Complete Guide to NAS Storage for Small Business
Network Attached Storage (NAS) has become an essential tool for small businesses that need reliable, centralised file storage without the complexity and cost of a full server infrastructure. A NAS device sits on your network and provides shared storage accessible to all authorised users, with built-in redundancy, backup capabilities, and increasingly powerful applications.
This guide covers everything Australian small businesses need to know about choosing, sizing, and deploying NAS storage. We compare the two leading brands, Synology and QNAP, and help you determine the right solution for your needs.
What Is a NAS and Why Does Your Business Need One?
A NAS is essentially a dedicated file server that connects to your network. Unlike external hard drives plugged into a single computer, a NAS makes files available to everyone on the network simultaneously. Modern NAS devices go far beyond simple file sharing. They can run applications such as automated backup services for all workstations, surveillance station for security cameras, email servers, virtualisation platforms, and collaboration tools like document editing and project management.
For small businesses, a NAS eliminates the need for expensive server hardware and Windows Server licences while providing reliable data storage with built-in redundancy.
Synology vs QNAP: A Detailed Comparison
Synology and QNAP dominate the small business NAS market. Both offer excellent hardware and software, but they take different approaches.
Synology: The User-Friendly Choice
Synology is known for its polished, intuitive operating system called DiskStation Manager (DSM). The interface is clean and well-organised, making it accessible even for users with limited IT experience. Synology's package ecosystem includes first-party applications that are refined and reliable. Synology Drive provides Dropbox-like file sync, Synology Photos handles media management, and Active Backup for Business automates workstation and server backups.
Key strengths: Software polish, reliability, excellent mobile apps, strong community support, and straightforward setup.
QNAP: The Power User Choice
QNAP tends to offer more powerful hardware specifications at comparable price points. Their QTS operating system provides deeper customisation options and more advanced features out of the box. QNAP excels in areas like virtualisation, with their Virtualisation Station allowing you to run full virtual machines directly on the NAS. They also offer Thunderbolt connectivity on some models, making them popular for video editing workflows.
Key strengths: Hardware value, virtualisation capabilities, Thunderbolt support, HDMI output, and advanced networking features.
Feature Comparison Table
| Feature | Synology | QNAP |
|---|---|---|
| Operating System | DSM 7 (Linux-based) | QTS 5 (Linux-based) |
| User Interface | Clean, intuitive, web-based | Feature-rich, more complex |
| File Sync | Synology Drive (excellent) | Qsync (good) |
| Backup Solution | Active Backup for Business | Hybrid Backup Sync |
| Virtualisation | Virtual Machine Manager | Virtualisation Station (stronger) |
| Docker/Containers | Container Manager | Container Station |
| Surveillance | Surveillance Station (2 free licences) | QVR Pro (8 free channels) |
| Mobile Apps | Excellent, well-maintained | Good, more fragmented |
| Hardware Value | Mid-range specs at premium price | Higher specs at competitive price |
| Community Support | Large, active community | Smaller but knowledgeable community |
| Best For | Ease of use, reliability | Power users, virtualisation |
Choosing the Right NAS Size
Number of Drive Bays
The number of drive bays determines your maximum storage capacity and RAID options. Here is a guide based on business size and use case:
- 2-bay NAS: Suitable for 1-5 users with basic file sharing. Supports RAID 1 (mirroring) for redundancy. Typical usable capacity: 4-18TB
- 4-bay NAS: The sweet spot for most small businesses with 5-20 users. Supports RAID 5 or Synology Hybrid RAID for a good balance of capacity and redundancy. Typical usable capacity: 12-54TB
- 6-bay and above: For growing businesses with 20+ users, heavy file usage, or virtualisation workloads. Supports RAID 6 or RAID 10 for maximum redundancy. Typical usable capacity: 24TB and beyond
Capacity Planning
Estimating your storage needs requires understanding your current usage and growth rate. A practical formula for most small businesses is to take your current data volume, multiply by 3 to allow for RAID overhead plus two years of growth, and then round up to the nearest available drive size. For example, if you currently have 4TB of business data, plan for at least 12TB of raw capacity, which gives you approximately 8TB usable in a RAID 5 configuration.
Recommended NAS Models for Small Business
Budget-Friendly: Synology DS224+ or QNAP TS-264
These 2-bay units are perfect for very small businesses or as a secondary backup target. The Synology DS224+ features an Intel Celeron J4125 processor and 2GB RAM (expandable), while the QNAP TS-264 offers a slightly more powerful Intel N5095 processor. Both support hardware transcoding and run the full suite of business applications.
Mid-Range: Synology DS923+ or QNAP TS-464
The 4-bay sweet spot for most small businesses. The Synology DS923+ runs an AMD Ryzen R1600 processor with 4GB ECC RAM and can be expanded with a DX517 unit for additional bays. The QNAP TS-464 counters with an Intel N5095 and dual 2.5GbE ports. Both support NVMe SSD caching for faster performance with frequently accessed files.
Performance: Synology DS1623+ or QNAP TS-873A
For businesses needing more storage and power, these 6-8 bay models deliver. The DS1623+ features an AMD Ryzen V1780B with 16GB ECC RAM, suitable for virtualisation and heavy multitasking. The QNAP TS-873A offers similar capabilities with its AMD V1500B processor and upgradeable RAM.
Essential NAS Setup for Small Business
RAID Configuration
RAID provides redundancy so that a single drive failure does not result in data loss. For most small businesses, RAID 5 (or Synology Hybrid RAID) offers the best balance of usable capacity and protection. RAID 5 requires a minimum of 3 drives and can survive one drive failure. For critical data, RAID 6 survives two simultaneous drive failures but requires at least 4 drives and sacrifices more capacity to redundancy.
User Permissions and Shared Folders
Set up shared folders based on department or function (Accounting, Projects, Marketing, Shared) with appropriate read/write permissions. Both Synology and QNAP integrate with Active Directory if you have an existing domain, or you can manage users locally on the NAS itself.
Backup Strategy: The 3-2-1 Rule
Your NAS should be part of a comprehensive backup strategy following the 3-2-1 rule: keep 3 copies of your data on 2 different storage types with 1 copy offsite. Use your NAS as the primary copy and local backup target, then replicate critical data to a cloud service like Backblaze B2 or AWS S3, or to a second NAS at another location.
Network Configuration
For best performance, connect your NAS to your network switch via its fastest available port. Many modern NAS units support 2.5GbE or 10GbE. If your switch only supports 1GbE, consider link aggregation (LACP) using both ethernet ports for increased throughput. Place the NAS on its own VLAN if possible to isolate storage traffic from general network traffic.
Common NAS Use Cases for Australian Businesses
- Centralised file server: Replace USB drives and email attachments with shared network folders
- Automated PC backup: Use Active Backup for Business (Synology) to back up every workstation automatically
- Surveillance: Record and manage security cameras without a separate NVR
- Cloud replacement: Host your own file sync service instead of paying monthly for Dropbox or OneDrive
- Disaster recovery: Replicate data between two NAS units across different locations
Shop NAS Storage at Tech Kingdom
Browse our complete range of Synology and QNAP NAS devices, hard drives, and accessories in the Tech Kingdom Storage and Memory collection. We stock everything from compact 2-bay units to enterprise rackmount solutions.
Not sure which NAS is right for your business? Contact our storage specialists for a personalised recommendation based on your user count, data volume, and workflow requirements. We offer fast shipping across Australia.