A dedicated server is best for a business that is looking to attract and maintain a very high traffic-base. A dedicated host gives you the control over all the functionality of your site, and is a smaller investment then owning and operating an in-house server. The monthly charge for a dedicated host is higher then other hosting options. A dedicated host gives you the opportunity to have an entire server for your business exclusively; they are generally preconfigured and great equipment with connectivity from the service provider.

A beginner may struggle or need assistance with a dedicated server, because you have to setup and configure the server. You will need to be able to do the following to operate a dedicated host:

Install and configure the operating system for the server

Install any other software and applications you wish

Configure settings for the server to deliver faster multimedia and e-commerce applications

Control the storage space to your requirements

You can also control the CPU and clock speed

A dedicated host will allow you to use complex applications like:

Data bases (SQL, MySQL, etc.)

Streaming Media

Mail

Tracking software

Storage and bandwidth applications

So if your site requires custom software, a large amount of storage, a large amount of bandwidth and high security then a dedicated host will be a good option for you. There are server monitoring tools that you can use, with these you check for errors. With a dedicated server you can also choose when you reboot the server, this is a great feature if you give presentations and you want to assure that the presentation is not interrupted. Your risks are considerably lower, if you were on a shared server and another site got hacked your site could be at risk.

Another option that is highly recommended is a managed dedicated server. This is the same as a regular dedicated server but the business web hosting provider manages the server for you. They will handle things like security updates, security issues, software updates and any problem that your dedicated server might face.