You buy a domain, you already have a control panel... so you make your site that host's sites and tell your friends..... google the web for "free hosting templates". Then you have a template configure links etc to your paypal... boom bada bing you're in buisness.
OHH i also suggest you put your buisness in your signature in alot of popular forums that need webhosting.. like, counterstrike forums... Emulator forums.
That has alot of members and every single member needs a webhost...... So yeah you should check them out, try ro-enhance.net also...... uhhhh d2jsp.org and etc.