Web Hosting Reviews & Ratings

March 01, 2011

Three Reasons to Become a Web Hosting Reseller

Reseller web hosting includes all of the tools and resources needed to create, manage, and promote a web hosting business from scratch. Some of the tools included are shopping carts, product catalog creators, image galleries, payment processing capabilities, state-of-the-art encryption technology, automated billing software, and site builders.

Using the aforementioned tools and resources even the most inexperienced webmaster can use a predesigned template to quickly establish a web hosting site that will solicit clients and generate residual income on a monthly basis. The concept of reseller hosting is simple – you purchase server resources at a wholesale price from a major web hosting provider, and then you split the resources into custom plans that are then offered to your customers. The following are perhaps the three best reasons to become a web hosting reseller.

Simplified Residual Income

Although there is a significant amount of initial effort required to build a substantial client base, once this is accomplished the hosting business will pretty much run itself. The process of building the site, creating web hosting plans, billing customers, and branding your web hosting company are all completely simplified with the aforementioned tools and resources offered within a reseller hosting plan. Reseller hosting is a business model that is often utilized as a set-it-and-forget-it, requiring very little additional effort on behalf of the business owner to continue running smoothly. It is important to note that the amount of residual income generated each month will depend on how well you allocate server resources to each client in order to maximize your profit margins.

Instant Branding

Reseller web hosting plans also give you the ability to instantly brand your hosting company. Many hosting providers will include a free domain name with your plan, giving you a company website that represents the beginning of your web hosting brand. You can also create custom control panels for your clients, which are branded with your own custom logo that appears in the top corner when they login. Thus, your clients will have no idea that you are reselling server resources from another hosting provider, and if you allocate server resources properly they will therefore have no reason to look elsewhere for hosting services. Many reseller web hosting providers also include advertising credits with major search engines and social networking sites such as Google, Yahoo, and Facebook, which will give you the ability to to begin instantly marketing your brand for free.

Access to Wholesale Server Resources

Even if you're unable to solicit a significant client base, as a reseller you have access to wholesale server resources that can be utilized for your own network of websites. As you continue to use these resources, you can gradually build a client base that will generate enough income to pay for the server resources that you use each month. Thus, even with minimal success reseller hosting can give you access to free server resources that will literally pay for themselves each month. It is important to note that the best wholesale prices are found in the largest reseller hosting plans, so if you want to maximize your profit margins and offer more attractive prices you should start with a decently sized plan, rather than purchasing a small plan and attempting to progress from there.

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