7 cybersecurity trends and tips for small and medium businesses to stay protected.
Although SMBs face heightened cybersecurity threats, unlike large enterprises, they often lack the resources and expertise to implement extensive security measures or manage complex security solutions, making them prime targets for bad actors.
1. One in three SMBs have been victims of a cyberattack
With cyberattacks on the rise, SMBs are increasingly affected. Research shows that 31% of SMBs have been victims of cyberattacks such as ransomware, phishing, or data breaches. Despite this, many SMBs still hold misconceptions that increase their risk and vulnerability. Some believe they are too small to be targeted by hackers or assume that compliance equates to security. It is crucial to understand that bad actors pose a threat to businesses of all sizes, and complacency in cybersecurity can lead to significant risks.
2. Cyberattacks cost SMBs more than $250,000 on average and up to $7,000,000
The unexpected costs of a cyberattack can be devastating for an SMB and make it difficult to financially recover from. These costs can include expenses incurred for investigation and recovery efforts to resolve the incident, and associated fines related to a data breach. Cyberattacks not only present an immediate financial strain but can also have longer term impacts on an SMB. Diminished customer trust due to a cyberattack can cause broader reputational damage and lead to missed business opportunities in the future. It’s difficult to anticipate the impact of a cyberattack because the time it takes to recover can vary from one day to more than a month. While many SMBs are optimistic about their ability to withstand a cyberattack, some fail to accurately estimate the time needed to restore operations and resume normal business activities
3. 81% of SMBs believe AI increases the need for additional security controls
The rapid advancement of AI technologies and the ease of use through simple user interfaces creates notable challenges for SMBs when used by employees. Without the proper tools in place to secure company data, AI use can lead to sensitive or confidential information getting in the wrong hands. Fortunately, more than half of companies currently not using AI security tools intend to implement them within the next six months for more advanced security.
4. 94% consider cybersecurity critical to their business
Recognizing the critical importance of cybersecurity, 94% of SMBs consider it essential to their operations. While it was not always considered a top priority given limited resources and in-house expertise, the rise in cyberthreats and increased sophistication of cyberattacks now pose significant risks for SMBs that is largely recognized across the SMB space. Managing work data on personal devices, ransomware, and phishing and more are cited as top challenges that SMBs are facing.
5. Less than 30% of SMBs manage their security in-house
Given the limited resources and in-house expertise within SMBs, many turn to security specialists for assistance. Less than 30% of SMBs manage security in-house and generally rely on security consultants or service providers to manage security needs. These security professionals provide crucial support in researching, selecting, and implementing cybersecurity solutions, ensuring that SMBs are protected from new threats.
6. 80% intend to increase their cybersecurity spending, with data protection as top area of spend
Given the heightened importance of security, 80% of SMBs intend to increase cybersecurity spending. Top motivators are protection from financial losses and safeguards for client and customer data. It’s no surprise that data protection comes in as the top investment area with 65% of SMBs saying that is where increased spending will be allocated, validating the need for additional security with the rise of AI. Other top areas of spending include firewall services, phishing protection, ransomware and device protection, access control, and identity management.
7. 68% of SMBs consider secure data access a challenge for remote workers
The transition to hybrid work models has brought new security challenges for SMBs, and these issues will continue as hybrid work becomes a permanent fixture. With 68% of SMBs employing remote or hybrid workers, ensuring secure access for remote employees is increasingly critical. A significant 75% of SMBs are concerned about data loss on personal devices. To safeguard sensitive information in a hybrid work setting, it is vital to implement device security and management solutions so employees can securely work from anywhere.
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