Simply Junior

Virtual Private Servers (VPSs) exist in a sort of middle ground between cheaper shared hosting and more expensive dedicated servers. This makes them useful for a wide variety of web hosting situations. A VPS may be right for you if any of these following situations apply:

1. You need more performance

Is your website starting to outgrow its shared hosting? Are you users complaining of slow response times? Perhaps it’s time to consider moving up to a better level of hosting. Virtual Private Servers are similar to shared hosting in that more than one virtual server can be hosted on a site – which helps keep the price down. But they also tend to have better performance, because each virtual server gets a fixed shared of the host’s resources. There’s no way for one virtual server to “hog” the resources that other virtual servers on the host need – which is a common problem in shared hosting situations.

2. You need more stability

In a shared hosting environment, many websites are run from a single operating system on the server. Thus, problems with one of these sites can cause problems for the server – which causes problems for all the other sites hosted on that server! Virtualization allows the multiple virtual servers to run on the physical host, and each virtual server has it’s own operating system and services. Even if one virtual server crashes, it has no effect at all on the others. Likewise if one virtual server begins to “hang” because of problems with a database (for example) – that virtual server can be safely restarted without affecting the others.

3. You need more security

Websites running on a shared hosting platform are all running within the same operating system, and on the file system. This means that theoretically one shared hosting client could in one way or another affect the files that make up the website of another, or perhaps take advantage of security flaw to somehow affect another client on the server. VPS clients are not as vulnerable to these risks, because the virtualization software prevents any such occurrence. As far as the virtual server’s know, they are totally separate from any other virtual servers that may be running on the host.

4. You need more control

If you’re running a site in a shared hosting environment, the hosting company is forced to place some restrictions on what can or cannot be done on the server, in order to guarantee quality of server to other clients on the server. For example, you cannot expect the hosting company to allow you to reboot the server whenever you want – it would take down all the other client’s websites who are hosted on that server! Likewise, there are many kinds of custom configurations that may be useful to your website, but may adversely affect the other clients, and therefore can’t be allowed. If your website or web application needs more control over the environment it’s running in, then a VPS may be perfect. You get “root” access to your VPS – at a cheaper rate than a full blown dedicated server!

The managed dedicated server makes a sound investment for an internet-based company. Dedicated hosting is suited for the business that desires more capacity, flexibility, security and authority over their operation. This environment enables a business to run more efficiently because the owner has access to an entire server, giving them major advantages over a situation where server space and resources are shared among other users.

Even if the business owner doesn’t possess the skills needed to run the operation, a managed dedicated server offers the benefit of having a provider that handles the technical aspects, freeing them from the responsibility of server administration.

Price Value

It is important to know that dedicated hosting in general is far more expensive than conventional shared hosting. The cost for a dedicated server varies based on a range of factors. For instance, a well known provider is likely to be the most expensive. However, a reputable provider is also more likely to be the most reliable.

The cost also varies depending on the level of management required for your business. You will find that most providers offer various levels of management, with features such as software updates, security, monitoring and technical support. While some of these features come along with the service of the managed dedicated server, others require additional fees. Costs for additional services generally range at anywhere from $25 to over $100 per month.

Despite being more expensive, dedicated hosting offers a great value, as handing the bulk of the administration over to the provider also gives you the option to have enough control to effectively run your business. Because you don’t have to shell out additional funds on technicians to maintain the equipment, this type of hosting can actually save you money over the long run.

Your Choice of Platform

When making the decision to power your business with a dedicated server, you have the final say on the components that will be used with the equipment; this includes the operating system. There are a number of operating systems available from Windows to Linux and other open-source solutions, such as Debian and Fedora.

Having the luxury to choose the platform for a dedicated server means that you can implement a system that you are more familiar with. The benefit here is eluding the learning curve that comes along with having to adjust to a different environment. It also helps you save time and money, as the costs and complexity between Windows and open-source software is significant. Dedicated hosting grants control over platform support as well. Being able to install upgrades and apply patches allows you to ensure stability and exceptional performance.

Better Security

One of the biggest advantages of managed hosting, whether it’s in the shared or dedicated server environment, is that the provider handles most of the security. This includes protecting the system against DDoS attacks and computer crackers.

With authority over software options, you can ensure that your dedicated server is protected with firewalls, anti-malware solutions, intrusion detection systems and encryption software to secure large volumes of data. Furthermore, the company can ensure the security and stability of your business with load balancing, monitoring and disaster recovery systems. Dedicated hosting provides a higher level of physical security, as your critical information will be protected in a data center as opposed to the spare room in your office building.

Finding a Provider

The web hosting business is one of the most competitive industries today. Managed dedicated server providers are abundant, but there are more factors that need to be considered outside of the price. If at all possible, inquire within a company that has been in service with a documented track record. Be sure to check into their uptime, as this refers to the estimated time your website will be up, running and accessible to your visitors. The industry standard these days is 99.9%, but there are a few managed hosts that offer an uptime guarantee of 100%. Although this may be difficult to gauge, you can ascertain a company’s reliability by researching the infrastructure of their data center.

Since managed hosting calls for you to rely heavily on the assistance of someone else, look for a provider that offers 24/7 technical support, preferably via email and phone. If something should go wrong, you should have the confidence of knowing that trained professionals are on standby to make the save.

Conclusion

If you think that a shared host cannot meet the needs of your business, a managed dedicated server is certainly the way to go. Managed hosting gives your business the room it needs to grow, while eliminating the daunting tasks associated with maintaining a dedicated server.

There are many different choices to make when it comes to selecting the best type of web hosting for your particular needs. Shared web hosting is by far the most popular type of web hosting, and is ideal for most websites. However, many websites, such as those with very high traffic or form whom security of sensitive information is of utmost concern, managed web hosting just might be a better choice.

Shared Web Hosting

For smaller websites, purchasing a server or paying to leasing a dedicated server would be an unnecessary and very significant expense. Shared web hosting is an inexpensive and effective web hosting solution for most smaller websites. This type of hosting is referred to as shared web hosting simply because multiple websites share space on a single web hosting server.

Web host servers are large and powerful, and have sufficient room and bandwidth capacity to host multiple websites with ease. When you select a shared web hosting option, you purchase a package from a web hosting company that includes a certain amount of space and bandwidth on the company’s server. This option allows website owners to enjoy the power of a powerful web hosting server without having to pay for more than is actually needed.

The number of other websites with which your site shares a web host depends on the size and bandwidth needs of each website along with the capacity of the server. As long as your shared web hosting agreement includes a sufficient amount of space and bandwidth for your needs, you don’t have to worry about running out of room in a shared environment.

If your website grows faster than you expect, and you do find that it is outgrowing your current hosting agreement. You can always negotiate with your web hosting company to add additional space and bandwidth capacity to your current shared hosting agreement. Another option is to step up to a higher level of web hosting, which could mean getting a dedicated server with managed web hosting.

Managed Web Hosting

Websites that deal with highly sensitive confidential information, as well as those who receive a great deal of traffic are more suited for a dedicated web hosting environment than for shared web hosting. With dedicated web hosting, your website does not share a server with other websites. One web hosting server is dedicated specifically to your website.

Most companies who need the capacity of a dedicated web host decide to go with a managed web hosting solution. This is because the actual management and administration of a dedicated host can be very time consuming. If a website owner selects an unmanaged hosting option, he or she becomes responsible for every aspect of maintaining the web hosting server. Managing a web host is very time consuming, and involves everything from day to day maintenance to security issues.

Those who operate large websites are typically busy with other activities, and it is worth setting up their web hosting agreement so that the hosting company handles most of the task associated with managing the dedicated host. Another option for managed web hosting is simply to contract with an outside organization to handle the duties associated with managing the web host server.

Making a Decision

If your website is large enough to need a dedicated web hosting, it is certainly in your best interest to go with managed hosting instead of unmanaged hosting unless you employ a server maintenance expert who has the time to handle the large task of maintaining your web server.

However, before making the decision to invest in managed hosting, it is in your best interest to see if shared web hosting will meet your needs. Shared web hosting is significantly less than dedicated hosting options. Remember that shared web hosting is sufficient for most websites, so don’t take on the expense of managed hosting if it is unnecessary.

In the past, there is a need for semi-dedicated servers. But with VPS coming into the picture, semi-dedicated servers are becoming extinct.

Why the need for dedicated servers?

First, let’s explore why the market needs dedicated machines. Isn’t shared hosting enough? Even though shared hosting is highly affordable, it does has its limitations. For example, you cannot install custom modules or reboot your server. In other words, you have little control over the server settings. What if your website NEEDS these settings? Without a dedicated environment, you are stuck.

Then there is the issue of server resources. On a shared server, all resources are shared. For this reason, web hosting companies are very particular about how a website uses the server. A static website will have no problems. But for forum sites and other resource intensive sites, such accounts may get suspended without warning. Moving to a dedicated environment will solve all these issues.

From shared to dedicated hosting.

There is a big jump from shared hosting to dedicated hosting. A shared hosting account cost about $10 a month. A dedicated hosting plan costs several hundred dollars a month. It is therefore understandable why so many webmasters are unwilling to upgrade. The short term solution is to come up with semi-dedicated hosting servers. Unfortunately, this is not the ideal solution because there is no software supporting such plans. In other words, sharing resources on a semi-dedicated server is still not ideal. For this reason, many web hosting companies refrain from offering such plans. Cost for such plans also remain costly.

VPS plans taking over.

Then someone came up with the idea of having virtual private servers (VPS). Such servers behave almost like a dedicated servers, except that resources are shared. How are the CPU resources shared? Using special software, the server is “divided” into different compartments. Each compartment behave as if it’s a separate computer.

When a customer signs up for a VPS plan, he or she is actually sharing the same machine with several other customers. But each cannot affect the other. For example, one customer’s website is down for some reason. But the other virtual compartments remain unaffected. Also, the number of customers sharing the machine are also drastically reduced.

VPS customers also get to enjoy benefits that are previously exclusive to dedicated hosting customers only. A VPS customer is acts as the account’s admin and has full admin access to the machine. That means he or she can install custom scripts, make changes to the server settings, etc.

Of course, VPS plans don’t offer as much resources as dedicated plans. But for many websites, a virtual plan is more than enough. Only very large websites such as enterprise level sites need dedicated hosting.

As time goes on, VPS hosting becomes more and more popular. Semi-dedicated hosting, on the other hand, is being phased out.

Why Should I Budget?

- You Have Limited Income: Virtually everyone has limited or fixed income. Without budgeting you are being controlled by your environment. If you have a plan, you are more in control of your money. Without a budget, you may not really know you are spending more money than you are earning.

- So That You Know Your Limits: Knowing what your monthly expenses are projected to be and what they actually are will help you keep track of how much money you have left over for future goals and needs.

- You Have Unlimited Demands: There is an endless demand on your finances. Our commercial capitalistic society is constantly calling out for you to buy. If you have minor children, the demands are greatly increased by the things that they want, the activities they are in, and the schools they attend.

- You Want Freedom Not Bondage: Budgeting seems to be restrictive to some people. The reality is that we have to make choices between what we want at the moment and our regular bills and goals for the future. However, there is freedom in knowing what your limits are. Many people find this liberating, because it creates the opportunities to grow and mature.

- You Have Future Goals: If you are sacrificing today, it helps to know what you are saving for in the future. Obtain a financial plan so that you will know what your goals are and for what you are saving.

- You Want to be More Aware of Where Money is Going: If you do not have a budget, you may have no idea where your money is going. Knowing where you money is going will help you identify if you are spending too much money in specific areas.

- You Want Less Stress: Spending without a plan and a budget increases your stress because you do not have a well thought out plan for paying your bills and you may spend more money for fun than you can afford. Planning and budgeting will give you the peace of mind that you are on the right track.

Contract with Yourself (and between Spouse)

Budgeting is very hard for many people; therefore, it helps to have a contract with yourself. If you are married, this agreement should include your spouse. If you work together, you will usually accomplish more than you could on your own.

I hereby resolve to:

1. Start a budget, and pay attention to it weekly and monthly

2. Not spend more money than I make

3. Be in financial partnership with my spouse with no secrets between us

4. Not borrow to purchase items that depreciate in value

5. Not let my emotions make me purchase anything, including gifts

6. Not purchase something over budget unless it was unavoidable

7. Not purchase anything that I don’t really need, no matter how good the sale is

8. Not purchase something to keep up with the Joneses

9. Not apply for any new credit cards, unless lowering interest rates

10. Pay off all credit cards monthly (I will work toward paying them off)

11. Not spend money on fun things unless I have paid my monthly bills

12. My spouse and I will both be the “fun police”

13. Include children in the budgeting exercise to teach restraint

14. Not obtain high maintenance items like a pet or hobby if I can’t afford the expenses.

15. Not buy something that costs over $50 without consulting each other and the budget

Cash Flow Management Checklist

In addition to having good budgetary habits, it also helps to take advantage of money-saving measures. The following are many of the things you can do to help you save thousands of dollars per year.

- Employ tax advisors to you avoid overpaying taxes

- Use low cost investments that have low to no commissions, fees and expenses

- Shop your loans to find lowest interest rates

- Shop your insurance for the lowest prices possible.

- Buy smaller homes and cars since they require less money to maintain and insure

- Go on cheaper vacations

- Frugal travel to lower the already large consumption of your income for gasoline

- Eat out cheap, less often and at less expensive establishments and cafes

- Spend less on food by shopping at low price grocery stores and pack your lunch

- Lower home energy consumption by employing easy to find and low cost solutions

- Break smoking and excessive eating habits to save on tobacco and fast foods

- Monitor emotions to avoid depression or stress related purchases

- Obtain from the library resources about budgeting, financial planning and spending

- Go to the library for entertainment books and DVDs

- Reduce or eliminate cable TV

Budgeting Tips

Use technology or spreadsheets:

Obtain software (or use spreadsheets) that will help you pay bills and make and monitor a budget. Devote time to it by keeping track of all expenses and enter them into your software program or monthly spreadsheets each week.

Save all receipts, bills, household documents, and tax documents:

Organize these items by category into an accordion file or drawer: e.g., auto, bank, business, credit cards, dental, medical, grocery, income, insurance, mortgage, utilities, general receipts, school information, and taxes.

Balance your checkbook:

Many people don’t balance their checkbooks each month. Budgeting software makes reconciling simple, but you can read the back of your statement or make an appointment with your banker if you need to learn this skill manually.

Tax Time:

If you use budgeting software, you can run a tax summary report before you work on your taxes. If not, and if you itemize your taxes (Sched.A), you must total the appropriate columns in your spreadsheets, e.g., Medical expenses (Your accountant may provide you with an organizer to help you get ready for tax time.) Remember to place quarterly and yearly expenses on the appropriate month in your budget so that you do not overspend. For example, annual insurance payments, quarterly tax estimated payments, annual homeowners association dues, etc.

Summary

Good cash flow management is key to implementing any financial plan; commit to doing this well. No one likes self-discipline, but it is actually good for us. With proper management of your finances, you will become more confident and less stressed about your future. Remember, one bad financial decision can sometimes take years to undo. Be very careful with all decisions you make.