Cost

This is a very important factor, not just for small companies but also for big companies. Sometimes,  it is the only deciding factor in finalizing any solution.

Setting up infrastructure on site has a big start up costs. It involves high-end servers and network setup to store and analyze information. Normally, it's a multimillion dollar setup, which is very difficult for small companies to bear; that would lead them to stay on a traditional approach. Now, with the emergence of technology, these companies have the option to opt for a cloud setup. In this way, they have the option to have an escape route from the start up costs, while utilizing the full potential of big data analytics. Companies offering cloud setup have very flexible plans, such as users having the option to just have a server and increase them as required. On the other hand, setup on site requires network engineers and experts to monitor full-time activity of the setup and maintain it. In a cloud setup, there is less hassle for companies; they just need to worry about how much storage capacity they need and how much computational power is required for analysis purposes.