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In this scenario, charging $3.95/month for unlimited space and bandwidth, a provider could break even at roughly 70 accounts. Doing a sample cost analysis — if your provider is leasing a dedicated server from a data center for $179/month, that cost plus overhead like support and backup add up to their overall cost to maintain that server. Let's say it's roughly $275/month (hard and soft dollar expense).

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Four percent may seem like an incredibly low rate of failure until you consider what that failure could cost you. If you are lucky it might just cost you a few months of work. cloud backup When you consider the importance of the information stored on your computers, these rates become unacceptable. If you are unlucky it could doom your business.

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