I want to develop my own website. I went on a website developer's site. They are advertising an interesting template which they themselves are using for an identical business that I want to develop. In other words, they run the same business I would like to have.
Wouldn't this be a conflict of interest?
If they control my database, how do I know they won't utilize my information to develop their business?
What should I look out for?
How is it they can sell website development services and run an identical business with those templates?
What should I do to protect myself?
Eva

Just because the template will be the same, does not mean you will share the same database. However, as with any host you have to trust them because any host will have super user level access to all your files if they decide to use them. That being said, why not go with a major webhost that has a proven track record of trustworthy behavior and get your template somewhere else. You don't have to get a template from the same place you host with.

Do you mean that the web developers use the template they sell for themselves?
or for another customer?
Anyway, if you do not feel comfortable, i suggest you drop them.

If you are a web developer, wouldn't it be a better idea to design your own site...

Actually, it almost sounds as if you're talking about a turnkey website. Those are sites that you purchase and put on your own server. They are identical cookie-cutter websites -- lots of people own them -- and they are only unique if you add your own content.