What happens to a web design firm’s hosting clients after a sale?
Hosting clients normally stay with the business and become yours to serve, but only if their agreements, accounts and billing move with it. Confirm who owns each domain and hosting account, how clients are billed, and how you will tell clients so that their sites never go down.
Start by listing every hosting client with the services they receive: hosting, updates, backups, email and support. For each, find out where the site actually lives, who holds the login to the hosting account and domain, and whether those accounts are in the firm’s name or the seller’s personal name.
Then read the agreements. Some clients have written terms, others only an email. Ask which can be assigned and which need the client’s agreement. Your lawyer can advise on how to move them. Check how billing works too, including prepaid periods that you will owe service for after closing.
Plan the transition so sites keep running. Get documented access, backup copies and a record of customizations before the sale. Ask the seller to stay available for a period in case of a technical problem. Finally, tell clients. A short, calm message saying who now looks after their site and how to reach you matters most. Ask the seller to introduce you where the relationship is close. Ask about security and backups too. Hosting clients assume their sites are protected, so find out how updates are applied and what happens if a site is attacked. Knowing the firm’s routine tells you what promise you are taking over.
Key takeaways
- Confirm which accounts and domains are in the business’s name.
- Separate clients with written terms from those without.
- Keep sites running through the handover, and tell clients early.
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentAfter buying a business, what is the next step?
- 02Business Development Bank of CanadaGovernmentMajor pitfalls to avoid when negotiating a purchase agreement
- 03Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 04Business Development Bank of CanadaGovernmentUnderstanding post-merger operational integration
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