Small and Medium-sized Businesses (SMBs) play an essential role in the global economy. However, many of these companies are disproportionately affected by cyber security risks, leaving them more vulnerable to malicious attacks than large corporate entities.
To be successful against today’s ever-evolving threats, SMBs need to understand why they are a target for hackers and how they can strengthen their defenses. Let’s explore why SMBs may be more at risk from security breaches than larger enterprises.
1. Lack of cybersecurity defense plans
According to recent studies, 43% of SMBs lack any cybersecurity defense plan. This is because SMBs are often limited by their financial and human resources and often lack the necessary expertise to implement a robust cybersecurity defense system.
Most SMBs don’t have enough budget to hire an IT security expert, so they often depend on off-the-shelf security solutions that may be less effective than customized solutions.
This makes it easy for cyber attackers to find and exploit vulnerabilities without much resistance.
2. Breaches often go unnoticed
Only 47% of SMBs find breaches within days, meaning that most violations go unnoticed for weeks or months, giving attackers ample time to do their damage.
Many SMBs also lack effective cybersecurity education and training programs, meaning employees may not know how to handle cyber threats effectively.
This makes it easy for attackers to use social engineering tactics to deceive employees into providing access to sensitive information.
3. Huge prize behind data breaches
93% of small business data breaches are financially motivated. Attackers target SMBs because they know the potential returns are significant.
SMBs store valuable customer and financial data, which, in the wrong hands, can fetch a handsome profit on the dark web.
Cyber attackers often sell login credentials, personal data, and financial information on hacking forums, making small businesses an easy target.
4. Data breaching SMBs is becoming a trend
A recent survey shows that 63% of SMBs reported experiencing a data breach in the previous 12 months.
This is significantly more than the number of big corporates that experience data breaches, suggesting that SMBs are more vulnerable to cybersecurity risks.
Even more troubling is the fact that most SMBs aren’t prepared for the aftermath of a data breach. They often lack cyber insurance coverage and the financial means to handle the consequences of a cybersecurity attack.
Small and medium-sized enterprises (SMBs) face significant cybersecurity risks because they often lack the financial resources and the necessary expertise to implement a robust cybersecurity defense system. SMBs are often seen as easy targets by cyber attackers because they have limited resources to invest in cybersecurity measures.
The lack of cybersecurity education and training programs also makes SMBs vulnerable to social engineering tactics, which attackers commonly use to access sensitive information.
To mitigate these risks, SMBs need to invest in cybersecurity solutions that are customized to their specific needs. They must provide cybersecurity training to their employees and invest in cybersecurity measures that can promptly detect and respond to threats.
Failure to do so puts their valuable customer and financial data at risk, which can have significant financial and reputational consequences.