See my blog on colocation
When you choose colocation hosting, you will be drastically reducing your businesses' expenses. How will this save your business money? The choice of physically housing your business' server comes with endless fees. Many pieces of expensive equipment much be purchased in order for a server to function. Fire detectors, security cameras, backup power generators, humidifiers, and air conditioners are just some of the equipment your business will be forced to purchase. However, you will never spend a penny on expensive equipment for your server when you choose colocation hosting.