When it comes to choosing the file format for your footage, you have two main options: AVI and MP4

AVI

The files are initially captured as uncompressed AVI files - for want of a better word the "master" format. If you want the best quality file that you can get from your original tape then this is it. Technically they are also a bit easier to edit than MP4 files using programs such as Premiere or Final Cut and so tend to be preferred by professionals. 

However...they are absolutely massive!

AVI files captured from even standard definition VHS footage run to around 13-15Gb per hour so they quickly become an issue to store unless you have a lot of spare hard drive or cloud storage space. They are also less likely to play on devices such as Smart TVs and can take days (literally) to upload to cloud storage services like OneDrive or Dropbox. 

MP4

This tends to be the format that most people prefer for their home video conversions.

Since they are converted at a high bitrate from the AVI masters they are still very good quality and have the advantage that you can fit several hours of footage on a cheap USB stick or store them on your PC/Mac/Laptop without taking up all your storage. They are also more compatible with devices like Smart TVs and games consoles, and can be uploaded to cloud storage services like OneDrive or Dropbox in hours rather than days.

Alternative Formats

The two formats above are the main options, but I'm more than happy to convert your footage to most standard formats if you want something specific. Just let me know what you need and I'll get it sorted for you.