In order for you to decide which type of hosting is most suitable for you, whether you should go in for dedicated hosting, colocation hosting or perhaps a private server hosting, you would need to understand the requirements of each type. Here I try to address the question on requirements of collocation hosting to help simplify your choice.

Colocation hosting lets you place your web server at the data center of a service provider. Therefore, to avail this service you will have to buy your own server. You will be the sole person/organization using it and having complete control over server configuration. The only factor to be considered is that the server would be placed outside your work premises. However, it must be stressed up that it is in your favor that the server is placed with a service provider as they are experts in providing collocation services and are thus better equipped to maintain your server. Server lifespan deteriorates if it is not kept in prover conditions, therefore in order to use your sever most optimally you could use collocation hosting. Your server would also be supplied with fast internet connection as well as constant support. A few pointers that could serve as a checklist before you start collocation hosting are:

• You must have a rack mountable server since these are the only kind of servers most commonly accepted by web hosting providers.
• Your service provider will only be in a position to provide you with limited support, hence, you must have a certain amount of web serving skills.
• Before getting into any deal with the service provider, you must ensure that you are comfortable with the kind of access you will be permitted to your server. Although the server is only accessible by you, but maybe not at all times.
• The cost of colocation is very cheap once the server has been purchased. Still it would be the best to find out all the costs before you make your decision.

So enjoy the freedom of having the full control of your server, while experts take care about its maintenance!