Before we move on to the actual core of the topic, we must first know about a reseller hosting service in a few words. The service aims to open a reseller account from a main hosting account, which is provided to you for a very cheap price. You can then divide your account into multiple sub-accounts and sell every one of it separately. You can create around 50 sub-accounts from the main account, which is provided to you.
The main reason why people choose a cheap reseller hosting service is because it is pretty affordable as compared to the actual web hosting service. For example, if a person buys a web hosting service, it will cost him around $35 per month. However, if he buys it and makes sub-accounts with it, he will be selling one sub-account for around $5. Hence, a person who buys a sub-account gets more or less the same services but at a much lower cost.
The things that are required for a reseller to start his hosting business are a dedicated server, a fixed amount of bandwidth and allocated hard disk space for the users. Often, the hosting company rents a dedicated server to the reseller. An alternative is not to rent the server and just resell shared hosting services. In this case, the reseller may need to sell certain bandwidth and disk space to his customers, and you can actually save the money that is required to rent a server from the web hosting company.
It may seem that a reseller is someone who is just making accounts and filling up his pocket with easy money. This is not the case. Clever website operators are often seen to go for resellers rather than original hosting services. This is because web hosting services operate on a bigger scale than reseller hosting services. So, they do not readily cater to all the demands of their customers. On the contrary, the resellers have a small traffic of people to handle, so they are always present whenever there is a problem like server breakdown or spam, malware attack or any client demand to be fulfilled.
A cheap reseller hosting service may work for web designing purposes, as a web developer or a systems integrator. Additionally, a reseller service provider does not need to get into the intricate systems of web hosting. However, the business of reselling involves extensive advertising if a person or an organization wants the reselling business to be popular.
Last but not the least, cheap reseller web hosting services are characteristically ideal for the people who are start-up web hosts, those web hosting companies who are in a plan for expansion without the assistance of a dedicated server, those individuals who are running medium sized forums for which they might be needing middling amount of bandwidth and disk space, and finally, individuals who have multiple domains and want to host all the domains with a single account.