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Jul19
Damage Control: How to Prevent Theft in Your Business

Security for the family business has come a long way from the concept of Vinnie and Guido hanging around to make sure nobody shares sensitive information.  (Though in certain circumstances those guys still have the right idea.)  Today's business owner deals with break-ins that are not only physical, resulting in a loss of property and information saved on oh, laptops and discs, but also with the theft of intellectual property and information, such as clients' account numbers, employees' Social Security numbers, and project files.

How can you prevent this, especially if you're a home-based business?  I saw some great tips in today's edition of USA Today (page 6B, July 19, 2006) in an article called "How small firms lock down data".

Responses regarding security issues range from a couple operating a business with four employes up to a government-focused business whose owner invested $50,000 in security for her company's files.  Blog entries have been posted along these lines as well over at the USA Today small business blog, as well as tips for beating the heat around the office.

My top picks for the basics of security for your small business:

  • Require all employees and independent contractors to sign non-disclosure agreements -- and ENFORCE them!
  • Store hard copies of vital information in a safe or locked file cabinet.
  • Store scanned/electronic copies of vital information in a secure off-site location.  (Home-based businesses, this means you too.  Try your safe deposit box for a start.)
  • Don't give sensitive information to those who don't need it.  The office cleaning crew needs a key to the door and an alarm code, not a key to the file drawers and the password for your computer!
  • Store sensitive information (especially if it contains your clients' info) on a drive or disc that can be removed from your laptop, or any used by those working for you.  Lock it up when it's not in use.  Don't store the information on a laptop, particularly if it's a database of vital information like credit card numbers, SSNs, or passwords.


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