I thought I'd give out a little thanks to a company called NearlyFreeSpeech.NET, which is a server hosting company with a rather unique model for their business. Most hosting companies will give you some space for a fixed amount per month, some even go as cheap as $5/month (CAD) - I'd provide a link here but I've forgotten who it was.
I like these guys because you only pay for the bandwidth you use. You put a certain amount of money onto your account, and then as your site(s) use bandwidth, they bill a few cents per day. You have to pay extra for dynamic sites and for a MySQL instance, but it's something like an extra 3 cents per day, which is like a dollar a month.
You can then easily set up extra sites and tie them to your same billing account. If you end up making a lot of small sites, this type of thing is really handy!
One catch though: they don't support anything that requires a persistent process other than the web server and database. So no Rails, unfortunately. Also they don't support mod_python, mod_ruby, or a few other things. Which kinda sucks, but oh well.
So if you're needing a small hosting company, maybe give these guys a try and see if you like them!