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Just to offer some perspective, my company has a number of dedicated servers that we host all of our clients web projects on (that we have developed) and we charge them a monthly (automated) fee. They're all turning a profit for us.

 

There are a number of benefits doing it this way:

  • We're making money for not much work (They're managed by our provider)
  • We have control of the environment
  • Our clients have a single point of contact

 

Admittedly, you wont start out by making a profit using this model, you're pretty much guaranteed you'll be paying for a large proportion of the monthly bill until you have a few more projects under your belt. It's all about foresight.

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