Hmm, I believe we're talking about starting out in web hosting industry here... not blog.

When you start a new business you should have enough investment & facility to support clients. If you set up a business & you get a lot of clients but if you fail to provide support then there is no meaning.

Here is my experience. I am also setting up a reseller business at the moment.

Its hard hard hard to get clients, but don't let that put you off. Just think of ways to get into touch with clients. For instance, what I am doing is going through the local newspaper and looking into small companies that advertise there, but don't have websites.

I am doing website starter packs for them, ie, hosting and website for a good introductory deal. I have not done this yet, its my new years plan of action, but I figure that it will be very focused, targeted advertising that will cost me nothing more than a fax / email / letter or personal visit to them.

I think that this is a great niche because large companies don't give personal attention to small companies, so it might make them feel really special if you do approach them face to face.

Anyway, besides that, for hosting only services I think you should really be looking into automating your business as much as possible. Choose a reseller provider that offers you free CPanel, WHM, WHMCS. With these your clients can order and the software takes care of creating accounts, billing, registering domain names, etc, etc. This (I believe) is CRUCIAL because in order to make money off of $2 or $3 hosting packages you will need hundreds or probably thousands of clients. YOU SIMPLY CAN'T MANAGE 1000 CLIENTS MANUALLY!!!

John

Very good advise. Make sure to create a business plan that elaborates this in detail