What if client stops payment to my reseller? - HTML Forums

supwd · 11-03-2009, 06:39 PM

So I am starting a reseller, ( not yet sure with what company, you guys can suggest something to me if you want )

The way I will be selling web hosting through my reseller is because I have many small websites which I know I can sell a couple a week. Included in this price would be an agreement that they have to stay with my web hosting company for 1 year. So should I bill them upfront for 1 year, ( which may lose a couple clients ) or should I bill them monthly?

My question is, what happens if we have that agreement, and a couple months in they just decide to stop paying? How can I collect payment? I would really love to offer monthly billing, but am afraid I may run into this sort of problem.

Thanks!

Glen Ross · 11-04-2009, 07:49 PM

I wouldn't suggest you to keep any contracts with the hosting package as hosting providers don't do this and some of them also offer 30 days money back guarantee with the hosting package.

I would suggest you to keep the hosting package on monthly billing cycle and offer a great deal on annual billing cycle i.e. some discount which might pull some of your customers to annual billing cycle

trouble706 · 11-06-2009, 01:12 AM

First, you cannot force anyone to continue allowing their web site to be hosted by you if they want to change hosting companies. At least not and be a reputable host.
Offer a discount if people want to pay by the year, but by now means should you insist on a contract if you want to succeed in hosting.