Best way to handle a Laravel multitenant application for best and affordable scaling

Hi there, I am working on a multi-tenant Laravel application and we create a new tenant for each user on the platform.

I’m finding it difficult to get the best approach that will not incur too much cost and is also flexible for scaling.

I have a few questions to ask that can shed more light on my problem and could also assist with providing a solution

1. Do I create one droplet and create a new database for each user in that droplet
2. Do I create a new droplet for a new user that has its own db and resources ?

PS: I’m building a multi db multitenant application, looking to start small and scale with time.