We don't market ourselves as a hosting service but we are finding that a lot of new customers feel it's time for a more reliable service and are asking if we can provide.
There is much more administration involved in keeping a website and email service ticking over nicely with so many factors affecting how well your current hosts can deliver on their promises. Even the process of switching to a new provider is seldom hassle free.
However our strength is that we keep our client base small; if it's too big how could a small team look after everyone properly? It seems obvious but different companies have different business plans and philosophies.
If the market was truly free...
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