So, you want to start a webhosting company but don't know where to start? I will tell you exactly what you will need and should do to start as a small company and grow.

Space To Sell

Your going to need some web space to sell along with control panel. Most prefer cpanel or direct admin as they are really popular nowdays. So i recommend you getting a reseller instead of investing money on a VPS or Dedicated server. So if you just google you will find really cheap resellers to sell or Master Resellers for Cpanel which will allow you to sell resellers. Even better.

Managing Clients And Billing

I will tell you straight, there is no other software like WHMCS, it a bit expensive; 10$ for lease and 180$ for owned which i recommend but there are some free ones like iPanels which will do all the job but again WHMCS is the best.

Where Do I Sell It?

Digital Point, SitePoint or just google free hosting and you will find tons of list. Why free hosting? If you give some free hosting, The word goes around and you will start getting costumers.

You said something about Free Domain.

Yes.  Its from register.com free for one year! or you can visit ovh.com and get .co.uk domain free for two years.