One of the most important factors that you need to keep in mind is the operating system of your server. Currently, Linux and Windows are the two most popular operating systems being offered by providers. Since Linux is an open source software, it costs less than Windows. In addition, it is also considered to be more user friendly while supporting a far greater range of applications as well.

Of course, one of the most important factors in selecting a VPS is the cost attached to it. VPS providers will charge more for managed hosting and for using high end resources. Hence, you need to select a VPS which will not only operate effectively, but will also not cause a sizeable hole in your wallet.

In answering this question, maybe it’s better to examine how VPS hosting fits in to the overall offerings of most hosting companies. Shared hosting is just that – your site is hosted on a machine with a bunch of other sites, and each of you share the same resources, including RAM, disk space, and CPU.  Your site uses what it needs if it’s available, and if it’s not – well, that’s the limitation of shared hosting. Likewise, a dedicated server is also self-explanatory –  your site is the only one hosted on server, and you have all the aforementioned resources available at your beck and call. Dedicated hosting is therefore  for those large sites with big databases and lots of traffic, whereas the limitations of shared hosting’s usually prevent it from housing that kind of site. Dedicated servers are also relatively expensive, while one can get a shared hosting plan for under $10 per month.
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