How to Start a Web Hosting Company? : Web Hosting is considered a necessary instrument for today’s businesses. This is because every business is quite enthusiastic in building a presence online. An online presence can offer the potential and possibilities for a business to increase manifold by going beyond boundaries and offering its services to markets that it couldn’t tap into, or would find difficult working with offline. This increase in businesses going online has also lead to a corresponding increase in the number of Web Designers and Web Hosters looking at setting up their own Web Hosting company and catering to their clients’ requirements.
UPDATE: Here is an article where you can find reseller hosting providers that offer reseller hosting with WHMCS. The WHMCS helps you manage your billing and packages. Most providers charge for the software but these providers offer this inbuilt with their reseller hosting packages.
Web hosting can be serious business with several established players, million dollar companies in the game, but it is also a service that requires a certain degree of understanding and custom marketing. This is where you can make your niche and kickstart a highly stable and profitable business with a decent recurring revenue. Here are some key factors that you can take advantage of when you start off a new hosting business:
- Although big players exist, end customers prefer working with a friendly provider they can chat and connect with and rely on even if it means paying a slight price premium
- Word of mouth marketing is highly effective as you are usually targeting small and medium sized business – something that big companies cannot do effectively
- If you can build your niche, say in one set of industries – perhaps lawyers or doctors or in one geographic region, it will allow you to focus all your marketing efforts better and will help in word of mouth marketing since each of these communities are closely knit
- There are some very good wholesale hosting providers who are completely focused towards entrepreneurs like you and they give you a ready to use platform tailored to meet your needs and are competitively priced so that you can get started on the front foot even against established players!
How does this work:
To start a web hosting company you could use a Reseller program from the market where the big players allow you to sell their hosting services, with a margin to your customers. You simply need to signup, decide your selling price, setup your selling interface and prices and start selling! In fact some of the elite providers in this industry such as ResellerClub, offer the complete package – a complete Web Hosting suite with server location options, Linux & Windows Operating Systems, flexible plans etc, a readymade storefront and control panels as well as additional products which can you can upsell such as SSL Certificates, Domain Names, Website Builders to increase your average revenue per user!
Choosing the right provider:
Your choice of provider will depend on your requirements and your target audience. Your provider should make it as easy as possible to get started with. An easy to use control panel, attractive storefront, fully-brandable email and ecommerce store as well as offer fantastic support and the widest possible range of products so that you can be a one stop shop for your customers. It should also be future ready and allow you to rapidly scale up as your business grows, with API integration options, new product launches, great support and exciting promotions. In my experience of working with multiple hosting and domain providers, ResellerClub is one of the best in the business for both starters and establish hosts as their platform is proven with over 100000 satisfied resellers, wide array of products and multiple language support as well as all the other parameters I have mentioned above. With an initial deposit of just $xx which is also fully usable on any of their products, you simply cannot go wrong with them!