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Starting a local web solutions company and I've got some questions.

Discussion in 'General Business' started by Phooey, Jan 26, 2011.

  1. #1
    I'm working on starting a local company out of my home that would offer web design, hosting, online marketing, and social media marketing. Essentially a fully comprehensive online package for small businesses.

    I've already worked out a business plan and know what tools I'll be using and what strategies I'll be employing, but I'm not sure where to start with everything. If anyone has any suggestions or tips or has done something similar, I'd love to get your input.
    • Should form an LLC right off the bat or can this just be done DBA until the business is larger?
    • What are average going rates for a new website for a small business built upon a CMS such as WordPress or Joomla, including content creation, graphic design, and template design and/or alteration?
    • For a very small business with less than 10 clients, will I need an accountant or is something like TurboTax Home & Business sufficient until it gets larger?
    Thanks in advance for any advice that any of you other small home business owners out there have.
     
    Phooey, Jan 26, 2011 IP
  2. casonova

    casonova Active Member

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    #2
    Hello,

    Great move, just concentrate on clients, and team up offshore for the development work to be done. You can make a fortune out of it. The marketing and solution skill is that you have to focuss on. work a one man company or home business.
     
    casonova, Jan 27, 2011 IP
  3. ApocalypseXL

    ApocalypseXL Notable Member

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    #3
    If you've already put in the papers for the company you'll need to use an accountant to do the books every 6 months . If you and your team are still freelancers then keep it this way until you have some capital (30 - 50 k) available . If you're gonna go into hosting make dam sure you have 5 ppl(yourself excluded) doing 24/7 support otherwise you can get into some nasty situations .

    Depending on how you market things you can go whit something like 100 USD per page for a small business . You need to negotiate directly (face 2 face or via video conference)and show absolute professionalism . The bigger the client the more they can pay and the more excellence you must show . Other then that it's the usual stuff .

    Best of luck to you . Oh , if guys are into PHP shoot me up whit a PM . I might have a job for you .
     
    ApocalypseXL, Jan 27, 2011 IP
  4. AstarothSolutions

    AstarothSolutions Peon

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    #4
    How can you have a business plan without a pricing model?

    Pricing varies massively. In the UK you have companies charging $150 for a site up to $7500 for the same thing (excluding significant agencies) and including full agencies then you can easily exceed $1,500,000 just for a brochureware corporate site.

    Depending on your approach:

    Bottom up, you work out what your overheads are, acquisition costs, desired salary to give an annual running cost. Work out what percentage of the year you will want to/ realistically will be able to be working on paying clients (remembering to deduct off holiday, weekends, sickness, time finding clients, sales time, warranty fixes etc etc) and then calculate your daily/ hourly rate. For each project calculate the time it will take you in effort days (not lapsed time) and times it by your rate.

    Top down, see what your competitors are charging. Base your pricing on that. Based on how much time you can realistically be working on paying clients (as per above) this will allow you to backwardly calculate how much you have to spend on costs such as your pay, acquisition costs, overheads etc.



    The company stuff I cannot comment on as not in the USA
     
    AstarothSolutions, Jan 27, 2011 IP
  5. Phooey

    Phooey Active Member

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    #5
    Thanks for the tips. I will be providing hosting, but only for customers whose website I design and will be doing so via a fully-managed VPS (and eventually dedicated rented server once the need arises). As far as a "team of freelancers", it will all be managed by me with no other employees until the company is large enough to justify that cost.


    I do have a pricing structure already laid out based on prior research, but I figured it doesn't hurt to get more input.


    That's great advice and I hadn't thought of some of it yet. Thanks!
     
    Phooey, Jan 27, 2011 IP