If you obtain a web hosting server with the intention to start your own website hosting company and to resell packages to various other people, you may also want to sell domains, to give your clients the option to obtain everything they need for their new website from just a single place. Being a licensed registrar involves thousands of dollars and a lot 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 linked to that account via the registrar's API. Employing this type of account has a variety of pros - all your customers can get and to take care of new website names with ease; the price of a new registration will be lower as compared to what you'd need to pay as an end customer; what's more you will be able to start reselling instantly. The registrar companies which offer domain reseller accounts usually need a certain amount of money as a deposit.