am I correct in thinking that a VPS would suite me just fine whilst I start from the bottom and work my way up within the hosting industry, As keeping the cost's low to start with is the answer to still be in business after a year or so?
I have also noticed that a lot of VPS dont have a lot of RAM again am I correct in thinking while I am just starting out this should not be a problem.
He's wanting to start a web hosting company, it depends on his business plan. My suggestion cobra would be to definitely form and follow a very well thought out business plan. This will help you determine where you should start, and when you should upgrade.