Isn't it better to get a vps in the beginning though? Say you want to try it out and see how it works. If for whatever reason after a month or 2 you decide that it isn't for you you only pay the $100,- with a dedicated server you're mostly looking at $25 - $35 a month. Say you don't want to continue using it after a month or 2 you're still gonna have to pay $300 - $420 a year.
If after a year (or maybe 6 months) you decide to invest in a dedicated server you can still invest more.
Atleast that is my take on it, I've had this server for a couple of months now and so far its doing its job. I might even upgrade later on to a dedicated server.