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Cloud Backup: Why Local Backups Aren't Enough Anymore

Cloud Backup: Why Local Backups Aren't Enough Anymore

If your only backups are sitting in your office, you're one fire, flood, or theft away from losing everything. Here's why cloud backup is now essential for every business.

The Problem with Local-Only Backups

Many businesses think they're protected because they back up to an external hard drive or a server in the closet. But local backups fail to protect against:

  • Natural disasters — Fire, flood, or severe weather can destroy your office and your backups
  • Theft — Burglars often take electronics, including backup drives
  • Ransomware — Modern ransomware specifically targets backup systems
  • Hardware failure — Backup drives fail just like any other drive

We've seen businesses lose years of data because their "backup" was sitting right next to the computer it was supposed to protect.

The 3-2-1 Backup Rule

Every business should follow the 3-2-1 rule:

  • 3 copies of your data
  • 2 different types of storage media
  • 1 copy stored offsite (cloud)

Cloud backup satisfies that critical offsite requirement automatically, without you having to remember to take drives home or to a safe deposit box.

Cloud Backup vs Cloud Storage

This is a critical distinction that many business owners miss:

Cloud storage (Dropbox, Google Drive, OneDrive) syncs your files across devices. If you delete a file or ransomware encrypts it, that deletion or encryption syncs everywhere. These services are great for collaboration but are NOT backup solutions.

Cloud backup (Datto, Veeam, Carbonite) creates point-in-time snapshots of your data. If ransomware encrypts your files today, you can restore from yesterday's backup. True backup solutions include versioning, retention policies, and protection against ransomware.

What to Look for in Cloud Backup

Not all cloud backup solutions are created equal. Here's what matters:

Automatic Scheduling

Backups should run automatically without human intervention. If someone has to remember to click "backup," it won't happen consistently. Look for solutions that back up continuously or at least daily.

Encryption

Your data should be encrypted both in transit (while being uploaded) and at rest (while stored in the cloud). This protects against interception and data breaches at the backup provider.

Versioning

The ability to restore previous versions of files is crucial for ransomware recovery. Make sure your solution keeps multiple versions and allows you to specify how long to retain them.

Fast Recovery

Backup is only useful if you can actually restore your data when needed. Test your restore process regularly—we recommend quarterly restore tests at minimum. Some solutions offer "instant recovery" that can spin up a virtual copy of your server in minutes.

How Much Does Cloud Backup Cost?

For most small businesses, expect to pay $50-200 per month depending on:

  • Amount of data being backed up
  • Number of computers/servers
  • Retention period (how long backups are kept)
  • Recovery time requirements

Compare that to the average cost of data loss: $120,000+ for small businesses, not counting the 60% that go out of business within 6 months of a major data loss.

Our Recommendation

For Bergen County businesses, we typically recommend Datto for its reliability, ransomware protection, and instant recovery capabilities. For smaller businesses or home offices, Carbonite or Backblaze offer good protection at lower price points.