How To Quickly Become a Profitable SaaS Provider?

The recently released TeamWox SaaS Agent offers wide opportunities to all who want to distribute the collaboration system in the "Software as a Service" (SaaS) mode. With this application you can rapidly become a SaaS provider with minimal expenses and start profiting from this offering!

Sales Model of TeamWox SaaS Provider

With the TeamWox SaaS Agent you can add TeamWox Groupware SaaS into your portfolio of service. We provide the licenses and technical customer support to end-users. Your only task is to prepare for the provision of services - prepare servers to host the system and communication channels. We are ready to assist you in promoting TeamWox collaboration software in SaaS mode. We've prepared a package of advertising and promotional materials for you: handouts, leaflets, logo guidelines, etc.

So you can profit from selling TeamWox SaaS Groupware subscription. Plus to that you can start offering extra services to your clients (system configuration, staff training, integration with other software) and earn more. We will give you access to all the relating materials, so you can rapidly expand the range of your services.

We have prepared a simple and transparent sales model to offer to SaaS providers. The final cost of TeamWox SaaS to your client is made up of your profit, expenses and the license cost. You determine your profit and the final cost to the customer, and we will require only a license fee from you, which is only 5 dollars per each user.

So if you install a 50-user TeamWox collaboration system for your client, then the fee you have to pay to us is 250 dollars a month.

Number of Users	License Payments to MetaQuotes		Final cost to Client		Profit of SaaS Provider
	month	2 years	month	2 years	month	2 years
10	50	1 200	100	2 400	50	1 200
50	250	6 000	500	12 000	250	6 000
100	500	12 000	1 000	24 000	500	12 000
150	750	18 000	1 500	36 000	750	18 000
200	1 000	24 000	2 000	48 000	1 000	24 000
250	1 250	30 000	2 500	60 000	1 250	30 000
300	1 500	36 000	3 000	72 000	1 500	36 000
350	1 750	42 000	3 500	84 000	1 750	42 000
400	2 000	48 000	4 000	96 000	2 000	48 000
450	2 250	54 000	4 500	108 000	2 250	54 000
500	2 500	60 000	5 000	120 000	2 500	60 000

The table above contains information about the license fees, final cost you set and your profit. You can see from the table how much you will pay to us, how much your clients will pay to you and what your profit will be.

For the example calculations we have used the per-user price of 10 dollars a month as a final price. You can use this or any other price to sell the collaboration system to your clients. Thus by setting the end cost of 15 or 20 dollars you will get even more profit. With the current situation on the market of SaaS solutions you can resell TeamWox SaaS Groupware even at a higher price.

The chart shows the two-year profit of a SaaS provider who resells the system at 10 dollars for each user, and the per-user license fees of 5 dollars paid to MetaQuotes Software Corp. The area of the shape between these two lines is your profit. From the chart and the table you can see, that if you sell TeamWox SaaS groupware systems for 300 users in total, you will earn 36,000 dollars within two years.

The Coefficient of Consolidation

The easy maintenance, resource efficiency and technical implementation of TeamWox business management software provide great opportunities - you can run several copies of the collaboration software on a single server. For example, you can run more than 10 systems with 50 users each on a server with moderate specs. The server will operate in a normal mode, and your clients won't have any problems with connection or performance.

TeamWox collaboration system is developed in С++ and is our own development. The groupware software doesn't use any third-party components except for the free-of-charge FireBird database. Nevertheless, this database is resource efficient, and the large contents are not stored in it. Our own resource-efficient storage is used for this purpose. This approach allowed us to create a resource efficient business management system.

You can lease an average server for $200 a month from your provider and turn it into your SaaS server to host several TeamWox copies. For this price you can choose the following configuration: Intel Quad Core 2.0 GHz, 8 GB RAM, 2x 500 GB SATA HDD, 10 Mbit Network.

This server can easily run and maintain 10 copies of TeamWox groupware with 50 actively working users each. At the same time the server will operate in a normal mode without any incidents. Moreover, the computer will have a large reserve of all resources should extremely high load occur.

If you have a similar server, you can confidently host 10 TeamWox collaboration systems 50 users each and profit from this exciting solution. See the above table - you will earn $60,000 for two years from each server. This is a perfect benefit of a server that costs only $200 per month!

How Many Collaboration Systems Can Be Installed on One Server?

You can install several copies of TeamWox groupware with different number of users on one server. However, please remember that there is a permanent consumption of resources in each system. Each copy of TeamWox with one administrator account consumes about 200-250 Mb of RAM on average. When the number of working users grows, the consumption gradually increases. Thus the consumption of RAM of the system with 50 users increases to 400-500 megabytes.

Another bottleneck is the number of hard drives. The number of connections to HDD increases as the number of users grows. If too many users work actively in the collaboration system, lags may appear. Thus, it's recommended that you separate different copies of TeamWox business management system on different hard drives. For example, during our test five copies of TeamWox Collaboration Systems run on one disk and the other five copies run on the second one.

The below table shows how many copies of the TeamWox collaboration software you can host on one server assuming these limitations:

Users	Number of Copies on a Server	Total Number of Users	Profit for 2 Years
10	20	200	24 000
25	15	375	45 000
50	10	500	60 000
75	7	525	63 000
100	4	400	48 000
125	4	500	60 000
150	3	450	54 000
175	2	350	42 000
200	2	400	48 000
225	2	450	54 000
250	1	250	30 000
275	1	275	33 000
300	1	300	36 000

This information is valid for an average server with characteristics similar to our test server. Of course, if you have a more powerful server, you can host more copies.

Calculations show that hosting groupware systems for companies with more than 200 users is not so profitable for you. Only 1-2 copies of such systems can be installed on one server. The most profitable variant is hosting 7 systems with 75 users each. In this case you get the maximum financial return for a server.

TeamWox SaaS Collaboration Software is a perfect tool to increase the profitability of your business or start offering new services. SaaS delivery for your clients is an opportunity to start working in a brand new way and keep up with the times as soon as it is possible. In addition, they won't have any problems with tuning and maintaining the infrastructure of the business management system. You take the responsibility to solve this problem and get a generous reward for it!

Don't miss the opportunity to get an additional profit! Download the TeamWox SaaS Agent and start earning money together with us!

Related articles:

1. Provide a TeamWox in Software as a Service (SaaS) Mode!
   
2. TeamWox SaaS Cloud Technology for Service Providers
3. TeamWox SaaS Agent: How to Organize Cloud Service?
4. TeamWox SaaS Agent: A Quick and Free Way to Build a SaaS Cloud
5. SaaS Version of TeamWox Collaboration System and Its Advantages

01 September 2010