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Cloud Backup vs Local Backup: What Perth Businesses Need to Know

Most Perth businesses have some form of backup - but far fewer have one that would actually save them in a real disaster. The choice between cloud and local backup isn't either/or. Here's what you need to understand.

The 3-2-1 Rule - Start Here

The industry-standard backup strategy is called the 3-2-1 rule:

  • 3 copies of your data
  • 2 on different storage media
  • 1 offsite (i.e. not in your office)

This single rule eliminates most backup failure scenarios. A local backup alone fails if the office burns down or gets flooded. A cloud-only backup can be slow to restore large datasets. Both together covers you.

Local Backup - Pros and Cons

Local backup stores your data on a physical device in your office - typically a NAS (Network Attached Storage) device or an external hard drive.

Advantages:

  • Fast restore speeds - recovering large files from a local device is much quicker than downloading from the cloud
  • No ongoing subscription cost (beyond the hardware)
  • Works without internet access

Disadvantages:

  • Vulnerable to the same physical disasters as your office - fire, flood, theft
  • Ransomware can encrypt network-connected backup drives if they're not properly isolated
  • Requires someone to monitor and maintain the hardware
  • External hard drives fail - and often do so silently, giving you the illusion of a backup that doesn't work

Cloud Backup - Pros and Cons

Cloud backup sends copies of your data to secure, geographically separate data centres - typically in Australian-based facilities for local businesses.

Advantages:

  • Completely offsite - survives fire, flood, theft, or any on-premises disaster
  • Immutable backup options - some cloud backup solutions store versions that cannot be deleted or encrypted, even by ransomware with access to your network
  • Automatic and monitored - no staff intervention required
  • Scalable - storage grows with your data without new hardware purchases

Disadvantages:

  • Restore speed depends on your internet connection - recovering terabytes over NBN can take days
  • Ongoing monthly cost
  • Requires trust in your cloud provider's security and uptime

The Ransomware Problem With Local Backup

This is the critical point many Perth businesses miss. Modern ransomware actively searches for and encrypts backup drives connected to your network - including NAS devices and external drives that are always plugged in. If your local backup device is network-accessible when ransomware hits, it will likely be encrypted along with everything else.

The solutions are: use an air-gapped backup (physically disconnected when not in use), use a cloud backup with immutable storage, or both. A NAS that's always connected and always accessible is not a ransomware-safe backup.

Our backup and disaster recovery service combines cloud and local backup with regular test restores, so ransomware can't touch your data.

Backup & Disaster Recovery →

What About OneDrive and SharePoint?

If your Perth business uses Microsoft 365, your files in OneDrive and SharePoint are automatically synced to Microsoft's cloud - but this is sync, not backup. If you accidentally delete a file or ransomware encrypts your local files, the deletion or encryption syncs to the cloud too. Microsoft 365 has version history and a recycle bin, but these have time limits and are not a substitute for a proper backup solution.

A dedicated Microsoft 365 backup tool (such as Veeam, Acronis, or Datto) takes independent snapshots of your Microsoft 365 data that are retained separately from Microsoft's own storage.

What Perth Businesses Should Do

  • At minimum: A monitored cloud backup of critical business data, tested monthly
  • Better: Cloud backup plus a local NAS for fast restores, with the NAS isolated from the main network or powered off between backups
  • If you use Microsoft 365: Add a dedicated Microsoft 365 backup tool - don't rely on Microsoft's built-in version history alone
  • Test your backups - at least quarterly, restore a sample of files to verify the backup actually works

Frequently Asked Questions

Do we need both cloud and local backup, or is one enough?

Ideally both. Local backup gives you fast restores for everyday issues, while cloud backup is what survives a fire, flood, theft, or ransomware that spreads across your office network. Relying on only one leaves a gap the other would have covered.

Is OneDrive or SharePoint sync the same as a backup?

No, sync and backup are different things even though they look similar day to day. If you accidentally delete a file or ransomware encrypts it, that change syncs to the cloud too, so a genuine backup tool with its own retained versions is needed alongside Microsoft 365's built-in version history.

Can ransomware reach my local backup device?

Yes, if it's always connected to the network. Modern ransomware actively looks for and encrypts backup drives and NAS devices that are reachable, so a local backup that's always online isn't a ransomware-safe backup on its own.

How do I know if my backup would actually work in a real disaster?

The only way to know is to test it, restoring a sample of files at least quarterly to confirm the backup is genuinely usable, not just present. A backup that's never been restored is really just an assumption.

Not sure if your Perth business backup would survive a ransomware attack?

Call 0433 087 091 - we'll review your backup setup and tell you honestly whether it would protect you.

Book a Free Backup Review

For related reading, see our guides to Azure Cloud for Perth Businesses and Moving to the Cloud: A Guide for Perth Businesses.

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