I think reseller plans are a dirt cheap way of getting in to this business. How many businesses can you think of that you can start for the price of 10 McDonalds/month I view reseller plans as a stepping stone up to VPS, Dedicated and then colocated services. ~$30-$40 isnt really a lot of money if you are starting up a business. You could easily sell 5 hosting plans and cover the costs of your hosting.