Budget web hosting is a cheap dedicated server hosting solution that is most suitable for small startup businesses, or for personal websites. A host who provides budget hosting offers limited features and therefore the cost is very low, sometimes as low as $5 to $10 per month.
A few scenarios where budget hosting can be a cost-effective solution are:
You have just launched your business and you cannot afford a good hosting package
Your business does not need any advanced features in the website and the objective if just to send across static information to users and customers
If your personal site has only static HTML pages and it does not require any user interaction or a database, it is likely to generate less traffic.
When you opt for budget hosting for whatever reasons, see what all features you need for your website. See the big picture and what your business may need in immediate future. Do some research on user reviews on budget hosting services of your host. Many a times, budget hosting begins with a minimum of one-year contract. In such cases, see if there is a clause of cancellation of services midway; else do not hurry up making a decision.
Some budget hosting companies provide server access for important tasks such as managing email accounts, updating site when required, and so on. See if your host asks for any additional charges for these features and if you can pay it. Clarify on all these critical points before proceeding any further with a budget hosting service provider.