I've created a social networking community which is soon ready to release, and I'm trying to decide on a type of hosting plan.

I have considered options such as VPS and Reseller plans. I anticipate (or hope for at least) a significant amount of traffic/bandwidth in the not-too-distant future.

If I open a reseller, will I receive the same amount of server lag during busy hours that I do with a shared account? How significant is the profit margin with the reseller option?

Aside from generalized "configurability", what advantages merit purchasing a VPS? Is there anything stopping me from reselling space on a VPS account?

Features I need Include:

• PHP,
• MySql,
• Unlimited Domains,
• Ruby on Rails,
• Remote Database Connections