After founding your small business out of your home, you believe it's time to hire a few more employees and to look into new digs - you don't want to work out of the garage forever! That's understandable; as a small business grows, surroundings and faces will change.

The only thing to worry about here is putting the cart before the horse. Are you truly ready to move into a new office? Can you afford to pay a couple extra salaries? What if these expenditures out you over budget? What if you're already over budget and your business suffers a data breach? How are you going to pay for the cost of the breach, the office space and the new employees?

One thing all small business owners should definitely have is cyber liability insurance; it's an investment in the cyber welfare of the company. On top of which, you can get a free cyber liability insurance quote anytime with CyberPolicy. Do you know what not having insurance gets you? A mess of financial trouble.

Here's a look at three frivolous expenses small businesses should exchange for these necessary expenses.

Frivolous: Office Space
If you're one of three staff members and still working to build a clientele or customer base, it's unnecessary to pay rent for an office that only supports three people. Anthony Saladino, of Kitchen Cabinet Kings, says, "Unless you are meeting clients in your office, use software like basecamphq.com to work remotely with your team. Additionally, I suggest purchasing a virtual office which will provide you with posh address in the city of your choice to add credibility to your company."

Necessary: Virtual Office Software
If you and your staff are going to be working remotely, you'll need a way to communicate with each other and clients. Using communication apps like Slack will keep everyone in the know while setting up a virtual office will give your small business a "place of residence," as it were. Should a prospective client look up your company, it will look like you're located in the heart of the city and not your garage.

Frivolous: Data Breach
If your network is unprotected and has any sort of vulnerability, a cybercriminal will sniff it out. The average cost of a data breach is $200k. If a cyber crook were to latch onto your code and freeze your business accounts, would you be left paying a ransom out of pocket for access to your own data? Could you afford to drop $200k on a ransom, attorney fees and restitution? Without cyber liability insurance, this is what you have basically agreed to do in the event of a cyberattack on your company.

Necessary: Cyber Liability Insurance
For one low annual premium payment, you can protect your company from hundreds of thousands of dollars in cyber damages. Cyber insurance includes financial coverage for data protection, equipment replacement, business interruption and court fees. The question is, would you rather pay in the hole hundreds of thousands of dollars or make one affordable payment once a year?

Frivolous: Trade Shows
When you're new to the business world you're going to want to hit up as many trade shows as you can to get your company out there. Reserving a booth on a trade show floor costs thousands, not including hotel stays or food. You also won't feel comfortable to leave your booth; you won't want to miss a sale! This can cost you major networking opportunities.

Necessary: Networking
Instead of signing up to run a booth, go to a trade show as a visitor and learn the tools of the trade. Talk with professionals in the field, ask questions and trade business cards. You'll get a better idea of the representation of your industry and will find a niche that's been overlooked.

To stay on budget, you'll need to know what expenses to cut and what to keep. Cyber liability insurance safeguards your data and helps you keep your company running. Visit CyberPolicy for a free quote today.