Andrew Welch of the New York based agency nystudio107 wrote a good overview of the options agencies & freelancers have regarding hosting.

Web hosting is something that many agencies and freelancers don’t give a whole lot of thought to. They just use whomever they’ve had a long-standing relationship with, and call it a day. However, choosing the right host—and the right type of host—can be crucial to the success of a project. And the hosting world has changed a whole lot in the past few years, so let’s dive in.

At my company Spatie we're pretty happy with our choice to hosts our client projects on VPSes. We provision them using Laravel Forge and some custom ansible scripts.