Thinking of starting a small mining facility, need some advice

[testgoneok]

Hey everyone, I'm thinking of starting a Bitcoin mining data center in a third world country (Georgia). I have access to cheap facility that needs some slight renovation, with possibility of renting small area and expanding in the future. Rent is really cheap (~$3-4 per m2 per month). There is access to about 900kw, with an approximate cost of electricity of 5-8cents per kw/h. Local import laws seem to be rather lenient towards mining rigs, so it's pretty straightforward to import equipment here. All profit calculations seem to be showing an roi of 4-10 months depending on the cost of equipment (antminer s9 is what I plan on using if I can get my hands on them at reasonable price). Facility would require certain investment in cooling equipment and overall renovation (rats are somewhat frequent visitors). But overall it seems like an area worth investing. Obviously the profits will shrink as time goes by and new equipment gets released, so I am mindful of the risks and the money invested are not gonna be drawn from my pension fund. The plan is to start off with about 10 rigs and expand as time goes by. I haven't yet decided whether I want to keep profits in btc or cash them all out, or maintain a certain ratio, but I am leaning towards holding btc long term.
So my questions is, am I overlooking some obvious and crucial risks in this operation?
Personnel wise, I am in process of hiring 1-2 people for this operation, part time. Labor cost is not high in Georgia so should the operation expand, this cost would be negligible. Personally I don't think I will be moving there full time, but certainly will be there during the setup process. Any piece of advice for or against this project would be highly appreciated, especially from people that have experience in establishing similar facilities.

[NotFuzzyWarm]

How many times does this question have to be asked and answered anew? It could go well or not. All you will get here are opinions based on a persons circumstances. Since everyone has their own unique setups it is still only up to YOU.

READ THE FORUM Everything detailing concerns, power, noise and heat have been asked and answered hundreds of times already...

[testgoneok]

How many times does this question have to be asked and answered anew? It could go well or not. All you will get here are opinions based on a persons circumstances. Since everyone has their own unique setups it is still only up to YOU.

READ THE FORUM Everything detailing concerns, power, noise and heat have been asked and answered hundreds of times already...

Well, to be fair, I am looking for opinions based on a persons circumstances...

[isukabtc]

1. DUST
If rat can go in then it worse.Try to closed it all with steel wire. For air in use dust filter, like genesis mining if you have more money. For 10 miner start up, I expect you will buy 100k worth miner for the long run. Dirty miner has shorter life, in 6 months or less you might have some chips died especially when your dust is wet due to snow or whatever. Ive seen 5% from miners hashboard undetected, some 20% of the chip died after 1 year of "set and forget".

2. Wait for new generation miner
Antminer S9 is good and should works until next halving in 2020. When it halved, bitcoin price should rose more than 5 times (history proved it). Antminer L3+ is good too since there are no competitor making scrypt miner. But again those two already old, bitmain might make new miner in a couple months.

I did mining for myself but Im done with it, what I do now is :

Pre order some profitable miner ex : D3 $1450, with shipment PSU tax etc it will end up around $2750. When It came, I mine with those miner while selling it as READY STOCK miner. Im telling all my buyer invoice of the miner arrive on my place. They come seeing the miner works as I told, I give all invoices, and sold it out.

My profit is :
I got my money back from preordering to bitmain + Im taking 3 months of mining worth as profit + I got more btc from mining until is sold (usually it sold less than a week)

The last time I sold is L3+ when it price only $1291, so I got :
Total order until it came $2650 + 3 month worth of mining $3300 + 7 day before it sold $350 = $6300 each

Profit $3650 for 3 month preorder for every L3+ I sold and Im free from risk of miner failure and increasing difficulty

[HolyScott]

Hey everyone, I'm thinking of starting a Bitcoin mining data center in a third world country (Georgia). I have access to cheap facility that needs some slight renovation, with possibility of renting small area and expanding in the future. Rent is really cheap (~$3-4 per m2 per month). There is access to about 900kw, with an approximate cost of electricity of 5-8cents per kw/h. Local import laws seem to be rather lenient towards mining rigs, so it's pretty straightforward to import equipment here. All profit calculations seem to be showing an roi of 4-10 months depending on the cost of equipment (antminer s9 is what I plan on using if I can get my hands on them at reasonable price). Facility would require certain investment in cooling equipment and overall renovation (rats are somewhat frequent visitors). But overall it seems like an area worth investing. Obviously the profits will shrink as time goes by and new equipment gets released, so I am mindful of the risks and the money invested are not gonna be drawn from my pension fund. The plan is to start off with about 10 rigs and expand as time goes by. I haven't yet decided whether I want to keep profits in btc or cash them all out, or maintain a certain ratio, but I am leaning towards holding btc long term.
So my questions is, am I overlooking some obvious and crucial risks in this operation?
Personnel wise, I am in process of hiring 1-2 people for this operation, part time. Labor cost is not high in Georgia so should the operation expand, this cost would be negligible. Personally I don't think I will be moving there full time, but certainly will be there during the setup process. Any piece of advice for or against this project would be highly appreciated, especially from people that have experience in establishing similar facilities.

Opening a mining facility in my opinion would only be profitable in a country that has low electricity costs and cheap labor. I believe the country you mentioned (Georgia) has some potential. But are there crooked cops or extortionists that will want a piece of the pie?

[Philopolymath]

My advice..

RUN ...SAVE YOURSELF SON...IT WILL CONSUME YOUR SOUL....DON'T BE A FOOL...BE AFRAID...BE VERY AFRAID...RUN MAN RUN...CURSE THE DAY YOU LEARNED OF THAT STUPID BITCOIN....FORGET IT...YOU HAVE YOUR WHOLE LIFE AHEAD OF YOU...YOU WILL DIE ALONE WITH YOUR ELECTRICITY BILL.

[monir34]

Don't think too much, just start the mining. I know there is main question is electricity bills. But after pay electricity bill you will be in profits. If your country electricity bill is low then you will more profits. Mining life is freedom life. Not like a job. Start mining and be your own boss. Belive me. You will never loss. Just buy perfect mining tools or hardware.

[reda]

Don't think too much, just start the mining. I know there is main question is electricity bills. But after pay electricity bill you will be in profits. If your country electricity bill is low then you will more profits. Mining life is freedom life. Not like a job. Start mining and be your own boss. Belive me. You will never loss. Just buy perfect mining tools or hardware.

Yes right but you know the mining process and how to use and handling the mining. Mining is the power full one so it will be safe to handle it need to cooling place it will use it makes over heat so that the resin it will need to cooling place. But you know mining software it is the important for the mining users. So if use the  mining you check the software it the important for the using process and you know how handle. it need to more power if use power to get profit.

[BTCBusinessConsult]

If you have that much cash to spend and are bullish on the crypto market just split it between some good coins.

I would recommend:

PPP, PPT, XRL, PLR, OMG, Spectre.

But thats just my opinion. Bitcoin mining is a hard game, and your power is not *that* cheap compared to other places.

[hurain]

Don't think too much, just start the mining. I know there is main question is electricity bills. But after pay electricity bill you will be in profits. If your country electricity bill is low then you will more profits. Mining life is freedom life. Not like a job. Start mining and be your own boss. Belive me. You will never loss. Just buy perfect mining tools or hardware.

Yes right but you know the mining process and how to use and handling the mining. Mining is the power full one so it will be safe to handle it need to cooling place it will use it makes over heat so that the resin it will need to cooling place. But you know mining software it is the important for the mining users. So if use the  mining you check the software it the important for the using process and you know how handle. it need to more power if use power to get profit.

I will suggest that you should collect all related information about bitcoin mining and then study all the related aspects of mining and get the techniques of stating bitcoin mining. Because bitcoin mining is not so simple and it is also very costly in many countries especially electricity and the equipment’s. Biotin mining is a good way of earning more and more money but in start it needs capital to but things of mining.