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Making a physical backup of the data generated in a small business is a necessity that many small business owners overlook. But neglecting to make data backup a priority is inherently risky since theft, system failure, or damage can easily compromise the data stored on a computer. Moreover, making a physical backup of data means that valuable information can be moved off-site, safe from things such as fire or flooding.

There are several methods of transferring your backup files to another media. Here are a few of the most popular options:

• CD-Roms. What makes this method popular is that it is inexpensive and easy. But it is probably one of the most unreliable methods of data backup. CDs have a limited shelf life, are easily damaged, and are often rendered “unreadable.” If you plan on using this method, you should make several copies and check the CD afterward to make sure the information is accessible.
• External hard drives. External hard drives are relatively cheap compared to tape drives (a few hundred dollars versus approximately $1,000). With this method you can expect ease of use and higher reliability.
• Tape backups. The use of a tape backup drive is probably the most reliable of all options listed here. But this reliability comes with a hefty price tag. A good tape drive can will cost over $1000, and individual tapes for the drive can cost up to $40 each.
• Online backup services. Do an online search for data backup services and several companies will pop up. While this may seem like an attractive option, there are many security issues involved. Before you choose this method, consider how sensitive is your data. You should also research different companies. Find out how long each one been in business, what security systems they have in place, and ask for references.

Your data backup is as good as the method you choose. Do your research to determine which method is right for you and your business.

The majority of small businesses today rely heavily on hardware and software systems in a variety of areas including, operations, production, and business planning. Therefore, knowing how and when to upgrade these systems is essential to the health of the business and can make a big impact on the bottom line. Here are a few things to consider before upgrading the hardware in your small business.

• Why are you looking to upgrade? Depending on your needs, certain upgrades may not necessitate purchasing a whole new system. To increase speed, processing power, and available memory, you can add additional RAM to your existing hardware. You can also add devices, such as CD burners and hard drives.

• What are the estimated costs of not upgrading? Knowing this information is important when deciding the right time to completely change over your system. When the costs of not upgrading, such as a decrease in productivity or lost potential sales, is greater than the cost of new equipment, then it is time to change the system.

• Factor in all the costs associated with revamping your system. Consider all the costs that are indirectly related to acquiring new hardware. Do you need to hire someone to set it up? Do you need to make any renovations to support the new equipment? Are you also buying advanced software?

• What are your expected needs in the future? How do you anticipate using your hardware in the future? Is your business currently growing or changing in some way? Before purchasing any equipment, make sure it will be able to handle any grow or operational changes.

• What is your available budget? Obviously, having the most cutting edge equipment will mean nothing if buying it leaves you bankrupt. If your cash flow is tight, then look into your options. Either compromise on the quality of the equipment or put off getting completely new hardware in favor of enhancing your current system. Alternatively, you should consider computer leasing. If you get a lease with an option to upgrade at the end of the term, you also can keep up with the latest advancements in technology.

In short, many factors must be considered before making any changes to the hardware that your small business runs on. Do your research in order to get the right fit for your business.

Point of sale (POS) software is fast becoming a staple among small businesses. Business owners looking to gain more control over operations while freeing up precious time and resources are turning to POS systems as an efficient solution. If you are still running your small business with a manual cash register, then chances are you have a lot to gain by implementing a point-of-sale system.

What Hardware Do You Need to Run POS Software?

Though there is some variation among different systems, the hardware requirements are generally the same:

• A working computer with a standard Windows operating system
• A receipt printer
• A cash draw
• A bar code scanner and printer (required for all except the most basic systems)

 What are the Benefits of POS Software?

When considering POS solutions, a lot will depend on the nature of your business and how much you are willing to pay for the software. In general, POS software provides an automated system that integrates sales, inventory, purchasing, and bookkeeping. It can be a powerful tool that can help you make decisions in management and financial planning. POS software can cater to a spectrum of needs including:

• Inventory management. You can update your inventory numbers as the merchandise is purchased and be alerted by the program when your stock hits a certain re-order threshold. You can also be on top of shrinkage due to theft or damage.

• Store and update information. Through POS software you can maintain data on vendors, customers, billing, and shipping.

• Bookkeeping and payroll. Some POS systems also include bookkeeping as well as employee payment and management capabilities.

• Reporting. A point-of-sale system can help you to identify product life cycles, customer buying patterns, and seasonal trends. All of this information is invaluable to your business planning.

Some Considerations Before Buying a POS System

Point-of-sale systems range in capability, price, and they can be industry-specific, so make sure to do your research before purchasing a system. Also, depending on the nature of your business, it may be more valuable for you to invest in other software solutions, such as an accounting suit.

Whatever system you decide on, it is clear that point-of-sale software solutions can be a tremendous tool for your small business. Your business will operate more smoothly, and it can help you to maintain your competitive edge.