

Comments

  • 4n0nx4n0nx Member

    bank loan

    loan from family/friends

    look for investors (venture capital)

    kickstarter

  • TrafficTraffic Member
    edited May 2015

    http://myownfreehost.net/

    http://www.youhosting.com/

    https://www.resellerspanel.com/

    Depending on what you're willing to start, all of those have 0 startup costs.

  • BruceBruce Member

    as GVH did

    1) get credit from CC for monthly service
    2) sell yearly plans
    3) RUN

    or you could sell drugs :)

  • BharatBBharatB Member, Provider

    @lifehome said:
    Apart from earning money from work, what else (except gambling or trolling on this post) could be done to gather enough initial funding?

    You came to the wrong place kids here love only to troll , if you're seriously wanting to earn I suggest joining some existing provider as support, learn what it really takes to run a company and then if you're willing spend your money on making a so-called company ( cuz if its not regd you're considered joke) , else I suggest using the money you get as wage from your employer and be happy :)

    Thanked by 2joepie91 click4easy
  • nearest back lane, alley, .............

    Thanked by 1Mark_R
  • Money from bank or family.

    Or find a business partner.

  • century1stop said: nearest back lane, alley, .............

    Really? We're going to have prostitution jokes on here now? I thought this site was about VPS hosting.

  • mikhomikho Member, Provider

    If you don't already have the money to fund your webhosting business (you should be able to cover the costs for 6-12 months without customers) then there is only one option, work for it.

    What you work is your choice, Find a job that you like and where you earn enough money to survive and put the extra in your future business.

    If you are fortunate to be able to work and starting your web hosting business at the same time you can "start early" meaning that you earn your calculated loss from your "day job" while running your business.

  • century1stopcentury1stop Member
    edited May 2015

    @summertime said:
    lol "hookers' paradise"

  • BharatBBharatB Member, Provider

    @century1stop said:
    nearest back lane, alley, .............

    Kids these days....

  • LeeLee Member
    edited May 2015

    @lifehome

    Funding for what?
    What exactly are you planning?
    How much do you need?
    How much do you have?
    What is your experience?
    How old are you?

  • leapswitchleapswitch Member, Provider

    First you need a concept or plan, then you put your own money to prove that it works, then you look for investors to scale it up faster than your own funds can.

  • 4n0nx4n0nx Member

    leapswitch said: First you need a concept or plan,

    Yeah, OP should make a business plan first. https://en.wikipedia.org/wiki/Business_plan#Presentation

    Then go to the places I mentioned. Or participate in business plan competitions.

  • raindog308raindog308 Administrator

    lifehome said: Apart from earning money from work,

    I see your problem.

    Consider: you work at McDonald's and make the minimum wage of $7.25 an hour. Let's say you lose 20% to taxes and they only give you part time, plus you have to go to school and your mother makes you mow the lawn so you can only really work nights/weekends. Still, you get 20 hours a week.

    $7.25 * 20 * .8 = $116/week. In three months you'd have $1,392. You'd miss this summer's hosting season but you'd be primed for fall!

    Then again, you may live in a state with a higher minimum wage. In some places, it's $15/hour. In that case you could take home $2,880.

    And maybe since it's summer you string a couple part time jobs together and double that...over $5,000. That plus selling your comic book collection...

    4n0nx said: Then go to the places I mentioned. Or participate in business plan competitions.

    For hosting, venture capital is unlikely to happen. There's venture capitalist who are the "invest a million" sort - you couldn't even put a million to work with a new hosting company. There's angel investors who invest smaller sums, but even they want to see the business up and running. The only people who invest based solely on a business plan are people who love you - family and friends.

    Thanked by 1lifehome
  • TrafficTraffic Member

    lifehome said: Apart from earning money from work, what else (except gambling or trolling on this post) could be done to gather enough initial funding?

    Do we get paid for trolling? Who do I have to speak with?

  • First of all, thanks for all the kind words, it's been a lesson for me to learn from.

    So I am starting a hosting company aims for local, basically I do know that the "local" market isn't really profitable, nor it is bigger or competitive than the globe, but that's kinda something I want to kick off from.

    And I do got plans, from the basic static plans, to medium-scale hosting(eg a Discourse forum, or a couple of Wordpress MU). Have done a couple of research where CPanel and WHMCS are kinda suck, just because the lack of support to some "advance tech" these days (PHP versioning is already a big problem, need not to say most of the billing system written in PHP).

    To host some rails or python sites, writing a suitable panel/module is definitely necessary. But apart from the code and techs, VC is the most thing I don't want to touch or get in with. tl;dr, I just don't like how the VC works.

    Oh, I really want to respond to @raindog308, that Hong Kong got only approx USD$4.19 an hour -- as you said -- for minimum wage per hour. So the calculation becomes:
    $4.19 * 20 * .6(the loss to tax, Mandatory Provident Fund Schemes, etc) = $50.28/week
    Now I know I have to grab more part-time job, and get paid in cash. ;)

    Thanked by 1joepie91
  • @lifehome said:
    But apart from the code and techs, VC is the most thing I don't want to touch or get in with. tl;dr, I just don't like how the VC works.

    No need to worry about that - when they phone you begging to invest in your new hosting company, just tell them to f*ck off.

    Thanked by 1lifehome
  • belinikbelinik Member
    edited May 2015

    lifehome said: So I am starting a hosting company aims for local, basically I do know that the "local" market isn't really profitable, nor it is bigger or competitive than the globe, but that's kinda something I want to kick off from.

    really? local is the one you can most likely overcharge the hell out of the service with, especially if you can provide all in one solution to the customer.

    Not sure what type of funding scheme+ tax rate you were calculating, they should be no higher then 15% last I check(not 40%), especially with minimum pay part time job you won't bypass the 120k barrier.

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