Your Data Might Be Safe in the Cloud But What Happens When It Leaves the Cloud?

In the age of data breaches, companies have a responsibility to safeguard sensitive information. Entrepreneurs can protect data during transactions by taking 4 simple steps.

With more sensitive data stored in the cloud than ever before, entrepreneurs need to know how to keep information regarding their companies and their customers safe.

Cloud service providers can successfully protect data physically and technologically while it is in the cloud, but that information can be vulnerable to hacking as soon as it leaves the cloud to interact with another system. Even when companies implement entirely cloud-based systems, they often use data backups and on-site storage in some way. These systems also fall under your responsibility.

Just look at February’s StreetEasy breach, in which hackers stole information from a million accounts. Hackers didn’t access this information during the real estate company’s day-to-day operations; they stole it using a database backup from 2016. Personal information from those accounts — including email addresses, usernames, the last four digits of credit cards, expiration dates and more — is now available for sale on the dark web. This lesson is hard (and costly) for entrepreneurs: You have to protect data every step of the way.

Ironically, the myriad benefits of cloud-based data storage can become risks if businesses aren’t careful. Transactional data requests can be made and fulfilled from virtually anywhere in the world, using any connected device — when a physician’s office requests access to a patient’s hospitalization records, for instance, or when a customer purchases shoes online.

This rapid-fire communication makes business operations run smoother, faster and far more efficiently. It also means that data can be left exposed unless you take the proper precautions. To protect your data through every transaction, take the following measures:

Using virtual private networks (VPNs) and secure socket layer/transport layer security (SSL/TLS) helps ensure that your internet connection doesn’t leave you exposed when working with data that travels from one system to another. A VPN makes your connection private and keeps your online activity, IP address and device information anonymous. Use VPNs to access computers or networks remotely, especially if you or your employees are using public Wi-Fi.

SSL/TLS encrypts and safeguards sensitive data as it’s transferred between two systems (such as client/server or shopping cart/browser), preventing would-be criminals from reading and modifying that information. When accessing a website to make a purchase, make sure that the address begins with “https,” which verifies that the site is encrypting and hiding your data from prying eyes.