NAS vs Cloud Storage
Infrastructure

NAS vs Cloud Storage — What's Best for Your Business

ITConnect March 10, 2026 7 min read KA

Introduction

Every business — from a two-person office to a multi-location retail chain — depends on files. Contracts, invoices, photos, spreadsheets, employee records: they all need to live somewhere that is accessible, organised, and safe. The problem is that most small businesses don't have a system. Files scatter across personal laptops, USB drives, and private email accounts. That is not a storage strategy — it is a liability waiting to surface.

The question "do we need a NAS or is cloud storage enough?" comes up often, and the honest answer is: it depends. It depends on your team size, how you work, your budget, and whether you have someone to manage IT. This article cuts through the jargon and gives you a clear, practical comparison of the main options — so you can make an informed decision without needing a computer science degree.

Synology and QNAP NAS

A NAS (Network Attached Storage) is a small box that sits in your office, plugs into your network, and acts as a shared drive for everyone. Think of it as a filing cabinet that every computer in the office can access simultaneously — but far faster and more organised than a shared folder on someone's laptop. You install hard drives inside it (typically 2 to 12 drives), and you get anywhere from 4 TB to 100+ TB of storage depending on configuration.

The most widely used NAS brand among businesses is Synology. Its DSM (DiskStation Manager) operating system runs in a web browser — basic administration is straightforward enough that a non-technical office manager can handle it without calling IT every week. QNAP is a capable alternative for more demanding workloads with more configuration options, but it assumes a higher level of technical comfort. The practical rule: Synology for business users, QNAP for IT teams.

Key advantages of a NAS:

The significant weakness of a standalone NAS: if there is a fire, a break-in, or a hardware failure, your files may be gone permanently. A NAS is not a backup — it is primary storage. You still need an offsite or cloud backup running alongside it.

A 2-bay NAS suitable for a small office costs roughly $200–300 for the unit, plus drives. A 4-bay unit for a medium office runs approximately $400–600. This is a one-time investment spread across 5–7 years of use, which often makes the per-year cost lower than a per-user cloud subscription once the team grows past ten people.

SharePoint vs OneDrive

Both are part of Microsoft 365, but they serve different purposes. OneDrive is personal cloud storage — each employee gets 1 TB of their own space. Files are private by default; sharing requires sending a link. SharePoint is company-wide shared storage — structured document libraries organised by team or department, accessible to everyone who has been granted access. It is designed for collaboration, not individual file-keeping.

A simple analogy: OneDrive is your personal desk drawer at work. SharePoint is the company file room — organised, shared, and accessible to the right people.

Microsoft 365 Business Basic (which includes SharePoint, OneDrive, Teams, and Exchange email) costs $6 per user per month. For a 10-person team that is $60/month. Compare that to a NAS: a 4 TB Synology setup costs around $600–900 upfront — equivalent to 10–15 months of Microsoft's subscription. The key advantage of SharePoint/OneDrive is that files are accessible from anywhere, on any device, with no VPN required — which matters more as remote and hybrid work becomes standard.

Google Drive

Google Drive is part of Google Workspace — the same platform that includes Gmail for business, Google Calendar, Meet, and Docs. It follows the same logic as OneDrive: personal storage (My Drive) plus shared team spaces (Shared Drives). Google's strong suit is real-time collaboration. Multiple people editing the same Google Doc, Sheet, or Slide simultaneously works very well and has done so for years. Google Workspace Business Starter costs $6/user/month (30 GB storage); Business Standard is $12/user/month (2 TB per user).

The practical difference from Microsoft 365 comes down to which ecosystem you are already in. If your team uses Gmail, Google Calendar, and Google Meet — Google Drive is the natural fit. If you use Outlook, Teams, and Microsoft Office applications — SharePoint and OneDrive integrate far more cleanly. Running both in parallel just adds complexity without adding much value.

Side-by-Side Comparison

Here is a straightforward comparison of all four options on the factors that matter most to a business decision-maker:

NAS SharePoint / OneDrive Google Drive
Monthly cost None (one-time purchase) Included in M365 ($6+/user) Included in Workspace ($6+/user)
Storage 1 TB – 100+ TB 1 TB per user 15 GB – 5 TB per user
Access speed Very fast (local network) Depends on internet Depends on internet
Offsite safety No (separate backup needed) Yes Yes
Data ownership Fully yours Microsoft's cloud Google's cloud
Internet required? Not in the office Yes Yes

Conclusion — Which One Is Right for You

There is no single correct answer — the right choice depends on your team's size, working style, and budget. Here are straightforward recommendations based on business profile:

A practical rule of thumb: cloud for accessibility, NAS for on-site speed. If your team works remotely or travels frequently, lean toward cloud. If you process large files in the office every day, a NAS adds real value. Either way, a NAS on its own is never a substitute for a backup system — it needs an offsite or cloud backup layer alongside it.

ITConnect helps businesses select and implement the right file storage setup — from configuring a NAS to deploying Microsoft 365 SharePoint or Google Workspace. If you are planning a NAS purchase, keep in mind: a NAS is a solid first storage layer, but complete data protection also requires a cloud or offsite backup — the 3-2-1 rule applies here too. If you are not sure which combination is right for your organisation, get in touch and we will give you an honest assessment based on your actual setup.

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