Is it legal to....

I can't speak for other hosting companies but with Hostgator I pay I think $7/mo and it can host unlimited domains. It might be a good idea to upgrade if you plan on building new sites. Be sure to charge your clients a hosting fee as well, usually somewhere in the $10-$15 range. Get enough clients and that can add up over a year's time.

Congrats on your first client! No feeling like it!

Me and a friend shared a Host Gator account for awhile just to save money and we had a ton of websites running on it with no problem. I think it would depend on the details of your plan.

It is NOT a good policy to host a client's site on your own hosting package!

Sh*t happens:
- the client wants to go with another webmaster... Will you give them full access to your hosting panel?
- you get hit by a track... the client will never get access to his/her own website

The clear thing is:
a) have domain registered in their own name (billing to go to them)
b) have their own hosting package, even if they stay with you for years, they still have the access info

Trust me, on long term this is the only wise solution.

I have the host gator $300 per year reseller plan (aluminum) which is the least expensive. It costs to host each domain name approx $1 per year. If you want to get hosting that is inexpensive... Well, blue host is $3.95 per mo.

It is $2.95 at i page, but I have never use this one. Quality is important to us.

You should look into reseller hosting accounts. They are the best solution for the type of business you are running. You will be able to develop individual hosting accounts for your clients and still have access to them in case you need to make changes. Checkout the features HostGator has to offer for reseller accounts.

Regarding domain name registrations, so long as you are authorized to act as the registrant of your client's domain name, you are not doing anything illegal or wrong.

Just register the domain in your own name and then you have control over it. Then for now to save money put it on your own hosting to save money.

If she ever wants to go elsewhere then you will still own the domain and can just delete it from your host.....but that is worse case scenarion for everyone.

Once you have this site up use it as an example to get more clients then move over to reseller hosting.

Here's my advice: Asking for legal advice on a public forum can certainly
cause you to have some issues down the road. If you are worried about
something being illegal, then it'd be in your interest to consult a lawyer.

I would highly recommend not to be in possession of the domain for the
business. You should allow them to be in control of it incase there is a
problem with it down the road. As for hosting, I have personally hosted
numerous client's domains on my servers.

First, congratz!

For the hosting, like what others said, you should get your client their own hosting account, however I do understand that you may have charged them very low just to secure their account.

What you can do is to bring up the idea of hosting and check out where you can get hostgator coupons that allows for 1 cent for the first month. Then mention to them this package. This way you can give them the impression that they will save money and that you really are helping them by providing them with the 1 cent for the first month hosting option.

Be honest with them and tell them that with the present package they got, they won't have an option for their own hosting and that you will only share your hosting with them. Then present them with the 1 cent hosting offer from Hostgator - just for the first month. In my opinion it will solve the hosting concerns you now have.

Hi Brit,

first thing I'd go for, what is the name of your service provider - in this case, what is that company called?

If you provide us with the link, it will be very easy to locate Terms of Service and I'm sure that someone with sufficient knowledge will provide you an answer ASAP.

But concerning HostGator, WATCH OUT! If you're an owner of normal hosting, which comes with all that perks, such as unlimited this and unlimited that and yet you want to provide the space for your friends for little $, that would be actually illegal. For that matter, they got affiliate program and RESELLER HOSTING, which is obviously more expensive than the ordinary one. Thing is, they apparently have no chance to find out that your friend is paying you some untaxed money, but I'd be extremely cautious, because internet crimes have sometimes more severe punishments than, ugh, other bad things, they got even its own special FBI unit for that, no kidding, but don't want to scare you off, just be careful to who you are selling this.

This goes for HostGator, if you have a different one, please ignore, but it is more likely that they will have very similar legal aspects of ToS;
If you of course have the resellers' plan, than you have nothing to worry about.

Wish you best luck!

Regards,
George S.

There is nothing wrong with registering the domain and hosting FOR this client on their behalf. But (and I speak from experience), consider 5 years down the road: 10 years : 15...

What I see happen too often (and most recently to a close friend of mine, also a client), is that the previous "web guy" ditches them (the one that "helped" with EVERYTHING, including registering domains/hosting in their own account), and they (previous web guy) cannot be gotten a hold of. The unfortunate consequence? They've lost a domain (pretty important to their business) that they could not renew because it was in an account they could not control. A 'domainer' snapped it up for x, and is reselling it for y as a premium domain at auction .

So, in short, don't do that to your client. Setup an account FOR them, with a provider that YOU trust and can work with, and walk them through account creation, domain reg, and setting up hosting (I actually sit with my clients and do this). Help them understand HOW to manage this account, that THEY are responsible for hosting and reg fees, and that YOU are there to help, but NOT to manage. Remind them that this puts THEM in control. TELL them that having a website can improve their business by x-percent, but those hosting and domain costs are a very marginal part of business (they pay rent for brick -n- mortar, I'm certain they understand renting webspace would be no different).

Part of removing yourself from this equation is, you assume NO liability for loss of domains, and you can extricate yourself from problem clients (there can be some!) without any problem as well. AND, furthermore, ALWAYS focus on what your specialty IS. If it is website building, then BUILD THEIR WEBSITE, don't manage their account! That's not what they hired you for (and you are dis-empowering them by doing so, whether you realize it or not!!) Good luck! Congratulations on your first client!