Risk is a fact of life in business. There are basic risks that apply to every business, but certain industries face unique risks in their field.
It’s been said that approximately every 18 to 24 months, computers double their capabilities and so do the information technologies that utilize them. Being in an industry that thrives on such warp-speed innovation amps up the importance of mitigating traditional business risks such as intellectual property protection and professional liability. The margins for error get smaller and smaller as the data moves faster and faster.
The tech industry is a super fast-paced environment, and innovation is what separates the brilliant firms from the merely excellent ones. Your business success depends on protecting your constantly evolving intellectual property so you can stay two (or three) steps ahead of the competition.
Tech firms literally live on computer drives, websites, and cloud servers. Protecting all that data and keeping it from falling into the wrong hands is critical to avoiding FTC scrutiny,loss of customer trust and keeping your company in business.
Small technology companies often have sizeable hardware assets that are subject to physical damage from severe weather events, electrical outages or brownouts, and even criminal break-ins. And when cutting-edge software and hardware technology fails to perform as promised, customers may sue.