Why SaaS Data Backup is More Important Than You Think

Many businesses depend on SaaS data for operations but often overlook data loss risks. SaaS providers follow a shared responsibility model, meaning businesses must protect their own SaaS data. Regular backups help prevent loss from cyberattacks, human error, and compliance issues. Automated backups ensure security, business continuity, and long-term data protection.

Most businesses have become highly reliant on Software as a Service (SaaS) platforms to run their business. Look at the list below and think about how many SaaS solutions you use.

• Business Communications: Microsoft 365, Google Workspace
• File Storage: OneDrive, Dropbox, Google Drive, Box
• Accounting software: QuickBooks Online, Xero, Wave
• CRM software: HubSpot, Zoho, Salesforce
• Business operations software: Dynamics 365, Sage, Macola, Prophet 21
• Project Management Software: Monday, ClickUp, Asana, Trello
• Email marketing: ActiveCampaign, Mailchimp, MailerLite

SaaS solutions offer convenience, scalability, and reduced infrastructure costs—but there’s a hidden risk many organizations overlook: data loss.

Protecting your SaaS data

Many people assume that because their data is in the cloud, it’s automatically safe. But the reality is that SaaS providers operate under a shared responsibility model. While they manage the infrastructure and ensure application uptime, protecting your data is 100% YOUR RESPONSIBILITY.

We’ve seen scenarios where clients have tried to backup SaaS data, only to find:

• An employee overwrote files, and the SaaS platform was unable to restore their account data.
• Customer and vendor records could be downloaded, but not the associated notes or transactions.
• The data was backed up in a proprietary format and couldn’t be accessed.
• The application didn’t come with API access or have 3rd party tools to enable automated backups.

The worst-case scenario is when clients discover they have no backup in the midst of an emergency. Business continuity is challenging when you don’t know who owes you money or which orders are in process.

SaaS backups are vital to business continuity

Sometimes our consultants feel like “nagging parents” reminding clients of the importance of doing regular backups and testing the backup recovery process. But the truth is that having a solid, consistent backup and recovery process is essential for businesses of any size.

No one wants to think about natural disasters or accidents, but most of us (by choice or by mandate) have health insurance, car insurance, home insurance and business insurance.

We would argue that having your data backed up is as vital – or even more important – than insurance for keeping your business running. And what we’ve seen is that as businesses have migrated to the Cloud and SaaS applications, many have become more lax, trusting the SaaS vendors to back up the SaaS data. The truth is that the vendors are backing up their application and data – but that doesn’t mean they can (or will) restore YOUR data.

SaaS vendors backup their entire environment. To parse out the backup data for an individual company may not be possible or the data may not be usable without the software application they provide.

For that reason, regular backups of your SaaS data are not just a good idea—they’re essential.

5 Reasons you need SaaS data backups

1. Your SaaS vendor could go out of business

Even the biggest names in the industry aren’t immune to financial trouble. If your SaaS provider shuts their doors or discontinues a product, your access to critical business data could disappear overnight. While some vendors provide options to export your data, these processes can be slow, manual and incomplete. We’ve spent hours tediously downloading files – and cleaning up database records – manual processes that are timely and can be expensive.

2. Cyberattacks are increasingly common

Cybercrime is on the rise, and SaaS platforms are attractive targets. A successful breach could compromise your data or render it inaccessible. Even with advanced security measures in place, no system is immune. Ransomware attacks, in particular, can lock you out of your SaaS applications entirely. Maintaining secure, external backups allows you to restore your data without paying a ransom or suffering prolonged downtime.

3. Human error (or malicious intent) happens

People make mistakes—and sometimes, those mistakes involve deleting or overwriting critical data. Worse, a disgruntled employee with access to your SaaS environment could deliberately erase or corrupt important files. Most SaaS platforms have limited retention periods for deleted data, meaning accidental deletions can become permanent if not caught in time. Regular backups offer a safety net against both unintentional errors and malicious actions.

4. Compliance and legal requirements

Certain industries are bound by strict data retention and protection regulations. Losing SaaS data can mean non-compliance, leading to legal repercussions and hefty fines. Implementing a backup solution helps ensure you meet regulatory standards and can provide necessary documentation when required.

5. Business continuity depends on data availability

Imagine losing access to your customer database, financial records, or project files. How long could your business function without them? Data loss disrupts operations, impacts customer trust, and can lead to significant financial loss. Backing up your SaaS data is a crucial part of any disaster recovery plan, ensuring you can quickly resume operations after an incident.

5 Best Practices for Backing Up SaaS Data

1. Implement Automated Backups: Use a reliable third-party solution to schedule automatic backups of critical data.

2. Follow the 3-2-1 Rule: Keep three copies of your data, on two different media types, with one stored offsite.

3. Regularly Test Restores: Ensure your backups are functional by performing regular restore tests.

4. Control Access: Limit data access to essential personnel and use multi-factor authentication (MFA) to reduce risks.

5. Monitor for Anomalies: Use tools that alert you to suspicious activity and unusual data changes.

How Eclipse Consulting can help

Our goal is to help you prevent future technology problems by:

• Selecting the right SaaS solutions in the first place. Does the solution you’re considering offer backup options? How easy will it be to migrate to a different platform in the future? Are you locked in?
• Evaluating your backup options. What content is critical to business operations? We can help you put business continuity plans in place.
• Finding backup solutions. We can either look for commercial third party solutions, build custom software, or recommend periodic manual backups.

Final Thoughts

While SaaS solutions bring tremendous value to modern businesses, they are not infallible. Relying solely on your SaaS provider for data protection is a risky gamble. By implementing a robust backup strategy, you safeguard your organization against data loss—whether from business closures, cyberattacks, or human error.

Don’t wait for disaster to strike. Prioritize your SaaS data backups today to ensure your business remains resilient tomorrow.