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What would a small established hosting co. sell for?

Discussion in 'General Discussion' started by Metro2, May 24, 2006.

  1. Metro2

    Metro2 Well-Known Member

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    I'm curious to know what you think a small hosting service would sell for with the following stats:

    Server - 1 dedicated, RHEL 3, dual xeon 2.8ghz, 2gb ram, cpanel/whm, dual 120gb ide drives (2nd drive is cp backup from main drive), 2500gb monthly bandwidth allotment, 100mb uplink, located at the planet.

    Monthly cost - $225
    Monthly income after expenses - $700
    Customer accounts - 150
    Current disk space used - 45% per drive
    Average monthly bandwidth usage over past 3 months - 160gb / month
    Time in business - over 6 years

    The customers would definitely want to stay on the box as most of them would face a big task to try to move their sites, and they're very happy with the server/service. Over 90 of those customers have been with the company for well over a year, most of them several years, so they're sure to be around a long time.

    Is this something that a somewhat larger company might be interested in picking up, and what do you think is a fair asking price?

    Thanks,
    Met
     
  2. PWSowner

    PWSowner Well-Known Member

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    Most sales I've seen go for the equivalant of about 1 year of income. Makes yours worth about $8400. I've seen higher and lower, but it almost always goes between 6 and 18 months.
     
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