Reasons SaaS Startups Need Effective & Safe Cloud Computing

reasons-saas-startups-need-effective-&-safe-cloud-computing

Reasons SaaS Startups Need Effective & Safe Cloud Computing

The infancy stage is the most complex and most exciting level in the business life cycle. Whatever you build at this level will reflect on the strengths and stability of the foundation of your new enterprise.

You have created a crazy website, build customer engagement on social media, and hire talented people all together at the same time. But, by using cloud-based IT services, you can relieve some of your major stresses.

Every year more and more businesses are moving to the cloud. According to the latest CNN cloud computing stats, the cloud services market will exceed $330 million by the end of 2020, and by 2021, 94% of the workload will bow to cloud data centers.

These stats provide a compelling story. But wait. Will cloud computing work for my small businesses?

Cloud computing can benefit small startups in several ways. Read on to get an in-depth understanding.

SMEs Can Also Leverage Cloud Computing

The biggest myth around cloud computing is that it is only effective for big organizations. There are lots of startups that build everything using the cloud. However, some companies migrated to cloud during their history.

Consider the example of Netflix. Ten years ago, the streaming company experienced an accident with its infrastructure. A database server gets corrupted, and the operations halted for at least two days. The company decided to send DVDs to its customers as their backup plan, but it failed completely.

That was the time when the company decided to live in the cloud and announced a partnership with Amazon. The application programming interface (API) of Netflix takes many years to develop and perform on Amazon web services (AWS).

Cloud Computing Keeps Costs Low

The biggest challenge of startups is to trim back their costs. On the flip side, people often hear that cloud services are expensive.

Cloud computing has obvious cost benefits for your businesses. The on-premises software license cost is only 9%, but what about the hidden costs?

The on-premise data center is quite expensive to operate. You need equipment and technicians who can install, operate, and maintain systems.

How to build a startup’s infrastructure while being within your budget?

  • With cloud computing infrastructure, you don’t need big investments and special resources.
  • You only have to pay for the services you use.
  • You can increase your investment as your company and its needs grow.
  • It is your task to find the best deals and choose the one that serves your business needs.

Cloud Computing Increases Efficiency and Intelligence

Why would a business owner set up an IT team to unnecessarily take up excessive time and resources to do routine tasks that you could simply ask someone to do for you?

Like big businesses, small businesses can also benefit from increasingly sophisticated computing abilities as high productivity. The sudden shifts in the market and competitive pressure are less likely to businesses that invest in technology.

With this, you can keep an efficient technology staff and resources.

Cloud Computing Enhances Data Protection and Control

A top reason behind cloud adoption is the fact that it let you locate your data on secure servers.

“It’s quite a common fact today that storing data on physical devices isn’t a safe option because it can be stolen and which can lead to compromised data”. comments Advanced Firewall Solutions security expert Yuri Slavchev. “Storing data on the cloud is much safer because you can delete or transfer data or limit the number of people who have access to it remotely. It is more resilient and can detect intrusion (which isn’t possible with an on premise data center)”, he adds.

Some other tips on securing data with cloud computing:

  • Use two-factor authentication (2FA).
  • Create strong passwords (e.g., password1 is a terrible example).
  • Maintain a log of unusual activities.
  • Add an extra layer of security by encrypting your data.
  • Monitor traffic (unexpected high traffic is a sign of danger).

Additionally, cloud service providers have to comply with strict standards like the Health Insurance Portability and Accountability Act (HIPAA), and failure to do so can cause heavy penalties and closure of license.

It Offers Data Access from Anywhere

Probably the biggest reason companies are shifting to cloud computing is the flexibility it provides. With business closures around the globe, your small cloud-based business can easily implement the ‘work-from-home’ policy.

Cloud services provide data access as well as access to different business tools, helping small businesses continue their operations while being at their homes. This also benefits small owners in terms of lowering their operational costs.

Brings High Scalability for Business

Cloud computing offers businesses the flexibility to shrink or expand their computing capabilities as per the situation. If you are running an online confectionary business, the chances are high that the demand for your product will sharply increase in the Christmas season.

Cloud-based IT services help business owners obtain temporarily high capacity for peak seasons. You don’t need to purchase extra hardware or software for that specific time period. All you have to do is to ask your provider to upgrade your package and pay the additional cost.

In order to make the most out of it, it is important for you to understand the SaaS pricing models and strategies.

High Accountability of the Vendor

In case you are a new startup, mistakes and errors are inevitable unless you take advantage of proven peer-to-peer know-how and help like Natalie Luneva’s SaaS mastermind group for example. You can avoid this completely by transferring your IT responsibilities to a specialized provider.

In case of any trouble with the database, the SaaS provider will have to pay for the damages and suffer from a high customer churn rate. So, there’s a clear reason for service providers to offer you the most efficient and updated solutions for your surefire success. In fact, their income and revenues depend on how well their applications help customers.

What is more, fulfilling the client’s expectations is the chief priority of cloud service providers.

More Time to Focus on Core Activities

As a beginner, you have a lot to do. At this stage, you are focusing on running appealing marketing campaigns to increase awareness among your audience about your idea, often with some fair degree of advertising manipulation. Thinking about cloud infrastructure should be your last priority.

So, if you go for cloud-based IT services, you have ample time to take care of your relationships with your customers. Students also seek essay writing help so that they can focus on lectures and prepare for exams. Remember that your undivided attention is more important for your startup success than anything else.

Recap

Cloud computing injects startups with the ability to do ‘Business without Borders, ’ which was merely a bookish concept in the past. So if you make the right decision at the beginning, you can cut costs, achieve efficiency, and transfer all your IT responsibilities to a third party service provider.

Dimitar Karamarinov

Dimitar Karamarinov appears on established media such as Forbes, Metro News, CMSWire, Today.com, BBN Times, and more. Dimitar Karamarinov is an award-winning digital multi-instrumentalist with authorship in a wide range of digital medium and multimedia starting as early as 2006. With over a decade of experience in audio, graphic and motion design, along with various forms of business and communication, Dimitar Karamarinov gained experience with Entrepreneur Franchise 500, Inc 5000, and multi-continent companies, along with various charity initiatives under his belt.

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