The present invention is directed to systems and methods for providing disaster recovery services using virtual machines. The invention provides an inexpensive and minimally intrusive way to provide disaster recovery services including recovery of the state of computer processors and devices. The system includes a production host and a backup host that communicate via a communications link. The state of the processor and devices on the production host are periodically stored onto backup host and can be restored in the event of an emergency. Additionally, the invention includes two business methods for utilizing the system and methods for providing disaster recovery services.