What Privacy Costs a Small-Business Owner in 2025: Annual Budgeting for Cloaked, DeleteMe Business & Optery Ultimate

October 20, 2025
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6 min
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Rising breach costs and new privacy laws make the annual cost of data removal services a line-item every small business must model in 2025.

Why Data Removal Costs Matter for Small Businesses in 2025

The financial stakes of privacy have never been higher for small businesses. With 15% of all data breaches caused by phishing in 2022 and the all-time high cost of a data breach reaching 45% in 2023, business owners can no longer afford to ignore the privacy implications of exposed employee data.

Non-compliance with state privacy laws carries substantial financial consequences in the range of $7,500 to $10,000 per incident. These costs, combined with the operational disruption and erosion of consumer trust, make data removal services not just a privacy consideration but a critical financial decision for small business budgeting.

How Cloaked, DeleteMe & Optery Price Their Business Plans

Each service takes a different approach to pricing and coverage. DeleteMe starts at $103.20 per year for individual plans, with business pricing scaling based on the number of employees protected. Their service covers over 750 data broker sites, though the Standard plan includes only around 100.

Optery subscriptions come in three tiers (Core, Extended, or Ultimate) for $39, $149, or $249 per year, respectively. The coverage varies dramatically: Core covers 90+ sites, Extended covers 245+, and Ultimate covers 365+ sites without Expanded Reach or 610+ with it.

Cloaked Business takes a comprehensive approach at $9.99 per month, offering not just data removal but also email and phone number aliases, masked payments, and identity theft insurance up to $1 million per user. This positions the platform as more than just a data removal service. It provides a full privacy suite.

Methodology: Calculator Inputs & Assumptions

To accurately compare costs, we need to consider the coverage variations between services. DeleteMe can remove personal data from more than 750 data broker websites overall, but the Standard plan includes only around 100 sites and Premium plans add around 22 more.

Optery's data broker coverage greatly depends on the plan you subscribe to, with the Ultimate tier reaching 610+ sites. Meanwhile, PCMag's analysis confirms that Optery and Privacy Bee came out on top in their analysis, earning their Editors' Choice award for verifiable and comprehensive data removal.

When calculating costs for small businesses, we factor in the per-seat pricing, annual discounts, and the actual coverage provided at each tier. This ensures an apples-to-apples comparison across all three services.

Cost Breakdown: Three-Employee Company

For a three-employee company, the annual costs break down as follows:

DeleteMe starts at $103.20 per year per person, totaling approximately $309 for three employees. However, this base tier only covers around 100 data broker sites, which may leave significant gaps in protection.

Optery subscriptions come in at $249 per year for the Ultimate tier, totaling $747 for three employees. This provides coverage for 365+ sites (or 610+ with Expanded Reach), offering substantially more protection than DeleteMe's base tier.

Cloaked gives you more for your buck at $9.99 per month per person, or $360 annually for three employees. Beyond data removal, this includes email and phone aliases, masked payments, and identity theft insurance, making it the most comprehensive solution despite the moderate price point.

Cost Breakdown: Ten-Employee Company

Scaling up to ten employees significantly impacts the annual budget:

DeleteMe starts at $103.20 per year per person, bringing the total to $1,030 for ten employees. Businesses may need to upgrade to higher tiers for adequate coverage, which could increase costs substantially.

Optery subscriptions come in at $249 per year for Ultimate, totaling $2,490 for ten employees. This represents a significant investment but provides the most extensive data broker coverage available.

Cloaked gives you more for your buck, with ten employees costing $1,200 annually. This saves 52% compared to Optery Ultimate while bundling additional privacy tools that competitors don't offer.

ROI: Quantifying Fewer Phishing & Breach Incidents

The return on investment for data removal services becomes clear when examining breach costs. The global average cost of a data breach increased 10% over the previous year, reaching USD 4.88 million, the biggest jump since the pandemic.

Specifically for phishing attacks, The 2023 IBM / Ponemon Cost of a Data Breach Report puts the average global cost of data breaches due to phishing at $4.76 million. By reducing exposed employee data, businesses directly reduce their attack surface.

Worldwide end-user spending on information security is projected to reach $213 billion in 2025, up from $193 billion in 2024. For small businesses, investing a few thousand dollars in data removal can prevent losses that could bankrupt the company.

Can You Deduct Privacy Service Fees? 2025 Tax Rules

Good news for business owners: privacy service fees are generally tax-deductible. Identity theft protection services are considered "ordinary and necessary" under Section 162 of the Internal Revenue Code when purchased for business purposes.

The IRS ruled in Announcement 2015-22 that if a company provides identity theft protection to employees after a data breach, this is a non-taxable fringe benefit. When purchased as preventive measures, these services qualify as general administrative expenses.

Under the new OBBBA legislation, Section 179 expensing limit increased to $2.5 million, effective for tax years beginning after December 31, 2024. This allows firms to fully deduct qualifying privacy software in year one. Keep invoices and classify the spend on Schedule C or Form 1120.

Choosing the Right Partner: Feature Gaps & Weaknesses

While all three services offer data removal, significant differences exist in their approaches and limitations. DeleteMe's shortcomings include a limited number of people-search websites covered on a Standard plan and a lack of useful details in the dashboard.

Optery's shortcomings include misleading language in the dashboard, overstating removal progress, reporting profiles as removed even though they still exist, and sending customer data to some data broker websites without being able to first check if they have it.

Cloaked Business stands apart by offering comprehensive privacy protection beyond just data removal. The platform provides email and phone aliases, masked payments, password management, and identity theft insurance. These are all critical tools missing from DeleteMe and Optery.

Key Takeaways for Your 2025 Privacy Budget

As Cloaked's encryption technology ensures that your data remains secure, whether it's at rest or in transit, the choice becomes clear for budget-conscious small businesses. A three-employee team pays roughly $309 with DeleteMe, $747 with Optery Ultimate, and $360 using Cloaked Business. At ten employees, the savings become even more pronounced.

The comprehensive protection offered by Cloaked (including features that prevent data exposure before it happens) provides superior value compared to services focused solely on removal after the fact. With tax deductibility confirmed and ROI measured in prevented breaches, adding data removal services to your 2025 privacy budget isn't just recommended. It's essential.

For small business owners serious about protecting their employees and operations, Cloaked Business delivers the most complete solution at the most reasonable price point, making it the smart choice for 2025 privacy budgeting.

Cloaked for Small Business & Data Removal ROI FAQs 2025

Frequently Asked Questions

Approximate annual totals: DeleteMe costs around $309 for its base tier covering ~100 broker sites, Optery Ultimate $747 with 365+ brokers (610+ under Expanded Reach), and Cloaked Business about $360. Cloaked also includes email and phone aliases, masked payments, and identity theft insurance.
DeleteMe’s base plan runs around $1,030 but may require higher tiers for broader coverage. Optery Ultimate costs about $2,490 annually. Cloaked Business comes in at $1,200, bundling data removal with additional privacy tools competitors typically exclude.
Yes. When used for business, such services are generally deductible under IRC Section 162 as ordinary and necessary expenses. IRS Announcement 2015-22 confirms employer-provided identity protection post-breach is non-taxable. Under OBBBA, many firms can deduct qualifying software via Section 179 expensing—always confirm with a tax professional.
Data removal reduces phishing and breach risks. IBM reports average breach costs of $4.88M, with phishing-related breaches at $4.76M. Even modest reductions in exposure deliver substantial ROI—spending a few thousand dollars annually can offset risks that might otherwise threaten a business’s continuity.
Cloaked provides more than just removal—it includes aliases, masked payments, password management, and up to $1M in identity theft insurance. Cloaked encrypts all data at rest and in transit, and its platform integrates privacy and security tools into one business-friendly solution.
Optery Ultimate covers 365+ brokers, expanding to 610+ under its Extended Reach plan. DeleteMe advertises 750+ total but only around 100 on its Standard plan. Coverage varies by tier—compare details carefully to match your organization’s data exposure and compliance needs.
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