Small businesses are moving to cloud storage at an all-time high in 2016. The majority of all startup companies born in 2016 have entered the “Cloud Generation,” while established small businesses continue to migrate. Hosting your own IT is a variable cost that fluctuates monthly hurting profit margins. Leveraging the cloud, a fixed cost solution, enables small businesses to significantly reduce their operating costs. Beyond cost, cybersecurity and eliminating downtime are also major reasons why cloud hosting is the most cost-effective measure a small business can make when it comes to their IT.
Downtime hinders employee productivity. Depending on their job function most employees use some sort of technology on a daily basis. The cost of downtime is even higher when it affects the customers. Last Thanksgiving and Black Friday, shoppers spent a record level of $4.45 billion online. Small businesses with an online presence face the risk of a high volume of visitors potentially crashing their self-hosted website. Without a functioning website the potential amount of sales lost could be devastating. Technology’s goal is to increase productivity but ironically can do just the opposite when deployed incorrectly. The high migration rate of small businesses to the cloud is a direct result of the cost of downtime.
Small businesses have had to switch to from a defensive to an offensive position when it comes to protecting their data with an increase of cyber-attacks. Microsoft research recently published an alarming statistic that 20% of small to mid-sized businesses have been cybercrime targets. Housing sensitive data on a local hard drive leaves your business vulnerable to both physical and cyber risks. Small businesses are choosing to strengthen their protection with a cloud hosting solution which is a more secure form of storage and back up.
Without having to invest in infrastructure, hardware, security, and allotting the office space to house it all, many businesses have already migrated to the cloud saving them thousands annually. We anticipate an even larger migration to the cloud by the beginning of 2017.
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