Around 215,000 firms have sadly closed their doors in the last six months, with companies in the technical sector among the worst hit. But when the lights go off for the last time, what happens to all that redundant data and IT equipment?
Analysis by DSA Connect, an IT asset disposal company which specialises in the permanent deletion and destruction of electronic data, has revealed nearly 1,200 businesses have closed every day in the past six months.
DSA Connect’s analysis of Government data shows 214,930 companies shut down in the six months to March 31. The last three months of 2020 saw 103,785 firms go out of business and the number closing rose 7% to 111,145 in the first three months of this year.
Companies in the professional, scientific, and technical sector were the most likely to stop trading in the six months with 38,530 shutting, accounting for around 18% of total closures followed by business administration and support service companies, which accounted for 27,420 closures and around 13% of firms going out of business in the six months.
DSA Connect is advising executives and owners of companies which close, to think carefully about recycling or disposing of their IT hardware and the data on it.
Failure to dispose of equipment safely and securely could lead to fines and damage to their reputation when they go on to start other businesses.
Harry Benham, chairman of DSA Connect said, “Business owners have had a tough time during the Covid-19 pandemic, and it is understandable that so many have ceased trading.
“Thousands of those companies will have IT hardware with sensitive data on it which they will need to dispose or recycle, and the concern is that many will not be aware of the need to do this safely and securely and could face fines if they fail to do so.
“Business owners looking for support need to be careful as there are a number of companies which claim to be professionals in erasing data and IT destruction but are not.”
Other sectors which recorded high levels of closures in the six months include information and communication which saw 23,020 companies close; construction which recorded 24,070 closures and retail where 18,770 companies shut.
Nearly a quarter of businesses shutting down were based in London where 50,510 companies closed, followed by the South East with 30,575 closures and the North West with 20,995 businesses shutting.
Many businesses often find themselves with redundant IT and telecoms equipment. This could be due to periodic equipment refreshes, downsizing or office relocations as well as closures.
Recovering redundant equipment from across the UK, DSA Connect is one of several services providing a secure IT asset disposal service utilising a methodology created in partnership with the Ministry of Defence.
DSA Connect’s end of life IT service allows for the complete removal and data eradication of IT equipment and depending on the quantity and type of equipment for disposal, DSA Connect offers a financial return of up to 60% on all re-saleable assets.
At the end of the day, if you have already had to go through the hardship of losing a business, the last thing anyone needs whilst licking their wounds is a whopping great data fine they never saw coming. So, please, don’t risk it, and if you’re not sure, ask the professionals, that is what they’re here for.