Just left college-starting my webdesigning business, need tips please!!

First let me say that I have read numerous threads and I have done research and I am not necessarily asking for or expecting to "spoon fed" from this thread, I would just like to be pointed in the right direction.

History (don't need to read)

Okay, so as the thread days, I have just left community college, I got a AD. Management Information Systems, so I'm acquainted with some amount of programming and thing I'm "OK" at web designing.
I've been a member of this forum since maybe March but I have been reading around on here maybe since January then I joined.
I have made a MNS and another website for educational and entertainment purposes for the college I attended. However, my adsense got banned for inactive clicks because most of my users are using the school network which will show as a single person mass clicking, so at the moment neither sites generates revenue.
Anyways, after doing more research and considering the resources I have, I realize that the best way to start actually making some money is with offline marketing.


Method

Currently I have a few of my buds who are interested in working with me so what we plan to so is:

We plan on targeting small business without a website or a with a crappy one. One of my buds is very persuasive and so i have no doubt that he can persuade people into buying our services.
We will offer only website designing (usual 3-5 pages using Dreamweaver templates), hosing and domain purchase at a price of $150 - $200, I know its a bit low but everyone that is working with me is capable of designing so we can get them done quickly - high volume/low price. This is also our market penetration method. We will late raise our prices to $300+ and also target larger companies.

Questions

I just wanna know if my plan is feasible and if you possible, could provide some general tips on:
What hosting plans are good?
How to initially approach my potential clients.
Steps I should take in the process to ensure that everything flows smoothly.
Any other services I could offer.


I don't mind links, if there is a thread somewhere out there or any articles on the topic, just point me towards them please.
Any form of motivation will also be helpful.

Thanks in advance

I just wanna know if my plan is feasible and if you possible, could provide some general tips on:
What hosting plans are good?
Hostgator offers some affilte hosting which gives you $$$ back when you close a deal for them.

How to initially approach my potential clients.
Walking up on them? Face to face seems to be the best way.

Steps I should take in the process to ensure that everything flows smoothly.
Dont use Dreamweaver and start using a cms, which allows you offer dynamic content and other goodies.

Any other services I could offer.
Dont know? How about SEO, since you are on SEO Forum...


Overall rethink this plan won't work, since there is no recurring cost, sell your costumer a SLA (Support Contract) and keep it on a professional level. If you can sell them a SLA they will pay each month and then it doesnt care if they pay you 20$ per month, since if you have like 200 buisness as costumer you will earn 4000$ per month.
Also if you dont charge them with it, they might come back to you, since they think support is free, which leads to free work.

Greetz

id say get a guy to work on smaller projects like banners,and logos and landing pages those are hot items now!!!

Your on the right way.

I would say don't worry about Quantity as much as Quality.
People don't mind to pay even $500 but getting something Quality. All you do is make sure you spend double the time and You get like $100 more doing so.

Offer Backlinking services and also to get people listed on google, that is the thing people need but often can't do on their own because of a lack of skill or experience.
so learn those skills and then provide them with that service.

Host's find a host that will give you Speed more than price. Try some Re-seller packages etc but always go for speed. the website's should load super fast.

Good Luck.

Im sure you will make it. remember ACTION that is the single most important rule. ACTION ACTION ACTION.
Advertise your service, people will contact you. also Spend most of your money on Advertising / Marketing.

You can have the best business in the world but if people don't know about you then there is no chance for survival.
Also don't think about Get Rich Quick. Hard work will give you a better lifestyle and people talking will make you wealthy in the
future. Don't burn out. Setup plans and live by a Diary make sure that you get determined and follow your plans,
otherwise depression can set in.