A VPS offers a considerable performance improvement over shared hosting (where very limited changes are allowed), but is still cheap compared to a dedicated server (which gives you complete control over the entire server). You will need quite a bit of technical knowledge to run a website on a VPS.
RAM - Random Access Memory (RAM) is a very important factor that affects the performance of a VPS significantly. It is recommended that you choose a plan that offers enough RAM for your application. Since it is one of the costlier components of a server, it greatly affects the price of a VPS.
Storage - This is the amount of disk space you get with the VPS. It includes the space required for the operating system, installed software like a web server, your application code, content, etc. As a website grows, content becomes the major portion of the storage. When choosing the amount of disk space, consider all of these factors.
Data Transfer - It is the amount of data that you are allowed to transfer to and from your VPS. Some providers have separate limits for in and out transfer. Data transfer is sometimes referred as bandwidth, though that term is not entirely correct.
CPU speed is a factor that is often not mentioned in VPS plans. Since a VPS shares a physical server with other VPS's, it also shares the CPUs. Many VPS's on a single server will mean less processing power for your VPS. Your share of CPU speed is a very important factor and could be used to differentiate between various VPS providers. Even though this information may not be readily available, reviews of hosting providers will give you some idea about it.
Besides these factors, customer support, uptime guarantee and the location of the server should also be carefully considered. A server that is physically closer to the most of your website users will load the pages faster. A VPS provider that gives you an option of monthly billing is preferable compared to the one that requires you to enter a yearly contract. It gives you the option to change providers in case you decide to do so. Some VPS providers will even credit you for the amount of time you did not use any VPS.
Just remember that selecting an affordable plan from a reputable VPS provider is always better than a cheaper plan from an obscure company.
You can search for various VPS plans at Webieu [http://www.webieu.com] from many VPS providers.
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