Nearly every major shared hosting provider offers some sort of reseller program. This includes Site5, Hostgator and SurpassHosting.

The idea behind these hosting accounts is that you get a block of server space, usually for only a modest amount more than a traditional shared account, and you then turn around and resell that space to multiple customers, thus making a profit. This has enabled many of the Web’s smaller hosting companies to take flight and is the way some of the larger ones got their start.

But most hosting customers aren’t interested in creating their own hosting company. They aren’t interested in making a profit from reselling their accounts and don’t want the headaches that come with being a Web host provider.

Still, that does not mean that they should overlook the reseller accounts. Not only are they often great deals, offering more hard drive space, bandwidth and domains than regular shared accounts, but they also offer more power.

So why should a regular hosting customer check out the reseller page, here are a few things to consider.

Reseller Hosting Features

In addition to the extra space and extra bandwidth, reseller accounts also, typically, come with a slew of interesting features that might appeal to regular hosting customers.

1. WHM/CPanel: Though most basic accounts come with CPanel, WHM is the administration Web hosts use to manage accounts on their service. It allows you to create accounts (domains), pull them offline and allocate resources to them. It also makes it easier to do CPanel transfers, making it easier to move one site to another server.
2. Custom Nameservers: Rather than having your nameservers be something like ns1/ns2.yourhost.com they can now be ns1/ns2.yourdomain.com. Though most visitors don’t see your nameservers, it adds an element of professionalism to your site and some claim can help with search engine ranking.
3. Billing System: Most reseller programs come with their own billing system. Not particularly useful in most cases, but if you ever do offer hosting to a friend, it can be handy.
4. Domain Reselling: Though not a feature of all reseller accounts, many allow you to resell domain names for a profit, which means you get access to cheaper domain names than if you had purchased through a regular registrar.

In short, a reseller hosting account gives you greater control over your slice of the shared server. You can set up new domains, control how much resources they can use and generally administer your domains in a way that, previously, only your host could do.

Many of these features are similar to what you get when you obtain a VPS account from most providers. However, there are some limitations to be aware of before taking the plunge.

Limitations

Though you’ll have greater control over your domains and your account, you will not be “root” on the server either.

Unlike a VPS or a dedicated host, you will not be able to install your own applications or servers. For example, you can’t add a different version of PHP, change out your FTP server or alter your server settings beyond adding and removing accounts.

Even though you are the administrator over the domains you control, you are still just a user on a shared host. Where a VPS or dedicated server can give you root access to your server, your reseller account just replaces your host for some of the more common functions that you might need as a user.

Also, reseller account tend to have hard caps on bandwidth and storage space where many regular shared accounts do not. If you prefer “unlimited” hosting, a reseller account is not right for you. However, bear in mind that unlimited hosting comes with restrictions on what you can do with the account, such as file hosting, where reseller accounts usually do not.

Still, there are times where reseller hosting might be a good deal and well worth considering, especially for those whose needs are beyond what can easily be done with a shared host, but they don’t quite need the full resources of a VPS or a dedicated server.

Bottom Line

Most hosting customers probably won’t have much use for the features of a reseller account. If you only plan on running a few sites and there is a good hosting plan that fits your need, a shared plan is likely best.

However, those who operate a lot of sites, such as Web designers or those who purchase domains regularly, may want the additional control and flexibility of a reseller account.

The “sweet spot” for reseller accounts sits between shared hosting and a VPS. If you need more control than a shared account provides but don’t need the resources of a VPS, a reseller account is a good bet.

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