Why free software can cost your business thousands
Who doesn’t love a freebie?
As a business owner I know how important it is to get the most out of every dollar. But when it comes to free software the old saying ‘you get what you pay for’ almost always applies.
In my many years of mentoring and guiding business owners and entrepreneurs, I have seen countless examples where free software has ended up costing them a fortune.
1) Security
The first thing to keep in mind when using free or very cheap software is that you could be leaving your business vulnerable to a data security breach. Using a free piece of software from a small developer you have never heard of will leave you at greater risk of suffering a data breach than going with a large trusted brand.
Protecting the security of your customers’ data is a core responsibility of any business - not to mention the damage to your reputation a breach can cause. Additionally, as a company director, you could be held personally liable, if shown to have been negligent in securing your customers data. The best way to avoid a data breach is to have a data security expert review your software and systems to identify any weaknesses or flaws.
Click here for a free data security consultation
2) If you’re not paying – you are the product
When considering a free product, you have to ask yourself the question, how do they make their money?
Often free programs make their money by collecting your data. As the saying goes, “if you’re not paying for it, you aren’t the customer, you’re the product being sold”.
3) Don’t let your data get held hostage
Another way some companies offering “free” software make money is buy offering a limited bare bones version free, but charging exorbitant rates for a version with more functionality. Even worse, you have no guarantee that you will be able export your data if you decide to change programs.
This can leave you in the position of having to decide between losing years of data, or continuing using a piece of software that is no longer fit for purpose.
To avoid this, make sure that any piece of software you are considering, be it paid or free, will let you export your data in .csv format (.csv files can be read and edited in Microsoft Excel)
The cost of fast Software
The desire for instant gratification is a powerful draw of free software.
Clicking a link, paying nothing and getting a piece of software seems like a deal that is too good to be true – largely because it is. I see a parallel between the free software model and the rise of the ‘fast fashion’ industry. An $8 dress from a ‘fast fashion’ retailer sounds like a steal, but not when you add in the $30 seamstress fee when it rips in three months. Likewise, the free piece of software may seem like a fantastic deal today, but when you take into account the overall long-term cost, it could be very expensive indeed.
Free takeaway
The bottom line is that before signing up for any software, free or paid, it is vital that you take the time to research whether the package will deliver what you need now and into the future.
The best way to ensure this is to talk to an expert in system design who can tailor a solution specifically designed for your needs.
Yoswan Enterprises Founder and Principal Zoe Kosky AIPA AFA