I have a database intensive website running .net and sql server. I need a dedicated server that can run it. Godaddy told me I hog to many resources and unless they can find a work around I will be booted from them. I liked Godaddy because I never got any viruses and the very little downtime. But I may not be able to stay. Is the main cost the setup of the server and then the monthly cost? I'm wondering how much it would cost. I don't know much about administration.
Get a managed dedicated server. They will help you optimize and fix if you have any troubles. if database is big, have more RAM and faster hdd (raid can also be opted if database is too big). godaddy is great for domains but when it comes to hosting there are more competitive provider who can offer you great support! If money is not a factor go for liquidweb.com If you want budget hosting try hostcircle.com
Its not the database it to big. The queries that get run are complex and as the user base grows they issue web requests which tax the database more. They are probably doing wildcard searches as well. So while the database is only about 500k or 1 meg in size the queries are killer.
you should try a higher end VPS, 1Meg can be easily handled by a VPS. both the company i recommend provide VPS also. Give a try!
I agree with Jim, you don't need a Dedicated Server right away if your site isn't too resource intensive. I would recommend getting a VPS with Servint, Liquid Web, and or FutureHosting. If you don't know how to manage a server, go with a managed provider or you also have the option to hire a server management team.