According to the Seventh Broadband Progress Report by the Federal Communications Commission, businesses and consumers alike are suffering from high bills and poor web hosting service. That’s why it’s important to not only know how to identify reliable, professional web hosts in a crowded industry, but also avoid extra charges for unnecessary features.

Following are some of the most common mistakes businesses make, which lead to unnecessary expenses. Understanding and avoiding these mistakes could lead to significant cost savings.

Thinking in terms of pricing, rather than features. One of the biggest mistakes small businesses make in choosing a web-hosting provider is looking at the price first. In an attempt to support their bottom line, many businesses opt for the cheapest host without considering what they’re paying for. Instead, it’s critical to start by understanding available features and shopping based on what your business needs.
Whether you need total control over your web presence, extra tight security, or a more basic option, it pays to narrow down your options first based on accommodation of these features before considering price. Trying to save money on cheap web hosting can cost money later, especially when it comes to penny pinching on security features and website speed.

Shared hosting is the most popular option for small businesses, and usually a logical starting point, assuming the web host allows seamless and simple service upgrades. Shared hosting is simple, affordable, and provides enough storage and bandwidth for most small business needs. With shared hosting, hundreds or even thousands of websites share the same server, sharing the same system resources. Shared hosting is usually the cheapest option, but generally satisfies the needs of most small businesses.

A virtual private server (VPS) allows websites to have reserved allocations of resources which aren’t shared, but unlike shared hosting, bandwidth is usually limited. If your business publishes a large amount of information online, especially in the form of multimedia, VPS might not be enough for you. Dedicated hosting is the most expensive option, but provides the greatest flexibility and control. While monthly costs will be higher than other options, it’s virtually impossible to exceed limits with a dedicated server, so you’ll never be charge overages for usage.

In conclusion, the key to avoiding overage charges from your web hosting company is to select a plan that’s right for your business, and scalable as your business grows.