1. Take Stock: Know what personal information you have in your files and on your computer. Understand how personal information moves into, through, or out of your business and who has access - or could have access to it.
2. Scale Down: Keep only what you need for business. That old business practice of holding on to every scrap of paper is "so 20th century." These days, if you don't have a legitimate business reason to have sensitive information in your files or on your computer, don't keep it.
3. Lock It: Protect the information you keep. Be cognizant of physical security, electronic security, employee training, and the practices of your contractors and affiliates.
4. Pitch It: Properly dispose of what you no longer need. Make sure papers containing personal information are shredded, burned, or pulverized so they can't be reconstructed by an identity thief.
5. Plan Ahead: Draft a plan to respond to security incidents. Designate a senior member of your team to create an action plan before a breach happens.
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