Data Privacy Policy Requirements

This question is asking if you have a formal document that explains how your company handles, protects, and uses customer data. It's like a promise to your customers about what you'll do (and won't do) with their information. This policy should cover everything from how you collect data to how you delete it when requested.

A missing or weak data privacy policy can instantly disqualify you from enterprise deals, especially with companies in regulated industries or those operating in Europe (GDPR) or California (CCPA). It's often the first document procurement teams request. Having a robust policy builds trust, enables sales to larger organizations, and protects you from regulatory fines that can reach millions of dollars.

The biggest mistake is copying a generic template without customizing it to your actual practices—this creates liability when your operations don't match your promises. Companies also often forget to update their policy when they add new features or data collection methods, creating compliance gaps.