SMBs do not need to sign long hosting contracts

Wednesday 16 January 2013

Small and medium-sized businesses (SMBs) do not need to tie themselves to long web hosting contracts, one industry commentator has claimed.

Kevin Partner, a contributing editor at PC Pro, said that in most instances, there is no reason for companies to sign up for anything more than a short-term deal.

If SMBs are planning to use shared hosting or a virtual private server, they are simply paying for space on a remote server.

And as such, Mr Partner claimed that a month-by-month commitment should suffice - and this could be beneficial as SMBs look to juggle their budgets.

He said that small companies have the option of avoiding vendors who are unable or unwilling to be flexible with their customers.

"With dedicated servers, it’s more common to have an initial commitment of 12 months followed by an agreement to give one month’s notice to terminate," Mr Partner noted.

"Be very wary of signing up for longer to get a bigger discount - you don’t know if this host is going to suit you yet."

In his view, it is better for small companies to keep their options open for a while longer, giving them chance to gauge their needs and the ability of the host to meet them.

Posted by Alex Boardman