by Nowadays, there are a lot of opportunities for starting online businesses from the comfort of your home. An online business that’s not mentioned too often but can be a great investment is reseller hosting.
Below we are going to have a look at what is reseller hosting and how to run this type of business. We will also mention some advantages and disadvantages that you need to have in mind.
How does reseller hosting work?
You purchase a significant percentage of a remote server from a parent hosting provider via a reseller hosting plan. This can now be separated into smaller fragments so that it can be rented or leased to potential customers through you. In essence, you will be renting resources like bandwidth, disk space, RAM, and CPU at a profit without the cost of the infrastructure.
The best type of reseller hosting is a white label. It allows you to create your own brand so it seems as if you are running your very own hosting business with servers and data centers.
Now let’s talk about some of the ins and outs.
Running a reseller business
To begin with, the web hosting market is really competitive at this time and age, and it’s only going to get tougher. At the moment, larger hosts are competing over the price points and resources offered. But don’t be discouraged. Running a reseller hosting business can be quite profitable if you put in the work and you have the right strategy.
If you are serious and determined to start your own hosting business, note that it is going to take a lot of work. Your goals should be clear from the start, and you should always aim to succeed in them. Also, know that you will need at least some tech knowledge, like web development or design, to get the upper hand. If you don’t have any previous knowledge, it is a good idea to get familiar with the technical aspects of hosting before you start your business.
Now let’s look at the advantages and disadvantages.
Advantages
Reseller hosting is an exciting new venture that can bring you a lot of advantages over other business ventures. Some of these advantages can be interpreted as reasons to start reselling.
Fast start – You can start right away. You just need to find a good plan that offers a variety of tools that will make the process easy.
IT knowledge – You don’t need to have a great amount of technical knowledge since the provider will help you with a lot of the stuff. But you need to be familiar with the terminology, so you know what is what.
Support – Providers offer customer support to you 24/7. Whenever you run into issues, you can turn to a team of experts that can help you solve them within minutes. You will not be on your own.
Add-on – If you don’t want to dive too deep into the water of hosting, you can always go with an add-on option. For example, if you already have a preexisting brand, you can just add a hosting service as an add-on option for your existing clients. This is what most web developers already do.
The advantages overcome the disadvantages but nonetheless, let’s look at them as well.
Disadvantages
Resource limitation- Your resources are dependent on the main host. Meaning it’s up to you to pick the most reliable reseller hosting that is scalable so it can be upgraded and changed if need be.
Profit- Prices won’t be on your side. Since you are a reseller, you need to do a lot of marketing and convincing in order to sell your services. You need to find your competitive advantage in order to make a profit.
Control- You are not granted full control over the server space you rent. It makes sense since you do not own the servers yourself. Therefore you will not have total control over configuration and the choice of OS.
Conclusion
Reseller hosting is a fantastic business opportunity that can help you gain additional income. Many people who are dedicated to their reseller hosting brand achieve success with their online businesses. There are many things that go into becoming a successful reseller, so you need to do a lot of research to find all the strategies that can help you along the way.
Keep in mind it’s important to pick the right reseller host subscription to avoid running into unnecessary problems that might hurt your reputation early on in the game
