Why Are Small Businesses Targeted by Hackers 3X More Than Larger Ones?
Cyberattacks and ransomware have increased in intensity and frequency in recent years, fueled partly by the global work culture shifting to a primarily remote paradigm during the epidemic. Cybercriminals are exploiting the weaknesses of these systems as firms rely more on cloud operations and technological infrastructure.
However, while the media focuses on huge organizations, the fact is that small firms, which have fewer resources and possess little or no IT competence, are frequently viewed as easy targets for cyberattacks.
A Higher Cyber Risk for SMBs
Large multinational companies such as Microsoft, Delta Air, and eBay have all featured in news headlines due to the number and severity of IT and data breaches. For example, in May 2017, Microsoft was attacked by the WannaCry ransomware worm. This attack lasted about seven hours, affected over 200,000 computers in over 120 countries, and enabled hackers to encrypt private data and demand ransom in cryptocurrency.
Such stories are sensational because it can be amazing to find out that large corporations can be brought to their knees in this way. After all, collecting ransom is akin to robbing someone at gunpoint. And if the company refuses to pay, then the hacker(s) can choose to do whatever they want with the ill-gotten data – competitors are constantly circling to get their hands on info of that variety.
However, it has been shown that smaller businesses are commonly targeted in cyberattacks and are three times more likely to suffer higher consequences than larger ones.
Sounds unbelievable? Read on to learn more.
According to a survey, 43% of cyberattacks target small and medium-sized businesses. A 2019 NCSA poll noted that 28 percent of small businesses had a data breach in the previous 12 months. These breaches frequently have disastrous consequences: 25% of these breached SMEs filed for bankruptcy, and a tenth stopped operations entirely.
Even more sadly, it doesn’t stop here for SMBs. If they manage to survive an attack, they still have to go through with repair, which can be highly costly. According to one web estimate, medium-sized companies may spend close to a million dollars on clean-up costs, with small companies about $700,000 following a cyberattack.
Why are Small Businesses Targeted?
Below are some other reasons why SMBs are more likely to be targeted:
Less Training
Small and medium-sized businesses may be more vulnerable since their personnel is not adequately trained. This implies that hackers can gain access to the firm by targeting an employee and getting their passwords through social engineering or any other form of deceit. Once they get in, there is virtually no way to stop them, especially if there is no dedicated IT staff.
Lower Security
SMBs are more likely to be hacked because they frequently lack the resources to set up a cybersecurity program. They are more prone to utilizing older (and unsupported) software, which possesses vulnerabilities that hackers can exploit.
Inadequate Preparation
Several small and medium-sized businesses are unprepared for the prospect of a cyber-attack. They take it harsher because they don’t know how to handle it. Preparation is key to defending a business against cyberattacks. You never know when it might come, so why not prepare for it.
Ways By Which SMBs Can Defend Themselves
There are numerous ways by which small businesses with little resources can improve their security preparation. One of such ways is to use cloud-based security tools for backup, virus prevention, and email security. This way, SMBs can save financial expenditure on specialized hardware and software and the requirement to designate physical space for gear.
Cloud security technologies may also lower the amount of IT administration necessary. And with cloud security and setups, it may also be simpler to facilitate remote working and guarantee that data is consistently backed up.
While there is no one-size-fits-all solution, smaller businesses may handle security on a shoestring budget by doing the following:
• Introducing security awareness training for staff can greatly minimize risk. It should also be online and interactive. Human mistakes cause the majority of security breaches.
• Inform staff about cyber hazards when in and out of the office (particularly when on the move), and delete or backup confidential data before a business trip if feasible. Be alert at all times.
• Effectively monitor third-party connections to determine the risks posed by your supply chain and other business providers and partners.
• Employ an external consultant to assist the company in assessing and identifying risks and vulnerabilities, including evaluating systems that enable external access, such as cloud storage and websites.
• Create a reaction strategy to prepare your staff to deal with cyber threats.
• To counteract online threats, ensure your software is constantly updated.
• Ensure that remote employees are secured by firewalls when accessing company servers from non-office spaces.
Increase Your Cyber-protection with Unbound Digital
Every firm, regardless of size or sector, is vulnerable to cybercrime. Small firms are frequently viewed as an easy target, whereas major corporations are targeted by hackers seeking more data. Preparing your small or medium-sized firm for a cyberattack may cost less than the assault.
Today is the day to upgrade your security and ensure the safety of your business. Contact Unbound Digital at 423-467-7777 to learn more about keeping your business cyber-secure.