Solving the mystery of the cloud for small businesses

What “cloud” really means is using Internet services for file sharing, email, document sharing, etc. Instead of storing files on your local network, the files are backed up on the remote server. The remote server is maintained by the cloud service company. Email has been used this way for years: you buy email hosting on a monthly basis and never think about the server that hosts your content. All of that server-side storage is done remotely via an Internet connection. Cloud services are generally cheaper, and implementation and maintenance costs are much lower than hosting your own in-house server.

An internal server is good for those types of systems where you want to keep your data on site, within your own business network. A good example is a hospital that hosts its own data center. Some services can be used online, but those services that require 24/7 access are maintained on campus. Unless you have redundant Internet connections, there is always a chance that you will lose your connection. Additional costs are associated with hosting a server; you have to pay for the hardware, keep backups of it, and hopefully have off-site redundancy in case of fire, flood, etc.

The advantages of having an in-house server include minimal downtime and better application performance and speed (depending on the type of applications you are using). If it’s important to you to control your own system and have the data at your place of business, having a server may be the way to go. The downside is the maintenance costs (including backups, maintenance, security, end of life, etc.) for the server. You also need to make sure you have redundant power in the event of a power failure. This is usually minimized by purchasing a UPS that the server connects to, as well as normal power from an outlet.

The first step for a small business is to write a list of business functions/problems that an IT solution would solve for you. For example, a small business may require the following:

Types of Services

• Email
• document exchange
• videoconference
• database application

Important questions to ask

• Do any of these systems contain sensitive data that needs additional security or encryption?
• What are your uptime requirements? Is minimal downtime acceptable or unacceptable?
• Can the systems be accessed internally and remotely, or can they only be accessed internally?
• Are there hidden costs or fees associated with cloud computing services? Be sure to ask about maintenance contracts and the type of technical support available.
• What are the hardware/software requirements to access cloud computing services?

Some cloud companies offer a package that addresses each solution, or you can choose fragments of each. As far as hosting your own server goes, a modern server would suffice to handle various types of small business applications.