That's how budget shared plans start from few dollars when a server costs hundreds per month and budget hosting companies still make profit.
All accounts on a server share same physical resources (disk, memory, CPU, connection) and often when others use the server there is latency or huge slow down because of resource bottle necks.
Reseller accounts (setup with WHM/CPanel) are accounts that can manage multiple CPanel accounts.
Multiple reseller accounts are usually hosted on a VPS or dedicated server and have less resources and priority than a VPS.
To evaluate server and network capacity when choosing a server, consider monthly transfer available.
In example, Video Whisper dedicated streaming servers are setup to allow 100Tb/month data traffic which means around 308Mbps average continuous transfer.
It's important to have the server in a reputable data center with high connectivity so all your users can connect to the server at good speed, from their different networks and providers.
For good performance and reliability average use should be maintained under 35-60% of maximum connection capacity.
The most important feature for video streaming is rtmp server connectivity.A provider selling servers with 10Tb/month is ready to handle around 30Mbps average transfer and if server allows only 5Tb/month your project should not require more than 15Mbps average transfer.On high traffic events, servers could handle spikes up to double or more of this average bandwidth only if network load is low at that moment.We recommend servers with dedicated 100Mbps or 1000Mbps ports in well connected data centers (that have gigabyte connections with several providers).A dedicated 100Mbps connection can host in theory a maximum of 200 streams at 512kbps each (for an average quality 320x240 video).