It comes by many names: shared servers, shared web hosting, budget web hosting or personal web hosting, but it all boils down to one innovative concept, and that is many website account holders will pour their resources and carve up a web hosting server into compartments that they can park their own respective domains and websites in.
The scheme makes it less expensive for each individual to manage and maintain their site, but they do not have to compromise the features and functions that they would get from a dedicated server.
Good fences make good neighbors. That means that each "sharer" of the server pie will get to go about their business in peace and not even be aware of what the others are doing.
Although these "fences" will also be setting several limits, the most notable of which is the space available for the website to build on. For example, a shared server can still offer specialized emails (i.e. firstname.lastname@example.org), the number of accounts that can be configured will be limited. If, however, the business does not need more than 1,000 special email accounts, it really is not much of a loss.
A small business would rarely need more than 50 web pages, and it's easier to move servers when the time comes that they need the extra space than put up with the extra expense for space that they do not need.
The website owner will also be forced to use the server's hosting platform. Still, that could only be either Windows based or LINUX based, and most beginners neither care nor notice the difference, especially if they have someone else design the website for them.
What a website owner should be concerned about that has little to do with the sharing of the server is the hosts' uptime, technical capacity (in terms of traffic), and trouble shooting contingencies. These will affect the accessibility of the site, and might defeat the purpose of trying to get online visibility if inadequate.