You're about to launch. The product works. The landing page looks good. The payment flow is tested.

Then someone asks: "Do we have a privacy policy?"

Silence.

Here's the truth: if you collect any user data—emails, names, IP addresses, cookies, anything—you need a privacy policy. Not eventually. Now.

This guide explains what a privacy policy is, what it needs to include, and how to get one in place without overthinking it.

Do You Actually Need a Privacy Policy?

Yes, if you collect any of the following:

  • Email addresses
  • Names or usernames
  • IP addresses (which you're collecting if your site is online)
  • Cookies or analytics data (Google Analytics, Mixpanel, etc.)
  • Payment information
  • User-generated content
  • Device information or browser data

If you use Google Analytics, you're collecting data. If you have a signup form, you're collecting data. If your site sets cookies—even session cookies—you're collecting data.

The bar is low. If your website does anything beyond displaying static text, you probably need a privacy policy.

Legal requirements

Privacy policies aren't just "best practice." They're legally required by GDPR (if you have EU users), CCPA (if you serve California and meet thresholds), COPPA (if your app targets children), and most US state laws. Apple and Google also require them for all apps in their stores.

Operating without one exposes you to fines, app store rejection, and loss of customer trust. It's not worth the risk.

What a Privacy Policy Actually Is

A privacy policy is a public-facing document that explains:

  • What personal data you collect
  • How you collect it
  • Why you collect it
  • How you use it
  • Who you share it with
  • How you protect it
  • What rights users have over their data

It's essentially a transparency document. Users give you their data. In return, you tell them what happens to it.

What to Include in Your Privacy Policy

A complete privacy policy covers these sections:

1. What Data You Collect

Be specific. Don't just say "personal information." List exactly what you collect:

  • Email addresses and passwords
  • Names and profile information
  • Payment details (or note that Stripe/PayPal handles this)
  • IP addresses and device information
  • Cookies and usage data
  • Any user-generated content (posts, comments, uploads)

2. How You Collect It

Explain the methods:

  • Directly from users (signup forms, checkout)
  • Automatically via cookies and analytics
  • From third-party sources (OAuth logins, payment processors)

3. Why You Collect It

What's the purpose?

  • Account creation and authentication
  • Billing and payment processing
  • Service delivery and customer support
  • Analytics and product improvement
  • Marketing (if you send promotional emails)

4. How You Use It

What do you actually do with the data?

  • Provide the service users signed up for
  • Send transactional emails (password resets, receipts)
  • Improve the product (analytics, A/B testing)
  • Send marketing communications (if users opted in)
  • Comply with legal obligations

5. Who You Share It With

List every third-party service that touches user data. Common examples:

  • Payment processors (Stripe, PayPal)
  • Hosting providers (AWS, Google Cloud, Vercel)
  • Analytics tools (Google Analytics, Mixpanel, Amplitude)
  • Email services (SendGrid, Mailchimp, Postmark)
  • Customer support (Intercom, Zendesk)
  • CDN and infrastructure (Cloudflare, Fastly)

Don't hide this. Users have a right to know where their data goes.

6. How You Protect It

Describe your security measures:

  • Encryption in transit (HTTPS)
  • Encryption at rest (for sensitive data like passwords)
  • Access controls (who on your team can access data)
  • Regular security reviews and updates

You don't need to reveal your entire security architecture. But you should demonstrate that you take security seriously.

7. User Rights

Under GDPR and CCPA, users have specific rights. Your policy should explain how to exercise them:

  • Right to access: Users can request a copy of their data
  • Right to deletion: Users can request account and data deletion
  • Right to correction: Users can fix inaccurate data
  • Right to opt-out: Users can opt out of marketing emails or data sales
  • Right to data portability: Users can export their data

Include instructions: "To exercise these rights, email [email protected]."

8. Cookie Usage

If you use cookies (you probably do), explain:

  • What cookies you use (essential, analytics, marketing)
  • What they do
  • How long they last
  • How users can disable them

9. Data Retention

How long do you keep data?

"We retain account data for the duration of your account, plus 30 days after deletion to allow for recovery. Billing records are retained for 7 years for tax compliance."

Be specific. "Forever" is not compliant.

10. Contact Information

Provide a way for users to reach you about privacy:

  • Email address ([email protected])
  • Mailing address (required for GDPR)
  • Contact form (optional but helpful)

Make sure this email address actually works and someone monitors it.

Common Mistakes (And How to Avoid Them)

1. Using a Generic Template Without Customization

You can start with a template, but you must customize it. Your policy needs to reflect what you actually do.

If your policy says you collect payment information but you use Stripe (which handles payments), that's inaccurate. If your policy doesn't mention Google Analytics but you use it, that's a violation.

Read the template. Replace placeholders. Add your actual third-party services. Remove sections that don't apply.

2. Forgetting to Update It

Your privacy policy isn't a one-time document. It needs to evolve with your product.

You should update it when you:

  • Add new features that collect data
  • Integrate new third-party tools
  • Change how you use or store data
  • Expand to new markets (GDPR, CCPA, etc.)
  • Major privacy laws change

Add a "Last Updated" date at the top. When you make changes, notify users (especially for material changes).

3. Making It Hard to Find

Your privacy policy should be accessible from:

  • Every page footer
  • Signup and registration forms
  • App store listings (Apple and Google require this)
  • Checkout pages (before payment)
  • Marketing email footers

If users can't find it, it doesn't matter how good it is.

4. Not Disclosing Third-Party Services

Every SaaS tool you use that touches user data must be disclosed. That includes:

  • Stripe (payments)
  • Google Analytics (tracking)
  • Mailchimp or SendGrid (emails)
  • Intercom or Zendesk (support)
  • AWS or Google Cloud (hosting)
  • Cloudflare (CDN)

People forget about infrastructure tools. Don't.

5. Ignoring GDPR and CCPA

If you have EU users, GDPR applies. If you serve California and meet the revenue or user thresholds, CCPA applies.

Both laws require specific disclosures. You can't just ignore them because you're US-based or small.

6. Not Providing a Way to Delete Data

GDPR and CCPA give users the right to delete their data. Your policy must explain how to do this, and you must actually honor deletion requests.

This doesn't need to be instant. You can take 30 days. But you need a process.

Where to Display Your Privacy Policy

Put a link to your privacy policy in these places:

  • Website footer – on every page
  • Signup forms – with a checkbox: "I agree to the Privacy Policy and Terms of Service"
  • App stores – Apple and Google require a public URL
  • Checkout pages – before users enter payment info
  • Email footers – especially for marketing emails

The link should go to a page on your own domain (yoursite.com/privacy), not a PDF or third-party hosted page.

Quick Launch Checklist

Before you go live, make sure you have:

  • A complete privacy policy that reflects your actual practices
  • A link in the footer on all pages
  • A checkbox on signup/registration forms
  • GDPR and CCPA sections (if applicable)
  • A list of all third-party tools you use
  • A contact email for privacy questions
  • A "Last Updated" date at the top

If you can check all these boxes, you're in good shape.

The Bottom Line

A privacy policy isn't just a legal requirement—it's a trust signal. It shows users you take their data seriously and operate transparently.

Don't let it slow down your launch. Get a compliant policy in place quickly. Start with a template if you need to, but customize it. Make it accurate. Keep it updated.

And if you're ever unsure, consult a lawyer who specializes in privacy law. A one-hour consultation is cheaper than a regulatory fine.