How Much Does Downtime Cost Your Business?

by Robert Best on February 26, 2020
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The modern business has an ever-growing reliance on technology. That's because the benefits of technology solutions to a business are just too valuable to ignore. Technology is so entrenched in companies that when that technology stops working the consequences can be very severe.

System downtime will hamper the productivity of everyone in your business. Downtime can cover a large range of disruptions. It could be the loss of internet, problems with your servers, hardware or software that have stopped working.

The list of possible downtime is extensive. Severe downtime can be caused by serious events like malware attacks or physical events like a power cut. When IT is disrupted, business comes to a standstill.

How downtime costs your business money

Too many businesses consider regular downtime a by-product of working with technology. That is not the case. If you are experiencing downtime then something is wrong with your IT infrastructure and it needs fixing.

Downtime is not just a technical issue. So we have highlighted some key areas within your business that will be affected by downtime.


Every hour that your IT systems are down is money being lost. To help illustrate how much money your business can lose from just one hour of downtime we've created a downtime calculator. Try the business downtime calculator to see how much money your business will be losing in the event of technology downtime.

A study into the cost of downtime by industry showed that Financial Services, Telecommunications, Manufacturing and Energy, lead the list of industries with a high rate of revenue loss during IT downtime.

Reputation damage and customer loyalty

It can be difficult to measure the loss of reputation but technical issues will affect your customer's perception of your brand. Something as simple as a non-functioning website can damage the opinion of your business and comes across as unprofessional.

Delays in shipping orders can also strain the relationship with customers and clients. After a certain period, customers may have no other choice but to start using your competitors instead.


This is often a hidden cost that many businesses do not consider. If your technology goes down and your staff can't work there is the cost of revenue as we have already covered but there is also the cost of your staff to the business as well. With none of your staff being able to work you are paying them to do nothing.

How much does downtime cost your business? Use our downtime calculator to find out how much downtime is costing your business.

If you've used the calculator you've seen for yourself how expensive just one hour of downtime is. Internet provider Beaming found that in over one year UK businesses experience two major internet outages and average 16 hours of downtime. That is a lot of money and that is just from internet outages.

Every time your staff or IT are delayed due to technical inefficiencies that is downtime. Consider how many occasions that one of your staff is stopped from working by freezing computers, system outages or loss of connection.

Calculating the damage from downtime

Our downtime calculator helps to show you the cost of downtime to your business. It takes about a minute to go through and you have the option to determine the amount of disruption and the cost that comes with it. For example, if your staff can do some work with the internet down that would be a different cost to a power cut where they can do no work at all.

Please also consider that some hidden costs can't be accurately calculated. This includes damage to your reputation and the loss of data. The downtime calculator can be accessed here.


No matter the cost of downtime to your business there are ways to reduce that number. First is reducing the amount of downtime that your business suffers. Downtime should not be a by-product of working with technology. It can be minimised. Secondly, a business continuity plan will help you recover from downtime or give you a way to keep working if downtime hits.

For more information on how Infotech can help your business with minimising downtime or building a business continuity plan contact us here, email or call us on 01634 52 52 52.

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