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Servers & Systems Business Investment Opportunity in Dehradun, India

Cloud hosting server solution provider with 75+ active clients, providing online services globally.
This Business is on a Premium Plan
Established 5-10 year(s)
Employees 2 - 5
Legal Entity Sole Proprietorship/Sole Trader
Reported Sales USD 36 thousand
Run Rate Sales USD 36 thousand
EBITDA Margin 27 %
Industries Servers & Systems + 1 more
Locations  Dehradun
Local Time 8:42 AM Asia / Kolkata
Listed By Business Owner / Director
Status Active
Overall Rating
Partial Stake Sale
USD 36 thousand for 15.0% stake (Native Currency: INR 3,000,000)
Reason: We are seeking investment for acquiring new customers for the business, increasing the growth by 3X.... View More
Includes physical assets worth USD 500
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Business Overview

- Cloud hosting solution provider established five years ago.

- Source cloud servers from 3 providers and sell the same at a premium globally, complete business is managed online.

- Have 75+ customers with multiple virtual private servers and 3 customers for dedicated servers.

- We are providing dedicated servers at 3 locations which are Germany, the USA, France, and VPS in 6 different locations which include Germany, the UK, the USA, Australia, Japan, and Singapore. We plan to start providing dedicated servers at 4 more country locations.

- Have a partner status with the NxtGen data center in India.

- Our customers include government entities like the Haryana Pond Department, corporates like San Solution India Pvt. Ltd. , Competent Software, corporates & individuals from India and abroad.

- Charge the customers through subscription plans. Our 1-month plan ranges from INR 999 to INR 50,000 per month.

- Our unique marketing strategy of providing our services at INR 300 or $5 for a trial period, is giving us a conversion of over 60%.

- The complete website & software has been developed in-house.

- Initially, in the years, 95% of client acquisition came through online paid advertisement, and in later years, 50% of client acquisition is attained through paid advertisement and the rest from organic traffic. In recent years, We are not doing any paid advertisements and the company is acquiring all 100% of its customers through organic sales.

- We have 120 brand name searches on Google every month.

- We have repeat customers coming to us frequently who dropped the subscription once their project is done or for any other reason.

- Our churn rate is approx. 10-15.

- Anticipated growth should be between 100 to 150% for next year maintaining 15-17% growth in organic traffic each month. This is currently what we are receiving now.

- Revenue growth can be expected from 100 to 150% as organic growth is there and Marketing activities which we will start soon.

- Objective of the company is to keep expenses to a minimum and increase profitability.

- Vision: Is to make a large platform for selling cloud products and cross-product selling.

- Step-by-step vision:

• Step 1 - selling cloud products as resellers.

• Step 2 - going for a virtual data center product and customizing smaller virtual servers.

• Step 3 - collocation services with large data centers.

• Step 4 - building an own data center (after feasibility study)

- Our USP is support (Whatsapp) and helping customers in small service areas without extra payment, this is rare in this industry.

- Promoters have 15+ years of experience in the field of information technology, and an MBA in Information Technology and Finance from Amity University.

Products & Services Overview

VPS and dedicated cloud servers for hosting applications, running websites, and storing data.

Assets Overview

Tangible assets include computers.

Intangible assets include the source code of the application, clients, and trial users list.

Facilities Overview

We have a 320 sq ft office space which is owned by the promoter, no internet, electricity, backup cost needs to be incurred separately.

Capitalization Overview

- Bootstrapped business with the promoter being the sole owner with a 95% share and 5% ESOPs.

- There are no debts or liabilities in the name of the business.

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Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
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