Of course, the prospect of growing your company further is always exciting, but as you may know, many factors can work against you. In that context, as you grow and expand, perhaps the most significant break you can face with business growth is nothing else than IT issues.

When their company reaches a specific size, most entrepreneurs have huge budgets and resources dedicated to storing, operating, and maintaining their servers. The budget and resources you might need to release to solve your IT problems could be better used to reinvest in growth efforts.

Nevertheless, while you might initially believe that growing your IT infrastructure is an unavoidable cost of running a successful business, what if we tell you that colocation is a fantastic upgrade option. Colocation is a straightforward strategy for lowering the costs and resources you use on your servers and freeing up your business to expand without any hassle.

Below, we’ll first explain what colocation is, and then we’ll give you the four most significant benefits of implementing a colocation solution for your business.

What Exactly Is Colocation And How Does It Work?

What Exactly Is Colocation

In a nutshell, colocation happens when you choose to house your servers in a colocation data center run by professionals instead of in your own facility. In other words, rather than having to locate extra room on your premises to place and maintain your servers, pay for the ultra-expensive cooling systems, and deal with day-to-day server maintenance, you pay a third party to handle it for you.

Using a high-speed network connection between your location and the colocation data center, you will be able to access your servers and storage as quickly as if they were located in your own building. Now that you know what colocation is and how it works, here are the four most significant benefits colocation can put on the table for your business.

Benefits Of Colocation for Your Business

It Can Free Up Funds For Investment In Company Growth

First things first, hosting your own servers represent a big expenditure for growing companies. From powering your servers to employing highly-skilled server technicians and ensuring that your servers are kept at a constant temperature, on-site servers certainly demand huge budgets, preventing companies from making investments in other crucial growth areas.

Powering and cooling a data center is a substantial financial burden on businesses worldwide, as global data centers will use approximately 400 terawatt-hours in 2022, equivalent to 2% of the worldwide energy consumption. In that regard, colocating your server infrastructure in a colocation data center will save you money all while still delivering top-notch IT resources your company needs in order to grow.

Freeing Up Physical Space

Benefits Of Colocation

Growing your company means finding more physical space for your growing workforce. Even if you find something acceptable for company needs, searching for new office space may be both costly and disruptive.

Colocation, on the other hand, can allow you to free up space for more storage, more staff, or additional facilities if you already have a room or floor dedicated to your IT equipment. This way, you can avoid the costs of moving to a new office while also benefiting from the cost savings associated with shifting your IT infrastructure from one location to another.

Ensuring Your Apps Are Always Up And Running

In addition, your company’s peak performance likely depends on vital applications such as your website and essential software systems. Colocating your servers to a shared data center can significantly improve their uptime and dependability, as several factors in the server room can prevent this from occurring.

To keep businesses’ infrastructure running, colocation service providers can do many things that individual companies simply can’t. These include:

  • Having dedicated teams of skilled experts who provide 24/7 support.
  • Having backup generators, this way ensuring that their service is never interrupted.
  • Having backup sites ensures your data will be restored in the case of an emergency.

Compliance And Data Security Optimization


While data security and compliance are things that each entrepreneur is pretty aware of, remaining up-to-date with security risks and ensuring that your company data is secure can substantially drain budget, resources, and time.

By getting the most out of the colocation data center, you can also shift the load of data security and compliance to a professional provider with sufficient knowledge, avoiding the usual risks of non-compliance or unwanted data breach. Most colocation providers offer 24/7 security to protect the building where the servers are, alarms and locked cabinets to protect individual racks, and the highest-quality firewalls to safeguard your data.

Final Words

In the end, colocation can assist you in addressing some of your most challenging business problems, yet it is more affordable than you might believe. For that reason, now that you know the most significant benefits of it, contact a professional colocation services provider and start reaping the benefits of this IT solution.

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