Need Cable Provider Information, Please Help!!!

dishpro111

Member
Original poster
Mar 17, 2005
8
0
Wichita Falls, tx
I am looking into purchasing a small cable company, but I have to say, Im not real fluent in the operations side of things. I need to know what kind of overhead Im looking at, how does a cable company operate, what kind of licenses do I need? Im Lost!!! Please Help!!
 
You must have alot of money to be looking to buy a "used cable company". You may want to start looking at CATV trade shows and associations. McHenry Illinois had a millionaire pre-wire to whole town (pop approx 120,000 in the 80's) and then sold it to TCI. Word was it sold for 6 times what he paid to prewire the town. The last I heard, average customer (subscriber) was worth about $2500 each when being sold. I could think of better ways to spend and make money without the headaches. What do you think?
 
I suggest you contact Larry, he can help.
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there running 450 mhz, they have about 3 miles of fiber ran so far but it is a small company, they only have about 300 subscribers with possibly 600 more with new subdivisions going up daily.
 
Do you know the ARPU they are currently getting?

How many Set-Tops per house hold?
What vendor are they using for SciAtlanta or Motorola?
Are they offering cable modems? (remember data takes 1% of your spectrum but can make up 50% of your revenue)
If this is a small provider how is it getting its programming contracts? Are they negotiated through the NRTC or independently. If independent look at the margins, small providers get killed.

You will be in better shape if this is the only MSO in the area but if this cable company is an overbuilder you will have a difficult time. You must check that those subdivisions are not locked into exclusive contracts with competing providers that may lock you out.
 
they are using motorola. Im not sure if they offer HSI at this time. Im not sure about the rest but I appreciate the good questions, these are the ones I need to ask to make the right decision.