Start an ISP · · 9 min read
How to become an internet provider: what you need, step by step
From the first survey to your hundredth home: the paperwork, the tower, the main router, the billing and the team you need to run an internet business.
An internet provider (ISP) sells a monthly connection to homes and offices, usually by wireless link from a tower, or by fibre. It earns steady income from every home it serves. It also needs more planning than a hotspot. This guide shows what you need, in the order you will need it.
Step 1: Choose your model
- HotspotPay-as-you-go Wi-Fi for crowds. Quick to start, small payments, many customers.
- Home broadbandA monthly plan for each home or office, delivered by wireless link or fibre. Slower to build, steadier income.
- BothMany operators run hotspots in town centres and home broadband around them, from the same routers and the same dashboard.
Step 2: Do the paperwork first
Rules differ by service and they can change, so ask the offices directly before you spend money on equipment. We cannot give legal advice.
- Register the businessAsk BRELA about registering a company or business name.
- TaxAsk the Tanzania Revenue Authority (TRA) for your tax number and what you must file and when.
- LicenceAsk the Tanzania Communications Regulatory Authority (TCRA) which licence your service needs. Do this before you launch, not after.
Step 3: Plan the area and visit it
- Map your first areaChoose a first area where many homes can see one tower site.
- Survey itVisit the homes you want to serve. For wireless, check that each roof has a clear view of the tower.
- Secure the siteAgree a tower or rooftop site with the owner, in writing, with a clear cost and length of time.
Step 4: Buy your internet supply
- Get a business lineAsk providers for a quote for a dedicated line with enough speed for your first customers, and room to grow.
- Plan for failureA second supplier you can switch to keeps customers online when the first one has a problem.
Step 5: Put one strong router at the centre
Every customer logs in through your main MikroTik router. It decides who is allowed online, applies each customer's speed, protects the network and keeps the record. This is the design internet providers use around the world, and it is why you can add customers and sites without touching every device.
- Size it for growthChoose a router that can handle more customers than you have today.
- Add backup powerA battery backup and, for important sites, a spare router.
Step 6: Build the link to the homes
- WirelessWide-angle radios on your tower, and a small dish or panel on each customer's roof, pointed at the tower.
- FibreCable from your main site to each home. It costs more to build and is very reliable.
- Installers and toolsTrain or hire people who can install roof radios safely and test the signal before they leave.
Step 7: Set up accounts and billing
- One login per customerEach home gets a login (PPPoE, the login most home internet uses) and a package with its own speed.
- Pay from the phoneCustomers renew with mobile money, at any hour, and are back online straight away.
- Plans that end on timeWhen a plan ends, the system switches the customer off by itself. When they pay, it switches them back on.
- RemindersSMS messages before a plan ends bring in the renewal and keep customers from leaving.
- Connect it all with one scriptPaste one script into your router and Gridix Billing sets it up, then watches it and shows you any problem.
Step 8: Build your team
- TechniciansTo install, repair and look after the towers and roof radios.
- SupportSomeone who answers customers quickly, by phone or WhatsApp.
- AgentsPeople who sell and collect in the area, with vouchers where customers prefer cash.
- RolesGive each person only the pages and powers their job needs, and keep a record of who did what.
Step 9: Work out your numbers
Before you launch, find the number of customers you need just to cover your costs. This is an example to show the method. Use your own figures.
| Monthly costs that do not change | TZS 1,200,000 (internet supply, tower rent, power, staff) |
|---|---|
| Average home plan | TZS 45,000 a month |
| Other cost for each extra customer | TZS 5,000 (support, repairs, fees) |
| Money left from each customer | TZS 40,000 |
| Customers needed to break even | 1,200,000 ÷ 40,000 = 30 customers |
Step 10: Launch with a small first group
- Choose friendly first customersStart with a small group who will tell you honestly how the service feels.
- Fix what you learnSignal problems, slow evenings, confusing payment steps. Fix them before you grow.
- Then add area by areaGrow one area at a time, and let the dashboard show you which routers and towers are busy.
Step 11: Keep it reliable as you grow
- Watch for troubleGet an alert when a router goes offline, refuses logins or is overloaded, so your customers are not the ones who tell you.
- Keep sparesA spare router and a few roof radios turn a long outage into a short one.
- Keep clean recordsEvery payment recorded against the customer it switched on makes disputes simple to settle.
Start with one area, one main router and one dashboard. Everything else in this guide is built the same way, one careful step at a time.