How to Start a Web Hosting Company?

How to Start a Web Hosting Company (The Complete Guideline) - Web ...

We live in an online world. If the current lockdown is any indication, the future is online too. Over the last few years, we have seen a remarkable increase in the number of businesses and individuals launching their websites and working on creating a memorable online presence. Since every website needs a host, hosting companies and Hosting Resellers have capitalized on this trend and established profitable businesses. While a hosting company has the infrastructure and a team of experts to boast of, Hosting Resellers have managed to carve a place for themselves by offering tailored web hosting plans since they focus on a much smaller market segment. If you have been contemplating starting a web hosting company, then here are some pointers to help you get started.

Get the basics of the business in place 

Before starting any business, it is important to clearly define your objective. Reseller Hosting is a profit-making business, so earning money is not the only objective. Do you want to grow your business into a full-fledged hosting company by purchasing infrastructure? Or, are you looking to introduce a source of secondary income to your existing business? Maybe, you are a freelance web developer looking to offer a more comprehensive basket of services to your clients? A clear definition of business goals will help you create a strategy and plan that is in sync with them.

Who are your clients?

Many Hosting Resellers commit one common mistake – they try to sell to anyone who needs a hosting service. There is an age-old saying – ‘If you try to sell something to everyone, then you will probably end up selling to no-one.’ We believe in this too. Defining the segment of the market that you wish to cater to is crucial to establish your Reseller Hosting business. A well-defined target client segment can help you create packages that are tailored to their needs. It can also help you market your services in an effective and targeted manner.

Who are your competitors?

Once you know the target market, you need to look at who is currently catering to the hosting requirements of the segment. There is no market that is not being catered by any hosting provider. Hence, you need to research and find out about the possible competitors that you will be facing once you enter the market. Look at the current features being offered and design a hosting package that offers features better than those offered by your competitors. You can also create pricing plans that are competitive and cost-efficient.

Know what you are selling

You might have read somewhere that you don’t need to be a technical expert to start a Reseller Hosting business. While that is true, you cannot sell a service if you don’t know what you are selling, right? Brush up on some basics – enough to be able to explain the features to your clients and create packages as needed.

Choose the right Reseller Hosting Provider

Reseller Hosting is undeniably the most cost-efficient option to start a web hosting company. Since you buy resources from a Reseller Hosting provider and sell customized packages to your clients, the performance of your packages depends on that of the server managed by the provider. Hence, it is important to consider all aspects like a comprehensive control panel, round-the-clock support, top-notch security, and high-performance servers.


Remember, a web hosting business can be highly profitable if you keep the points mentioned above in mind before starting. Good Luck!