The word Reseller in accordance to the dictionary means to sell again i.e. to sell a product or service to the public or to an end user, especially as an authorized dealer, while making sure that you make a profit on the sale. Reseller hosting is no different either, a reseller buys a web hosting package from a hosting company and tries to sell it independently. The profit for the reseller lies in either the discount or in the commission she/he gets from selling an account. For example: The reseller might buy a package whose features are valued at $100 for $90. So, the reseller stands to make a $10 gain on selling the package to shoppers. More often than not as the clients increase, so does the profit margin for the reseller. Or, you can obtain some money by earning commissions from a internet hosting company. This happens when you pass on potential customers to the hosting company. If the customer signs up with the company then you earn a small recurring commission until the customer stops using the services. Most web hosting corporations try to contract out their services to resellers as it helps them to extend their business reach without the cost of marketing and sales and also helps them to concentrate on the business side of things. What can be resold as a reseller you can decide what kinds of services you can sell. You can provide shared, dedicated or co-location web hosting or merchant accounts, store fronts etc. If you go with hosting then it might be useful to offer some other hosting related services like domain names, search engines etc. Of course, if you have problems selling these value added services in the beginning then you can sell them later. The cost and resources involved The cost of becoming a reseller and the equipment and people required in order to be successful depends on many factors. If you just plan to earn commission by referring people to the hosting company by using the Internet, then you do not have to put up a lot of money, all you need is an Internet ready PC and an Internet connection. For a small start-up not a lot of money and resources are required. You can purchase a good reseller package from a hosting company by paying them some money upfront. All that is needed is a decent computer that can manage the accounts of customers and a good Internet connection. It is highly recommended to start small if you are very new to the concept of web hosting and reselling. Then you can increase as you go on and start getting more and more buyers in which case offering domain registration is also a very good way to make profits.

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