The Internet is growing rapidly, there are more websites than there are people and the online population is much greater than that of any country, including China. It is getting to the stage where it is no longer being considered a new phenomenon; the ‘.com’ bubble has been inflated and burst several times, an era of strong, stable growth seems to be prevailing currently. One of the largest growth areas is hosting, with new hosting companies sprouting all over the world, now anyone can benefit from this upward trend. Becoming a hosting reseller is easy and has the benefit of involving only very low set-up costs.

When becoming a web hosting reseller you must decide whether you want to simply earn a commission or whether you want to run a private label web hosting company. To earn a commission you simply select a web hosting company to become affiliated with and find customers for their services.

In general, the company to which you are affiliated will pay you a percentage of what each customer you refer to them spends, alternatively they may pay you a set amount per referral regardless of what package the customer purchases. Instead, you may not wish to associate your company so closely with a specific web host, it may be the case that you want your clients to believe that you are providing a full, in-house service. If this is true then the private label reseller option is for you. While most web hosting companies have an affiliate package, not all of them have a private label option, this limits your choice – the price you pay for increased independence.

The other decisions you need to make are very similar to those that would be made by someone selecting hosting for their own website. Do you wish to offer Linux or Windows based hosting? How much space do you believe you will need? The latter question is less important for resellers on commission but of vital important for private label resellers. Only buy space that you know you can sell, you can always buy more in the future, do not be tempted by the discounts associated with buying greater quantities of space.

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