First Prime, I’m super late with this.
These are the February financial balance sheet numbers and lessons learned for my website hosting business… But first, I’d like to apologize in advance for the stuffy writing style.
So I had this thing whipped out the first or second week of March. Then I decided to make the YostSEO plugin happy with my formatting and grammar. When I was finished making Yost super happy, I realized it doesn’t read like me at all anymore.
It needs to be scrapped and rewritten in my own voice again, which is allot of work, >> that I’ve already done once <<<. So I procrastinated. Then COVID happened.
Today I decided to publish it in all it’s over-polished glory. If I was gunna rewrite this I’d a dun it by now. This will probably be the only NPS post Yost will ever be proud of. Other than this paragraph. I had to screw up the second sentence to feel like I have some control over my own blog.
Also, nothing changed in March at all, and I dropped one client in April. I’m spending time at home with my family during the pandemic, so growing this fledgling business is not a priority at the moment. I hope you have the chance to do the same with your friends and family, either in person or otherwise.
Original First Paragraph, The Numbers:
These are the February financial balance sheet numbers and lessons learned for my website hosting business.
I want to start with the numbers, so you can scan this and go if your in a hurry. Here is the (rounded) itemized cash flow for hostwithjohn.com in February, 2020. The previous month’s post is here: nuclearpogostick.com/january-balance-sheet/
|Digital Ocean (DO) and Name Hero (NH)||-$70|
|Monthly RR (ie Web/Email Hosting + Domain Reg)||+$35|
This is the second live month, and I’ve added two new web hosting clients! So we have three total clients on a $9.99/month web hosting plan, plus $5 from a domain transfer. As a result, I am closer to covering my costs than last month, loosing $35 this round. In contrast, I lost $60 for the month of January, 2020. I want to sign up a few more clients in March to break even!
While recurring revenue went up, my expenses are still $25 for DO and $45 for NH.
Next, The Details:
Since the Name Hero account includes an $18 subscription for a WHMCS starter license, which I would have purchased anyway, it’s real cost is closer to $25. That puts it in the ballpark of my DO bill. Moreover, the NH server is “Managed”, and doesn’t require any maintenance on my part. The service comes with other advantages as well. Such as WebOS, Lighttpd, and CloudFlare caching to name a few.
However, they do not allow me shell access. Certainly there are situations that require fine tuning of the Web Server software and OS. More importantly, it’s just not my style. Above all I’m a hands in the dirt guy, and always will be. In short, I love working under the hood!
Don’t ignore who you are! Find a way to include whats important to YOU without distracting from the target.
For that reason, I turned to Digital Ocean (I get a billing credit at DO if you sign up through this link). Their servers were my answer to this lack of access. I built them from the ground up to give me more control where needed. They run on Ubuntu 18.04 and Nginx.
I plan to place clients on Name Hero if their needs are better met with the faster web server and content delivery network. Otherwise, my Digital Ocean servers will be my default host.
Later on, I plan to build a physical server with a business internet connection in my office. I already have one at home for development, and may just re-purpose that system. When I do, the monthly cost will include that internet connection. If I use hardware I already own for the server, I will estimate the current hardware cost to provide a fair impression of self hosting expenses.
I also have a GoDaddy Pro Reseller account, which does generate revenue. It has been slowly building for a decade. This is about building a new hosting business, and that cash flow is already established. So I am not going to include that in these posts. I will write about my experience with the GoDaddy Pro Reseller platform in detail at a later time.