Portal Home > Knowledgebase > Articles Database > Reseller web host business help. new business
Posted by Tducketts, 10-12-2010, 12:44 PM Hello everyone! I have been browsing the forum for a couple days and decided to get signed up! Let me say thank you to everyone that contributes on this forum, your information and expertise is ALWAYS appreciated. So for some time now I have been interested in starting a web hosting company. I really enjoy the networking side of it, in addition to the business side. I currently work as a computer technician with A+ and Network+ certifications, so computers are no new thing to me. However, you can only work as a tech for so long before you get bored..... Enter idea of moving forward with my interest of starting a business. I am choosing web hosting for a few reasons. One main reason being i can continue working with my current employer without having a conflict of interest and jeopardizing my job! I am also interested in web hosting because I have a few friends who are working on the web design side of things and it is a great opportunity for us to support each others business and work. I want to get this out in the open now. I am NOT looking for a "get rich quick" business or anything of that sort. To be perfectly honest, if I were to only break even in my first year and had nothing more than free web hosting, I would not be upset! I am looking for a new and exciting challenge that I can eventually grow into something profitable but I don't expect it to start overnight. I guess I should try and focus my post a little more. I am just looking for some advice on where I should start with this endeavor. One thing that seems fairly common along the lines of advice is to make a business plan. I feel this is absolutely necessary and excellent advice. Could anyone point me in the right direction of things I should have on a business plan that are relative to web hosting? Perhaps someone has a sample plan to share? I am not asking for a businesses trade secrets or anything, so please don't take that question the wrong way; I am just looking for sample of what my thought pattern should be. As far as reseller accounts, the main company I have looked at teaming up with has been Host Gator. I spent a good deal of time talking with their online chat support/sales associate and to be honest they seem like a good company to work with. Their support seems very good and the tools they supply with their reseller account seem like a great asset. Does anyone have any experience with Host Gator reseller accounts to offer? Sorry for the wall of text! I clearly have a lot running through my mind and no where to direct it! :-O Thank you everyone for your information, it is truly appreciated! ~TDucketts
Posted by SSD-Greg, 10-12-2010, 02:15 PM HostGator is a great company to start a company with, if you look at there Reseller Page you can see they also offer a free book called Web Hosting, its a great web hosting book and can teach you a lot. Also they provide WHMcs billing script witch is one of the best billing scripts around in the web hosting industry. They also use cpanel web hosting control panel its also a great feature they provide.
Posted by TBradley, 10-12-2010, 02:38 PM Not doubt, HostGator is a great Company. I hope you do not mind but I have a few questions to ask. How many hours are you wanted to work on this per day? Do you think you will be needing end user support for when you are at work, asleep, etc, or are you targeting a niche where maybe 24 support is not necessary?What is your monthly budget?If you do not mind sharig, what is your niche? Some niches would require something more then a reseller account, such as a VPS or Dedicated Server. If you do not mind answering these couple of questions I can definitely help lead you in the right direction!
Posted by Tducketts, 10-12-2010, 08:25 PM TBradley, Thank you for your post and question. These are exactly the things I need to be thinking about. How many hours are you wanted to work on this per day? Do you think you will be needing end user support for when you are at work, asleep, etc, or are you targeting a niche where maybe 24 support is not necessary? I am hoping to start out in an area where 24 hour isn't needed. my initial thought was support via email and if I needed clarification on an issue I would take it to Host Gator support. acting as a middle man basically between my client and host gator. This is not the idea situation but how I have thought about it so far. One of my concerns has been End User support.What is your monthly budget?I don't have a "set" monthly budget yet. i am still in the planning/research stage so I have been looking at what hosting and such prices. What would be a realistic monthly budget? I don't have a lot to start with (who does?) but I also want to be realistic.If you do not mind sharig, what is your niche? Some niches would require something more then a reseller account, such as a VPS or Dedicated Server.No niche at this point really. Thanks again for your response everyone, I REALLY appreciate all the info and look forward to more!
Posted by Nik S, 10-12-2010, 08:37 PM Welcome! A few comments... -Just a word of warning, some say it's best to keep friends and business separate. If something goes wrong, you lose your business and your friends. Although, for a small web design job I suppose there's not too much reason to worry. -There are some great guides to writing business plans all over the internet. Here are two general examples, but there are a lot out there, maybe some even focused on web hosting. Search around. http://www.entrepreneurship.com/tool...anWorkbook.pdf http://www.canadaone.com/ezine/nov00...ess_plan1.html Big thumbs up for HostGator too - they have great features and support. Also, make sure you take care of legal stuff, have an acceptable use policy, terms of service, etc. - get a lawyer if you need help with that. There are also some useful threads in WHT's business forum: http://www.webhostingtalk.com/forumdisplay.php?f=6 Hmm, that's all I can think of for now, good luck!
Posted by Tducketts, 10-12-2010, 08:39 PM Nik, Thanks for the resources! I appreciate the links. I will check those out and get my learn on. Really glad that everyone seems to support using Host Gator. That makes me feel good in knowing that all of you have had good experience w them. Thanks again!
Posted by TBradley, 10-12-2010, 08:40 PM As you know, HostGator does not offer end user support, which might or might not be a problem, but the majority of web hosting providers do offer 24 hour email support at the very least. HostGator is definitely a leader in Reseller Hosting, i have dealt with them in the past and they did a pretty good job, however, they have gotten so big that they sometimes lack the personal support they became famous for! If you think that Hostgator is right for you then go for it, but do not rule out the little guys if you think they might better meet your needs! Good luck and let me know how it goes!
Posted by Tducketts, 10-12-2010, 08:48 PM TBradley, Thanks again. Very good advice. Do you, by chance, know of any reseller hosts that offer end user support? Are they comparable in price to host gator? I like the host gator price of around $25 for starting out, then being able to upgrade after that if needed. I don't know that if my budget would allow for more (since i don't know my budget yet, lol) so if there are others in that general range then I would certainly be interested in checking them out as well. I could become a Reseller Reseller, lol (jk, random thought) Thanks again@
Posted by TBradley, 10-12-2010, 09:05 PM Well Web Hosting Providers are not allowed to self promote in this forum, and since I do not operate a reseller account I can not officially give you any recommendation towards a specific host. That being said, there are several good people here that operate companies that specialize in reseller hosting, the majority of the forum members will have a link in their signature that follows to their website. Good luck and if you need anything further do not hesitate to let me know!
Posted by arelink, 10-12-2010, 10:48 PM There are quite a few hosts that offer end user support at around the same price range specified. A few I can remember are theprimehost.com, turnkeyinternet.net, spechosting.com and innohosting.com. There are more so you should look at the offers section, but with this small list you should be able to compare and set your conclusions to which suits you best. Hope this helps! Last edited by arelink; 10-12-2010 at 10:49 PM. Reason: typo
Posted by TBradley, 10-12-2010, 11:08 PM Thank you for the acknowledgment!
Posted by DigiCroft, 10-13-2010, 03:16 AM Could you specify your budget and type of business you are interested in
Posted by Tducketts, 10-13-2010, 08:50 AM Digicroft, I don't have a specific dollar amount for a budget just yet, I am still working that out. I was hoping to spend about 25 a month on hosting since the Host Gator account I was looking at runs about that much. I'm on a shoestring budget to start so I need to make smart decisions with what funds i do have. There is no certain "type" of business I am interested in as far as a niche. I have thought mainly of looking around locally and talking with businesses about their web hosting prices and such. Thanks!
Posted by TBradley, 10-13-2010, 01:10 PM Well like I have said, you are definitely on the right track by opening a WHT membership and Reseller Account! Now all you need to do is find a reliable provider that has all the features you require! Let me know if you need anything!
Posted by Dedispec, 10-13-2010, 02:33 PM You definitely have the right mind set in place to start reselling thats for sure Check out some of the large web hosts reseller programs like HostGator you should find something Good luck!
Posted by HostXNow_Chris, 10-13-2010, 04:50 PM Well it really depends on your budget, but if you are serious about this I suggest you use a managed VPS with Free End User Support, as well as keeping your own Offsite Backups. You can start off with a Reseller account if you want to though.
Posted by Tducketts, 10-15-2010, 12:42 AM HostXNow, Thanks for the insight. Is there any certain reason you suggest a VPS over reseller accounts? I am definitely looking at companies that offers end user support as you suggest. I was thinking I would start with reseller and go from there. I would like to eventually move into a situation where i have private servers for clients. Heck, I would really like to be on the server side of things so eventually I wouldn't mind having my own servers for my clients! One step at a time of course.........
Posted by TBradley, 10-15-2010, 01:32 AM You have the perfect mindset! Start off slow and scale as you need to! Right now, when trying to open a business, all you need is server administration in your way. End User Support is definitely something to consider, especially if you enjoy sleeping at night! I hope you find a good reliable provider, let me know if you need anything else!
Posted by traesian, 10-15-2010, 05:52 AM Perhaps someone has a sample plan to share?
Posted by TBradley, 10-15-2010, 09:15 AM Due to Forum Rules Hosting Providers are not allowed to openly advertise in this public thread. So basically, we want to help you, but I am personally a bit stuck if offering you something due to the Forum Rules...
Posted by Tducketts, 10-17-2010, 09:19 PM Hi all, So I believe this thread is going to continue on with my random questions and ramblings as I begin to research and learn more. I really want to get started with this, however I am forcing myself to wait a MINIMUM of a month before even taking the first steps. Realistically I feel that it will be a matter of about 4-6 months before I am "open for business." I have decided I want to focus on servicing small businesses in my area by helping them gain entry into the web in an easy and affordable way. One question I do have is about a dedicated IP address. One certain hosting option I have looked at offers a dedicated ip for $2.00 more per month. What would a benefit of this be? I have read that it can improve your ranking with search engines and helps with SEO. Just looking to see if anyone has any first hand experience and recommendations. I ramble too much, thanks all.
Posted by Tducketts, 10-17-2010, 09:35 PM Hi, Sorry, another random thought and question. Is this annoying? Let me know and I can stop. lol. Anyway, as far as reseller accounts go. I found another company in my searching. Resellers Panel. Anyone worked with this company at all? good, bad? I am reading up on them now but again value input from folks like you! Thank you!
Posted by Jamson, 10-17-2010, 09:58 PM Dedicated IPs can be used to separate your business from the reseller. With a separate IP address for your clients, they can't find other hosting accounts on the server using Reverse-IP. Some clients may require it for SSL certificates (https://) too. Resellers Panel aren't too bad. You don't get the full web hosting company experience though of managing it all yourself though.
Posted by Tducketts, 10-17-2010, 10:08 PM Hi Jamson, I appreciate the info. I feel like a dedicated IP should be budgeted in then. Doesn't seem to be very expensive taking into consideration the apparent benefit. I am looking into Resellers Panel and currently on the reseller zoom website. One of my main requirements for start up is a company that offers end user support. I plan to use company based EU support until things become more successful and I have the time to dedicate to support (aka don't have to keep the day job, a LONG way off!) Both these companies appear to offer EU support. Thanks again for the response! I really appreciate the info.
Posted by lukechris, 10-22-2010, 10:18 AM What did you do in the end?
Posted by Tducketts, 10-22-2010, 08:04 PM Hi Lukechris, I am currently still in the research and panning stages. What specifically do you have questions about? I am planning to do a reseller hosting plan with end user support using s supplied whmcs license for my client management and billing.
Posted by lukechris, 10-23-2010, 02:12 AM Hey, Thanks for getting back. What are you going to do to advertise? Google ads, or rely on forums? Thanks
Posted by Tducketts, 10-23-2010, 12:21 PM Probably neither lol. maybe some forums, but that won't be my sole method of advertisment
Posted by Jennifer Robinson, 10-23-2010, 04:07 PM There are plenty of companies that offer whmcs free with their reseller hosting plans; but speaking in terms of PCI compliant whmcs cart system, I would say whmcs + ssl is an ideal solution + and ofc end user support. I would suggest you to check the offer section to find the best deal to suit your requirements..
Posted by Tducketts, 10-23-2010, 10:37 PM Hi Jennifer, I am a bit lost on what yo mean by "PCI Compliant". Since I am new I am still learning some of the terminology, lol. Can you elaborate a bit on what you mean? Thank you very much for your added insight!
Posted by respite, 10-24-2010, 01:55 AM Are you planning to accept credit cards directly on your website? I guess thats the only time you need to worry about being PCI Compliant some reseller hosting companies specialize in having PCI Compliant servers. http://www.pcicomplianceguide.org/
Posted by Tducketts, 10-24-2010, 10:47 AM Hostestate, Great info, thanks for the link! So glad I found this forum, I am learning more every day! I had no idea there were standards and such for accepting cards. I was planning to use paypal as a payment method for the time being until i get to a point where I'm having too much come in. I think paypal has a limit of $500 a month or so before you have to start paying them for an upgraded account. If i exceeded the $500 limit I would be happy! lol. Is it ill advised to use paypal as a (the) payment method for my clients to pay for my services?
Posted by respite, 10-24-2010, 10:54 AM I was not aware of any direct limits with paypal I though the limit was like $5000 before having to verify your account (Identification etc) In all honesty alot of clients use our credit card option which we have a $10,000/month limit before upgrading to a new solution. (This is third party there for I don't need to worry about PCI Compliance.)
Posted by Tducketts, 10-24-2010, 11:09 AM thanks again for the info. How does the third party credit card option work? I assume you pay a monthly fee or a percentage or both?
Posted by TBradley, 10-24-2010, 02:39 PM It would work like PayPal. Basically, you have to be PCI compliant if you are storing peoples credit card information on your server, otherwise, you do not need to be. Becoming PCI compliant in the future when you need to upgrade to a better payment solution should not be hard as long as your host is willing to help out!
Posted by respite, 10-25-2010, 06:50 AM I heard its not just about your hosting provider the datacenter etc needs to be PCI compliant its not just about your hosting machine can anyone provide clarification to that?
Posted by Jennifer Robinson, 10-26-2010, 05:00 AM Yes thats rtue.. The datacenter also needs to be PCI compliant. The PCI standards set out different measures for different areas of ecommerce in which cardholder information is being handled, and these different measures can be taken in different situations. The main actions one can take to ensure that his/her hosting environment conforms with PCI standards include: the building and maintenance of a secure network this in theory means that you should install a software firewall on your server to block any unwanted connections and that you should customize particular security rules and any passwords that you may have on software applications since you may find that you are still using the original default passwordsthe protection of cardholder data to protect any personal information of others that you may be holding on your systems it is recommended that you use anti-virus software that will detect any trojans that are trying to steal such data, and you should also ensure that such information is encrypted so that if a malicious attacker does gain access to it that it is no use to them you should also use SSL certificates so that any personal information that is being communicated between your sevrer and a client computer is encryptedsystem and network monitoring you should regularly monitor all the traffic that is coming and going from your network, most specifically the traffic that may be accessing or trying to access any personal information you are holding, more notably your databasespractical methods you can use more practical methods such as ensuring that only those who need access have access to the personal information that you are storing, and that each different user who needs access to your computer network has their own logon ID.
Posted by HostXNow_Chris, 10-26-2010, 07:00 AM I have a page with info about this at my own site, but as I am not allowed to link to it, I will provide a link to another site instead. Good info about PCI Compliant Web Hosting at http://blog.eukhost.com/webhosting/p...t-web-hosting/
Posted by btchadski, 10-28-2010, 02:53 PM Hey guys, 1) Do companies usually provide resellers with a website to process orders? (or does it have to be built, etc) 2) How does one offer shared hosting for sale on their site, alongside VPS and dedicated? (can WHMCS manage shared hosting with one provider, VPS with another, etc?)
Posted by lukechris, 10-28-2010, 03:06 PM Usually, resellers already have a website built up, and it would not make much more money to make up a site for them anyway. WHMCS can control all types of hosting, from Shared hosting, to Dedicated and even game servers
Posted by HostXNow_Chris, 10-28-2010, 03:07 PM Hi, No, most users just modify a free template and use that, at least until they are making enough back to buy their own unique design from a place like http://www.webhostingtalk.com/forumdisplay.php?f=56 Yes, you can do that in WHMCS by using the Servers/Groups section http://wiki.whmcs.com/Servers
Posted by btchadski, 10-28-2010, 03:08 PM lukechris, Thanks for your reply. So in other words, I can get HostGator reseller hosting, and then also set to resell VPS and dedicated from another provider?
Posted by lukechris, 10-28-2010, 03:09 PM That is correct, obviously you need to add all of the different servers and packages manually, but yes this is possible. Thanks!
Posted by btchadski, 10-28-2010, 03:22 PM HostXNow, Wow, thank you for that! ..Could I buy my dedicated server from provider X and then choose to re-sell it as VPS? (hopefully that makes sense..)
Posted by lukechris, 10-28-2010, 03:23 PM Yes, SolusVM is the most popular control panel. I'd have a read and a look at some trials before doing it though. Thanks
Posted by btchadski, 10-28-2010, 03:27 PM lukechris, it looks good, thanks =)
Posted by HostXNow_Chris, 10-28-2010, 04:10 PM No problem at all. =)
Posted by Tducketts, 11-02-2010, 01:47 PM Howdy everyone! Well today I started working on my business. I put together a mock site using an open source template to get an idea of how i want my page to look. I also started working on a rough business plan just to get my ideas down somewhere other than my brains, lol. I now have a general time line of how I want my next 3 months to go (aka, Quarter 1) and what I want to accomplish and a rough idea of when. I split Q1 into the 3 months and listed each thing i want done by those months end. This is going to offer me a basic "check list" of what to do. I also listed the tasks in a more or less logical order. November 1st starts the beginning of my first Quarter, and it will also mark the beginning of my Fiscal year. Let's hope I can get the stuff done I want!
Posted by Tducketts, 11-02-2010, 01:53 PM my previous post was actually suppose to be posted a few days ago, but apparently it didn't go right, lol
Posted by btchadski, 11-02-2010, 02:19 PM How will it work with WHMCS?
Add to Favourites 
Print this Article
