How to start an internet business? Guide for beginners

ISP business is an Internet service provider business where an organization or individual conducts its business by providing Internet and Internet-related services to other individuals or organizations. Due to slow internet speed of mobile operators, no unlimited packages, high cost of using only a few MB or GB, broadband internet is now preferred by customers. Besides, mobile internet is not sufficient for institutional work.

Most people want to use broadband internet because of unlimited packages, low cost. But very few places in the country have broadband internet. Broadband Internet business is less risky. Let’s take a look at the beginnings of broadband internet.

How to start:

If you want to do broadband internet business, first research how internet users are in your business area. Also, survey how many Internet ISP companies are in your business area? In that ratio, what is the number of internet users in your business area?

If it seems satisfactory then you can start. Broadband business requires license from BTRC. Application for license should be made in the prescribed form. Get the form here. All the documents mentioned in the form should be attached and submitted to the BTRC head office. If everything goes well, you will get the license within 3 months of applying. After getting the license you have to buy the bandwidth.

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Where to get bandwidth:

Broadband Internet business requires bandwidth first. And bandwidth comes through optical fiber. So first check if your business area has optical fiber. Not only should there be fiber but there should also be POPS port for connection. BTCL has fiber line popport only in district towns. There is nothing to be disappointed about.

Optical fiber has now reached the village level due to the expansion of 3G networks by mobile operators. Private IIGs (International Internet Gateways) have spread their networks almost all over the country. You need to check with those IIGs to see if they have an optical fiber POPS port in your area.

Some of the IIGs that sell bandwidth at low cost and have expanded their network across the country are BTCL, Mango Telecom, Summit Communication, Bangla Phone, Virgo Communication, Fiber at Home, Novocom and BD Link Communication. There are total 36 bandwidth providers in the country.

If you have a port nearby then there is no barrier to start business. If there is a port a little far away rather than near, you can bring the radio link from there. And if the distance to POPS port is more, then you can take bandwidth through satellite or you can take bandwidth from BTS of mobile tower connected by microwave. But in both these methods the cost of bandwidth will be very high. Many ISPs offer sublines at lower prices in regional cities. You can also trade bandwidth from them.

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What you will need:

To start a broadband business you need to buy some equipment. They are MikroTik router for speed control, media converter, cables, a PC, switch and box for setting up the base station. Uninterruptible power supply should be provided to keep Mikrotik router on for 24 hours.

How much capital will be required:

How much capital will be required will depend on how many kilometers you will be laying the line. Router 14,000, media converter 4500, PC 25,000 (not required if earlier), switch box and connection port 10,000 per km line, cable 12,000 per km, license fee 1000 taka connection fee 100,000-20, 000, bandwidth Rs. 1200-3000 per megabit. Initially, you can start this business with 150,000-170,000 taka for 5 MB bandwidth and 2 km line.

What is the risk?

Broadband internet business is very low risk. Because in this business, once everything is set up, there is no cost other than bandwidth. Monsoon is the enemy for broadband business. Lightning burns the equipment.

I will buy bandwidth for 3000 and sell it for 1200 so where is my profit:

Suppose you take 1 Mbps dedicated bandwidth for 3000 rupees. If there are more users, you can give 1 Mbps to 6 people from this 1 MB. Because 3 people will be offline, the remaining 3 people will be active. Among these 3 people, 1 person will load, the other two will be active in the net without load. So even if you give 1 MB to 6 people, you will get full speed. You are giving 6 MB from 1 MB.

So you are not selling at Rs 1200 but at Rs 1200×6 = Rs 7200. 7200-3000 = 4200 rupees you will have profit. But to go to the state of giving 6 people, at least 150 users will be needed. Again, the amount of bandwidth required for 150 users will be available at the wholesale rate. If retail is 3000, you will get wholesale 2000. If the user is less, the active ratio increases a lot. In that case you cannot pay 6 people. Even if you give it, you will not get speed. So initially 3 people are given. Because of this, there is not much profit in the beginning.

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Income in this business depends on the customer. If the number of customers is high then the income will also be high. If you are the only ISP in your area then Sonay-Sohaga. You can set the price of the package as you want and earn. But if there are competitors, it will be difficult to earn more in the beginning.

If you get 50 users, you can earn 12,000-15,000 rupees per month. Then as the user increases, so will the income. I have added some more point wise information for everyone’s understanding. Hope the matter will be clear to everyone after that.

What Broadband Internet Business Really Is:

The broadband internet business is basically the internet distribution business. People use the Internet in many ways. Like wireless, wifi, wimax, broadband. Among them, broadband internet provides the most uninterrupted service to the customers.

How Broadband Internet is Demanded:

As I said in my original post, everyone is clamoring for broadband internet. From that one can judge about the demand. Because wireless internet is very expensive. On top of that they don’t have any unlimited packages. Due to this, Internet users are more comfortable with broadband. So it can be said that among many types of internet services, broadband internet is the most in demand.

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How to Learn Broadband Internet Business:

There are some technical issues in the broadband internet business. You must obtain them. Learn how to setup Mikrotik router, user control, switch fitting, new connection. But learning these is not a difficult task. You can easily learn by watching books/video tutorials. Apart from this you can get a lot of help from the book Advanced Networking written by Suhrid Sarkar.

How to Marketing a Broadband Business:

You have to tell people that you have brought broadband internet service. And for this you must advertise/promote. Since you will be targeting an area and entering into the business, it does not require a large marketing budget. In the leaflet, you have to write the details of your packages, package price, speed, conditions, etc. and distribute them to your targeted areas.

If there is any ISP in advance, compare with them to determine the rate. Apart from this, marketing can also be done by going directly from house to house, miking, printing visiting cards, and requesting familiar circles. Since this business is user-based and user-to-user related, you can also influence your existing users with special discount offers to increase your biz. Apart from this, you can announce that the first so many users will get so many percent discounts. It will help to get customers quickly.

Mistakes beginners can make in this business:

The first mistake that newbies make in this business is not choosing the right location. In many cases, they choose places where there are not enough computer users. In addition, if there are competitors, then not having an idea about how much money to invest. Again, many times it can start the business far away from the bandwidth provider. It has to invest a lot. Also the service is not that good.

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What are the qualifications of an employee?

If you have to hire an employee in this business, you have to see if they know how to control Mikrotik routers, if they can make new ports, switches, connections, how are their communication skills, how can they influence people. Apart from this, you should know how to ride a bicycle as a qualification. Because you have to go far and fix the line.

Some important tips:

1. Focus on user growth rather than profit early on.

2. Provide services at lower prices than other competitors.

3. Provide round-the-clock support.

4. If there is a problem with the line, it should be repaired quickly.

5. Server should be kept up for 24 hours. Uninterrupted electricity should be provided for that.

6. Find out if the client is satisfied with your service. This will increase your acceptance.

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