Start An Internet Service Provider Business - Business Ideas

Updated: September 15th, 2022
Start An Internet Service Provider Business

Please note that the data provided in this article are estimates and may vary depending on various factors, and should not be considered as perfect or definitive.

The global broadband internet services market has grown significantly over the past decade. As the work-from-home culture becomes the new normal, more people will need a network connection. Therefore, starting an internet service provider business can be a lucrative opportunity.

You must get your ISP license approval and invest in network infrastructure to start an ISP business.

Starting an internet service provider business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell internet service, or selling internet service online, you can use this page as a guide for everything you'll need to know.

Key Stats

market size
$118B
starting costs
$30.1K
gross margin
30%
time to build
720 days

Startup Costs

Min Startup Costs Max Startup Costs

Office Space Expenses

$0

$6,900

Employee & Freelancer Expenses

$151

$352

Business Formation Fees

$5,600

$20,400

Equipment & Supply Expenses

$63

$700

Inventory Expenses

$350

$14,750

Vehicle Expenses

$2

$10,004

Training & Education Expenses

$0

$2,000

Website Costs

$13

$215

Food Business Expenses

$25

$500

Retail Business Expenses

$0

$950

Advertising & Marketing Costs

$75

$2,486

Successful Businesses

Business URL Rank

TP-Link

tp-link.com

2,692

Bell

bell.ca

4,059

EE

ee.co.uk

14,141

Tikona Infinet Private Limited: Best Wifi Broadband & Internet

tikona.in

17,318

Juno Internet Service- Value-priced Internet Service Provider - ISP - Free, low-cost and fast Internet Access

juno.com

24,963

Google

google.com.np

27,493

HighSpeedInternet.com

highspeedinternet.com

29,410

Hathway

hathway.com

32,745

TPG

tpg.com.au

33,087

Tata Tele Business Services

tatateleservices.com

37,665

CableTV.com

cabletv.com

41,621

Pros & Cons

Pros Description

Rewarding work

Starting a internet service provider business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.

Scalable

With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.

Meaningful business connections

You never know who you will meet as a internet service provider business. This could be the start of an incredible business opportunity!

High customer retention rates

Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer.

Pick & choose the clients you work with

Internet Service Provider Businesses have the ability to choose the clients they work with. You have the freedom to work with only a few loyal clients or with hundreds of clients!

Unlimited income potential

With starting an internet service provider business there is no cap as to how much income you can make. The stronger your business skills and the more energy/time you put into your career, the more you'll make.

Cons Description

Crowded Space

Competition is high when it comes to your internet service provider business, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.

Motivation of employees

If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.

Longer Sales Process

A internet service provider business can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.

Low margins

The gross margins for your internet service provider business are typically around 30%, which can make it more challenging to incur new expenses and maintain profitability.

High employee turnover

In the internet service provider business, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.

Work can be inconsistent

As a internet service provider business, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have.