Choosing a Host -- Reseller or VPS?

I'm developing a common-interest social networking community which is soon ready for release. I need some advice on what type of a hosting plan will best fit both my emerging website development company and my new (hopefully high-traffic) online community.

I have narrowed it down to opening either Virtual Private Server hosting or a Reseller Account. I know roughly the advantages of each, VPS obviously for performance and Reseller for cost savings.

Specifically the two plans I'm comparing are JustHost's "Bronze" Reseller $20/month or DreamHost's VPS (http://www.dreamhost.com/hosting-vps.html) $24/month.

Is there anything I should be considering that might help to make this decision easier?

For starting out, especially if you aren't expecting much traffic, you don't really need anything crazy. I would suggest going with a VPS from slicehost.com or from mosso.com. They are effectively the same company, Rackspace owns both of them, but prices are a little cheaper from mosso.com. With a system like that, you are able to dynamically resize your VPS, as well as add or remove them as needed.

I have used both services and was able to successfully run websites that were getting 20,000+ dynamic page views a day on two 256 meg servers, one for the site host and another for the database host.

There is some discussion on Slashdot on a similar issue - http://ask.slashdot.org/story/10/02/22/0215236/Things-To-Look-For-In-a-Web-Hosting-Company. An interesting read, you might find it useful.