These days, many modern businesses are trying to go paperless. At the very least, they attempt to cut down on document creation. Truthfully, there are still some things that are done on paper.
For example, contracts are still signed by hand in most cases. Also, many companies file taxes on paper (or at least keep some hard copies). Plus, business receipts are often in hard copy format, rather than digital.
There are plenty of documents you can give your mobile document shredding company without worry. Consider a shred-all policy. It’s a great way to avoid the risk of sensitive data getting tossed in the trash.
After all, it can easily fall into the wrong hands. Eventually, almost all of the paper your business produces can go for document destruction. However, there are certain things you need to hang onto for at least a set period of time.
Why is a document retention policy so important for your business?
Avoid Legal Concerns
One of the reasons to keep hard copies of certain data is for legal purposes. Suppose you sign a contract, but don’t save the original hard copy. Then, the other party involved breaks the contract.
Perhaps, they contest the agreement in some way. In that case, keep the original on-hand. Hence, you can take it to court if necessary.
Can you make digital copies? Yes, you can. However, the other party could argue that you’ve altered them after the fact. Therefore, keep the original, signed copy on-hand. Then, you won’t have to worry about such legal snafus.
Additionally, it’s wise to keep tax records, receipts, and so on in their original, hard copy format. This needs to be done in case you are audited. Thus, you can prove income and expenses to the IRS. In doing so, you’ll avoid possible penalties.
It’s recommended that you retain these records for seven years. Yet, many companies hold on to them indefinitely.
Prepare Employees for Success
With data destruction, you need to ensure those on the front line are properly instructed. That way they can carry out your wishes. You can’t just expect your employees to intuit which documents you to save or shred.
Implement proper document destruction and retention policy. This ensures your employees have the knowledge to allocate hard copies properly.
Now, you have a set document retention policy in place. Thus, you can plan for needed storage space. Additionally, create a suitable schedule for shredding with your Florida data destruction partner. This helps you to manage costs and reduce liability.