When you hear about cybersecurity breaches, you might think it’s limited to large corporations, like Target, Facebook, and Microsoft. After all, these companies were hit by some of the largest cybersecurity attacks in history. However, you might be surprised to learn that hackers target small businesses even more frequently than large corporations. In fact, 43% of all cybercrime hits small businesses.
While many large businesses do get attacked, most hackers aren’t targeting specific companies – they’re targeting vulnerable software systems. Unfortunately, most small businesses have weak cybersecurity postures, making them prime targets.
What kind of attacks are small businesses susceptible to?
There are four broad threats to watch out for: viruses, phishing and social engineering, ransomware, and insider threats. Each of these pose unique challenges to businesses with varying degrees of consequences.
Viruses. A virus downloaded onto a computer can create backdoors that give hackers access to the device, network, and can install a keystroke logger that provides access to accounts.
Phishing/social engineering. Although these attacks are low-tech, they’re highly effective. They trick employees into providing passwords to hackers pretending to be part of the company.
Ransomware. This attack will encrypt your device’s hard drive, preventing you from accessing files or using your device. The hacker will demand a ransom, usually payable in cryptocurrency, to restore your files.
Insider threats. This type of attack is when an employee accidentally or intentionally causes a breach.
How small businesses get targeted
What makes someone a target for cybercrime isn’t their net worth or even the data they hold – it’s a weak security posture. Cybercriminals don’t waste their time trying to hack their way into secure systems. Instead, they use automated systems that scour the internet for websites and connected devices using software with known vulnerabilities and launch their attacks. It’s easier to target existing vulnerabilities than try to penetrate secure systems.
Small businesses are big targets because they tend to have weak security. Hackers know small business owners can’t afford top-tier security and often ignore basic security protocols. Prioritizing cybersecurity isn’t hard, but it’s often overlooked by small business owners who don’t believe they’re a target. A simple phishing email or outdated WordPress installation can be enough to spawn an attack.
All information is valuable to hackers
Hackers don’t care how big or small your database is – they want the information because it can be used or sold on the dark web. Your customer lists, payment information, and personal data are all just as valuable as the data kept in a Fortune 500 company database. Hackers don’t discriminate.
The cost of a breach could be devastating
You don’t need to experience a serious breach like the big corporations to suffer big losses. One breach can cost a small business tens of thousands of dollars, if not millions. In addition to regulatory fines, you’ll have to deal with downtime, lost business, legal fees, and potentially ransom payments (although it’s not advised to pay a ransom).
In addition to direct financial costs, you can expect to experience reputational damage when customers or clients find out their private information has been compromised. One security incident, no matter how small, can impact your business for years. A good example of this is the 2013 Target data breach where hackers got ahold of 40 million credit and debit card records along with 70 million customer records. To this day, many people still don’t trust Target and won’t shop there anymore.
Cybersecurity is a competitive advantage
If you’re a small business owner and you haven’t prioritized cybersecurity, the competitive advantage you’ll get should be good motivation. Customers prefer doing business with companies that prioritize security. It shows that you care about protecting their personal information. Additionally, some contracts and partnerships require proven security practices, and being compliant will make your business more attractive for these opportunities.
Small businesses need cybersecurity
At the end of the day, cybersecurity is more than just a data theft prevention strategy. It’s a requirement for doing business in a world where cybercrime runs rampant and nobody is immune. If you need to create a cybersecurity plan for your business, but don’t know where to start, consider calling a professional. They’ll assess your needs, set you up with a plan, and train your employees to follow the new policies.
Whether you’re running a major online retail shop, a small business, or you just work with individual clients, ignoring cybersecurity is like leaving your front door wide open in a bad neighborhood. Cybersecurity threats are real and the stakes are high. However, if you take action today, you can drastically reduce your risk of being attacked.
