Our team uses part of my hosting plan from
http://dreamhost.com/
I have the L3 plan, which gives me upwards of 400GB of disk space and near 5TB of bandwidth (it grows weekly). However, they have plans starting at $9.95 for monthly payments or you can get what I believe is 20% off if you pay 2 years in advance. Also, you can find tons of user-made promo codes that will knock $97 off the price of yearly or bi-yearly plans. Which makes the first year of hosting only a couple dollars for L1.
Also, they're a big host (A couple hundred thousand hosted sites) which means they know their stuff. I haven't had but 1-2 downtimes in the few years I've used them, and that was because their entire data center lost power (which, IIRC, is the same one with Myspace housed inside it).