The other big problem for content providers and website owners is the increase in content sharing. If you can sort out your hosting and how you sell your membership, the sharing is so prolific now that sets are shared within hours of them being released.
This is a niche market, and when you find the models that are reliable you need to be able to pay them with an income stream from the site as well as other resources.
You can sell the content as custom sets, but then not all your customers will keep those to themselves. I think the site owners of the Newstar and TinyModel sites started to get quite threatening towards their members when it came to content sharing. How many times have we heard about fathers, mothers, stepdads and other relations ending up behind bars for making more amateur content?
Some of the recent sites have tried different business concepts – look at the Naomi and Sergei sites – one has minimal content with a subscription that increases each months. I think they have 2 sets now and charge $159.00 for 30 days access. 10 years ago you could get more content, arguably of better quality and pay $20.00 a month with several updates during those 30 days.
I have the equipment, skill and means to produce such a site like LS, if I found the right models. I know that the financial return would be minimal. The only way I think it could work is custom content to specialized and wealthy customers. I think the NS and TM custom content was rumoured to cost $1000 per set, which is probably why most people have only seen a handful of images.