When you buy a hosting server with the idea to start your personal website hosting company and to resell packages to various people, you may also wish to sell domain names, so that you can give your customers the chance to buy everything they need for their new site from just a single place. Being an accredited registrar involves thousands of dollars as well as a lot of documentation, so the easiest solution is to register for a domain reseller account with a pre-existing registrar company. Your reseller site will be linked to that account via the registrar's API. To use such an account has a variety of pros - all of your customers can obtain and to manage new domains with ease; the cost of a new registration is lower when compared to what you'd have to spend as an end customer; also you're able to start reselling without delay. The registrar companies which supply domain reseller accounts usually ask for some money as a deposit.