http://www.turnkeyresellers.com

[Cyber]

http://www.turnkeyresellers.com

they're offering 15GB reseller with $120 per year.

However, I've never heard of it, I can't even find any 'About' page in their website..

[michaelfoo]

Hi,
Looks like they are getting their server from ServerMatrix:
Super Server 3.0
3.0GHz P4, 800MHz FSB
80GB Drive
1024MB RAM
1200GB Bandwidth
100 Mbps Ethernet Port
Red Hat, FreeBSD, Windows
$139 Monthly / $149 Setup
$149 Monthly / $99 Setup
$159 Monthly / $49 Setup
$169 Monthly / $0 Setup


It is clear that they are doing overselling. The server has only 80GB HDD. If they do not do overselling, that means they are hosting 5 such accounts on the server. 5 x 15GB = 75GB. Their income would be 5 x $12.95 = $64.75/month

Assuming they paid the most setup fee to ServerMatrix, they will be paying $139/month to ServerMatrix. To be logic, they won't do business at loss: $139 / $12.95 = 10.73 accounts ~ 11 accounts.

11 accounts must be hosted in order not to lose money. That would be 11 x 15GB = 165GB occupied by their clients. 80GB - 165GB = -85GB. Where did the -85GB come out from? They are doing overselling.

Bear in mind, the above calculation is counted by assuming they don't earn a single cent. If they want to earn more, they will host more clients on that server and the server would be crowded.

Instead of being greedy and sign up for their 15GB plan, I suggest you to pay $12.xx to other hosts that can get you 1GB space. That is more logic and you get what you paid for.

FYI, they put an Alertra icon there, but it is not linked. Guess they either do not have good uptime or they simply can't bear the cost for Alertra, so they have taken it down.

Anyways, the decision is with you. If you decided to try them, do give us feedback later

Thank you.

[Filuren]

Check their "Quantitiy available": 9 + 2 + 2 x 15gb = 195gb in a 80gb hard disk. That's a 240% lie unless they have more harddisk. Even if it's 160gb HD, it ain't enough.

MF's right CY. Price & offer versus their Cost, they don't earn if they don't oversell it. Overselling will means it's not exactly 15gb you will get but less and sharing it on priority 'who needs it first' basis.

[Cyber]

I've some Q&A with the owner Robert Saylor. Let's share some of his answer:

- the hard disk is 250 GB
- when it get's 80% full I add another drive
- when the server load gets too hight I transfer the larger sites to a faster server
- for example, I use P4's now, next week or so I will be using Dual Xeon 2.8
- yes, I don't mind telling you my secret. The monthly plans tipically sell out in about 2 - 3 weeks and those pay for the cost and upkeep of the server. the 3 month plans and yearly plans is where my profit comes from
- I start the cycle over 1 - 2 times a month.

my q: that means u're getting a new server 1-2 times a month??
- yes, that is correct

- hard drive space is not an issue, hard drives are very cheap. I might offer Windows next year but for now it is linux
- once this server sells out I will then be offering another server in about 1 week after sales closes.
- I have a 5 day money back guarentee so if you are not satisfied you can request a full refund
- I've been doing this plan for 4 months now and it works
- actually, this server is not at Servermatrix
- we are using tailered made servers currently
- at The Planet
- yipes bandwidth
- The site is undergoing a complete re-do and the alertra stats will be in the new design. Just waiting for the grphics team to finish the site up
- yes, I am registered as Turnkey Hosting and Design
- my registration can be located at the register of deads in Raleigh, NC
- 30 year old

Btw, I have not try it yet... okay lah, just give/share your comment/experience..

[michaelfoo]

Hi Cyber,
Let's have a look at The Planet's servers:
http://www.theplanet.com

Let's assume that:
1. They get a P4 3.0Ghz server from The Planet with 250GB HDD. They will be on this plan:
http://www.theplanet.com/control/ent/e300r_details.html

By default, it comes with 2GB DDR RAM. Why do they put 1GB DDR RAM on their page instead? Don't you think they will attract more clients if they put 2GB DDR RAM?

Another point is, the server would be US$299/mth (exclusive of cPanel & Fantastico). How many accounts must they host in order to cover the expenses? $299 / $12.95 = 23.08 ~ 24 accounts.

Again, 24 accounts would be:
24 x 15GB = 360GB
250GB - 360GB = -110GB

Where does the 110GB come from? Overselling again. Don't forget, that is the minimum account required to be on the server in order to maintain its expense.

Furthermore, for your information, secondary HDD can only be mounted as a backup drive. I can't recall any method to host clients' sites on both the HDD. Only the primary HDD is able to do so.

2. Our second assumption. They are on The Planet's Dual Xeon servers. Dual Xeons sound promising than P4. If they have so many servers, don't you think they will just put the best server spec on their site to attract their clients?

Some of my opinions:
- when the server load gets too hight I transfer the larger sites to a faster server
A: Sounds easy. What about the clients' DNS settings? Don't they have to waste 72 hours for the new DNS to propagate? Not to forget those larger sites are usually dynamic sites. It is a big hassle to transfer dynamic sites over and wait for the DNS to propagate.

- for example, I use P4's now, next week or so I will be using Dual Xeon 2.8
A: Why don't we see if the Dual Xeon 2.8Ghz will ready next week? No harm waiting, right?

- yes, I don't mind telling you my secret. The monthly plans tipically sell out in about 2 - 3 weeks and those pay for the cost and upkeep of the server. the 3 month plans and yearly plans is where my profit comes from
A: Is this a secret? Unless you are charging quarterly payments or yearly payments and you run your server for a few months then close it down, then you could earn a fortune. Logic maths tell me that they can earn more by selling monthly payment plans. Monthly payment plans are generally more expensive than quarterly/annually payment plans and thus, it generates more income. Not to forget, The Planet / Servermatrix does not have annual payment scheme. Whether you charge your client monthly/quarterly/yearly, they still charge you the same price every month. Since you charge your client less on quarterly/yearly payment, that means you are making less profit? FYI, no offense made to the owner, Mr.Saylor, but did he count clearly whether he could bear the server expenses if all his clients pay annually?

- hard drive space is not an issue, hard drives are very cheap. I might offer Windows next year but for now it is linux
A: Hard drives are not expensive if you buy it. But if you lease it from The Planet/Servermatrix, the story will be different.

- yes, I am registered as Turnkey Hosting and Design
- my registration can be located at the register of deads in Raleigh, NC
A: What did he mean by the registration can be located at the register of deads in Releigh!?

By the way, a quote from his post in WHT

This may easily change oneday when I get to the point where I can hire staff members to be around all the time but for now it is mainly just me.
Ref: http://www.webhostingtalk.com/showth...rnkeyresellers

I salute his honesty. But don't you think running a few servers by one man show is really tiring!? How can he manage to provide customer service yet at the same time manage all his servers? Again, I salute him

Here are some feedbacks on him in WHT:
http://www.webhostingtalk.com/search...der=descending

Anyways, I'm glad that there isn't any bad remark on him.

If you decided to subscribe to his services, don't forget to update us again!

Thanks.

[Filuren]

Many positive comment about this guy, Robert but I still sense overselling. Would he really setup a new server that will cost him so much because of 1 customers? Maybe he will...

That means for now, he will use his 250gb hard disk until it's finished. I don't think his resellers customers uses as much as 150gb in a short time. My 80gb desktop PC ain't even finished yet!

[Cyber]

we are using tailered made servers currently

I think he is using tailored made server? (means customization?) that's why his server only has 1G ram I think..

He said he is going to hire a part time tech soon. I think he started webhosting in 2002..

haha michael... keep asking me to try him... u go and try him ler... he got 5 days full money back... u so expert.. go 'try' anything within the 5 days jk

anyway, let's see his coming Xeon... not so soon I think, he told me he needs to take a breath too, lol

[michaelfoo]

I think he is using tailored made server? (means customization?) that's why his server only has 1G ram I think..

He said he is going to hire a part time tech soon. I think he started webhosting in 2002..

haha michael... keep asking me to try him... u go and try him ler... he got 5 days full money back... u so expert.. go 'try' anything within the 5 days jk

anyway, let's see his coming Xeon... not so soon I think, he told me he needs to take a breath too, lol

Sorry, didn't notice the word tailored as it was a typo that seems unfamilar to me

Anyways, I thought you are looking for a reseller account? Why not just try it?

[Cyber]

okay, perhaps I will give them a try, if one day they really cap lap then michael u have to offer me with that price to continue my hosting for my customers... haha..

thanks in advance

[michaelfoo]

okay, perhaps I will give them a try, if one day they really cap lap then michael u have to offer me with that price to continue my hosting for my customers... haha..

Wow... wait a second! We don't do overselling and we really can't over that price.

[Filuren]

I'm still calculating their cost... do they really make profit asuming they're not overselling:

Btw, https://www.servermatrix.com/solutions/ss30_server.html doesn't have 250gb hard disk. Maximum is 200gb with $30 mthly

So 200gb / 15gb = 13 accounts allowed. He'd probably making $104 gross profit if he's paying $129mthly. But how about IPs? Do they give IP to their resellers? Not to mention CPanel Fantastico license fee. He's certainly overselling it.

I don't see how he's making profit YET. I'll keep calculating