When you buy a vB4 license you still have the option to download and use the latest vB3 version. But of course this doesn't answer your question.
A 1GB limit on database size does seem small. Offhand I don't think you can have multiple databases for a single vB installation, because then you would have different config files, etc.
I suggest looking around for better hosting or ask your host if there's a way to upgrade existing.
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