[Open Letter] Honesty is key.

Hello,

I will be honest with our customers and admit that we are in huge poverty and we currently have 259 servers.  We can not pay all 259 servers in time, resulting in some servers to be down.  If you see downtime it is because the server is suspended by our server providers (netdirekt/ecatel/ovh) for nonpayment.  We are sorry but we are also trying our UTMOST best to clear the debts.

I just want to be honest and hope you will understand.  I hope you will give santrex another chance, because we will improve in about 2 years once our debts are all clear, we have about 80 invoices at OVH due now.

Bear with us.

Thank you.
Santrex Executive Board

 

Sorry to hear that.

So,what have you been done to resolve the debt issue?

 

Contact me if we can help out, we are interested to invest capital and/or directly purchase your company.

 

yes i may be able to buy one or some of your servers, contact me with details

 

Hello,

Yes, all 259 servers are being used by customers.  We are trying all we can do to make the bills, as we said, honest is key. We have 15,000 customers right now but we still are unable to make most of the bills.  A lot of the issues stemmed when OVH wouldn't deliver new servers to us so we had a lot of chargebacks amounting in tens of thousands of dollars a month.  Some customers recently know they waited 2 months to get their dedicated server, that is because our server provider like OVH NETDIRECT refused to give new servers until all invoices were PAID. We are steadily improving our network and company and it should be good in 2 years.  We have investors who are willing to help by a couple bucks.

Thank you.
Santrex Executive Board

 

Good luck, so you're only seeing a better prediction for Santrex in 2 years? Can't you sell parts of your company over to other bigger companies? Might be interesting for others and help you out

 

IMO, selling shares ( let me know if you decide to do so ) would be the fastest way out of this .. Regardless of the outcome - you are on the right track

 

No bad things to Santrex, but I don't know who is going to invest in a company who is so trying to get out of the problems while they might just be getting themselves in more trouble. Better just hire cheap support talkers for 1 week and work out a full plan of what you're going to do to get everything back on track.

Like I said, selling clients to other major companies might be better money for you than losing the customer where both parties won't be happy

Just on a side-note

 

How 15 000 customer cannot be profitable ? 15 000/259 servers around 57 client allocated per server? how can you owe so much money where did you put your revenue on? does every customer have 1$ package? it's unbelievable for me.

 

Is this yet another hosting company that got tied up into "unlimited bandwidth" promises and couldn't back it up? If not, sorry, just an assumption. I run a side hosting business but haven't marketed it in forever. I still make money on the thing. I don't see why anyone really needs to go in a huge debt to start up a web hosting business. That is a business you can expand as necessary and is super profitable. The hardest part is finding customers in the cramped market. My guess is thaty ou bought servers you didn't need and it has caught up with you.

 

If you have plan of investment for small revenue percent let us know

 

Hello,

It is not that easy. Some servers like dedicated server can only have one customer! That makes up around 3/4s of our server base. Now do the math.

Anyone thinking we have "unused" servers, Santrex does not.  All servers are being used and oversold by at least 50%.

We have made great strides by delaying payments to our staff, and recently we have quit hiring from US/UK/CA and started hiring in countries with lower living costs such as Poland and India to help with this financial issue.

Thank you.
Santrex Executive Board

 

Dedicated server customer pay probably more that the retail price so it should not an issue? anyway good luck with that, contact me if you need some major investment i'll be glad to incorporate santrex to UnderHost Networks or do some arrangement with you!

 

Hello,

That is because we get lots of fraud orders and chargebacks.  We have lost over $50,000 in chargebacks already.

We believe it is a good idea to start overselling all of our servers by another 30% which will raise our profit margins.

Thank you.
Santrex Executive Board

 

Overselling is actually never a good thing, but it seems to be the only option for you guys. Many other companies don't suffer from these dedicated server chargebacks, just because they don't allow chargebacks for those products. Maybe you should look to them and see how you can improve that in the future? Since if it's possible, it's going to happen again

 

http://www.webhostingtalk.com/showpost.php?p=6844400&postcount=22

Well not sure what is truth now

 

Hi,

Please contact admin@santrex.net for approval that this post is fake, and this is no longer a nick handle operated by Santrex Internet Services.

We DO NOT own SantrexSales at twitter, and we certainly DO NOT own masrawyz nick handle on digital point.

Regards,

 

a fake reseller?

 

Since you sound to be one of the team, can you approve this to be fake by uploading a file called fakedp.txt ( should be in the root directory of santrex.net ) with an exact copy of your reply ?

 

Hello,

I am not sure who is trying to back us up with telling a lie: "SantrexServices" is not an official person that is allowed to represent Santrex Internet Services.

We owe lots of debt in the following server provider at the moment:
FDCServers (24 invoices)
OVH (81 invoices)
Netdirect (55 invoices)
Server LU (11 invoices)
Ecatel (30 invoices)

We have over 50 servers in the above locations, they are a high demand and locations like Canada (NetRACK Servers) we do not have debt because we only have 3 servers with them.

I don't know why you want to tell the opposite of the Truth "SantrexServices" but you are not allowed to represent Santrex Internet Services. I am from the executive board and all I am trying to do is to state the truth and allow customers to know why their service is down, why there is slow delivery times. When customers are updated they feel more confident. As I said honest is key, and we are going that path.

Thank you.
Santrex Executive Board