Best of the ISP-Lists

Startup Concerns

Anyone starting an ISP has a million questions. Not many of the answers can be found in books, but many can be found on the ISP-Lists.

[September 22, 1999]

In September 1999, WC posed a passel of newbie question on ISP-Tech. Here are a few of them:

"I am in the early stages of starting up a new ISP. In all of the information I have gathered so far, I have yet to gain a clear picture of the organization of an ISP business. I know that larger ISPs have multiple departments in various locations. However, I assume most startups begin with the all-in-one approach.

"Can you please help me gain a better understanding of the layout and organization of an ISP? What are the basic requirements of office space? Please provide a breakdown, if possible.

"At this stage of the game (with thousands of providers in business), are there minimum staffing requirements for a new startup to be a viable presence that stands a real chance of surviving?"

[ATwrote] "I run an ISP that so far has about 300 clients, and I do it all myself. My office space is a shelf with all the equipment on it; I run the administration stuff from a home office.

"No overhead = lower prices = greater profits."

[VB had a similar story] "We have 1300 sq. ft. of office space, one-third is our office area, one-third houses equipment, one third is our lab.

"In terms of staffing—servicing 340 people now—I just added our first part-time person. We're surviving nicely."

[JL advised] "If you're like many ISP startups, you personally will be the 'marketing staff,' 'billing staff,' and 'technical staff.' At the very least, you'll have a handful of people (you, your spouse, and your cousin?) handling those duties. Bottom line: In a small company, personalities and people skills are far more crucial than formal organization schemes or physical layouts. In other words, they've gotta be able to work well together.

"Because the folks involved will largely communicate with each other by phone and e-mail, their physical proximity to each other is not nearly so important as their ability to create a workably functional business environment. If the mega-monster-ISP across town has a wacky techie Mensa candidate working for them who smells bad and uses lots of four-letter words, they can hide him in a back office somewhere. But if your 'back office' is the alley, such a person can be a serious problem."

[DH chimed in] "That's great advice. I'd add a couple of points: First, if your skills lean toward the administrative side of the business, be sure you have a complement on the techie side. If possible, have another complement on the marketing and sales side.

"Second, if in the first month or two you see that any member of your staff isn't helping with marketing your company—let alone bringing in sales—boot 'em. Everyone working for a startup must take a part in the promotion of the company if it's going to last. If they aren't passing out their business cards from the get-go, you have a problem. I learned this the hard way.

[CE wrote] "There are many possibilities and a few fundamental rules it's wise to follow—but certainly no set formula.

"Customer aren't necessarily going to know if you are operating out of a 1,000 sq. ft. office or 10,000. They only care about three basic things:

1. Your image
2. Your service (speed and consistency)
3. Your support (both technical and basic customer service)

"Use the skill-sets you have. Chances are, in the start-up phase, company members will have to fill more than one pair of shoes. Look for versatile people that have good basic business sense. As your ISP grows, roles and skill-sets will become more defined (Marketing, Sales, Tech-ops, Accounts).

[WC, the original questioner, closed] "Thanks to everyone who responded. Your candor and directness are refreshing, and the information you have provided is invaluable. I fully understand that what little life I may lay claim to now will become extinct when I enter this venture in earnest. :-)

—End

Interested in becoming an ISP? Read Newbie's Guide to Starting an ISP