Expert Data Labs Blog

The cloud has been a great thing for small business owners struggling through tough economic times. Instead of purchasing pricey enterprise software, business owners can save their dollars by accessing powerful computing programs in the cloud, everything from high-end word processors and project-management tools to spreadsheets and Photoshop alternatives. But, the cloud isn't perfect, especially when it comes to security issues. Entrepreneurs need to be conscious that their documents, presentations, and marketing materials can be damaged when they're stored in the cloud.

Password issues

Password protection is a crucial issue when dealing with the cloud and personal computers also. Passwords can often be easily guessed or they are shared too freely.

Business owners must be careful to choose passwords to their cloud projects that are challenging for others to guess. The best option is for owners to include a blend of letters and numbers in their passwords. Owners should also be cautious about sharing their passwords with a lot of people. The more people who have access to passwords, the more in danger important data and documents are.

Hacker alert

A few serious problems that will not soon go away for anyone who uses a computer are hackers, malware, and spyware. As business owners have little control over how secure the cloud is this part of security can be very scary indeed. Businesses like Microsoft and Google must create their own security measures to protect the data stored in the cloud.

Common sense protection

Protecting yourself from theft in the cloud can be as simple as applying some common sense practices.

First, sensitive data may not be the best thing to store in the cloud. If your data is so sensitive that a compromise on its security could spell the collapse of your business, consider saving it on a physical computing system and apply a secure back up process that is more controllable.

Secondly, before giving every employee free access to cloud-stored data, think carefully about which employees actually needs access to that information. People are often careful about protecting their laptops and desktop computers from prying eyes; this attitude should be applied to the cloud as well.

The advantages of storing information in the cloud are extensive. Backing up important data, freeing up space on your servers, and having your information easily available to your staff are only a few. If you have been considering this route, you almost certainly have many questions about the security of the cloud. If your company handles sensitive information that belongs to your customers you may need to stay compliant with HIPAA, PCI or Sarbanes-Oxley regulations.

It can be challenging to tell if your cloud storage solution follows these requirements, as many don't specify in their privacy policies. To help you navigate these difficult waters, let's consider this topic in more detail below.

Compliance

More and more companies are turning to the cloud for storage. For obvious reasons, it is a very economical approach to take. However, improper handling of your client’s information can harm your reputation and result in a loss of business for your company. If your company mandates that client data be handled in a regulated way, you must first learn how secure the cloud service is and what regulations does the cloud service providers comply with. If a company has not specifically said they comply with certain regulations, it’s safe to assume they don't.

Who is responsible

Whose responsibility is the security of the cloud? It's not currently required that a service provider be specific about their compliance with these regulations. While the safest choice is to assume that if they haven’t clearly stated that they are in compliance in their privacy policy, they are not. This may mean that cloud computing is not for you. However, if your business does not require tight regulations, then the advantages of cloud computing could be a great solution for you. 

Ultimately, as there is no current law that states that companies must divulge how tight their security is, the responsibility is in your hands. You have to weigh the advantages and disadvantages of cloud storage to determine if it’s right for your business.