Reseller hosting is a business model where individuals or companies purchase hosting resources wholesale and resell them to their own clients under their own brand. This allows entrepreneurs to start their own web hosting business without the need for expensive infrastructure or technical expertise.
Reseller hosting involves buying server resources in bulk from a parent hosting company
You allocate these resources to your own customers under your brand
Essentially acts as a “middleman” between large hosts and end-users
Feature | Reseller Hosting | Shared Hosting | VPS Hosting |
---|---|---|---|
Purpose | Selling hosting | Personal use | Custom projects |
Control | WHM access | cPanel only | Root access |
Resources | Allocated to clients | Personal use | Dedicated to you |
Billing | You bill clients | Pay provider | Pay provider |
✅ White-label solution – Brand as your own
✅ WHM control panel – Manage multiple cPanel accounts
✅ Scalable business model – Start small, grow as needed
✅ Recurring revenue – Monthly subscription income
Parent company provides server space on shared, VPS, or cloud infrastructure
You receive access to WHM (Web Host Manager) control panel
Each client gets their own cPanel account with isolated resources
Disk Space & Bandwidth Pools
Fixed amount divided among clients
Flexible distribution (some clients use more than others)
Per-Account Limits
Set fixed limits per client account
More predictable but less flexible
Parent Company
Maintains hardware and network
Provides technical support
Reseller (You)
Manages client accounts
Provides first-line support
Handles billing and marketing
End Clients
Use cPanel to manage their websites
Contact you for support
Low startup costs (No server hardware investment)
Recurring revenue stream (Monthly subscriptions)
Scalable business model (Add more resources as you grow)
Diverse income potential (Upsell domains, SSL, etc.)
No technical expertise required (Parent company handles servers)
White-label solution (Build your own brand)
Pre-configured environment (Ready to sell immediately)
Create custom hosting packages
Set individual resource limits
Monitor client resource usage
Automate billing and suspensions
Most common and affordable option
Multiple resellers share same server
Best for starting out (50-100 clients)
Dedicated virtual server resources
More control and better performance
Ideal for growing businesses (100-500 clients)
Scalable resources on cloud infrastructure
Higher reliability and uptime
Best for established hosts (500+ clients)
Feature | White Label | Private Label |
---|---|---|
Branding | Your brand | Your brand |
Support | You provide | Parent company provides |
Control | Full WHM access | Limited control |
Pricing | Lower margins | Higher margins |
Choose a niche (Local businesses, WordPress, eCommerce)
Select reseller provider (Compare features/pricing)
Create hosting packages (Bronze, Silver, Gold tiers)
Set up billing system (WHMCS, Blesta)
Develop your brand (Logo, website, pricing)
Market your services (SEO, social media, partnerships)
WHMCS or Blesta (Billing automation)
ClientExec (Account management)
cPanel/WHM (Hosting control)
Softaculous (One-click installs)
Provider | Starting Price | Accounts | Storage | Best For |
---|---|---|---|---|
HostGator Reseller | $19.95/mo | Unlimited | 60GB SSD | Beginners |
SiteGround Reseller | $42/mo | Unlimited | 40GB SSD | WordPress |
A2 Reseller Hosting | $18.99/mo | 40 | 60GB SSD | Performance |
InMotion Reseller | $15.39/mo | Unlimited | 80GB SSD | Support |
Namecheap Reseller | $16.88/mo | Unlimited | 30GB SSD | Budget |
Basic: $5-10/mo (1 website, 10GB storage)
Professional: $10-20/mo (Unlimited sites, 50GB)
Business: $20-50/mo (Premium resources, priority support)
Domain registration ($10-15/year)
SSL certificates ($50-100/year)
Website migration ($50-100 one-time)
Maintenance plans ($20-50/month)
Onboarding process (Welcome emails, documentation)
Resource monitoring (Prevent abuse)
Renewal reminders (Automate through WHMCS)
Regular updates (PHP versions, software)
Security monitoring (Malware scans)
Backup solutions (Offer as paid add-on)
Local SEO (Target “web hosting in [city]”)
Partner with web designers (Affiliate program)
Content marketing (Blog about web hosting)
Social proof (Client testimonials)
Niche specialization (e.g., “Hosting for dentists”)
Superior support (24/7 availability)
Unique features (Free migrations, SEO tools)
Challenge: Server outages
Solution: Choose provider with 99.9% uptime guarantee
Challenge: Resource abuse
Solution: Set clear limits and monitor usage
Challenge: Client acquisition
Solution: Offer first month free or money-back guarantee
Challenge: Price competition
Solution: Compete on service quality, not price
Upgrade to VPS reseller (More resources)
Add managed services (Website maintenance)
Develop your own infrastructure (Become full hosting provider)
When consistently hitting VPS resource limits
Need for custom configurations
Enterprise clients requiring higher SLA
Web designers/developers wanting to offer hosting
Entrepreneurs seeking recurring revenue
IT consultants expanding service offerings
Agencies managing multiple client sites
Those wanting hands-off passive income
Businesses needing custom server configurations
Anyone unwilling to handle client support
Research and select reseller provider
Register your business name/domain
Set up billing/automation systems
Create hosting packages and pricing
Develop marketing materials
Launch and start acquiring clients
Reseller hosting offers one of the most accessible ways to start an online business with relatively low risk and high potential rewards. With the right strategy and provider, you can build a sustainable hosting business that generates passive income while helping other businesses establish their online presence.