IT Disaster Recovery for Small Businesses: Lessons From the LA Fires

The January 2025 wildfires that swept through Los Angeles and the surrounding areas left a trail of devastation and destruction in their wake. For small businesses, this devastation is about much more than the numbers and statistics flashing on news networks. The loss went beyond physical damage. 

Many small business owners lost critical business data, customer records, and operational infrastructure which makes restarting operations in a new location close to impossible. While physical rebuilding is a mammoth task, the digital losses are just as crippling. 

Without a solid IT disaster recovery plan, businesses risk losing not just their property but their ability to operate at all. Small businesses are the backbone of their communities, and a natural disaster like the LA fires shouldn’t mean a shuttering of the doors forever. 

That’s why we want to walk you through IT disaster recovery for small businesses and lessons we learned from the LA fires. Here’s how to protect your business operations if the unthinkable happens.

What is IT disaster recovery?

Put simply, IT disaster recovery (ITDR) is the process of restoring a company’s tech infrastructure, data, and critical systems after a major event like natural disasters, cyber attacks, hardware failures, and sometimes even human error. 

The primary goal of a solid IT disaster recovery plan is to minimize downtime, prevent critical data loss, and get the business back up and running as soon as possible.

IT disaster recovery vs. business continuity: These two things are often confused for the other but it’s important to point out that they are not the same thing. While business continuity focuses on maintaining overall operations during and after a crisis, ITDR specifically deals with getting your IT systems and data restored. ITDR is the digital piece of the business continuity pie. 

Why small businesses suffer major IT losses after a natural disaster

While many businesses have embraced cloud-based operations, a surprising number of small businesses still rely on outdated legacy systems. While these systems may have served them well for years, the “if it ain’t broke, don’t fix it” mentality leaves them dangerously vulnerable when disaster strikes. 

The simple truth is that many small businesses still store critical data like customer records, financial documents, inventory lists, and more on physical on-site servers. In the event of a natural disaster, these systems are often among the first things to be destroyed, turning years of critical business information into ashes.

Even businesses that do use cloud services fail to implement regular, automated backups. Some businesses still rely on manual backups where important files are periodically saved, but in the chaos of day-to-day operations, these backups can easily be forgotten completely. 

And finally, many small businesses have very outdated recovery plans or none at all. It’s easy to assume that because they’ve never experienced a major outage, that it will never happen to them. But IT recovery isn’t about preventing everyday system crashes, it’s about ensuring business continuity in the face of extreme events. 

The key takeaway here is to remember that if it ain’t broke, it soon could be.

Why you need a strong IT disaster recovery plan

In today’s world where almost everything we do– from payment processing to customer service– is digital, ITDR is no longer just an afterthought, it’s an absolute necessity for business survival the same way that having a business continuity plan is critical. 

For most businesses, data is your lifeblood. Customer records, financial data, contracts, and inventory systems are all essential to daily operations. When disaster strikes and this data is lost, functioning becomes nearly impossible. Losing months or years of critical information can be catastrophic. 

Think of it this way: every minute your business is offline costs money, and nothing costs more than losing your physical location and the digital systems you need to start operating from a new place. 

In the next section, we’ll get into some key lessons from the LA fires and how you can start creating a disaster recovery plan for your business.

Learning from the LA Fires: How to build a strong IT disaster recovery plan

Disasters are unpredictable but preparedness isn’t. The devastating impact of the LA fires underscored just how vulnerable small businesses can be when disaster strikes. A solid IT disaster recovery plan can mean the difference between coming back from the ashes and permanent business closure after a crisis. 

Here are some things that you can start doing to ensure your small business is prepared. 

Identify critical systems and data: Take a close look at which systems–customer databases, financial records, operational software, etc.– are absolutely critical for your business. Prioritize protecting these first.

Automate backups: Back up all critical data to a secure, off-site location like a cloud-based storage service. This ensures that even if something unexpected happens, your most recent data is preserved.

Start moving to the cloud: Cloud-based infrastructure will help you stay operational even if physical hardware is destroyed. Consider cloud computing to ensure continuity.

Test and update your plan regularly: A plan is only effective if it works when you need it most. The most important thing to consider here is that your ITDR plan scales with your business. Also, don’t forget to communicate with your employees so that they understand their roles in an emergency.

Managed IT services: If creating your own plan is too overwhelming, or you need guidance on how to move systems to the cloud, etc., then you should consider working with a managed IT service provider. Here at NTS, this is exactly what we do. If you want help creating a strong ITDR plan, contact us.

The bottom line is that IT disasters aren’t a matter of if but when. By implementing a proactive disaster recovery plan, your business will be able to withstand even the most unexpected disruptions. 

Resources for small businesses affected by the LA fires

In the aftermath of the January 2025 Los Angeles fires, several resources have been made available to support small businesses. If you are affected and need help, please reference the list below.

1. LA Region Small Business and Worker Relief Funds: Los Angeles County and the City of Los Angeles have established relief funds offering grants up to $25,000 for eligible small businesses and nonprofits affected by the wildfires. Applications are open from February 6 through February 24, 2025.

2. U.S. Small Business Administration (SBA) Disaster Loans: The SBA has opened Business Recovery Centers in Los Angeles County to assist small businesses and private nonprofit organizations impacted by the wildfires. These centers help businesses apply for low-interest disaster loans to cover physical damages and economic losses.

3. California Governor’s Office of Emergency Services (Cal OES): Cal OES offers statewide wildfire recovery resources, including information on disaster assistance programs and recovery updates, to support affected communities.