Dropbox conceptMany small businesses, particularly those that have grown out of sole trader-type arrangements, will have investigated the use of Cloud file storage in the past. As a result, many businesses are initially founded on free, consumer-level offering like those from Dropbox. The ability to have data available any place, any time from any device helps small business agility, and ensures critical information is always at your fingertips.

However in recent months, Dropbox users have been affected by a number of breaches and controversies that should have business owners reconsidering their choice of storage provider. Dropbox was forced to admit that they had been inspecting the contents of their users’ files for instance, damaging the trust of their user base. Credibility was further damaged for some users after former US Secretary of State Condoleeza Rice (who played a large part in the intelligence aspects of the US invasion of Iraq) was appointed to the Dropbox board of directors.

Because of these factors, businesses would be well advised to review their choice of Cloud storage provider, particularly those with sensitive personal data or intellectual property.

It is also extremely important to choose a Cloud provider who uses UK or EU-based datacenters to avoid breaches of EU law that prevent transfer of certain data types outside the European Union. Dropbox (and most of the other US-based firms) are unable to meet this requirement, whereas our LiveDrive offering never sends your data out of the UK.

Cloud file storage is now an essential part of every SME’s storage and backup plans – but it is important to choose the right provider, not just the cheapest.

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