The Advantages of Becoming a Web Hosting Reseller

The web hosting services sector is probably the single “dot com” bubble aspect that never went burst. It has not experienced any significant downturn; in fact it continues thriving even when all other areas are going through challenging economic times globally.

For the business savvy person, this provides a sizable business opportunity. Ideally, such a person has web development experience and extensive technical knowledge, combined with an adventurous business attitude. Reseller hosting services present an opportunity of making a significant level of income.

The reseller business could in addition give you useful insight into lots of businesses across a broad range of industries which ultimately will be of great help in terms of managing your own business.

What is the Process of Reselling?

Web hosting reselling takes place when an individual or company is using the resources/assets of a key parent company undertaking web hosting and then sells those resources like their own. The majority of companies engaged in web hosting have incorporated reseller packages into their services.

The process of reseller hosting entails renting space on the server of a remote hosting company and then reselling that service to customers at a considerable markup. Such customers need somewhere to host their blogs and for cloud storage data.

Nearly every web hosting company of repute is providing some kind of plan for reseller hosting. This service is ideal for business-oriented persons who want to take advantage of this burgeoning business segment without having to own, maintain and operate their own server hardware.

Who is the Ideal Target for Reseller Hosting Plans?

It is vital to note that not every aspiring web host qualifies for a reseller web hosting plan. Their needs could turn out to be too huge for the kind of slightly more limited services provided by some web reseller options. Rather, reseller hosting plans are ideal for that class of professionals or small web hosts just making their entry into this profitable sector.

Essentially, reseller hosting is recommended for a new web host, somebody who is considering a growing career in this online industry. It is also suitable for individuals who just want to operate a fairly modestly-sized online business without having to assume the responsibility of having to directly maintain the required server hardware.

Are there any Limitations?

As part of their reseller plans, most of hosting companies are offering from one to three dedicated servers, even though this could vary on a per-host basis. A number could offer more reseller options. It is because of this fact that it can be said there is definitely some kind of “ceiling” in terms of the number of people that a reseller customer can host.

Dividing your Reseller Server

An important aspect towards making profit from your reseller hosting plan is by emulating the business models that have been created by larger, established web hosts, and providing tiered pricing to your clients.

As you shop for a reseller hosting plan with any of the major web hosts, ensure you research on their available control panel options. For better income prospects, it’s important that you get services from a powerful control panel, one that can efficiently manage the numerous unique aspects of storage limits and hosting plans.

Shopping for Reseller Hosting Plans

Similar to any industry or business that is currently witnessing booming growth, there are lots of schemes that promise instant riches or which sound too good to be true. You need to avoid such reseller hosting plans at all cost. Everything is good planning and hard work.

At all times, have your budget at the back of your mind as you shop. Remember that the reseller plan price is compensated by the fees you will charge to your reseller clients.

Additional Advantages

Most of your clients may be lacking the background or knowledge required in this select area and they will be depending on you completely for setup and any required changes. As a seller, this allows you to charge slightly more for this kind of hands-on specialized service. Usually, shared hosting is located on a server that you will be sharing with several other hosting individuals and companies hence cutting the cost.

Some other advantages include:

1. Residual Income

Reseller web hosting provides you a solid way of earning residual income. In most cases, the majority of your clients will require minimal work on their account each month after the initial setup, but month after month, the same check will be coming in. Over time, these will quickly add up and could turn out to be a tidy profit. But you must get customers on board first.

2. No Equipment

Most of the reseller options don’t call for any equipment that you need to buy. You are therefore saving yourself the additional cost of buying a server and instead leasing space on an already running server at some datacenter, typically on a monthly or even yearly plan.

3. Compatible with other Services

This type of business is highly compatible with several other services like website development, website design, domain name registration, blogging and gaming forums. In fact, lots of hosting resellers are known for working from their houses without ever needing to meet the clients.

Taking Care of Payment Methods

An essential aspect of this type of business is payment processing because this is how all your profits are delivered. As a prospective hosting space reseller, you ought to have your options at the back of your mind, ranging from conventional merchant accounts to modern online services such as PayPal. What is important is that you must never be lacking a plan or a payment processor as soon as you begin offering hosting services.

Conclusion

This is an industry that is growing very rapidly and the opportunities are only increasing. Initiating steps that will serve additional hosting customers with efficient and affordable plans straight away, instead of later, will only quicken the profitable process in this industry.

Always bear in mind that perhaps the key to running a successful business, whether a local hardware store or web hosting is providing a great support team. Your team must be responsive to your client’s needs 24/7. This is particular true for web hosting reselling. This method has fewer responsibilities after set up which means that you can afford to invest extra money and time dedicated to meeting customer requirements.

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