First and foremost, the odds are against succeeding. New backup companies regularly come online. Within 2 years 80% of them are gone, never to be seen again. Failure to assess the costs and difficulty of developing a successful online backup service has created an industry with an exceptionally high degree of attrition.
Capital expense to bring a reliable backup service online is high, as are the ongoing costs of facilities, marketing, equipment and manpower. To achieve profitability it’s vital to sell a lot of programmes over a long period of time. |