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The Question Many Businesses Face
Many offices still run a server for shared files, user accounts, a line-of-business application or backups. When that server ages or nears the end of vendor support, the choice is to replace it or move what it does to the cloud.
For many small and midsize businesses, cloud services such as Microsoft 365 can now handle most of what the office server used to do. For others, an on-premises server is still the better fit. This guide helps you decide. See also when to replace business IT equipment.
What Can Usually Move to the Cloud
- Shared files to SharePoint and Teams, with personal files in OneDrive.
- Email to Exchange Online, if it is not there already.
- User accounts and sign-in to Microsoft Entra ID, with devices managed from the cloud.
- Line-of-business applications to the cloud version from the vendor, where one exists.
- Backups to a cloud backup service that keeps copies separate from your systems.
When an On-Premises Server Still Makes Sense
- An application that only runs on a local server and has no cloud version.
- Very large files, such as design or video files, that people open all day over a slow internet connection.
- Equipment on the network that depends on a local server, such as production or lab systems.
- Contract or regulatory requirements that limit where certain data may be stored.
- An internet connection that is not reliable enough to depend on for every file.
Costs to Compare
A server is a large purchase every several years, plus licenses, backups, power and maintenance. Cloud services are a monthly subscription, usually per user, with no server hardware to replace. Compare the full cost of each option over the same number of years, including the time spent maintaining it, rather than the purchase price alone. Our IT budget planning guide covers how to plan these costs.
How to Plan the Move
- Take an inventory. List everything the server does: files, accounts, applications, backups and any devices that depend on it.
- Decide where each item goes. Files to SharePoint and OneDrive, accounts to Microsoft Entra ID, applications to their cloud versions or a hosted server.
- Clean up first. Archive old files and fix folder permissions before anything moves.
- Move in stages. Start with a pilot group, then move the rest after hours to limit disruption.
- Secure the new setup. Require multi-factor authentication, review sharing settings and set up backups. See our multi-factor authentication guide and Microsoft 365 backup guide.
- Retire the old server. Keep it read-only for a short time, then remove it securely once everyone works from the cloud.
How TechStarters Helps
Replacing aging servers and moving them to the cloud are common projects in our IT consulting and virtual CIO services, and our managed IT services then manage Microsoft 365, devices and backups day to day.
Every engagement starts with a free IT assessment and a written proposal; see how managed IT pricing works. We support businesses nationwide from offices in New Jersey, Pennsylvania, Delaware and New York.
Server to Cloud FAQs
Can Microsoft 365 replace our file server?
For most businesses, yes. SharePoint, Teams and OneDrive hold shared and personal files with permissions, version history and access from anywhere. Very large files, or applications that need a local server, may still need one.
Is the cloud more secure than an office server?
It can be when it is set up well, with multi-factor authentication, sensible sharing settings and backups. A cloud service that is set up poorly can be less secure than a well-managed server.
What happens to our line-of-business application?
Ask the vendor whether a cloud version exists. If not, the application may stay on a smaller server, a hosted server or a cloud virtual machine.
How long does a move to the cloud take?
It depends on the amount of data, the number of users and the applications involved. A written plan with stages and dates comes out of the assessment.
Can you help us decide?
Yes. Request a quote and we will start with a free IT assessment of your server and how your team uses it.
Explore Our Managed IT Services
Request a Managed IT Services Quote
Tell us about your business, your locations and your devices, and we will send a written proposal with per-device monthly pricing. Prefer to talk? Call (877) 932-0040.
