My server is laggy. Looking for advice on server hosting

[breakpots]

Hello, I run a small server that I hope will be big one day. I use www.vultr.com for a 10$/month virtual server slice described as 1 CPU, 2 GB memory. This has worked OK so far but it's obviously pretty slow and the lag is getting worse. The other day I had one guy join the server, say "laggggggg", then immediately leave so I think it's time for a big upgrade.

How good of a server would I need to run a fast, responsive server with a big map for 5 -10 people? Would renting a full blown dedicated webserver for like 125$/month be overkill? Should I use AWS? I would be grateful for any thoughts or advice on this subject

(If you want to play on my server look for Free Planet Kuh in the browser)

[Loewchen]

Independent of the question if you can find it: You want a high frequency Intel CPU, at least 2 cores but ideally 4 and high memory throughput. The number of players is almost irrelevant, the size of the map and the mods you use are what it is about.