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We have been trialing a new style of service for us that is. For the past year, we have been trialing "Contractual Server Hosting".

Basically, a reseller has access to a special portal in which all orders are made with a legally binding contract. There are three parts to the contact.

  1. Product/Service
  2. Billing Terms
    1. Discount in a tiering style for Billing Frequency. The longer the frequency the more of a discount the client gets. 1 Month = No Discount, 3 Months 12% Discount, 6 Months = 16% and so forth.
    2. Discount in a tiering style for Contract Length. Available in 1 Month, 1 Year, 2 Years, and 3 Years. Longer the contract the bigger the discount.
  3. The all-important signature. Our system is designed for people to sign their contracts via Adobe Sign for free.

We did not only find that clients we very happy to do it this way, but clients stayed longer, and also they felt safer knowing our DC's have far less abuse due to the way we provide our servers.

Not just that, we find that there is a lot of abuse of the disputes system on Paypal primary when it comes to refunds policy and although Paypal says they protect both the seller and the buyer they mainly favor the buyer. The contracts are legally binding and can be used in connection with a debt company to get the costs as well as dispute with PayPal.

We plan on going live later this year with the new system on a new brand. If successful we may use the same system for other services.