Too many small businesses in the UK are vulnerable to data loss and its consequences.
Mishandling data or failing to back it up properly in the event of a catastrophic system failure can lead to potentially fatal problems for small firms.
On the one hand, a new survey from Eclipse Internet found that 62 per cent of SMEs polled were unaware of the scale of penalties they could be liable for under the Data Protection Act.
From April 2010, the Information Commissioner will take on new powers to fine companies that put personal data at risk up to £500,000.
On the other, the chief executive of ThinkGrid, Robert Lovell, has warned that disaster recovery plans are all too often neglected by small businesses – and he stressed the importance of cloud computing as a potential remedy.
Mr Lovell's comments follow on from a recent survey by Teneros, which found that a quarter of all organisations do not have any access at all to a remote data recovery facility.