Many people see resource limits as a restriction — a way for hosting providers to "upsell" you more resources. In reality, it's the opposite.
Limits are a guarantee. A guarantee that these exact resources — CPU, RAM, disk space — are allocated specifically to you, and to no one else. You know exactly what you have available and can plan your business growth based on real numbers, not guesswork.
There's a second, equally important reason. On shared hosting, your site sits on the same server as other clients' sites. Without clear limits, one bad actor — say, a site hit by a bot flood, or an unoptimized script consuming resources at full throttle — could slow down or crash the server for everyone else, including you.
Limits are protection. They keep someone else's problem from becoming yours. Your CPU, RAM, and disk space belong to you alone, and no one else's load can take them away.
Bottom line: limits aren't about restricting you — they're about predictability and fairness. You get exactly what you pay for, reliably and without surprises, and you can build your business on that foundation.