Running an online business is usually not an easy task and thus one needs to put a lot of effort to ensure that everything runs smoothly to maximize on profits. For this to be possible, you might have to outsource a company that will provide a center where you can locate storage gear, network and a server for the business. This way you will be able to get a greater bandwidth and potential clients can access the site faster, which helps to bring more people to the site resulting in increased sales and profits. This service is usually charged and some of the factors to be considered for colocation pricing include:

• The port set up fee- this is usually free when using Up and 1U but can cost anywhere from $0 to $ 1500 when using the full rack.
• Cabinet set up fee- this normally costs $ 125 to 550 or more depending on the company.
• Rack space- this is usually determined by the space that is needed where one can either use IU or 40U which is equivalent to a full rack.
• Service level agreement- this usually refers to the kind of support that the company will give which most of the time is usually 99.999%.
• The number of plug is also put into consideration where one can either use 1 or 4 the latter being more costly.
• There are some companies that also include the AC power that is used where the costs normally depend on the user.

Colocation pricing also includes the payment for the technicians who are found in the center, which normally costs $ 1000 and above. The connection types are also put into consideration where one pays more for faster connections and less for slower ones. Most service providers usually require one to sign a contract with a minimal of 12 moths where one can decide to pay monthly or a lump sum. It is important to read the terms of the contract very carefully and ensure that everything is understood before signing the papers. The costs should also include unlimited static IP address and domain names.

Bandwidth is also a very important factor with colocation pricing. This is where one pays for the amount of bandwidth they use. For instance when you want 10 Mbps, many providers charge $ 50 per Mbps but when one wants 100 Mbps you will most likely pay $ 15 per Mbps. This implies that the more bandwidth one wants the cheaper it becomes. To find the best deals in the market one has to carry out a lot of intensive research and compare the prices that are offered by different providers to get the one that has the most affordable rates. Look out for new companies in the market as they are likely to offer lower rates to attract customers. You should also be on the look out for discounts and special offers to get a good bargain and save money.