I just replied to this same question on a different forum you posted it at
I think it is a good idea to keep free and paid sites seperated. Two servers could get rather expensive. But if you can afford to support them until the business takes off, I think it will be worth it in the long run.
we buy all our hardware upfront on a just in time basis but it works well, we find colo (albeit in our own racks) is a lot more efficient than just renting dedicated servers. We just have our billing system then all our other fees are to our rackspace providers/upstreams/advertising. However I doubt anyone will tell you how much they've invested
I think I am the least invested guy in this thread. I dint spend anything for design, I did all the design by myself. And also I dont have any special scripts installed in my site.
I think I can enhance with these things if I get some more clients, and make my site more attractive just like my service.