Compared with large organisations, small businesses operate in a distinct and highly resource-constrained operating and technical environment. Their proprietors are often time poor, have minimal bargaining power and have limited financial, technical, legal and personnel resources. It is therefore unsurprising that cloud computing and its promise of smoothing cash flows and dramatically reducing ICT overheads is attractive to small business. Cloud computing shifts the delivery and maintenance of software, databases and storage to the internet, transforming them into Pay-As-You-Go services accessed through a web browser. While providing many benefits, cloud computing also brings many risks for small business, including potential computer security and criminal, regulatory and civil liability issues. This paper, undertaken as a collaborative partnership with the ARC Centre of Excellence in Policing and Security at Griffith University, identifies these risks and offers a perspective on how they might be contained so that the benefits of cloud computing do not outweigh the risks for small businesses in the 21st century.