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Reseller Web Hosting for Fun and Profit

August 11, 2009

Web Hosting

At first glance, shared web hosting and reseller web hosting look a lot alike. In both cases, a number of websites are hosted on a shared server. The difference is, if you rent out a “chunk” of a server that you don’t use, you can sometimes resell those resources to others and have your own shared web hosting business on the side.

In reseller web hosting, the host controls and maintains the server(s) and is responsible for updating software and performing backups and other server maintenance. If you purchase shared server space with the intention of reselling it, you need to know that you have access to your host, in case one of your customers experiences problems.

Reseller web hosting is not for everyone. Most small businesses that have shared web hosting have no need or desire for a reseller account. However, reseller accounts can also be used by those who have a number of websites and need a cheaper solution than multiple shared sites. In effect, these users will buy a reseller account, and “resell” space to themselves at less than what it would cost to set up a number of individual accounts.

Some web developers use reseller hosting as a side business. Sometimes a company with a relatively small, simple website may want to sell some of the leftover disk space and bandwidth to recoup some of their business costs. And with your host being in the data center with the servers, you won’t be the one having to restart servers or put out fires at the data center.

Reseller hosting accounts with generous bandwidth and disk space can be found for only around $25 to $50 per month. This can save you a lot of money if you need room for multiple sites. It can also be useful if you only use a little bit of the disk space and bandwidth and want to sell the rest to another part to generate some side income.

If someday you hope to own your own web hosting business, then reseller hosting can be a good first step in entering the business. It is inexpensive, and allows you to control your clients, creating (and terminating) accounts while someone else takes care of the technical details of server maintenance. This gives you the luxury of concentrating on learning the business and generating some steady income.

Perhaps the biggest mistake people make when it comes to starting a reseller business is trying to do too much in a short period of time. If you end up promising a bunch of features you don’t deliver, your credibility will suffer greatly. After all, there are many, many web hosting providers out there ready to pounce on those customers who were dissatisfied elsewhere.

Some potential customers may require some convincing since you are basically positioning yourself as a middle man. They will need to know if they experience problems with their website they can contact you day or night and be confident you will be in touch with the data center as soon as possible to explain the problem and get a solution.

When done properly, reseller web hosting can be a good side business for those running small business websites. If you’re willing to be on-call for your customers and if you’re willing to go to the mat with the data center if necessary on behalf of your customers, then reseller web hosting can be a good way to generate a little extra income while your primary web business grows.

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10 Comments For This Post

  1. Banner Design Says:

    Reselling the hosting products can definitely be a great idea, especially for the folks who do not like getting involved with the complex and costly issues like buying servers and the hardware systems.

    The packages offered by the leading companies could be excellent for launching a new cheap and affordable hosting service provider shop.

  2. Justin Says:

    Thanks for this post, some new ideas for me here.Wondering how you usually embed your videos onto your sites. Until recently I always used youtube. I had heard about Amazon S3 but had always thought it was way too technical to useTwo months ago I was introduced to this great tool to automate the whole process. VIsit my Easy Video Player Bonus site for more info. It really revolutionised how I do my video marketing,

  3. Webmastersbb Says:

    Thanks for this Post. It helped me get some new ideas.

  4. Forum Directory Says:

    Great post, really does sum up reseller hosting and how you can use it effectively to earn a little side revenue.

  5. Zaoka Says:

    thanks for article .i have a reseller and i cant stop me.its bad as well as good. i continuously registired domain name.someone stop me :)

  6. EuroVPS Says:

    This is a great idea ! Indeed, you can save a lot of money if you need some room for multiple websites. You can find reseller hosting on the web cheaper than $25 / month, if you have time for a good research !
    Couple of years ago I reselled web hosting and the income was pretty good, as I can say.

  7. Hover Coupon Code Says:

    Site5 has a pretty neat Reseller program.

    Good post, though!

  8. Philip Strickland Says:

    Hey There..

    Great Idea and I myself have run a reseller service in the past. One of the best right now is http://www.resellercluster.com all you need is to get a domain name to get started and your up and running.

    I run a bog dedicated to finding free webmaster resources
    http://www.free2lls.com
    Phil.

  9. Help Desk Says:

    Do you have any guides or step process on how to be a reseller? I am very interested in this and hoping you can help me. Thanks! :)

  10. Casey Says:

    Having a reseller can earn you tons of profit. I suggest you all do it!

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