"Small business customers have told us that they want getting online to be as easy and painless as possible," wrote Guy Yalif, director of hosting products at Yahoo's small business division.
"Instead of worrying about how many visitors their site can handle, or how many pages they can build, they would rather focus on growing and running their business."
Yalif said in a blog posting that users will also be allowed a free domain name along with access to tech support and site-building tools.
But he warned that there would still be limits to the hosting service. "This is shared hosting, so we will not become the new home of General Motors any time soon," he wrote.
"But for the very large majority of our small business customers that simply want a professional-looking site in hours, the hosting purchase decision has suddenly become significantly easier."
Yahoo takes locks off hosting service
Yahoo has removed the storage limits on its web hosting service for small businesses, offering unlimited disk space, data transfers and email storage for US$11.95 per month..
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