I want to make money from reselling web hosting. I see two paths: Be an affiliate and get money from simple referrals. Be a reseller and buy services and resell them.
I think the most common misconception is that web hosting gives quick money. I think there are still alot of potential in web hosting so long as there is internet. However, hosting business do not come as easy as buying a reseller account and split it up. It requires a focus and target your audience right to ensure they feel confident in having his data stored in your servers.
If you want to make a living from it you would have to run hundreds or thousands of these services. Considering the required support effort this may not be feasible at all. Especially as a retailer of a reseller.
Affiliate program is more easy then Reseller program.
If u become Reseller,You will also need some sort billing and/or support software to manage your clients.
Web hosting is a business and needs to be aproached as such. You will not get rich quick, and it’s a lot of hard work. If you do not have the capital, hosting knowledge, or desire to run a business then I would recomend you to go with the affiliate route.
I will always recommend newcomers to start with an affiliate program. Reason being you need not worry so much about technical support and after sale support. On top of that it offers you an established name that need not much further advertising.
With an affiliate program you can quit easily, if it no longer suit your need. This is not easy for a reseller to quit a market because you have a string of clients that you have to pass them on.
Note that if you do purchase a reseller plan and resell them, you have to do your own support, sales and billing.
If you use refferal, than you don’t have to worry to much.