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ROI of Velatir Platform

Calculating the ROI of AI Control: Making the Intangible Tangible

AI control presents a fundamental measurement challenge: how do you calculate the return on investment for preventing mistakes that never occur?

Traditional software purchases deliver visible benefits like faster processing or increased sales. AI platforms like Velatir primarily deliver value through risk mitigation and enabling safer AI adoption.

This creates a prevention paradox.

The better we work, the less visible its impact becomes. A successfully prevented data breach leaves no dramatic incident to point to, no crisis response costs to tally. Instead, it leaves something more valuable but harder to quantify: business continuity, maintained trust, and the freedom to innovate confidently.

For small and medium businesses evaluating, this intangible nature can make ROI calculations feel abstract. Yet with the right methodology, these benefits become both measurable and compelling. The key lies in understanding that preventing one significant incident can justify years of investment, while the cumulative effect of enabled AI adoption creates compounding returns.

At €98 monthly, Velatir costs less than most SMBs spend on office coffee, yet it protects against risks that could end the business while enabling opportunities that could transform it.

Method 1: Data Breach Prevention ROI

The Calculation Framework

According to the UK's 2024 IBM Cost of Data Breach Report, the average cost of a data breach in the UK reached £3.58 million in 2024. However, for small businesses, UK government research indicates costs averaging around £25,000, though this can range significantly based on the nature and scale of the breach.

Even using the lower UK government figure of £25,000 average breach cost for small businesses, the mathematics remain compelling. The UK government study acknowledged significant underreporting of breach costs, and more comprehensive analysis shows that indirect costs often exceed direct costs by 3-5x. When including business interruption, regulatory investigation costs, and reputational damage, even small breaches can cost £75,000-150,000. If we assume only a 2% annual probability of experiencing a breach requiring external response:

Using £100,000 as a more realistic average total cost for an SMB breach:

Expected annual loss: £2,000 (2% probability × £100,000)

Velatir annual cost: £1,000 (~€1152)

Net annual benefit: £1,000 ROI: 100%

Method 2: AI Adoption Acceleration ROI

Productivity Multiplier Approach

Research from Forrester's Microsoft 365 Copilot study demonstrates that SMBs can achieve 132-353% ROI from AI productivity tools over three years. However, this assumes safe, compliant deployment. Exactly what Velatir enables.

For a typical 25-employee SMB, conservative productivity gains from AI tools might represent 5% efficiency improvement per employee. With average UK SMB employee costs of £35,000 annually (salary plus overheads), this represents:

Total productivity value unlocked: £43,750 annually (25 employees × £35,000 × 5%)

Velatir enablement cost: £1,000 annually

Net benefit: £42,750 annually corresponding to €49,264.24

ROI: 4,175%

Revenue Growth Enablement

According to 2024 AI adoption statistics, companies with AI-led processes enjoy 2.5x higher revenue growth. For an SMB with £750,000 annual revenue:

Baseline growth: 3% annually (£22,500)

AI-enhanced growth: 7.5% annually (£56,250)

Additional revenue from AI: £33,750

Velatir cost: £1,000

Net benefit: £32,750

ROI: 3,175%

Method 3: Compliance Cost Reduction ROI

Automation Savings Framework

PwC analysis demonstrates that a 15% increase in automation yields a 10% decrease in compliance costs. For SMBs, compliance typically represents significant operational overhead through staff time, external consultants, and manual processes.

A typical SMB might spend £30,000 annually on compliance activities (internal staff time valued at cost, plus external support). Velatir's automation could reduce this by 25%, creating:

Annual savings: £7,500

Velatir cost: £1,000

Net annual benefit: £6,500

ROI: 650%

Method 4: Strategic Positioning ROI

Future Opportunity Enablement

According to McKinsey research, early AI adopters gain 6-12 month competitive advantages.

For SMBs, being positioned to rapidly and safely adopt new AI capabilities as they emerge represents significant strategic value. Conservative estimates suggest this competitive positioning could be worth £25,000-50,000 over three years for a typical SMB.

Present value of competitive advantage: £35,000 over 3 years

Probability of capturing with governance framework: 60%

Expected value: £21,000

Three-year Velatir investment: £3,000

ROI: 600%

The Investment Decision

Each calculation method demonstrates that Velatir's potential returns significantly exceed its modest cost. At €98 monthly, the investment represents less than 0.5% of most SMB monthly revenues, yet it protects against risks that could eliminate the business while enabling opportunities that could accelerate growth.

The calculations above use conservative assumptions and focus on quantifiable benefits. They don't capture additional value like improved customer trust, enhanced employee confidence in AI initiatives, or the strategic flexibility that comes from having robust governance infrastructure in place.

The fundamental question isn't whether you can afford to invest in AI governance at €98 monthly. It's whether you can afford not to have it when regulatory scrutiny intensifies, when competitors gain AI-driven advantages, or when a preventable incident threatens your business's future.

In a world where AI adoption is accelerating and regulatory frameworks are tightening, governance isn't an optional luxury, it's an essential business capability that pays for itself many times over.

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