Cybersecurity is a significant concern for many organisations, including small and medium-sized enterprises (SMEs). This challenge must be anticipated because it poses a substantial risk over a prolonged period. Many small business owners underestimate the risks, but with the rise in cybercrime, it is crucial to stay informed. Therefore, this article will provide small business cybersecurity statistics that every owner should be aware of to raise awareness of cyberattacks that continue to evolve.
Why do cybercriminals target small businesses?
In the digital age, large-scale organisations and institutions are not the only targets of cyberattacks. Generally, cyberattacks target essential institutions, such as banks or governments. However, they do not stop spreading their attacks and reap many benefits, including from small businesses.
Moreover, larger institutions typically have better and more robust cybersecurity measures, while small businesses often have fewer in place. This is one of the reasons why cyberattacks can easily infiltrate their vulnerable systems. These companies are perceived as being easier to breach, and cybercriminals are aware that smaller businesses may lack the resources or expertise to detect and respond to threats promptly.
What attacks are most common?
Cyberattacks come in various forms and employ different methods. They adapt their objectives and target specific institutions or organisations. However, the most common attacks faced by small businesses include malware, phishing, ransomware, denial-of-service (DoS) attacks, and man-in-the-middle (MITM) attacks. The primary purpose of these attacks is to obtain sensitive information, including data security and confidential customer data. Therefore, every attack will hurt small businesses if they lack information and awareness.
Malware
Malware is the most common type of attack because it can spread rapidly by exploiting software vulnerabilities in organisations. It employs various methods to steal sensitive data from a system by gaining unauthorised access. This type of attack often occurs through infected email attachments, malicious websites, or compromised software. However, small businesses are prime targets for cyberattackers because they usually lack anti-malware software and robust cybersecurity measures. Therefore, protection against cyber threats is crucial for small businesses to understand and implement.
Phishing
Phishing is also a very common type of threat because it appears harmless. This attack utilises deceptive emails or messages to deceive users into disclosing sensitive information, such as credit card numbers or passwords. Typically, attackers pretend to be someone the user knows, such as a coworker, and provide a link that directs them to grant access to a system. Therefore, it is essential to double-check every email and message and train your team to recognise phishing attempts.
Ransomware
Ransomware is a type of malware that encrypts a victim’s files and demands payment for the decryption key to release them. This data is highly sensitive, and if cyber attackers obtain it, they can misuse the information or demand a significant ransom. Due to the lack of robust backup and security measures, small businesses are particularly vulnerable to attacks. To minimise ransomware attempts, small companies can perform regular data backups and implement effective cybersecurity systems.
Denial-of-Service (DoS) Attacks
Denial of Service (DoS attack) is a type of attack that can be very dangerous to an organisation’s system. Not only do they infiltrate to search for sensitive information, but the website of the targeted institution can crash and become unavailable due to excessive traffic from the attacker. The high volume of traffic overwhelms the system, making it impossible for users to distinguish between legitimate customer traffic and malicious traffic from attackers. It can lead to a decline in business revenue and render the website inaccessible.
However, small businesses with limited resources often lack the proper infrastructure to defend against DoS attacks or DDoS attacks effectively. The best solution for small businesses to minimise this type of attack is to implement cloud-based services or firewalls.
Man-in-the-Middle Attacks (MITM)
A man-in-the-middle (MITM) attack is a type of eavesdropping that occurs between two parties (such as small businesses and their customers) without their knowledge. With MITM, hackers can easily intercept conversations without permission, resulting in serious security issues. It can be particularly dangerous for small businesses that rely on email or messaging services for communication. To prevent such information leaks, small businesses are strongly advised to use encryption to secure connections and prevent MITM attacks.
The cost of a cyberattack
The financial impact of a cyberattack on a small business can be devastating. Since they are still growing businesses and do not yet have sufficient profits, cyberattacks pose a significant risk of them incurring thousands of dollars in losses. If the system has been hacked, small companies must bear the costs of system downtime, legal fees, data breaches, and even the loss of customer trust, as they cannot adequately protect sensitive information. These impacts can have long-term effects and make it difficult for a business to compete with other competitors again.
The must-read cybersecurity report of the year
To determine whether your business needs robust cybersecurity, detect viruses or attacks, and gain insights into your system’s security, a cybersecurity report is essential. Assuming your system is running smoothly and securely does not mean you should overlook cybersecurity reports, as cyberattackers can strike at any time and pose significant risks. If you’re looking to stay ahead of the latest trends in cybersecurity, CrowdStrike 2025 Global Threat Report is a must-read. This report offers valuable insights into the evolving threat landscape and provides actionable advice on how businesses can protect themselves.
Protecting your business
Running a business also means providing the proper protection in line with the organisation’s goals. This is because many threats can occur and pose high risks to a company that are difficult to recover from quickly. Implementing comprehensive cybersecurity is very important to cover all aspects of your operation. Being aware of and always up to date with the ever-evolving cyber threats will make your business more secure and help you avoid such risks.
To protect your devices and information
The security of your devices and data is the backbone of your business’s protection. To provide more protection for small businesses, strong encryption is a suitable solution, especially when every device is protected with multi-factor authentication (MFA). Additionally, update your software regularly to reduce your system’s vulnerability. Data in the system must also be backed up and stored to prevent data loss. By maintaining these practices, you can reduce the likelihood of a successful cyberattack.
Frequently Asked Questions
What percentage of cyber-attacks target small businesses?
Approximately 43% of all cyberattacks target small businesses. This is because smaller companies often have weaker security measures in place, making them an easier target for cybercriminals.
Do 60% of small businesses that experience a cyberattack go out of business within 6 months?
Yes, it’s estimated that 60% of small businesses close down within six months of experiencing a cyberattack. The financial and reputational damage caused by a breach can be sufficient to force many small businesses to shut their doors permanently.
What causes 95% of all cybersecurity breaches?
A staggering 95% of cybersecurity breaches are caused by human error, including the use of weak passwords, mishandling of sensitive data, and falling victim to phishing attacks. Training staff and implementing proper security measures can significantly reduce this risk.
Conclusion
Small businesses are increasingly vulnerable to cyberattacks. By understanding common threats and the cost of a breach, business owners can take proactive steps to protect their data and systems. Implementing strong cybersecurity practices, investing in the right tools, and staying informed through regular reports can help ensure your business stays safe in the digital age.
