A VPN is about creating a Virtual Private Network or tunnel over the public network “Internet”. The technology is very popular mostly among businesses than home users.

Advantages:

• If you have a group that needs to share files over a long period of time, the option of creating a VPN is a good decision.
• Also this is an alternative for working from home because VPN allows remote users to securely connect to an internal network and access the dates and information.
• Once the VPN is created the maintenance and the financial investment are low.
• Beside the file sharing and remote access, a VPN provides a high security level, using advanced encryption and authentication protocols to protect data against thieves and third parts.
• The VPN acts like an intermediate between you and the site you visit, hiding your IP address and allowing you to surf the web anonymously.
• Through a VPM all kinds of applications are accessed anonymously: browsers, chat clients, e-mail, etc.

Disadvantage:

• VPN’s are typically slower than direct access to the network.
• If VPN is poor configured, this can cause considerable network security and permanence problems.
• VPN providers offer products and solutions that are not always compatible due to issues with VPN technology standards.
• A business cannot control the reliability and performance of an Internet-based VPN. The ISP is the one that’s supplying the VPN and keep the service up and running.
• You may be breaking terms of service agreements by using VPN’s to login to some things. For example, it is against PayPal’s service agreement to use proxies or VPN’s. This can cause your account to be limited, leaving you without your funds for up to 180 days. (added by our nice commenter Trevor )