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Starting a VPS Service. - Page 2
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Starting a VPS Service.

2

Comments

  • zafouhar said: You'll be out of stock within minutes!

    And HDD fail after a week, after then dealing with 100-200 PP dispute and going bankrupt. LOL.

    Thanked by 1alfred
  • BunnySpeedBunnySpeed Member, Host Rep

    While I think it's a lovely idea you want to start a VPS service, I think you need to redefine what premium means to you. Neither the DC or the hardware that you listed seems very premium, not to mention even considering RAID0. You selected budget hardware and a budget DC, yet you want to put a "premium" tag and price on it. The popular VPS brands don't offer such a low price because their hardware sucked and yours would be better, but because they get massive margins and long term discounts / self owned hardware. Unless you want to start out with a loss, this won't work out the way you imagined it.

    In my eyes, if you want to be a premium provider (first, hardware wise), you should first select a top tier DC with redundant network and at least RAID 10 SSD setup. Otherwise you are just putting a "premium" tag on your hardware that you got overpriced since you only started with a single server while in reality you are offering the same or worse service than some of the budget VPS companies already there, just with a "premium" tag.

    On the other hand, you might want to focus on having premium support with 24/7 response times etc. or even become a managed provider, but in both cases to call yourself premium I believe you need to rethink your hardware choice. And if you value your time, the cost of hardware won't even be a problem anymore and you will have other issues to worry about.

    Thanked by 1MikePT
  • Please stop at planing

    Thanked by 1webcraft
  • LowEndFantasy.

    We've all had them at some point in our education.

    Charge more. Cashflow is king.

    Thanked by 1webcraft
  • I remember posts on WHT from 2001/2002 where people were talking about "the industry being saturated" so I wouldn't necessarily let that deter you, it has never been easy to start out.

  • Guys, we are missing something very important here.

    The guy can STILL be SUCCESSFUL as long as he gets a high profile member to post an offer for him when he is ready.

  • BunnySpeedBunnySpeed Member, Host Rep

    He just needs some traffic.

    Thanked by 1deadbeef
  • @JoeMerit said:
    Guys, we are missing something very important here.

    The guy can STILL be SUCCESSFUL as long as he gets a high profile member to post an offer for him when he is ready.

    @Traffic, where the fuck are you? Wake up!

  • BharatBBharatB Member, Patron Provider

    I can feel the heat already :) summer is very bad this year.

  • makandey said: Thanks, I'll see if I can find any other dedicated servers to buy!

    So then you haven't done any math on this whatsoever.

    Here's a better return on your money, save your money for college.

  • Man like nike says dude "just do it" buy you a dedi and keep shooting for the starts bruh. Forget what these people say on here most of them started with the same dream as you and look at them now successful.

  • @zaecwxlp said:
    I remember posts on WHT from 2001/2002 where people were talking about "the industry being saturated" so I wouldn't necessarily let that deter you, it has never been easy to start out.

    Nobody was saying that about VPS in 2001/2, at least nobody trying to speak sensibly. Then VPS's really took off - they were the 2001/2 'something different' thay people here are saying the OP needs to find.

  • @makandey said:
    So I am planning to start selling VPSes very soon.

    Go for it. Have sustainable plans, don't be in a rush to get clients. Don't be scared of overselling a bit, you'll quickly learn most clients utilize 15-30 percent of their resources. Some let services idle for months.

    Have a strong service agreement and stick to it. Bounce scammers/spammers as fast as you can. I recommend having enough cash to pay for a year of service. If you're not at least breaking even after a year I'd consider another project.

  • Half of you guys aren't making sense or reading my other posts...

  • Thank you, I'll check it out.

    @NodePing said:
    For me, location and network stability are the biggest issues that make a provider 'premium'. I'm willing to pay more for solid network uptime in a location I need/want. Best of luck to you.

    Thank you! I will consider those when getting a server

    @Ole_Juul said:

    I am working on those details and trying to see what I can provide to be unique.

    Oh and here is to everyone that keeps telling me to give up, or I am doing my math improperly. I have said this in my previous posts a couple times. I am not planning to launch for months, this was a VERY basic idea. If you're just going to waste time and type don't even bother planning, well you're basically wasting your time. I am doing this because of the knowledge and experience I can take owning a handling a server. I'm not trying to be the next freakin' OVH or somewhat. I just want a small business that I can assist all the clients and have possibly something to be proud of. (No, don't quote that and use it against me lol.)

    Anyways, I will answer some of the big things I was seeing. Yes, I am planning to possibly get SSD or something. Yes, in my previous post I did talk about possibly using RAID0. Yes, I know the VPS market might be saturated. But here is the thing, with enough traffic and recognition, I can get the support I need to start up a small business.

    So please, stop with the useless comments like don't even try. I am completely okay with criticism! I am learning a lot through this thread thanks to all of you, but if you are just going to write one sentence like:

    @robohost said:
    Please stop at planing

    Don't even bother.

  • Start with selling a cheap service and work yourself up from there. VPS is a comodity market.

  • @makandey said:
    Half of you guys aren't making sense or reading my other posts...

    They're making fun of you because based on what you've communicated so far, it doesn't appear that you have thought your business model through completely or have much experience with selling VPS services.

    A lack of experience in business or online services is fine (everyone starts somewhere), but take the time to learn before you jump in.

  • People here just going to shoot you down bro.

  • @ManofServer said:
    Start with selling a cheap service and work yourself up from there. VPS is a comodity market.

    Thanks for the amazing thought! I work on it that way.

    @JustAMacUser said:
    A lack of experience in business or online services is fine (everyone starts somewhere), but take the time to learn before you jump in.

    Yeah I know. I guess I didn't explain much in my first post. And when I explain in my other posts, guess people just don't read them =/

    @Nooblette said:
    People here just going to shoot you down bro.

    As I can see =)

  • sinsin Member

    If I were to start a VPS business I would choose a decent non-budget provider first...network and location is important. I would much rather have a smaller VPS with a great network/uptime/etc then a high performance VPS with a shitty network or that is down a lot.

  • GCatGCat Member

    Summer keeps getting earlier every year

    Thanked by 2zafouhar snac
  • Offering a premium service on budget hardware... I think you might want to reconsider that.

  • edanedan Member
    edited March 2016

    The easiest way:

    • Go to managed VPS plan
    • Buy VPS from respectable provider (become their partner would be good). Expected the response is fast if there are any HW trouble. Example: DO almost zero trouble for missing the customer data.
    • You just need to manage it. Install the panel, sometimes debugging the CMS (mostly WP with simple problems, eg. plugin won't install because of missing php ioncube loader) or simple problems like HDD full because of log files and you just need to delete it.

    Compare your price with popular managed VPS provider and you should make the price cheaper than them, eg. https://www.knownhost.com/managed-ssd-vps-hosting.html

    Example: Resell OVH SSD 3, €11.99 for 8 GB RAM, 40 GB SSD, RAID 10 (enable snapshot service for your security, let say 20 USD in total). Compare the price with link above. Give it price tags $40 and you still have tons of profit, 20 USD/VPS.

    You have 8GB RAM and them 2.75GB RAM with cheaper price. What will non tech people choose with such big differences? how to make them to choose you? anyone can do this things so marketing is the key here.

    Hardest:

    • Get the client. First milestone is 100. If reached 100 x 20 USD = 2000 USD profit!
    Thanked by 1deadbeef
  • PwnerPwner Member

    C'mon guys, it's not even spring break yet. It's way too early in the season for this stuff to be happening already.

    Thanked by 1Riz
  • @makandey, you can't blame the LET crowd for their responses. We're a battle-hardened group of VPS enthusiasts that's seen way too many summer hosts start and fail. Some hosts even fail more miserably than anyone could have expected, which often drives global popcorn sales upwards.

    It's not that we simply don't want you to succeed. Many of us, myself included, started our VPS-hoarding careers by buying services from one-man hosting operations. Some of these operations are still operational even today, although not as active within the LET space as they were before.

    LET has just seen so much deadpooling that we don't want you to waste time on a project that has a high risk of failing. Especially when at this moment, from what little we know of you, we're unsure whether you've thought everything through or have sufficient experience with VPS hosting.

    If you really want to start a VPS biz then maybe consider (at least for the beginning) following @edan's advice of reselling services from a respectable provider. Learn through this and then proceed to make a larger investment when you find yourself really enjoying it etc.

  • nepsneps Member

    You could also find a niche market, or a market, a particular industry or field where you have a lot of contacts, and try to specialize there. Approach potential clients in your location/field. You have a huge advantage in your home court. You can answer all their questions face-to-face, charge a lot more than other managed hosts, and better yet, you can reach people who wouldn't even be looking for managed hosting in the first place.

  • aglodekaglodek Member
    edited March 2016

    Good idea to start with this post here on LET. Will get you lots of food for thought that will help with the math and deciding whether you want to go for it or not ;) Here's my three cents' worth that should give you a fighting chance… excuse my shorthand…

    • first and foremost: decide whether this is:

    a) fun / hobby / education / experience related project, or

    b) a serious business undertaking…

    and if it's (a), just go for it, have fun and don't bother reading on……

    • think and plan much bigger (than what you have voiced in your posts here)…

    • location, location, location!

    • own ASM and /22 to start with…

    • forget renting a dedi! Think own hardware and colocation…

    • invent a brand, get a matching .COM and trademark it in target markets…

    • register a company (HK is a good offshore option, no matter your home and target markets) and set up all basic tools, i.e. co bank account, merchant account, PayPal etc…

    • identify not one, but a few under-exploited niches within the VPS hosting industry (there are quite a few of them ;)

    • do all the math and write a business plan, including great CV's of the management team (even if it's only you to begin with)

    • find investors to assist with start-up costs and ensure sufficient cashlow

    • investigate local government SME support programs… yet another good reason to start up in HK, but you might find great programs in your own country / state or province / city…

    Err… did I say three cents' worth? Ooops! Sorry, got a little carried away ;)

  • Awmusic12635Awmusic12635 Member, Host Rep

    BeardyUnixGuy said: If you really want to start a VPS biz then maybe consider (at least for the beginning) following @edan's advice of reselling services from a respectable provider. Learn through this and then proceed to make a larger investment when you find yourself really enjoying it etc.

    This is very good advice. That is actually exactly what I did about 5-6 years ago.

    Thanked by 2kkrajk edan
  • RockIslanderRockIslander Member
    edited March 2016

    I think this kid was around last summer as @BOXCWebsites ...

  • @Boltersdriveer said:
    Offering a premium service on budget hardware... I think you might want to reconsider that.

    Yeah, good point. Should probably look into better hardware.

    @Pwner said:
    C'mon guys, it's not even spring break yet. It's way too early in the season for this stuff to be happening already.

    Thanks for the helpful comment! /s

    @BeardyUnixGuy said:
    makandey, you can't blame the LET crowd for their responses. We're a battle-hardened group of VPS enthusiasts that's seen way too many summer hosts start and fail. Some hosts even fail more miserably than anyone could have expected, which often drives global popcorn sales upwards.

    It's not that we simply don't want you to succeed. Many of us, myself included, started our VPS-hoarding careers by buying services from one-man hosting operations. Some of these operations are still operational even today, although not as active within the LET space as they were before.

    LET has just seen so much deadpooling that we don't want you to waste time on a project that has a high risk of failing. Especially when at this moment, from what little we know of you, we're unsure whether you've thought everything through or have sufficient experience with VPS hosting.

    If you really want to start a VPS biz then maybe consider (at least for the beginning) following edan's advice of reselling services from a respectable provider. Learn through this and then proceed to make a larger investment when you find yourself really enjoying it etc.

    Now this is a reply I like. Thanks so much for the advice! I'll definitely keep this in mind!

    @neps said:
    You could also find a niche market, or a market, a particular industry or field where you have a lot of contacts, and try to specialize there. Approach potential clients in your location/field. You have a huge advantage in your home court. You can answer all their questions face-to-face, charge a lot more than other managed hosts, and better yet, you can reach people who wouldn't even be looking for managed hosting in the first place.

    Very true, I was looking into building my own version of WHMCS. Maybe something like Linode. Of course making a cloud VPS software isn't too hard for me if I had enough time and documentation, (since my knowledge of HTML, JS, PHP is great, well at least I think) but the thought of the amount of servers I would need is probably to much for a small starter like me.

    @Awmusic12635 said:
    This is very good advice. That is actually exactly what I did about 5-6 years ago.

    Great to see it worked for you! (I own a couple VPSes and hosting from you, honestly the best service yet!)

    @RockIslander said:
    I think this kid was around last summer as BOXCWebsites ...

    lol k.

    Thanked by 1Awmusic12635
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