How to Start Web Hosting Company Cheaply


The cost of starting a web hosting company will be as low as $300 or as high as $10,000 depending on the route you take to start the company. But when you understand the art of web hosting, starting a company for as low as $300 won’t be something out of this world.

A normal web hosting company requires the following:

  1. A domain name
  2. Web hosting space
  3. Website
  4. License
  5. Office space
  6. Staff members
  7. Servers

If you manage to acquire every item listed above, you’ll spend more than $10,000. In this article, we shall take you step by step on how to spend $300 to start a web hosting company that can generate more than $1,000 every month.

When you start a web hosting company, it means you have a couple of clients you wish to host. Web designers are some of the professionals who need to own their hosting firms. This is important for them because they get clients who need hosting services.

The procedure of starting a cheap web hosting service is as follows:

  • Buy a domain name

The first step is to purchase a domain name. I suggest that you buy one from Bluehost at $11 per year.Click here to visit Bluehost

At Bluehost website, click on domains, then search for the preferred domain name for your company–make sure the domain is available before you proceed to pay.

  • Choose hosting plan

The next step is to pick the appropriate hosting plan you will use to host your clients. You should start with Shared Hosting because your clients will be owning less active websites. Under shared hosting,select Choice Plan which is recommended by Bluehost.

This particular hosting plan will host upwards of 50 websites.

Next, proceed to make the payment. After choosing Choice plan, a window will appear where you will enter the new domain name and proceed to make the payment.

The total amount of money you will pay is less than $300.

Payment can be made through VISA or MasterCard.

  • Create a website for your business

Your website should clearly indicate that you are a hosting company. Come up with website plans,i.e starter, standard and executive, then set the prices for each. At Bluehost you’ll be paying approximately $300 per year which means that your packages should cost $20 each per year. You only need 15 clients to get your money back, the rest will be generating profits for you. If you have 50 clients, it means you’ll earn $1,000 per year, implying that you’ll generate profits of $700 per year from one plan.

  • How to market your hosting company

There are many ways of marketing the hosting company but the most common one is through social media. Sponsor regular posts on social media

By following this route, you’d have avoided the process of acquiring a license, setting up an office and hiring of staff.

When the number of clients grow, purchase VPS or Dedicated servers and move them to those platforms. Dedicated Server has more resources than shared hosting.


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