There are several types of web hosting services that allow businesses to set up an online presence inexpensively, including shared hosting, dedicated hosting, and collocated hosting. Shared hosting involves hosting a site on a server with other sites, keeping costs low but limiting control. Dedicated hosting provides a full server but at a higher cost. Collocated hosting involves owning the server hardware but having a host manage it offsite. When choosing a host, businesses should consider functionality, reliability, bandwidth, security, backups, and cost. Researching customer reviews and testing service reliability can help narrow options.