Data Loss Can Cause An Outage To Your Business
SMBs today are relying more than ever on IT systems to orderly run their business, assist customers and increase productivity. These systems hold sensitive digital data ranging from customer and employee information to internal emails, documents and financial records, sales orders and transaction histories. That’s why Data Loss Can Cost Your Business A Huge Outage. This is in a supplement to applications and programs critical to daily business functions and customer service.
While corporate-level data losses and insider theft are well publicized, many smaller businesses have also become casualties of data loss and theft. Following a significant data loss, it is estimated that a small-to-medium sized business can lose up to twenty-five percent in daily revenue by the end of the first week. Projected lost daily revenue increases to forty percent in one month into a major data loss.
According to The National Archives & Records Administration in Washington, ninety-three percent of companies that have experienced data loss, coupled with prolonged downtime for ten or more days, have filed for bankruptcy within twelve months of the incident while fifty percent wasted no time and filed for bankruptcy immediately. Finally, forty-three percent of companies with no data recovery and business continuity plan actually go out of business after a major data loss.
Still, a survey conducted by Symantec SMB revealed that fewer than half of SMBs surveyed backup their data each week. Only twenty-three percent of those surveyed said they backup data on daily basis and have a business continuity plan in place.
Companies play on a much bigger playing field than they did two decades ago. Any troublesome technological event – even the smallest of incidents – can have an increased impact on daily business and profitability. Being proactive with data recovery solutions, and having an emergency protocol procedures in place prior to a disruption or data disaster, is the only way to minimize downtime and soften the impact of such events.