There are many hosting companies out there today on the internet. The reason for this is the large need for creating new sites every day because the internet is getting bigger every day. As well as there are so many larger companies that have a monopoly over hosting industry there are double or three times more standard services that are not registered as the companies but have a stable and good server configurations.
Most of them are paid ones and you will need to pay for them something less in average than for the hosting at the larger companies.
It's up to you. Will you host a variety of materials or you will have terms of service that will restrict certain files and data on your server? The best thing is to have different accounts for the free and paid hosting if you plan to have both options. You should also give users an option to upgrade from a free plan to a paid one which will give them more space and more bandwidth and other more useful options where they will have fewer restrictions.
Make sure that you have a fully featured crew of technicians that will fix all server physical irregularities and problems. It depends where your servers are. After you get all server physical problems fixed you need to make sure that your connection is fast which will give you better performance.
Having a dedicated or a VPS server in your possession will get you a medium sized hosting company or a service. Best thing is still an option for a dedicated server. But also many people use VPS for their service. But still if you want a decent service you will need to have a couple of dedicated servers since you do not want your service to be a charity or something that is pitiful but a mean machine that will give the best results in class. Price is not so cheap. For a hosting company you will need to spend much on the servers and backup servers in order to get it all worked. Also maintaining will cost you a lot. So if you are not 100% sure whether to make a hosting company you should think a couple of times more.
Source by Varun Sharma