7 Reasons Why It’s Important for Businesses to Back Up Their Data

Loss of data that is important to an organization can have a negative effect on staff productivity, customer satisfaction, regular business operations, and even income. That’s why data backup is crucial for your company.

Making a copy of your data and storing it somewhere else allows you to restore the material in the event that it is corrupted or lost. This process is referred to as data backup.

In this post, we’re discussing the top 7 reasons why data backup is crucial and what you can do to make sure your business data can always be restored.

1. Table of Contents

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   Protection Against Cyberattacks 

Thanks to digital transformation, which has become a crucial driver for companies in every industry, the frequency of cyberattacks has increased.

According to reports, small businesses lost more than $100,000 per ransomware incident as a result of downtime. For 1 in 6 companies, ransomware attacks caused at least 25 hours of downtime. The threat posed by cyberattacks is not limited to ransomware; other threats include malware, data breaches, DDoS attacks, zero-day exploits, and supply chain attacks.

1. Natural Disasters 

Experts estimate that 60% of small companies that lose their data will close their doors within 6 months. Although there are various ways that data might be lost, you should never undervalue how frequently severe natural disasters occur.

Regardless of the size of your company, you must be ready for storms, fires, earthquakes, and any other natural disaster that might cause your servers and data centers to go offline.

Businesses that utilize a cloud backup solution like NAS cloud backup are able to recover from potential disasters faster or even before they occur and permanently avoid data loss.

1. Insider Threats 

You never know when one of your staff members can put your company data in danger. If you don’t have the right security measures in place, a disgruntled worker could easily steal or delete data that is essential to your business.

In fact, more than 55% of cybersecurity experts believe that employees are the biggest security risk to businesses and that insider attacks are mostly made possible by having a lot of access privileges.

1. Lost Data Negatively Impacts Brand Reputation

Small Business Trends found that nearly 60% of companies don’t have a backup strategy in case of data loss. Business owners must keep in mind that, in addition to the aforementioned issues, data loss also results in a decline in customer trust.

Your organization won’t benefit from a reputation as one that loses data. In fact, a bad reputation may cause you to lose clients and have an adverse effect on your company’s productivity because prospective employees may be reluctant to work for you.

1. Avoid Duplicate Work

Simple mistakes or oversights can be quite expensive for a company. Research has shown that over 40% of organizations experience productivity and financial losses as a result of inaccessible data.

If you’ve made backups, you can quickly retrieve your data but if you don’t have data backups, you might have to double your workload, and retype entire documents, often missing information or entire documents that were previously in your possession.

1. Gain Competitive Advantage

Your company can experiment with historical data with more freedom and without negatively affecting production workloads if you have a modern backup strategy. This can lead to increased innovation and significant competitive advantages.

Enterprises now have the opportunity to mine huge amounts of data in order to make better decisions as a result of the growth in volume and variety of data sets. You may now use tools like advanced analytics, artificial intelligence, and machine learning to work more efficiently and launch new products faster than ever before.

1. Be Prepared for Auditing 

Finally, data backup can be of crucial importance if a governing body (for instance, tax authorities and regulators) decides to conduct an audit.

By establishing a data backup, you will ensure that any accounting, financial, or other regulatory information will be available, making sure the audit goes as smoothly as possible. 

Final Thoughts

Data backups are essential for any company. They serve as a backup plan in case the worst occurs and a safeguard against human error. Data backups will give you a competitive edge, save you time and money, and ensure business continuity.