What small businesses need to know about GDPR

The General Data Protection Regulation, better known as GDPR, came into force in May 2018. Does your business meet the new rules?

The aim of GDPR is to improve individuals’ control over their own data and their right to privacy. As a result, the new rules (implemented in the UK as the Data Protection Act 2018, or DPA 2018) require greater controls by companies who hold and process personal data.

Personal data includes email addresses, names, phone numbers, postal addresses etc., so if you have customers, suppliers or staff, you probably handle personal data, too. However, many smaller businesses still don’t understand how the law applies to them. Some incorrectly believe that they are exempt, others just don’t know what to do. Complying with GDPR can actually be quite straightforward and will be a benefit to your business – showing customers that you take their privacy seriously and ensure that you only market to customers who are interested in what you sell.

The Information Commissioners Office (the ICO, ico.org.uk) is responsible for the new law in the UK and it has produced a lot of useful information specifically for smaller organisations. Based on this guidance, we’ve produced this handy 8-step guide to help you get in line with the law.

Step 1 - Check where you stand today

The ICO has produced a self-assessment checklist specifically for small business owners and sole traders. Once you’ve answered 8 easy questions, the assessment provides tips and resources to help you fill any gaps in your knowledge or processes. You can find the ICO self-assessment here.

Step 2 - Keep a record of your data

You must make and keep a record of the personal data you hold and why you have it. “Personal data” means any information by which a person can be directly or indirectly identified. And, remember that the regulations apply to any information you hold on your staff (such as pay or personnel records) as well as customers, suppliers and sales leads.

Step 3 - Identify why you have personal data and how you use it

There are 6 lawful bases for processing personal data. You need to identify the most appropriate basis for your situation and keep a record of what it is. Use this interactive tool from the ICO to help determine the most appropriate lawful basis in your case.

Step 4 - Have a plan to deal with data requests

People have the following 7 rights over the data you hold about them. You should have a plan for how to deal with any requests.​

  1. Right to be informed
  2. Right of access
  3. Right to rectification
  4. Right to erasure
  5. Right to restriction of processing
  6. Right to data portability
  7. Right to object

Step 5 - Ask yourself before you collect data

Do you clearly tell people why you need their data and how you will use it? You may need to update your site’s privacy notice to comply with the new rules. The ICO offers a template privacy notice for small organisations, here.

Step 6 - Check your security

Remember the rules cover paper records as well as digital data. Secure your business premises and lock up your records. Ensure that only authorised people have access to personal data. Make sure you use passwords and encryption to protect electronic data and check out your cyber-security. The ICO has a useful information security self-assessment here, and a guide to data security here.

Step 7 - Develop a process for any breach

Make sure you know what to do if you break data protection rules. Have a process to follow to deal with any breach. If you are unsure whether you have had a breach, check the ICO’s Report a Breach webpage, or call its dedicated personal data breach helpline: 0303 123 1113.

Step 8 - Stay informed

Finally, make sure you stay informed about data protection. Rather than following scare stories in the media, it makes sense to use reliable sources like the ICO. Here are some other useful resources to review:

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