In the first of a new series on what business Owners should know about their IT (but rarely ask), Advo’s Colin Middleton looks at where Data is, and should be saved & managed.

For most SMEs, data is everywhere.

A spreadsheet saved on a desktop. HR files in a shared folder. Contracts in someone’s email. A backup (maybe) on an external drive. And increasingly, documents sitting somewhere in “the cloud.”

Individually, none of this seems like a problem. But together, it creates a simple question many business owners struggle to answer:

Where is our business data actually stored?

If that’s not immediately clear, you’re not alone—but it’s something worth getting a handle on.

Cloud vs Local: What’s the Difference?

Let’s start with the basics.

Local storage means data saved on a specific device or server—like a laptop, office PC, or on-site server. If that device fails, is lost, or stolen, the data can go with it.

Cloud storage means your data is stored online, using platforms like Microsoft 365 (OneDrive/SharePoint) or Google Workspace. This allows access from anywhere and reduces reliance on a single physical device.

Most SMEs today use a mix of both—often without realising it.

And that’s where risk creeps in.

The Hidden Risk of “Saving It Anywhere”

It’s common for businesses to rely on habits rather than structure:

• Files saved to individual desktops
• Documents shared via email instead of stored centrally
• USB sticks used for convenience
• Staff using personal cloud accounts (e.g. personal Google Drive or Dropbox)

It works—until it doesn’t.

What happens when:

• An employee leaves and their files are on their laptop?
• A device is lost or damaged?
• Someone saves the “latest version” somewhere no one else can find?

These aren’t unusual scenarios—they’re everyday risks.

Shared Drives vs Modern Cloud Systems

Many businesses are familiar with a traditional shared drive—folders on a server that everyone accesses in the office.

While these can still work, they often come with limitations:

• Harder to access remotely
• Greater reliance on office infrastructure
• Limited visibility and control

Modern platforms like SharePoint or Google Drive offer a more flexible approach:

• Files stored centrally and accessible from anywhere
• Built-in version control (reducing duplicate files)
• Easier collaboration across teams
• Better control over who can access what

But again, the platform itself isn’t the solution—it’s how it’s used.

Ownership, Access & Control

One of the biggest risks isn’t where data is stored—it’s who controls it.

Every business should be clear on:

• Who owns your systems (not tied to an individual employee)
• Who has access to sensitive data (e.g. payroll, HR records)
• What happens when someone joins or leaves the business

For example, if key files sit in an employee’s personal account, or access isn’t reviewed regularly, you can quickly lose control without realising.

Keep It Simple, But Structured

Good data management doesn’t need to be complicated.

It comes down to a few simple principles:

• Store files in shared, business-owned locations—not individual devices
• Avoid using personal accounts for business data
• Create a clear folder structure everyone follows
• Limit access to sensitive data based on roles

Consistency is what makes the difference.

The Bottom Line

If you don’t know where your data lives, you don’t control it.

And if you don’t control it, you can’t properly protect it, manage it, or rely on it when you need it most.

Taking the time to understand and organise your data isn’t just an IT exercise—it’s a fundamental part of running a well-managed business.

Article written by Advo IT Specialist, Colin Middleton.