In short, VPS hosting works on a virtual shared server, where you host your website alongside others; dedicated hosting, meanwhile, gives you your own server to work off. Flexible resource limits with the possibility of using other websites’ resource on your server.

With a VPS, you still share a server’s resources with other users. However, unlike shared hosting, your site still gets dedicated resources in its share of the server.

While shared hosting is best for personal sites and startups, VPS hosting wins for larger sites and small businesses. VPS is more expensive than shared hosting, but in return you get more flexibility over your resource limits, as well as greater security and improved performance.

A VPS hosting plan is almost always going to be faster than a shared hosting plan simply because your users don’t have to queue up with other sites’ visitors to access yours. … If your site is relatively small, a shared hosting plan will likely do perfectly fine.