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XAMPP is a development tool more over than a live server environment with many of the settings being configured for this. I would as previously suggested not use it in a live environment and although dual booting ubuntu, Cent OS or similar with an apache server would work and allow you the flexibility to use the computer as a dedicated server it can bring further problems of security and server firewalls (an extra expense).
Though I can also see reasons as to not using a virtual machine that said I'd continue that approach due to the security benefits, although my real recommendation perhaps would be considered obvious due to what I do but none the less.
Personally if the site is small as you have said and you don't require any particular applications or background services to be run then a consideration should be given to shared hosting as security, the network, updates, configuration and the never ending list is looked after by the provider.
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