Here's an argument for SPs that I haven't heard. Flamers, be gentle with the down tick,
Since there is overhead associated with each trip to the database server, I would suggest that a POSSIBLE reason for placing your SQL in SPs over embedded code is that you are more insulated to change without taking a performance hit.
For example. Let's say you need to perform Query A that returns a scalar integer.
Then, later, the requirements change and you decide that it the results of the scalar is x that then, and only then, you need to perform another query. If you performed the first query in a SP, you could easily check the result of the first query and conditionally execute the 2nd SQL in the same SP.
How would you do this efficiently in embedded SQL w/o perform a separate query or an unnecessary query?
Here's an example:
--This SP may return 1 or two queries.
SELECT @CustCount = COUNT(*) FROM CUSTOMER
IF @CustCount 10
SELECT * FROM PRODUCT
Can this/what is the best way to do this in embedded SQL?
