Instead of buying a FULL reseller account and run after customers, why don't resellers offer a "eat as much as you can" offer. That is, you get discount as you buy.
I can start with 2 customers and then if I stay with the hoster and get 2 more customers (total = 4), if this continue, then I can either get discount or free account... The fact remains that the customer (me) buys when and only when he needs the webspace.

What I think you are talking about is a set plan, that you can buy for each client you have. There are several companies that offer this. In fact that was what most companies had for a reseller plan. Just recently have companies went to the diskspace/bandwidth bulk reseller packages. You seem to be able to get much better pricing with the bulk packages. If you are trying to make money, that's what you want.

Ya bulk is the better option.

As a reseller of plans, meaning you resell your host's plans at discount, your stuck w a very low markup rate.

If you do make good money via it and a customer finds out who your hosting for, they will likely leave you just to join your provider.

Bulk accounts help hide this a bit easier.
However as a reseller of any kind, Don't front like you own the servers etc.. it will only come back to bite you in the butt!!

Thats true - its better to state that you're reselling - there's nothing wrong with it!

Originally posted by Esr Tek
As a reseller of plans, meaning you resell your host's plans at discount, your stuck w a very low markup rate.

But mostly pure profit. :)

Rather than starting out with a ~US$300 overhead that you need to cover before looking at making a dollar...and sliding that out for a few weeks/month to reach a break even point first since you incur the ongoing support and billing costs as well, an affiliate/pay-per-use account generally has you earning from day one.

Cheers

Gary

Originally posted by Editor
affiliate/pay-per-use account generally has you earning from day one.
But would probably only be any good up to day 20. I don't know any largish hosts [US$10k/mth] that are just affiliates or resell per account. I guess it could technically work - maybe a large firm that's joint ventured with a host.

Bulk reseller is 1 step down from your own server and a good stepping stone to such a place. Get the hang of WHM/CPanel in a reseller platform and there's not much of a jump up to using the WHM/CPanel platform on your own server. Of course, this depends on how managed the server is and if you have a PT sysadmin etc...

A reseller account starts out at around the $20/mth mark. That's a damn cheap supply for your first batch of clients and it shouldn't take too long to make more than the cost of the reseller account. If $20/mth is too much of an issue, then you'd better not worry about starting up such a business. There are other costs to be considered here too, but you have those no matter if you have a bulk reseller account or if you resell domains 1 at a time.

Originally posted by Aussie Bob
But would probably only be any good up to day 20.

How so?

Bulk reseller is 1 step down from your own server and a good stepping stone to such a place.

Whereas the original post discusses "the customer (me) buys when and only when he needs the webspace." Nowhere near a multi-domain/bulk reseller plan Bob. Stick with the program mate! :)

Gary

Originally posted by Editor
Stick with the program mate! :)
God forbid a thread be taken slightly offtopic. ;) :emlaugh:

How will an affiliate/pay-per-use account probably only be any good up to day 20 though? That's on topic. :)

Gary