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Hosting Company for Sale Innhosts.com

58 clients already signed up annually 100 each

http://www.innhosts.com/

screenshot

Auction

Congratulations to the winner!

Winning Bid:
$13,000
Bid History:
5 Bids (0 Pending)
Listed:
Thu, 15 May 2008 22:58:09 GMT

Accepted Payment Methods: Credit Card

Description

We have created some nice passive income for someone. It is a hosting site that is taken care of by third party support.

The value is in the loyal clients current paying $100+ per year. This revenue is not driven from traffic, but the current client lists.

$5500-$6000

To help you evaluate the worth of this income -http://residualist.com/2007/03/23/criteria-for-valuing-a-passive-income-opportunity/

Please feel free to pm us any questions you may have.

We would ask that you refrain from letting us know how much you think it is worth.

We obviously have an opinion it is worth a certain amount and have receive an offer of $11,500 and it was declined.We are in no rush to give away the site for less than 3x the current annual revenue taking into account a slight churn rate loss.

 

Please save the thread for questions.

 

 

Revenue Details

All revenue is collected passively through the third party technical support and can be sent directly to your Paypal or via wire transfer.

Traffic Details

This is not traffic driven revenue, but 58 loyal customers who use the hosting. Very low churn loss rate.

Attachments 2 public (0 verified)

Questions 18 public, 7 deleted

  1. Avatar for InstantNoodles
    Posted by:
    InstantNoodles (+5)
    Date:
    Thu, 15 May 2008 23:51:05 GMT

    What are your costs?

  2. Avatar for stefanlyl
    Posted by:
    stefanlyl (+3)
    Date:
    Fri, 16 May 2008 14:03:55 GMT

    who is the thrid party??!?!?!?!

  3. Avatar for Avala74
    Posted by:
    Avala74 (+3)
    Date:
    Fri, 16 May 2008 17:28:22 GMT

    InstantNoodles -
    What are the costs?

    There are no out of pocket costs. The third party support takes a commission before they pay you your monthly fees.

    stefalyl-
    The company is called ProperSupport and they take care of all the admin/technical support. We just signed up all of the clients
    and receive our monthly commissions. The value is in the passive revenue.

  4. Avatar for misel
    Posted by:
    misel (+6)
    Date:
    Fri, 16 May 2008 22:34:33 GMT

    Hi, interesting site.

    How did you get the paying customers you have now?
    And how would you recommend the new owner to get more paying customers?

  5. Avatar for oltafbiz2001
    Posted by:
    oltafbiz2001 (+1)
    Date:
    Sat, 17 May 2008 00:58:10 GMT

    I really like your site. Before I bid can you please pm me some screenshots of the backend including payments for past few months.

  6. Avatar for Avala74
    Posted by:
    Avala74 (+3)
    Date:
    Sat, 17 May 2008 20:59:47 GMT

    As previously stated the value is in the 58 clients that have already signed on with us. We use a third party hosting company, their servers and they provide all technical support. If you wanted to become your own reseller you could use their system too at resellerspanel.com

    They are an affiliate program that we have tried and tested. We are very happy with them. Again, the value is the passive income derived by the clients that have signed up with us already at innhosts.com.

    Please do not comment on this thread unless you are interested in bidding on our auction or have a legitimate question about what we are offering.
    Please see our attached screenshots showing upcoming income and past income.

  7. Avatar for lbeachmike
    Posted by:
    lbeachmike (+2)
    Date:
    Tue, 20 May 2008 03:41:04 GMT

    I don't see that the question about costs has yet been properly answered. None of us can evaluate the value of the business unless we have more detail. If it is commission-based, then you still have costs. Income = Revenue - Expense.

    Please let us know what the actual commission rate is - either that you are receiving, or that you are paying. Or what the monthly income is. We need more details to work off of.

  8. Avatar for Avala74
    Posted by:
    Avala74 (+3)
    Date:
    Tue, 20 May 2008 04:41:00 GMT

    Happy to oblige lbeachmike -

    When I say there are no expenses, there are no out of pocket expenses to the third party hosting reseller (resellerspanel.com.

    We have one package set up for 157.80 USD annually. It is broken down $12.78 monthly, but is paid in one lump sum by clients each year.
    They charge us approximately $52 each month, which leaves 102.80 profit from each client each month. We include a free domain name as a loss
    leader. Most clients are very low maintenance, but if there are any issues there is terrific support through resellerspanel.com in terms of support tickets (longest response has been 2 hours) and they have telephone support.

    We have mentioned this several times in this thread and via pms, the value is in the loyal customers we have accumulated over the past 3+ years, not the hosting interface.They provide an excellent service, but anyone can set up a free account with them. It is collecting the right clients that have taken us so much time and effort.

    Keep the questions coming.

  9. Avatar for drfuzzy
    Posted by:
    drfuzzy (+5)
    Date:
    Mon, 02 Jun 2008 07:51:42 GMT

    1) What would happen to this investment if Resellerpanel went out of business?

    2) Are your clients automatically rebilled via credit card or paypal auto renewal? Or do they have to manually read a renewal notice and elect to take action on it when their hosting period is up?

  10. Avatar for Avala74
    Posted by:
    Avala74 (+3)
    Date:
    Mon, 02 Jun 2008 18:14:52 GMT

    Hello drfuzzy,

    To answer your questions -
    1) What would happen to this investment if Resellerpanel went out of business?
    I did a ton of research before signing my clients up with Resellerpanel. They are very reputable and have been in business for more than 10 years and are doing quite well. Their services are debt free and additionally they are privately owned.

    2) Are your clients automatically rebilled via credit card or paypal auto renewal? Or do they have to manually read a renewal notice and elect to take action on it when their hosting period is up?
    No they get automatic renewal notices 45 days prior to expiration, 30 days, 15 days, etc. They have to renew with their credit card or Paypal otherwise their site goes down.

    Thanks

  11. Avatar for Avala74
    Posted by:
    Avala74 (+3)
    Date:
    Tue, 03 Jun 2008 22:22:13 GMT

    Couple pms asking if I would stay on the help during transition. Tere is really nothing for new Owner to do, but collect the payments via Paypal or wore transfer. As soon as I receive payment I will change Owner credential, Paypal address and give you all login information so you can change pw etc to whatever you want.

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