Can I have my say in this?
Its all good host`s offering packages from a $1 But say they get 100 clients on one server and dont decide to purchase another server.
The server will get a good bashing with 100 active account.
I've been hosted on a server that has 900+ accounts before. Not a single thing happened to the server. The server speed is average, and it runs fine.
Oh, and I've also seen a server that has
36,000 accounts. The server is also fine.
It depends on how good your server is. Some server's can only handle server load 10, some can handle server load 100. Some have 4x256MHz processors. Some have 4x3074MHz processors.
For me, the server being filled up with $1 accounts, is more profit for me than the server being filled up with $12.50 accounts.
Of course if you don't handle security well, then you will get a lot of users abusing the host. I perform checkups on all new accounts when content has been put on them. If I feel that it's suspicious, then I will continue to regularly checkup on that particular account.
Also, I've chosen to offer a small $1 offer because, most hosts that I have been with have a minimum plan space of 1000mb. And I turn out to be only using 10mb of that space. So I don't want my users to feel that they are paying too much for things that they don't need.