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If you have a small business, you need to make sure that your website is operating smoothly at all times. Of course, you also want to keep your expenses related to your website as low as possible. For most businesses, that means choosing between either cloud hosting or virtual private service (VPS) hosting solutions.

Both of these options provide fast and reliable hosting that’s fairly inexpensive, but which one is right for your business? Take some time to learn more about the differences between cloud hosting and VPS hosting to see which one is best for your small business.

Key takeaways:

  • Cloud hosting involves several servers while VPS hosting involves only one server. Each hosting type has its advantages and disadvantages.
  • You’ll want to opt for VPS hosting if you will want maximum control over your servers.

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Source: Bluehost

What Is Cloud Hosting?

Cloud hosting is a technology that takes multiple different physical servers and combines them into one logical server. Customers are then given access to specific resources on that logical server. All of the processing, data storage, memory, and other system resources are shared across the physical servers so that there are no single points of failure, which is great.

Cloud hosting can be set up in many different ways as well. Some companies offer cloud hosting that’s very similar to shared hosting in that all the customers on one cloud server share all of the resources as they’re needed. Other companies set it up more like a VPS where each customer is assigned exclusive use of specific system resources. Both options can be useful depending on the needs of the customers.


There are many important advantages to using cloud hosting, which is why it’s growing in popularity so quickly. The following are some of the biggest benefits you enjoy when you sign up for cloud hosting:

  • Scalable: The hosting company can add in additional servers or system resources whenever they’re needed, so the cloud hosting environment can grow to support all your hosting needs.
  • Redundancy: The virtual environment spreads all the load across multiple physical devices, so there’s no single point of failure within the server.
  • Reliability: When set up properly, cloud hosting is one of the most reliable hosting options available today.
  • Flexible pricing: Cloud hosting can be set up similar to shared hosting, VPS hosting, or even dedicated servers, which means the price range you pay can vary greatly based on your needs.


Of course, there are some downsides to cloud hosting as well. Look at these disadvantages commonly associated with cloud hosting:

  • Can be confusing: Since cloud hosting can be set up similar to any other type of hosting, it can be confusing when shopping for this service. You need to be careful to ensure you’re getting the exact services you need.
  • Learning curve: If you want an unmanaged hosting environment, you need to make sure you’re familiar with how this system works or you may run into trouble. Managing a cloud hosting environment is more challenging than a standard hosting solution.

What Is VPS Hosting?

VPS is where one physical server has software installed on it that creates multiple separate virtual environments. Each customer is then assigned exclusive access to one of the virtual environments. The resources on the server are assigned to specific virtual environments for exclusive use.


There’s a reason that VPS hosting is one of the most popular options out there and has been for a long time. Look at the key benefits that make VPS hosting so attractive:

  • Exclusive access to resources: Your website is assigned a set amount of disk space, central processing unit (CPU) utilization, memory, and other resources so that it won’t be impacted by other accounts on the same server.
  • Able to customize configuration: Since you’re given full access to your virtual server, you can configure it in any way you want, which generally isn’t possible with shared hosting.
  • Affordable: You get many of the same benefits that are associated with dedicated servers but at a fraction of the cost.


VPS hosting isn’t for everyone, so make sure you factor in these potential disadvantages to this type of hosting technology as well:

  • Limited scalability: While you can add additional resources to your account when needed, there are limitations based on the capacity of the physical server that your virtual environment is on.
  • Single points of failure: VPS servers are quite robust, but if there’s a problem with the hardware, it can take your site offline until the hosting company can replace it. This single point of failure can be a concern for some companies.
  • Still sharing a server: While a VPS has many advantages over shared hosting, you’re still sharing one physical server. Other sites on the same server can have a limited impact on the performance of your site.

How To Choose the Best Hosting for Your Business

Choose the best web hosting for business
Source: Namecheap.com

If you have decided that you want your website running on either a VPS or a cloud hosting server, it can be difficult to decide which one to go with.

Fortunately, both of these technologies offer exceptional hosting that can almost certainly meet your needs. As long as you select a reputable hosting company to work with, you can’t go wrong with either of these technologies.

If you want to make a simple decision without spending a long time analyzing the details of each hosting package, a VPS option is likely the best option. If you want to customize your server and ensure you have almost unlimited growth potential, go with cloud hosting.

Top 3 Cloud Hosting Services

Cloud VPS Hosting
Source: Source: Cloudsurfph.com

You can read our regularly updated, full analysis of the best cloud hosting providers, or consider one of these top-ranked cloud hosting companies:

  • Cloudways: Cloudways is passionate about cloud hosting and has excellent hosting options ranging from $10 to $96 per month.
  • SiteGround: SiteGround is known for quality hosting of all types. If you choose cloud hosting, you are paying a higher price ― starting at $100 per month ― but the quality is unmatched.
  • Hostinger: Hostinger has many different options for hosting, including several great cloud options. Starting at just $12.99, this is a very affordable option.

Just make sure that, if you decide that cloud hosting services are the best option for your company, you work with a company that has experience in this area

Top 3 VPS Hosting Services

For those who want to go with VPS hosting, there are plenty of great companies to work with. Visit Digital.com’s page where we evaluate all the top-rated VPS hosting companies or choose one of the following three hand-selected options:

  • HostGator: HostGator is one of the largest and best-known hosting companies in the world. It offers all types of hosting, including lots of different VPS options.
  • Liquid web: If you want premium VPS hosting, Liquid Web is one you should consider. It has an exceptional reputation for quality hosting services.
  • Bluehost: The open-source VPS technology used by Bluehost makes it an excellent option for almost any type of website.

What Should You Do Next?

If you need web hosting and you want something reliable and affordable, choose either cloud or VPS services. Both of these options provide you with the hosting solutions that you need.

The next thing to do is decide which technology you prefer and, more importantly, which hosting company you want to work with. Choosing the best hosting provider with a great reputation helps ensure that you have a good overall experience no matter what type of hosting you choose.