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Old 05-09-2005, 11:45 AM   #4 (permalink)
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The cost to setup an low-end BES/Exchange Hosting provider...

Facility & Security... $600 per month.
Electricity... $200 per month.
Gas... $30 per month.
Descent Internet Connection... $300 per month.

3 Tech Support people ($10 per hour)... $7200 per month.
1 Admin ($20 per hour)... $3200 per month.

3 Servers, can be used... $1000 each.
3 Copies of Windows Server 2003... $900 each.
1 Copy of ISA Server... $800.
1 Copy of Exchange Server... $1200.
1 Copy BES, 100 User... $4000.
1 Big UPS... $1500.

So what have we got now... almost $13,000 in initial costs. a little over $11,500 in monthly costs...

Once you factor in that $7 a month goes to Microsoft for Exchange account fees... you can then figure out how much money you need to get from your customers to break even...

If you want to pay off the hardware and software in 3 years, you need to make $4200 over and above your monthly costs... this means you monthly revenue has to be about $20,000.

Being that you only have 100 BES licenses, that means you need $200 for each of those 100 licenses each month.

If you buy 500 more licenses, you might get a deal... $5000 for the licenses... You can have 600 users, you're monthly revenue now needs to be $22,000. Now you only need to collect $37 per month from each user.

These monthly fees are all sort of approximate as I just made well educated guess's at the numbers, they are all close...

I suppose the moral to this now is... BES is not cheap to setup and run, from a provider standpoint. You need a lot of hardware, and a lot of software to set something up.


Last edited by corey@12mile : 05-10-2005 at 07:57 AM. Reason: Try to make nicer and more informative.