From small "mom and pop" home-based businesses to mega-stores, people ask this question in business every single day. Even if you only operate a small, local business, if you don't have a website (or at least email) people honestly look at you funny.

A few years ago, website hosting was one of largest expenses connected with setting up a website. Now, with dramatic drops in pricing, website hosting can actually present least costly component of operating a website.

However, before you run out and sign up for $2-a-month website hosting and wake up tomorrow filled with regret, take 5 minutes right now and learn main points to consider when evaluating any website host.

Total Storage

How much space do you get to store your website files? If you operate a small website with a handful of pages and only a couple of pictures per page, you can get by with 5-10 MB (megabytes) of disk space or less. However, if your site contains dozens of pages and hundreds of pictures, you may need a hosting plan with 10- 25 MB of space.

Data Transfer / Bandwidth

Here's where many people fall down and get run over by Internet bus! Bandwidth represents total amount of traffic website host allows you to receive.

Successful sites that get a lot of traffic eat up more bandwidth than sites without many visitors. Honestly, bargain website hosting companies don't want you to get much traffic because your bandwidth costs them money.

If you plan to do any business online, make sure you get a bare minimum of at least 1 GB (gigabyte) of data transfer per month.

But, there are a million and one providers available! How do you choose? What should a first time entrepreneur get? Thankfully, there is a way to come upon a good choice! Read on and I'll explain what you should examine when making your selection.

The main thing to consider is what kind and how many services are you going to need. What do you think are most basic things you want your website to do? Those are practical considerations since you don't want to leave out some essential service; all same, you don't want to buy more than what you really have to. The general trend appears to be in favor of providers that offer many integrated services (built-in); it makes perfect sense getting all services you'll need from one location. As an added bonus, it does make administration easier since you don't have separate accounts to deal with. You'll also save money because packages are less expensive than buying extra services piecemeal.

You do have to be careful when choosing packages because you could pay a high price for things your startup can't use or won't need! The trick is to get all that you need and provide a little room for future expansion. When it comes to this buying decision, pricing - though always important - should be your last consideration. Services, room for growth and price are basic elements of your purchase decision. Let's take a look at each one:

Services:

You don't want to skimp on this one! Think about all that you'll need and get it. Mainly, you'll need a way to bill your customers, track their interests and stay in touch with them.