When it comes to your wordpress website you have two options. Hosted on WordPress.com or self-hosted on your own domain and servers. Now before you say, "That's easy, I have no servers", let's look at the pros and cons of each because there are a lot of advantages to hosting it yourself and its not as hard as it sounds.
With self-hosting you are loading the full WordPress apllication, which can be downloaded free, to your web server. This allows you to use your own domain name and gives you complete control over your website without limitations. Although WordPress is still free you will need to pay for a domain name and hosting, however both these costs can be as low as $10 a month combined so it is not too big an expense for the many benefits you get.
Some of the reasons I recommend self-hosting:
You can host your blog for free at WordPress.com but their are limitations on what you can and can't do if you choose this option.
You can make use of paid upgrades to access business features that give you a little more freedom but once you're doing that you might as well have just hosted it yourself to begin with and avoided the restrictions.
The difference between the two is like renting a car versus the freedom of owning one. If you plan on running and growing any kind of business online then you need the freedom and lack of restrictions that hosting your own WordPress website provides.
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