When you acquire a hosting server with the intention to start your personal website hosting company and to resell plans to other people, you may also wish to sell domain names, so as to give your customers the option to buy everything they need for their new site from a single place. To become an accredited registrar involves thousands of dollars plus a considerable amount of documentation, so the most convenient solution is to register for a domain reseller account with a pre-existing registrar company. Your reseller website will be connected to that account by using the registrar's API. Using this type of account has more than a few pros - your customers will be able to obtain and to manage new domain names without difficulty; the cost of a new registration will be lower compared to what you would need to spend as an end customer; also you're able to start reselling at once. The registrar businesses which supply domain reseller accounts almost always want an amount of money as a deposit.
