There are several benefits of using a colocation provider. As mentioned, above, you are only paying for the service and not the bandwidth. Simultaneously, you are receiving a much larger amount of bandwidth which, will not only enhance the speed of your company's applications but, also will enhance your employees download capabilities; therefore, making them more productive. The most important part of all of this is that while you are receiving all of these benefits, you are saving money, which is primordial for all small business owners or independent contractors.
Another area where you will save money by using the services is when there are IT problems. The colocation provider will take care of them expeditiously, with you not having to worry about hiring additional personnel, equipment of hardware.
If saving money is not appealing to you and neither is the fact that you will not have to worry about resolving IT related problems, then perhaps the enhanced safety of your data by the colocation provider may be an incentive. For companies that handle high traffic data consisting of sensitive data, the colocation provider ensures that your company's information is not only safe but, inaccessible to your competitors and the average hacker.
Server maintenance is a thing of the past with a colocation services. At regular intervals, as required, their personnel will review your server's performance, security risks and back-up protocols. With a colocation provider you will not need to pay an in-house network administrator to perform these routine tasks.
Security is not limited to your competitors taking a peek and stealing your company's secrets. It also includes such things as safety from fire. Some providers even offer waterless fire suppression systems which will not harm the servers and the information they contain if a fire should break out in within their facilities. Also, the servers are normally stored in mesh "cages", which are locked. Only certain personnel at the provider will have physical access to this area for activities such as conducting repairs and general maintenance.
Another aspect of security consciousness of colocation service providers is that their servers are locked up in cages, with locks on the doors. Access is limited to "As Required Only". In other words, not every Tom, Dick and Harry will have access to that area.