How to Start a Web Hosting Business

 

Most of you reading this article are hosting your own website on a web hosting provider's server and know the basics of web hosting and how it works. If not, read our article on the basics of web hosting and related terms.
Today we are going to talk about how to start your own web hosting company and become your own boss. That's right, it's time to start hosting other websites and building your own online brand.

Starting a Web Hosting Company

Requirements for starting your own web hosting company
Well, the requirements are very simple. The most important thing is a small budget - really small. Second, a proper business strategy to get customers. Asking two or three friends to sign up for your service will not bring you any profit. Third, dedication and patience.

How to get started with web hosting services

What we are going to talk about here is not about setting up your own server, hiring a big nerd, a famous network, or anything like that. We are going to talk about something simply called reseller hosting. Does this sound familiar? Reseller hosting is a huge online business trend that allows anyone to start and run their own web hosting business. Not only do major web hosting companies provide tons of storage and bandwidth on their servers to their reseller hosting customers, they also charge a monthly fee for their software. You get your own powerful control panel and they also provide free themes for your web hosting website. This completely takes away the "you can code" requirement, which means "anyone can start this business". Here's how reseller hosting works
The basic idea of ​​reseller hosting is very simple: we give you 10 chocolates for $10. Do whatever you want with them. Enterprising people like you and me think that they can sell these chocolates and make a profit. Right?
As I said, they provide you with a certain amount of storage and bandwidth on their servers and charge you a monthly fee for it. All you have to do is outline your web hosting packages and plans, set storage and bandwidth limits per plan, and start attracting customers. They buy web hosting from you, you bill them monthly, they pay the reseller hosting provider, and you enjoy the remaining profits.

If you plan to change your reseller hosting provider in the future, all the websites you host will be securely transferred to the new provider without affecting your customers. So, you have the flexibility to choose who will do the back-end work.

But things are not as simple as they seem. There are thousands of web hosting providers in the web world, and it is your responsibility to clearly show your customers which services they should buy from you, instead of from the 1,000+ other providers already established. Every business makes profits and losses, so it's the same here. If you're not getting customers and your monthly bills are less than what you pay to the reseller provider, then you're losing money.
Well, that's it. Now is the time to test your business strategy. Most of you reading this article are hosting your own website on a web hosting provider's server and know the basics of web hosting and how it works. If not, read our article on the basics of web hosting and related terms.
Today we are going to talk about how to start your own web hosting company and become your own boss. That's right, it's time to start hosting other websites and building your own online brand.

How Reseller Hosting Works

The basic idea of reseller hosting is really damn simple. I'll give you ten chocolates for $10 and you do whatever you want with it. Business minded people like you and me think of selling these chocolates and making a profit. Right ?

That's what it is, as said, they'll provide you certain amount of space and bandwidth in their servers and will charge you a monthly fee for that. What you have to do is, sketch out your web-hosting packages and plans, set disk space and bandwidth limits for each plan and attract customers. They buy webhosting from you, you bill them monthly, you pay your reseller hosting provider their fees and you enjoy with the remaining profit!
If you plan to change your reseller hosting provider in the future, then all the websites hosted by you will be safely transferred to your new provider without affecting any of your customers. So you've got flexibility     in choosing who does the back end works for you.

But things aren't as easy as it sounds. There are thousands of webhosting providers out in the web world and it's up to you to make your customers know what they should buy service from you rather than the already established 1000+ others.

As every business has profit and loss, the same goes for this. If you don't get customers and if the monthly billing is less than what you pay your reseller provider, then you'll incur a loss.
Well, that's it. Now it time for you to test your business strategy.