Data Backup SOP for Financial Services

# Data Backup SOP - Financial Services

## Purpose
Document and follow to protect critical business data and ensure your team can recover from data loss events quickly.

## When to Use
A data backup procedure covering backup schedules, storage locations, encryption requirements, verification testing, and disaster recovery steps.

## Instructions
1. Review the template below and familiarise yourself with the structure
2. Replace all [bracketed placeholders] with your financial services business details
3. Customise the tone and formatting to match your brand
4. Save in your preferred tool (Dropbox or Notion)

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## Data Backup Standard Operating Procedure

### 1. Purpose and Scope
This SOP establishes the standard procedures for backing up, storing, verifying, and recovering business-critical data. It applies to all digital data assets including client files, financial records, operational documents, and system configurations. Every team member with responsibility for data management must follow this procedure.

### 2. Roles and Responsibilities
- **IT Administrator (or Operations Manager in smaller teams):** Owns the backup schedule, configures automated backups, performs verification tests, and manages the recovery process.
- **All Team Members:** Responsible for saving work files to designated shared locations (not local drives) and reporting any suspected data loss immediately.
- **Director/Owner:** Approves the backup strategy, budget for storage, and signs off on the annual disaster recovery test results.

### 3. Prerequisites
- Cloud storage accounts configured (Dropbox Business or equivalent)
- Backup verification register set up in Notion
- Slack channel #it-alerts created for backup notifications
- List of all business-critical systems and data sources documented

### 4. Data Classification

| Classification | Examples | Backup Frequency | Retention |
|---------------|----------|-------------------|-----------|
| Critical | Financial data, CRM, client contracts | Daily | 12 months |
| Important | Project files, internal documents | Weekly | 6 months |
| Standard | Marketing assets, templates | Monthly | 3 months |

### 5. Procedure

**Step 1: Maintain the Data Inventory**
Keep an up-to-date register of all data sources in Notion. For each source, record: system name, data type, classification, storage location, backup method, and responsible person. Review quarterly.

**Step 2: Configure Automated Backups**
Set up automated backup jobs for each data source using native platform tools or third-party backup services. Schedule backups during off-peak hours (2:00 AM - 5:00 AM AEST). Use incremental backups for daily jobs and full backups for monthly jobs.

**Step 3: Apply Naming Conventions**
Name all backup files using the format: [System]-[YYYY-MM-DD]-[type].ext
Example: Xero-2025-06-15-full.zip
This ensures backups are easy to locate and identify during recovery.

**Step 4: Store in Multiple Locations**
Maintain backups in at least two separate locations:
- **Primary:** Cloud storage (Dropbox Business) in an Australian data centre
- **Secondary:** Separate cloud provider or physical off-site storage
Never store the only copy of a backup on a local hard drive.

**Step 5: Encrypt Sensitive Data**
All backups containing personal information, financial data, or client-confidential material must be encrypted at rest (AES-256 minimum). Use password-protected archives for manual backups. Document encryption keys securely.

**Step 6: Verify Backup Integrity (Weekly)**
Every Monday morning, check that all scheduled backups from the previous week completed successfully. Verify file sizes are within the expected range. Open one backup file at random and confirm the contents are accessible and complete. Log results in the Backup Verification Register.

**Step 7: Test Recovery (Quarterly)**
Perform a test restore of at least one Critical and one Important data source from backup. Verify the restored data is complete, current, and usable. Record the time taken to restore. Document any issues and update procedures accordingly.

**Step 8: Handle Backup Failures**
If a backup fails, investigate the cause immediately. Common causes include storage capacity limits, connectivity issues, or credential expiry. Re-run the backup manually after resolving the issue. If the failure cannot be resolved within 4 hours, escalate to the Director and notify the team via Slack.

### 6. Disaster Recovery Quick Reference
1. Assess the scope of data loss (which systems, how much data)
2. Identify the most recent verified backup for affected systems
3. Restore from backup to a clean environment
4. Verify restored data integrity before resuming operations
5. Notify affected clients if personal data was involved (per the Privacy Act)
6. Document the incident and conduct a post-incident review

### 7. Revision History
| Version | Date | Author | Changes |
|---------|------|--------|---------|
| 1.0 | [Date] | [Author] | Initial release |

### 8. Related Documents
- Data Inventory Register (Notion)
- Backup Verification Register (Notion)
- Disaster Recovery Plan
- Privacy and Data Handling Policy

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**Complexity:** intermediate | **Setup time:** 20 minutes | **Tools:** Dropbox, Notion, Slack

Note: This template has been tailored for financial services businesses in Australia. Adjust terminology and compliance references to match your specific context.