A Cloud Migration Guide for SMEs

Are you considering ditching your outdated on-premises servers in favour of a more agile, future-proof solution? You're not alone. For many small-to-medium-sized enterprises (SMEs), moving to the cloud is a crucial step in embracing digital transformation, improving operational efficiency, and staying competitive.

I'm Michael Hamer, Client Strategy Director at Netitude. In this guide, I'll walk you through the key considerations for migrating your on-prem servers to the cloud. We'll cover the business benefits, potential challenges, and the different types of cloud environments available, so you can make an informed decision that supports your growth.

Why Move to the Cloud?

Moving to the cloud is a no-brainer for the modern small-to-medium-sized enterprise (SME) hoping to achieve digital transformation and streamline its operational processes. With the ever-increasing affordability of technology, smaller businesses can now match the larger enterprises looking to gain modern IT infrastructures that facilitate innovation and agility.

The Business Case for Cloud Migration

Here are just some of the several benefits SMEs can gain from switching to the cloud:

• Reduced operational costs: Swapping out clunky, outdated physical servers, which are in need of maintenance and upkeep, will save the average business a substantial sum year-on-year when they switch to cloud-based solutions.
• Improved scalability and flexibility: Cloud computing is set up to scale sustainably in line with your business growth and is flexible in terms of pricing, meaning a business will only pay for the resources it needs. It's also accessible from anywhere with an internet connection, meaning it's very suitable for remote and hybrid working models.
• Improved Security and Compliance: No matter the size or industry, modern businesses won't get far without adhering to security and compliance measures. Cloud technology is compatible with enterprise-level security tools and backup and data recovery (BDR) systems and helps businesses meet strenuous compliance standards such as GDPR and ISO 27001.
• Better Collaboration and Productivity: With the technology available to the average SME business, entire teams and departments can now enjoy real-time collaboration, enabling them to work on the same files simultaneously. Built-in automated updates also ensure software is up-to-date and, in most cases, doesn't have to be installed manually.
• Business Continuity and Disaster Recovery: As a long-standing Managed IT Services Provider, we know just how damaging loss of productivity and business operations can be due to downtime or unforeseen disasters. Cloud computing mitigates many of the risks posed in these scenarios, as data is stored safely off-site. The cloud backups ensure business continuity if your physical server or office is compromised. Cloud providers also have fast failover (rapid switching of a system/service to a secondary backup) in case an outage or disaster strikes.

Drawbacks of Not Switching to Cloud-Based Providers

The age-old adage regarding technology is: you've got to move with the current and not against it. If the average small-to-medium-sized business or enterprise fails to recognise this, then they're liable to face:

• Ageing physical infrastructure: Faster Capital, a global venture builder, proposes that businesses that fail to update their ageing physical infrastructure face a whole host of challenges, from deterioration over time, to increased maintenance costs and the lack of efficiency and reliability that comes from a lack of technological advancement.
• Security concerns or regulatory requirements: On-premises (on-prem) servers will likely lack modern cybersecurity defences (AI threat detection, zero-trust architecture). With the exponential rise in cybercrime, the average business won't get far without this level of protection.
• Increased hybrid/remote working: SMEs who want to keep up with the times by offering hybrid/remote working opportunities will have their hands tied if they have on-prem servers instead of cloud-based alternatives. This is because on-prem will typically increase the likelihood of a whole host of issues, such as access limitations, user frustration, collaboration bottlenecks, and an increased risk of a cyber breach.
• Stagnant IT Infrastructure Limits Growth: New business models, digital tools and integrations are going to fall by the wayside if SMEs don't choose to invest in cloud-based technology. IT systems will remain reactive and maintenance-focused, inhibiting growth rather than being an adaptable and strategic means toward success.

Cloud Options for SMEs

After considering the business case for moving to the cloud and the drawbacks of remaining in an on-prem environment, we'll now explore what cloud-based options there are for the modern SME looking to achieve Growth Through Technology.

Public, Private or Hybrid Cloud – What's Right for You?

When it comes to cloud solutions, there are three forks in the road you can go down, each with its own list of pros and cons. Let's break them down to help you make an informed decision:

Public

You may have heard of buzzwords and companies such as Microsoft Azure and AWS, but not entirely know what they are—these are public cloud-based services where infrastructures are shared across multiple customers. While this may seem off-putting at first, public cloud solutions are highly sought after due to the low upfront costs, vast scalability, and easy setup that come with the service.

However, compared to the other two cloud types (private and hybrid), public cloud services are hindered by shared resources and limited customisation, and therefore, lack that all-important layer of customisations some businesses crave.

• Public Cloud Use Case: A public cloud service would be the perfect solution for a small e-commerce start-up hosting its website and customer data on Amazon Web Services (AWS), which incidentally has the largest market share in cloud infrastructure services.

Private

For SMEs whose priorities pivot around having complete control of their infrastructure and needing higher security and compliance measures in place, private is the right tool for the job. A private-based solution comes with a dedicated cloud environment hosted on-premises or by a third-party, offering greater overall control.

Companies that opt for the private-based model will be encumbered by the initial hit of high setup and maintenance costs and the need for technical expertise to ensure they get the most out of their new cloud-based solution.

• Private Cloud Use Case: A private cloud solution is the standout candidate for organisations that deal with sensitive information, such as financial and legal companies. This service would allow them to store sensitive client data safely while adhering to the industry's stringent compliance measures.

Hybrid

Last, but by no means least, we have a hybrid option. As you may have guessed, this is a mix of public and private cloud environments with data and workflows that move between them. The main pro here is that it's incredibly flexible and is a solution that supports a more gradual migration rather than a sudden shift, allowing businesses to transition at their own pace while leveraging the best of both worlds.

In terms of drawbacks, hybrid models tend to be more complex to manage due to their integration of both public and private cloud environments. This complexity arises from the need to ensure seamless communication and data transfer between the two, as well as maintaining consistent security and compliance across different platforms.

• Hybrid Use Case: Manufacturers are likely to adopt a hybrid cloud solution, which enables a business to keep operational software on-prem (in a smart factory, for instance) while file storage and company information are held in the cloud via Microsoft Azure, the second-largest cloud service provider.

Choosing the Right Cloud Provider

When selecting the right cloud provider, the choice will ultimately depend on your business's needs. Still, for most small and medium-sized businesses, Microsoft Azure is a leading solution that strikes the right balance between power, flexibility, and familiarity.

Why Microsoft Azure Is Ideal for SMEs

As Microsoft Gold Partners, we've seen firsthand how Azure helps businesses:

• Seamless integration with Microsoft 365: Ideal for businesses already using Outlook, SharePoint, Teams, or Dynamics.
• Built-in security and compliance: Azure offers advanced threat detection, regular compliance updates, and multi-layered security.
• Flexible pricing and scalability: Azure adapts to your business's needs, whether it is running a few virtual machines or scaling up its entire IT environment.
• Hybrid capabilities: Azure uniquely supports hybrid environments, making it easier to transition from on-premise infrastructure gradually.
• Local UK data centres: Keep data compliant with UK laws and improve performance with regional hosting.

We regularly help businesses migrate to Azure for smoother collaboration, secure file access, and scalable infrastructure, without the heavy upfront investment of on-premise servers.

For a comprehensive overview of Azure's benefits tailored for SMEs, check out Microsoft's official guide.

A Quick Look at Other Providers

While Azure is our top recommendation, it's important to understand the broader landscape:

• Amazon Web Services (AWS) – Offers a vast array of services and is popular with developer-focused businesses. However, it can be more complex to manage without technical expertise.
• Google Cloud Platform (GCP)—Known for its strengths in analytics and AI services, GCP can be a cost-effective option for start-ups and data-heavy businesses, but it may lack deep integration with Microsoft tools.

What to Look for in a Cloud Provider

When evaluating your options, consider:

• Support: Look for providers that offer localised, responsive support, especially during migration and troubleshooting.
• Pricing model: Azure's pay-as-you-go or reserved instance options offer cost flexibility. Ensure the provider suits your budgeting style.
• Tool integration: Azure stands out for its seamless compatibility with existing Microsoft apps and services, which cuts down on training and transition time.
• SLAs (Service Level Agreements) and reliability: Microsoft guarantees 99.9% uptime for many of its services.
• Scalability: Choose a provider that will grow with your business, not one you'll outgrow in a year or two.

How to Prepare for a Cloud Migration

Embarking on a cloud migration journey shouldn't be rushed or taken lightly. Like any major business transformation, the key to success lies in thorough preparation and a clear understanding of your current environment and future needs.

Here's a step-by-step approach to getting prepared:

1. Conduct a Cloud Readiness Audit: Before moving a single file, assess your existing infrastructure, workloads, and applications. This will help you understand what's suitable for the cloud, what needs reconfiguration, and what might be best left behind. Consider factors like network bandwidth, data sensitivity, and application dependencies.

2. Define Your Migration Goals: Are you looking to reduce costs, improve security, or enable remote work? Clarify your objectives upfront to guide decision-making and measure success post-migration.

3. Choose the Right Migration Strategy: There's no one-size-fits-all approach when it comes to cloud migration. Options include:

• Lift and shift – Moving your existing servers and workloads "as-is" to the cloud.
• Refactoring – Rewriting apps to suit cloud environments better.
• Rebuilding – Starting fresh with cloud-native tools and architecture.

4. Involve Key Stakeholders: Ensure buy-in from leadership, IT teams, and department heads. Migration impacts daily operations, so early engagement helps prevent surprises down the road.

5. Plan for Downtime and Disruption: While modern migrations can often be done with minimal downtime, it's wise to plan for disruptions. Schedule your migration during low-traffic periods and communicate with your teams clearly about when services might be temporarily impacted.

Common Cloud Migration Mistakes to Avoid

Even the best-laid plans can go awry without proper awareness of common pitfalls. Here are the top missteps we see time and time again—and how you can avoid them:

1. Skipping the Planning Stage: Diving in without a comprehensive migration plan can lead to scope creep, spiralling costs, and unforeseen technical challenges. Take the time to map out your journey.

2. Underestimating Costs: Cloud services are often more cost-effective than on-prem solutions—but only when configured properly. Make sure to monitor usage, avoid overprovisioning, and take advantage of reserved instances or hybrid benefits where applicable.

3. Ignoring Security and Compliance: Security shouldn't be an afterthought. Ensure you configure proper access controls, encryption, and compliance settings from the get-go.

4. Failing to Upskill Your Team: A common oversight is failing to recognise that the IT staff may need new skills to manage cloud environments effectively. Investing in training and certifications early on will pay dividends in the long run when it comes to operational efficiency.

5. Neglecting Post-Migration Optimisation: Migration is just the beginning. Regularly review your cloud usage, performance, and costs to make the most of your investment.

How a Managed Service Provider Can Help

For many SMEs, the cloud migration process can feel overwhelming, especially with limited in-house resources or expertise. That's where a Managed Service Provider (MSP) like Netitude can help.

Here's how we support your move to the cloud:

• Strategic Planning and Guidance: We help you assess your current IT environment, define your migration goals, and develop a tailored cloud roadmap.

• Smooth, Low-Risk Migration: Our team handles the heavy lifting, ensuring minimal disruption to your day-to-day operations with structured, phased migrations.

• Ongoing Optimisation and Support: Migration is just the beginning. We'll continue to manage and optimise your cloud infrastructure to ensure performance, security, and cost-efficiency.

• Cybersecurity and Compliance Built In: With cyber threats on the rise, we integrate robust security and compliance measures into your cloud environment from day one.

• Transparent Costs and Scalable Solutions: As your business grows, we'll ensure that your cloud environment scales with you, without unexpected costs or complexity.

Whether you're considering a full migration to Microsoft Azure or a hybrid approach tailored to your industry, working with an MSP gives you peace of mind and a trusted partner to help you confidently navigate the cloud.

Final Thoughts – Is the Cloud Right for Your Business?

If you've made it this far, it's time to consider whether a cloud-based solution is the right next step for your business. The benefits, like reduced costs, enhanced security, and greater flexibility, are certainly worth exploring, and the challenges can be overcome with the right guidance.

As Netitude's Client Strategy Director, I'll ensure your appointed Virtual IT Director supports you every step of the way, helping you weigh up the pros and cons and make an informed decision that suits your SME's future.