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If you’re looking at a backup device for your organization, the most important question to ask is whether cloud vs. in-house backup will meet corporate needs. It’s also equally as vital to understand the difference between enterprise and personal backup systems. 

When an organization begins to look at a backup solution for business, it must first eliminate all personal file-based backup options. This technology comes cheap, but only functions as basic file storage. Personal backup is not built for enterprise use: it’s inefficient in recovering large amounts of data, and it’s not made to support applications. Enterprise backup does more than just store files, it provides business continuity by keeping corporate operations running. 

When it comes to enterprise backup, cloud solutions can be more expensive than in-house options. Although, the benefits of being in the cloud can far outweigh the costs for some businesses. If your business is heavily reliant on uptime and instant recovery, or have a workforce that is largely mobile, it may be worth paying more for a cloud solution with an uptime and productivity guarantee. Cloud adoption is taking hold within small businesses, today 44% of small business use cloud infrastructure for their backups.  

Although, businesses that aren’t as reliant on uptime or mobility may be more suited to an in-house backup. 

Here are some pros and cons of cloud vs in-house backup to help determine which solution is right for your business: 

What is Cloud Backup?  

Cloud backups use cloud computing technology to store your data on remote servers accessible through the internet. This means that if you have internet access, you can access your network’s resources and data. Cloud typically operates with a scalable subscription, as there is no physical hardware to purchase.    

A significant benefit of the cloud is that it requires little management on your business end. Backups are done frequently and periodically to ensure that, in the event of a disaster, there is minimal, if any, downtime or data loss.   

Check out a high-level overview of the pros and cons of cloud backups: 


No need for onsite hardware or capital expenses. Well-suited to smaller companies that may outgrow storage too quickly.The costs of the data recovery could outweigh the benefits for companies that are not as dependent on uptime and instant recovery.
Storage can be added as needed. Solutions are often on-demand, so you only pay for what you need.Organization may have a limit to data that can be stored in the cloud due to storage availability and cost.
Backup and restore can be initiated from anywhere, using any computer, tablet, or smartphone.If the Internet goes down on your side or on your cloud provider’s side, you won’t have access to any of your information.
Data can be backed up in the cloud as regularly as 15-minute intervals, minimizing data losses in disaster situations. Small data set recovery time is improved.Full data recovery could prove very time-consuming and impactful on systems. However, if a Datto is used, recovery can occur in minutes.


What is a Server Backup? 

Server backups use on-premise servers to store your data on your business site. A benefit is that you have direct physical access to your servers when at your business. However, this also means you are at greater risk of physical damage causing data loss. With server backups, you must have an on-site team available to monitor and maintain server health, giving you control over the process and increasing the resources needed to manage your data.   

Check out a high-level overview of the pros and cons of in-house backup:   


Gives you physical control over your backup.Requires a capital investment in hardware and infrastructure.
Keeps critical data in-house. No third party has access to your information.Needs space in your office for a rack or server room/closet, in addition to dedicated IT support.
No need to rely on an Internet connection for access to data.May be more susceptible to data loss during disaster situations due to its in-house location. How often you take the data offsite will reflect how much data you’ll lose in an emergency.
Can be more cost-effective for small to mid-sized companies.No uptime or recovery time guarantees.

As you can see, there are many pros and cons when comparing cloud vs in-house backups. The one that works best for your business helps you strategically achieve your business goals while ensuring your operations continue running optimally. This is different for each organization and why SysGen evaluates your business needs before prescribing any solutions. 

The best backup solution for your small business depends on your unique needs and resources. If you are deciding between cloud vs. in-house backup but aren’t sure which solution is best for your business, connect with SysGen today. We can help determine the right set up to meet your specific needs. Take a look at our backup and business continuity services  to learn more. 

Find SysGen’s IT support and managed IT services in Calgary, Edmonton, Red Deer, Vernon, and Kelowna. Learn more about SysGen’s cloud offering, cybersecurity services, and digital advisory team by clicking here. 

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Headshot of Ryan Richardet

Ryan Richardet

President, CEO

Ryan Richardet is the President of SysGen Solutions Group and is the Chair of Datto's Advisory Board; supporting growth by providing strategic advice based on his experience as an owner of a large IT services provider in Western Canada. Ryan holds a Master of Business Administration (MBA) from Royal Roads University (2016) and a Bachelor of Biological Science with Distinction from the University of Calgary (2008).