Securing data that is being transmitted over the internet has been a hot button issue for some-time now, but as internet merchants continue to charge forward; gobbling up more and more retail profits, it has become a necessity and many people are talking about whether or not a small business can exist without a secure network and an SSL certificate. Before you decide if the option is right for you must know what it is first.

What Are SSL Certificates?

In the most basic of terms an SSL certificate is a small data file that is distributed by companies that are placed into websites. When the website is accessed by any person a cryptographic key is initiated which makes all the data processed across the server secure. Basically, it ensures that no third party can steal or garner the information being transmitted over that website at that very moment.

People know when a site is secure by looking for telltale signs of a secure website. Secure sites have their HTTP:// changed to HTTPS:// in the browser. The website will show a padlock that is closed somewhere on the browser bar as well to indicate a secure server. Servers that do not hold such certificates will appear with a regular HTPP address and an opened padlock. Most users will also be prompted when they are about to submit sensitive data across a non-secured server.

When Is It Important?

The use of SSL certificates are important when sensitive customer information will be processed through the server. For example, online merchants who accept credit card payments should ensure their servers are secured as this data can be phished easily and the ramifications can be far-reaching. Additionally small businesses that wish to peddle their wares online are more likely to attract customers if they are offering a secured server for order processing. Many people know the signs of a secured server, even if they don't know exactly what it does, and look specifically for these symbols when they are about to input their credit card information. A good percentage of online shoppers, especially seasoned ones, will think twice about placing an order through an unsecured server.

What Type of Businesses Need It?

In theory, no business needs SSL certificates, but they are a great idea for a large portion of retailers today. Any business website that processes transactions should be SSL certified. These numbers are so important to people that they will gladly go to a different site and pay a higher price just to ensure their data is safe by way of encryption. That means any online business or brick and mortar location that also processes transactions online should have SSL certifications.

Any business that asks people to sign up using an e-mail address, user name and password should seriously consider SSL certification. This information is also very sensitive for many people and an SSL certified logo makes them feel safe and at home, thus making them more likely to sign up. Technically, websites that don't require either of these processes could live without this type of certificate.