In addition to the data protection in the in-house computers the cloud service providers also offer various methods to safeguard the data. One method is to by password protection for the employees. The passwords have to be strong and not be easily retrievable by others. Restrictions on accessibility to the data should be based on the role they play in the organization. Encryption of the information and content that is being transmitted is very important both for the business and the customer to ensure information is not leaked to any outsider. The cloud providers provide an effective and strong disaster recovery and backup systems at the data centers where the IT infrastructure is housed.