If you’ve been exploring how to start your own hosting business, you’ve probably come across two popular models: Reseller Hosting and VPS Reseller Hosting.
At a glance, they may look similar — both allow you to sell hosting services under your own brand, set your own prices, and build recurring revenue without managing physical servers. But once you look under the hood, the differences are huge — and they can determine how profitable, powerful, and scalable your hosting business really is.
In this article, we’ll break down:
- What Reseller Hosting is
- What VPS Reseller Hosting is
- Key differences between the two
- Which model is best for your business goals
What is Reseller Hosting?
Reseller Hosting is the traditional way to become a hosting provider.
- You purchase wholesale hosting resources (usually shared hosting) from a provider.
- You divide those resources into smaller hosting accounts.
- You sell the accounts under your brand, at your own pricing.
Pros of Reseller Hosting:
✅ Affordable to start
✅ Beginner-friendly
✅ No server management required
Cons of Reseller Hosting:
❌ Limited customization (you’re bound by what your provider offers)
❌ Shared performance (resources are capped and shared with other resellers)
❌ Harder to scale if your customer base grows rapidly
This model is great for freelancers, web developers, or startups who want to test offering hosting as an add-on service.
What is VPS Reseller Hosting?
VPS Reseller Hosting takes the same “resell hosting resources” concept — but upgrades it with Virtual Private Servers (VPS).
That means:
- You’re not just reselling shared hosting space; you’re reselling fully customizable VPS machines.
- With root access and customizable environments, you can create specialized hosting offers (e.g. optimized for e-commerce, developers, or high-performance apps).
- Your business looks like a full-fledged hosting provider (thanks to white-label branding).
Pros of VPS Reseller Hosting:
✅ 100% White-label (your clients never see your backend provider)
✅ Full control with root access (install software, optimize performance, customize environments)
✅ Scalable resources (scale from starter packages to enterprise-level easily)
✅ Higher profit margins (VPS clients pay more than shared hosting clients)
✅ Reliable performance (your VPS allocation is separate, not just “shared scraps”)
Cons of VPS Reseller Hosting:
❌ Slightly higher starting cost than basic reseller hosting (but profits are bigger)
❌ Requires a bit more technical knowledge (though Tremhost handles the heavy lifting)
Key Differences Between Reseller Hosting and VPS Reseller Hosting
Here’s a quick side-by-side comparison:
| Feature | Reseller Hosting | VPS Reseller Hosting |
|---|---|---|
| Infrastructure | Shared hosting space | Independent Virtual Private Servers |
| Customization | Limited – provider sets limitations | Full root access & environment control |
| Branding | Sometimes partially white-labeled | 100% white-label (control panel, server names, everything) |
| Target Clients | Budget-conscious users, small websites | Businesses, agencies, e-commerce, developers |
| Scalability | Limited, capped by host’s shared server | Highly scalable – add more VPS machines as you grow |
| Profit Margins | Lower (usually $1-$5 per user/month) | Higher ($20-$200+ per VPS/month, depending on plan) |
Which One Should You Choose?
- Choose Reseller Hosting if…
You’re just starting out, have little to no technical knowledge, and only plan to offer basic shared hosting to a few clients (e.g., web design customers who need bundled hosting). - Choose VPS Reseller Hosting if…
You’re serious about building a long-term, profitable hosting business, want full control over packages and branding, and plan to serve agencies, online stores, or businesses who demand performance and reliability.
https://tremhost.com/vpsreseller.html
Why VPS Reseller Hosting with Tremhost?
While both models can work, VPS Reselling is the future-proof choice — and Tremhost makes it unbelievably simple:
- Full white-label platform (your customers never see Tremhost behind the scenes).
- WHMCS-ready automation for billing, client management, and support tickets.
- Custom VPS packages (you choose plans, features, and pricing strategy).
- 24/7/365 backend support (we handle server management while you handle your business).
- Scalable plans from just $30/month, with profit potentials hitting $2000+/month.
https://tremhost.com/vpsreseller.html
Final Thoughts
Both Reseller Hosting and VPS Reseller Hosting can help you start your web hosting business with minimal upfront cost.
But if you want higher profits, more control, stronger branding, and the ability to scale, VPS Reseller Hosting is the clear winner.
With Tremhost, you don’t need to worry about servers, uptime, or complex system administration — we handle the heavy lifting. You focus on building your brand, attracting clients, and keeping the profits.
👉 Ready to launch your hosting business the smarter way? Start your VPS Reseller Hosting with Tremhost today.
