Due to the rise in e-commerce, blogs and internet gross sales, more and more people have started to venture into the web industry to host websites on internet. Reseller Hosting is a service supplied by a net user who has already bought a web hosting service. The reseller further leases out his allotted server space to host websites for other clients at a higher price. In other words, the bigger company has purchased the hosting service at a wholesale price and is further reselling it to smaller companies in separate segments. The arrangement allows a Hosting Partner to start his/her own hosting company without any physical infrastructure. It is like leasing web space and sharing it with other businesses and charging them for the rent.
A Hosting Partner is a person or a company that acts like an agent to resell the hosting companies products and services. The partner can receive commissions or discounts from the web hosting company. They may even create their own custom web reseller accounts to resell to clients. There are several companies providing Reseller packages. A partner can set his/her own specifications and pricing and can start-up his/her own hosting company which can produce good profits. A partner becomes a seller of all the services provided by established webhosts.
To set up a Reseller Hosting business one does not need high investments for setting up server equipment or any type of special technical knowledge about managing hardware, software or trouble shooting connectivity problems as these are taken care by the primary hosting company. The original web hosting provider is usually the main source of support and backing it there are any technical issues related to the websites or the server. The data center operator is generally responsible for maintaining the networking, hardware maintenance and the configuration of the server. The operator also takes care of the updating and the security of the server. A partner only needs to deal with customers and with the data center operator and does not have to bother about any other thing.
Resellers are free to start-up their own brand with a different name that ultimately helps them to build up their own business of web hosting in no time and without any additional hardware or software. The income from the business is considered as recurring revenue because as long as a partner successfully finds new customers and retains them to stay with the hosting plan, the business continues to earn profits.