What is a 'Cold Site' in the context of Business Continuity Planning?

A 'Cold Site' in the context of Business Continuity Planning refers to a type of backup facility that is not equipped with the necessary hardware or software to become operational immediately after a disaster. Unlike hot sites, which are fully equipped and can be operational within minutes, a cold site requires significant setup time that may range from hours to days to become fully functional. This type of recovery option often involves having a physical location that has basic infrastructure, such as power and space, but lacks the immediate availability of critical business systems and applications.

The concept behind a cold site is that it serves as a fallback option where organizations can restore their data and systems after a disaster. However, the absence of immediate readiness means that organizations relying solely on cold sites need to account for the potential downtime during recovery. This strategy may be more appropriate for organizations with longer recovery time objectives (RTOs) and can also offer cost savings when compared to more immediate recovery options, as cold sites typically require less investment in terms of infrastructure and equipment.