Free hosting I think is good place to start. You will quickly learn what people that hide behind they're computers will do to abuse your good nature.

You will get every scam under the sun and there is no real way of filturing it out. The worst thing is when they are doing something highly illegal and could shut down your service and the services of other people on that server.

Is it profitable? Yes but only a few dollers or so.

Google Adwords on your home page alone can make you alot.

Advertising on the top directorys can make you big in no time!