Should I store scanned documents in the cloud or on my own server?

Cloud storage suits businesses needing remote access, automatic backups and minimal IT management. On-premise suits businesses wanting full control over their data with no ongoing subscription. Many businesses use a hybrid: cloud for day-to-day access and an on-premise backup. Consider data sovereignty, internet reliability, IT capability and budget.

How much does cloud storage cost for scanned documents?

For most businesses, cloud storage for scanned documents costs £5-40 per user per month depending on the platform (Microsoft 365, Google Workspace, or specialist document management systems). Many business subscriptions already include 1TB of cloud storage. On-premise alternatives cost £500-10,000 in hardware with no monthly fees but require IT management.

Cloud Storage vs On-Premise After Scanning

Once your documents are scanned, the digital files need a home. The two main options are cloud storage (files hosted by a third-party provider like Microsoft, Google or a specialist document management platform) and on-premise storage (files on your own server or NAS device in your office). Each has genuine advantages, and the right choice depends on your access needs, security requirements and IT capability.

Cloud Storage

Advantages

Access from anywhere: Staff can access documents from any location with an internet connection — office, home, client sites, mobile
No hardware to manage: The provider handles servers, maintenance, upgrades and backups
Automatic backups: Reputable cloud providers replicate data across multiple data centres, providing redundancy you could not easily replicate on-premise
Scalable: Storage grows as you need it — no capital expenditure on new servers
Disaster recovery: If your office is destroyed, your documents are safe in the cloud

Considerations

Ongoing cost: You pay monthly or annually — this is a perpetual expense rather than a one-time investment
Internet dependency: If your internet connection fails, you cannot access your documents
Data sovereignty: Where are the servers physically located? For GDPR compliance, data stored in the UK or EU is preferable. Some cloud providers host in the US or other jurisdictions
Vendor lock-in: Moving large archives between cloud providers can be slow and expensive
Security concerns: Your data is on someone else’s infrastructure — their security controls matter as much as yours

On-Premise Storage

Advantages

Full control: Your data stays on your hardware, in your building, under your direct management
No ongoing subscription: Once the hardware is purchased, there are no monthly fees (though maintenance and replacement costs exist)
No internet dependency: Documents are available as long as the local network is working
Data sovereignty certainty: You know exactly where your data is
Performance: Local network access is faster than downloading files over the internet

Considerations

Backup responsibility: You must implement and manage your own backup strategy — including off-site copies
Hardware costs: Servers or NAS devices cost £1,000-£10,000+ depending on capacity, plus ongoing maintenance
IT expertise needed: Someone needs to manage the server, apply updates, monitor storage capacity and handle failures
Physical risk: If your office floods, catches fire or is broken into, the server and its data could be lost
Remote access complexity: Providing access from outside the office requires VPN or remote desktop setup

The Hybrid Approach

Many businesses use both: a cloud platform for day-to-day access and collaboration, with an on-premise backup for redundancy and offline access. This provides the convenience of cloud access with the security of a local copy. The main trade-off is cost — you are paying for cloud storage and maintaining local infrastructure.

Cost Comparison

For 500GB of scanned documents (roughly 500,000-1,000,000 pages):

Cloud (Microsoft 365 / SharePoint): Included in many business subscriptions (1TB per user). Additional storage from £1.50-£5 per user per month
Cloud (specialist DMS like DocuWare): £15-£40 per user per month for the platform, storage included
On-premise NAS: £500-£2,000 for hardware (one-time), plus electricity and maintenance. 3-5 year replacement cycle
On-premise server: £2,000-£10,000 for hardware, plus IT management time

Get a Free Quote

Every project is different, so the best way to understand your options is to get in touch with our team. We provide clear, no-obligation advice — usually within the same day.

Call us on 01691 650355 or use the form below.