When your business backs up data, it's essentially making copies of important files and information to protect against loss. Encryption in backup and recovery means these copies are scrambled using special codes so only authorized people can read them. This is crucial because backups often contain sensitive business data, customer information, and financial records. Without encryption, if someone unauthorized accessed your backup files—whether through hacking, theft, or accidental exposure—they could misuse or steal that data.
Why encryption matters for Canadian small businesses
For small and mid-sized Canadian businesses, downtime or data loss can be costly. Imagine a ransomware attack that locks your active files—you would rely on your backups to restore operations quickly. But if those backups aren't encrypted, they could be compromised, making recovery impossible or risky. Encryption helps reduce cyber risks by protecting backup data both while it's stored and during transfer. It also supports compliance with privacy expectations from customers and partners, especially when handling personal or financial information.
A real-world example
Consider a 50-person Canadian accounting firm that experienced a cyberattack. Their active systems were encrypted by ransomware, and they turned to their backups to restore client files. However, their backup storage was not encrypted and was accessed by the attacker, who then demanded a ransom for both the active and backup data. Because the backups were compromised, the firm faced longer downtime and potential data breaches. A managed IT partner later helped them implement encrypted backups, ensuring that even if backups are accessed without permission, the data remains unreadable and safe.
Practical steps to ensure your backups are properly encrypted
- Ask your IT provider: Do you use encryption for backups both at rest (stored) and in transit (moving over networks)? What encryption standards or protocols do you follow?
- Review backup policies: Check if your backup schedules include offsite or cloud storage with encryption enabled.
- Verify access controls: Who has permission to access backup data? Are multi-factor authentication and strong password policies in place?
- Test recovery procedures: Ensure backups can be decrypted and restored quickly when needed without data loss.
- Check compliance requirements: Understand any industry-specific data protection rules that apply to your business and confirm backups meet those standards.
Next steps
Encryption is a key layer of protection in your backup and recovery strategy, helping safeguard your business data from unauthorized access and supporting faster recovery after incidents. Discuss your current backup setup with a trusted managed IT provider or IT advisor who understands the needs of Canadian small and mid-sized businesses. They can help you evaluate your encryption practices, improve your data security, and align your backup strategy with your operational and compliance goals.