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WEB HOSTING ARTICLES

Common Myths about Reseller Web Hosting
By: Terri Wells
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    2006-03-08

    Table of Contents:
  • Common Myths about Reseller Web Hosting
  • The Control Panel Handles Everything
  • The Profit is Just a Matter of Math
  • You Won’t Have to Work Hard

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    Common Myths about Reseller Web Hosting - You Won’t Have to Work Hard


    (Page 4 of 4 )

    There’s an old joke about the man who was getting ready to quit his job and start his own business. Chatting with one of his soon-to-be-former colleagues, he said “The best thing about owning your own business is that you get to work half-days.”

    “Really?” his coworker asked, picturing glorious days of working only in the mornings and knocking off around one for lunch, then having the afternoons free.

    “Really,” the new business owner assured him. “The first 12 hours you work for your business, then the next 12 are all yours.”

    He had the right attitude. The truth is that most people with their own business work twice as hard as they ever worked when they were employed by someone else. On the other hand, if they are successful (a very big “if”) they can make twice as much money (or more). And despite the headaches of owning their own business, they often have twice as much fun.

    Those headaches should not be underestimated. There are a lot of negatives to owning your own business, and that’s true whether it’s a restaurant, a shipping company, or a web hosting business. With a web hosting company, for example, you will probably have to consider hiring help so that you have 24/7 customer service and support; you will have to deal with credit card processing fees (not to mention setting yourself up to accept credit cards in the first place); how you will advertise, and with what budget; and so on.

    You will also have the headache of dealing with your competition – and trust me, in the web hosting industry, there is a lot, and it is cutthroat. Many of these companies spring up seemingly overnight with offers of incredibly cheap web hosting. As you probably gathered from what I’ve said so far, these companies are heading straight for bankruptcy. But new ones keep popping up to replace them, which makes it hard for a company that wants to be in the business for the long haul to get established. “Why should I buy a web hosting account with you when Crazy Cheap Hosters offers the same thing for half of what you’re charging?”

    This is what happens when the barrier to entry for a particular field is very low, or at least perceived to be very low. If you really want to make a go of it in the reseller web hosting business, you need to treat it like a real business. And, as anyone who owns a real business will tell you, there are no free lunches.


    DISCLAIMER: The content provided in this article is not warranted or guaranteed by Developer Shed, Inc. The content provided is intended for entertainment and/or educational purposes in order to introduce to the reader key ideas, concepts, and/or product reviews. As such it is incumbent upon the reader to employ real-world tactics for security and implementation of best practices. We are not liable for any negative consequences that may result from implementing any information covered in our articles or tutorials. If this is a hardware review, it is not recommended to open and/or modify your hardware.

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