There&#x27;s risks and there&#x27;s bankruptcy. If you feel like gambling then be my guest. What&#x27;s the risk of your house catching fire? Are you insured? What are the risks of getting burgled? Your car stolen, a car accident? Are you insured?<p>What are the risks of having a bad health issue happen to you? Are you insured?<p>I&#x27;ll bet that you don&#x27;t know the answers to any of those questions, and yet, you are probably insured against all of them.<p>As for your question in more detail: it happens often enough that for me if you operate your business &#x27;in the cloud&#x27; and you don&#x27;t have a back-up of your data outside of the cloud to guard against catastrophic data loss due to either malice or accident that I&#x27;ll happily fail you. Think &#x27;sysadmin was depressive, wiped out company&#x27; (or maybe you let him&#x2F;her go and they took revenge or any one of a number of other scenarios that would instantly terminate your existence online if you had not guarded against it).<p>Risk management is consequences * incidence versus cost to mitigate. If the cost to mitigate is negligible, the risk is measureable and the consequences are terminal then it is a no-brainer to protect yourself against this. At least one of my customers wished they had set up a backup facility for their critical data (too bad, end of story for them) and there is one published case that we all know about. That&#x27;s two that you can count on and most likely other trouble shooters have similar stories.<p>I see catastrophic cloud data loss as having a much higher chance of happening than many other items on the list of stuff that I verify before greenlighting an investment.