I'm starting up a small business designing and hosting websites for local businesses. While I'm not too worried about the SEO for these websites, will hosting so many domains on a single server affect the SEO negatively?
Nope. Unless you decide to interlink them (in which case this discussion would turn towards Class C IP diversity), hosting multiple domains on a server shouldn't cause a problem.
IMO that explains anything. The only reason I would use dedicated ip's is if you need to install a ssl certificate on a few sites or you want to keep the sites completely seperate from each other (so you cannot do a reverse ip on the site).
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