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I’ve lost so many Seagate and similar media drives, I think this will be a safer bet. Entrepreneur rated them the best. I'm staring at 6 external drives that have failed me over the years (some recoverable backup data, but most is missing), so I decided to try carbonite. It's still backing up (2 weeks so far), but I have 300GB data. I tested a restore with a few files during the trial period and it was much easier than my retrospect software. I seem to have a more reliable external drive now, but like the idea of offsite backup that carbonite offers.

Not sure though if the encrypted data transfer would be considered secure enough for stuff like business data (e.g., customer credit information).

Online backup services are great. Unless they go bankrupt. (Oops!)

I use a Seagate Freeagent 500GB USB HD to store all my data files. That way, if my computer malfunctions, I can plug into another computer and not skip a beat.

I backup all my data files to another Seagate 500GB USB HD. The supplied Memeo AutoBackup software works in the background and continuously backups up only the changes. Then, at least once a week I swap it out with yet another Seagate 500GB USB HD and store it in my brother-in-law’s gun safe in another city. My SIL comes to visit my FIL often enough to transport the HDs back and forth. She transports them in the original shock-protected cartons.

That way I can never lose more than a week’s data.

In addition, I set up password-protected test server accounts for all my web design clients. When I upload the websites to those accounts, I upload all the project files with them (but no sensitive, private, or financial information.) So I always have up-to-date copies of all my vital client data.

The aforementioned Memeo AutoBackup software also automatically uploads the files in MyPictures to Shutterfly, so that’s yet another backup.

When I get around to it, I am going to replace the main data USB HD with a D-Link 2-Bay Gigabit Ethernet Port NAS running RAID 1.

Yes, I am paranoid.