A reseller individual (merchant) that purchases goods or services with the intention of selling them rather than consuming or using them. This is usually done for profit (but could be resold at a loss). One example can be found in the industry of telecommunications, where companies buy excess amounts of transmission capacity or call time from other carriers and resell it to smaller carriers. The companies visited to and pitched to by software resellers are often small and medium enterprises (SMEs), local businesses. This benefits are as they may not hold the resources for the legwork needed to spread their network on a lower scale. While it benefits the reseller because he/she can build up networks of smaller clients and become a single point of contact.A software reseller is a consultant who sells the software from large companies under a licence. They have no legal employment status with the parent company and generally operate on a freelance basis.The popularity of this business model grew with the rise of freelance web designers as it enabled them to be the sole service provider for the client. After an initial consultation with the client they could subsequently design, develop and also host the site as a single operation.