When you acquire a hosting server with the intent to start your own hosting company and to resell packages to various other people, you may as well want to sell domain names, to give your customers the chance to get everything they want for their new website from one place. Being an accredited registrar involves thousands of dollars plus tons of documentation, so the easiest solution is to sign up 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. To use this type of account has various advantages - all of your customers can obtain and to take care of new domains without any difficulty; the price of a brand new registration will be lower as compared to what you'd need to pay as an end customer; last but not least you'll be able to start reselling immediately. The registrar companies that offer domain reseller accounts in most cases need some money as a deposit.