CCPA for B2B Software Startups
Scale created The Startup Guide to CCPA specifically for founders and senior executives at B2B software companies. It delivers a starting point for understanding what CCPA says, what it doesn’t say, and which of your company’s business practices might be affected across functional areas like Sales, Marketing, IT, HR, Legal, and Procurement.
The guide was assembled from dozens of conversations with executives and legal counsel at startups like BigID, Demandbase, Lever, Namely, and OneLogin who shared the specific actions they are taking to bring their business practices into alignment with CCPA requirements.
Founders and executives of B2B software startups might easily assume that the California Consumer Privacy Act (CCPA) doesn’t directly impact their business. But there are two big reasons to take notice:
- The law is very broad in scope and still being interpreted. Right off the bat, CCPA defines “consumer” to include any residents and employees residing in California. In practice, that opens the door to a website landing page with email capture falling under CCPA’s data collection requirements. To take another example, co-marketing agreements between companies might be considered “data sales” under CCPA and carry their own compliance requirements. To further muddy the waters, CCPA is still being amended by the California legislature even as many of its regulations are still being drafted--adding uncertainty to the fast-approaching July 1, 2020 compliance deadline.
- CCPA isn’t the only privacy law companies will need to deal with. There are multiple new privacy laws pending in New York, Hawaii, North Dakota, and other states. While California’s first-mover status makes CCPA the model for many of these other laws, the clear trend in the coming years is a complex patchwork of state-specific consumer privacy regimes. The good news is that getting CCPA right should make future compliance efforts more manageable.
We hope the guide gives you the context you need to ask your legal counsel and direct reports the smart questions about how your business practices are impacted by CCPA.
Click here to download your copy of the guide.
Originally published January 23, 2020.