If you offer $1.00 hosting, then everyone else who resells will have to do the same to meet its competitors. I would suggest you plan your business and think it over on how you want people to view your hosting company.

Offering cheap hosting services is not a thing you pass judgment on as their Support way be top notch - you never know.

A large Host can offer $1 for a week as a marketing idea

$1 plan could be a good start for your company if you are going to resell any standard web hosting company's reseller plans and can still make profit.

Let's do a math. Hostgator is offering a reseller package at $25 a month with which you will get 25 GB disk space and 250 GB bandwidth. So, now if you can get 50 customers under that package each having only 500 MB disk space and 5 GB monthly bandwidth at $1 a month, you have already made $25 profit for that month.

You made exactly how much you invested in profit for a month. Think about the potential if you succeeded with the business here.

Of course, it's not going to be easy to get new customers for a newly started web host. You should be ready to face loses for the first couple of months and create a name to succeed in this business.

$1 plan .. Hiimmm... If people have very small website and not update frequently... Ok it is good.. but for others... it is not trustable.. I never choose such a plan.. I am sure it gives lots of headache..

It will sell a lot but what's the point. How much profit do you make if you even do? I would recommend increasing your price to atleast 5$ or more.

I also dont think $1 accounts would be good.

Dont think you would cover any fees E.g server, time, server.

This could work but make sure you make profit and like offer a good amount of Bandwidth and Disk Dont over sell your server or reseller from just selling 1$ plans with alot of disk and band.

$1.00 is a good marketing tool I think. Also, $1.00 hosting plans can make you a lot of $ as long as you make the packages worth the $1.00 and not overselling or underselling it.

I don't see offering $1 hosting as a bad thing. However, as the others said, will it be enough to cover operational costs?

If you're planning to offer a $1 plan, you should make it basic. For example, you can cut down on the features, such as Shell Access, the number of MySQL databases, domains, etc.

Space and bandwidth shouldn't be too large as well - space should be no larger than 1GB and bandwidth no larger than 15GB.

I agree 100% Bikster. Making the plan basic will showcase your other plans and make those seem more worth the money.

Its a good marketing idea... but aside from that.. after processing fees and labor your not going to see much of that $1. Hope its a real basic non feature rich plan.

Well, it would have to be pretty basic for $1.00.

Your not going to make enough to cover costs

yea toxicdav3 makes a good point. I don't see how you can make any profit from 1$ web hosting. Unless you use it as a coupon on another web hosting plan.

The whole point of the $1.00 plan is to showcase your other plans. You make your other plans seem more worth the money.

Also, it could be used as a coupon based marketing plan. That would draw in some customers as well.