Cloud Services and Data Safety: What Small Businesses Need to Know

An image of a cloud connected to several computers, representing the data backup services of Ann Arbor IT support.

Is your business storing information in the cloud?  

If so, is it getting backed up?  

Don't be fooled into thinking redundancy is the same as a backup - it isn't.  Make sure your valuable data is protected with a robust backup solution.

As a small business owner, you likely rely on cloud services like Amazon Web Services (AWS) or Microsoft OneDrive to store critical data—customer records, financials, or project files. These platforms promise high availability and redundancy, ensuring your data is replicated across multiple servers for reliability. But here’s the catch: redundancy is not the same as a backup, and cloud providers may not be fully responsible if your data is lost.

Redundancy vs. Backups: Understanding the Difference

Cloud services like AWS and OneDrive use redundancy to keep your data accessible, even if a server fails. For example, AWS S3 stores data across multiple locations, boasting 99.999999999% durability. OneDrive offers similar protections with geo-redundant storage. However, redundancy doesn’t protect against:

  • Accidental deletions by you or your team.
  • Cyberattacks, like ransomware, that can corrupt or delete data across all replicas.
  • Account issues, such as suspensions due to policy violations or payment disputes, which could lock you out of your data entirely.
  • System errors or bugs on the provider’s end, which, while rare, have led to data loss for some users.

True backups, on the other hand, are separate, point-in-time copies of your data that allow recovery after such incidents. Many cloud services don’t automatically provide comprehensive backups, and features like OneDrive’s 30-day Files Restore or AWS’s versioning require setup and may have limitations.

Limited Liability: You’re on Your Own

Cloud providers’ terms of service often limit their liability to refunding your monthly fees if data is lost. For example, a small business using OneDrive could lose years of data due to an account lockout, with Microsoft offering little recourse. Similarly, an AWS user reported losing critical data in 2025 after an account termination, despite using redundancy. The reality? Cloud providers expect you to manage your own backups under their “shared responsibility” model.

Protect Your Business Data

For small businesses, losing data can mean lost revenue, damaged reputation, or operational chaos. To safeguard your data:

  • Create Independent Backups: Store copies of your data outside your primary cloud provider, such as on another cloud platform or local storage like external drives.
  • Enable Protective Features: Use tools like AWS Backup or OneDrive’s versioning, but ensure they’re properly configured.
  • Diversify Storage: Don’t rely on a single provider. Spread your data across multiple platforms or maintain offline backups.
  • Test Recovery Plans: Regularly verify that your backups work to avoid surprises during a crisis.

Get Expert IT Support in Ann Arbor

Navigating cloud services and backup strategies can be complex, especially for small businesses with limited IT resources. If you’re concerned about protecting your data, consult a qualified IT service and support company. 

At NSG, we specialize in helping small businesses secure their data with tailored backup solutions, cloud management, and recovery planning. Don’t leave your business vulnerable—partner with experts to ensure your data is safe and recoverable, no matter what.

If you’re an Ann Arbor business, get started with IT support services today. Call (877) 815-6974 or submit a contact form here.