What is Reseller Hosting? Top 10 FAQs | HostGator Blog

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What is Reseller Hosting? Top 10 FAQs

Wednesday, June 29, 2016 by

What Is Reseller Hosting

Because web development and designing is in such high demand (since every company needs a website), business is booming in the web hosting industry particularly in the arena of reseller hosting. 

Entrepreneurs and business owners are leveraging on this growth opportunity by starting their own reseller hosting company to either supplement or create a full-income flow to their brand.  It is becoming well-adopted because of its low initial costs and overall simplicity in getting started.

Are you a web designer and looking to add another source of income to your firm?  Or perhaps you’re looking for ways to make money online and curious to know what is reseller hosting and how you can turn this into a business opportunity?

Whatever the reason for your search, we compiled the top ten frequently asked questions regarding reseller hosting and how you can turn this into an additional income stream.

FAQ #1: What is reseller hosting?

Reseller web hosting is an option that involves one company (a hosting provider) renting hard drive space and bandwidth to another company (small-mid size business), who then rents the space to third parties (entrepreneurs-small business).  Simply put, reseller hosting is the ability to provide hosting to your own clients as if you yourself were the web hosting company.  This is typical for aspiring entrepreneurs who want to start their own web hosting firm or for current web developers and designers who desire to add additional services to their brand.

FAQ #2: How does reseller hosting work?

Here are the (perhaps over-simplified) steps to establishing a reseller business:

1) Research and select a hosting company

2) Purchase the reseller package that meets the goals of your business

3) Know and understand your target market to locate your new customers

4) Create your own branded hosting packages

5) Decide your price

6) Sell hosting packages to your clients

7) Earn profit

FAQ #3: What are the benefits to reseller hosting?

Taking advantage of reseller hosting offers incredible benefits to your new or existing brand.  As a reseller you’ll:

  • Get to act as a hosting company – make money hosting and creating websites
  • Easily make profits
  • Design your own hosting plans and packages that are tailored to your own business and clients
  • Host and bill your customers using your unique brand
  • Make independent cPanel control panels for each of your clients
  • Save money with its low initial start-up costs with the opportunity to upgrade later

FAQ #4: How can I become an entrepreneur and make money with this?

Reseller plans are designed for you to earn money and are often the least expensive and easiest way to start a hosting business.  By using one control panel, this option lets you set up, manage, and operate the back-end of websites, emails and domain management for your business as well as your clients. 

Many customers may not have the expertise or background in this area and will be completely dependent on you for setup and changes to their service…allowing you, the reseller, to charge a bit more for this hands-on type of service.

With that said, since the web hosting provider handles the servers, your focus is the profits and managing your hosting customers.  This is an easy way to start making a profit from your web hosting business right away.

Yet as with any business venture, you must create your business plan, know your target audience, and implement a marketing strategy to reach your potential customers.

FAQ#5 What’s included in a reseller package?

Below are some of the common features often included in Reseller packages:

  • Disc Space
  • Bandwidth
  • Domain Hosting
  • Ability to brand your own web hosting company with the hosting provider company unknown to your client (also known as “white label”)
  • Latest cPanel control panel
  • Manage your own plans and configure different accounts based on your needs
  • Pass on features to your own clients such as email, control panel, additional scripts and monitoring tools
  • Premium support (usually 24/7) offered by hosting provider

FAQ #6: Will my clients know it’s me…or my hosting company?

They will believe it’s you!  You see, you can run your own hosting business under your banner and brand without your clients knowing who your actual upstream hosting provider is.  This gives you total control in promoting your business with your name written all over it!

FAQ #7: Do I need to be a hosting expert to succeed at this?

Nope.  Your provider will handle all the backend, “dirty” work, so you can focus on building your business.  Server hardware, connectivity, network infrastructure, hardware setup and maintenance, security and updates for your servers are all addressed by your web hosting provider.   It’s a good idea to check into these things as you do your research to ensure that you’ll receive the best tech support if certain issues arise…and they likely will.

FAQ #8: If my business grows, can I upgrade at any time?

Absolutely…you can upgrade your reseller hosting account at any moment to expand with the demands of your business.  With HostGator, there are no contracts and a 45-day Money Back Guarantee!

FAQ #9: How do I get started?

To get started, you simply follow the steps outlined in FAQ#2.  The foundation to your success will lie in choosing a good reseller web hosting provider that not only meets the objectives of your business, but can provide you with consistent, reliable service and support because its your name that is on the line when dealing with your customers.  Choose wisely…which leads to the final FAQ…

FAQ #10: How do I choose the best hosting provider?

It’s important to know that you can offer your own customers the best possible web hosting experience prior to building your clientele.  Here are just some qualities to keep in mind when searching for your reseller web hosting service:

  • Easy to use cPanel
  • At least 1 site builder
  • Satisfaction guarantee
  • Private nameservers
  • Brandable client panel
  • 24/7/365 impeccable support
  • A 99.999% uptime guarantee
  • Fully managed services

By the way, did we mention that HostGator have received multiple awards for our reseller hosting?

We hope this gave you a good overview as to what reseller hosting is and ways you can leverage it as an entrepreneur to make money online.  If you have any questions or want to consider HostGator for your reseller opportunity, click here to find out more!

Henry Green is a freelance writer based in Austin, Texas who helps small businesses and entrepreneurs improve their online presence through marketing, social media, and website optimization.
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