Even if you run a local coffee shop, a small office, or a growing service business, cybersecurity should be just as important as locking your front door at night. Hackers don’t just go after big corporations, they also target small businesses which are actually their favorite victims!

Why Cybersecurity Matters for Small Businesses

There’s a common myth that cybercriminals only target large companies. The truth is that small and midsized businesses are attacked just as often – sometimes even more.  Hackers and online criminals prey on these smaller organizations because they lack tough security standards and their systems tend to be much easier to break through.  When entrepreneurs and small business owners are growing and scaling their businesses, they are more focused on sales, service and finances.  Cyber security and how to protect themselves against a cyberattack or hacking attempt is often not top of mind.

A few numbers tell the story:

• 46% of all cyber breaches affect businesses with fewer than 1,000 employees.
• The average cost of a cyberattack on a small business is around $250,000, and some cases can reach over $1 million.
• 60% of small businesses that experience a major cyberattack go out of business within six months.

Estimated Annual Cost of Global Cybercrime

Those numbers are scary, but they also highlight why cybersecurity isn’t optional anymore – it’s a core part of keeping your business alive!

Think about all the systems and tools your business relies on: email, accounting software, customer data, payroll, online payments, and even social media accounts. If those get hacked or held for ransom, it can stop your business in its tracks. The time and money it takes to recover, not to mention the stress – can be devastating.

How Cyberattacks Happen (and Why It’s Not Always a Tech Problem)

When people hear “cybersecurity,” they often imagine complex hacking or coding. But most cyberattacks start with something much simpler – a person clicking a bad link or accidentally giving away a password.

Phishing emails, fake invoices, or messages pretending to be from a vendor or even a customer are all common tricks. Ransomware is another growing threat where hackers lock up your data and demand payment to get it back. Attacks and breaches are common and often times due to simple oversights, like systems allowing an employee to use “password123” as their email login.

Here’s the real kicker: 95% of cybersecurity breaches happen because of human error. That means better habits, not just better software, can go a long way in keeping your business safe.

What You Can Do Right Now to Protect Your Business

You don’t need to be a tech expert or spend a fortune to build a strong cybersecurity plan. Start small, stay consistent, and build from there. Here are a few smart steps that make a real difference:

1. Cyber Insurance Coverage

Having a Cyber Risk & Liability insurance policy is a must have for every business.  These policies not only provide a financial means to pay ransom or recover data, but they also defend you should a customer data breach lead to individual legal claims or even a class action law suit.

2. Review Your Risks

Take inventory of the tools, apps, and devices your business uses. Know where your sensitive data like customer information, financials, and employee records is stored, and make sure only the right people can access that data.

3. Strengthen Your Passwords

Encourage everyone on your team to use strong passwords and turn on Multi-Factor Authentication (MFA). MFA adds an extra layer of protection that makes it much harder for hackers to break in.

4. Back Up Your Data

Regularly back up your data to a secure cloud or an offline device. That way, if your system ever gets hit with ransomware, you can restore your data with minimal disruption

5. Train Your Employees

Your team is your first line of defense. Use a Learning Management System (LMS) to push out trainings that educate them on what phishing emails look like, what not to click, and how to report anything suspicious. This is an essential part of your annual training program.

6. Keep Software Updated

It’s easy to hit “remind me later” on updates, but those patches often fix security holes. Make sure your operating systems, browsers, and antivirus software are up to date.

7. Have a Plan for “What If”

Create a response plan in case something does happen. Who do you call first? How do you communicate with customers if your systems go down? Having a plan written down helps you act fast instead of panicking.

The Hidden Costs of Doing Nothing

When small businesses get hit by cyberattacks, the costs go far beyond IT expenses. There’s downtime, lost customer trust, potential legal exposure, and sometimes, permanent closure.

One study found that even a small data breach can cost businesses an average of $25,000 to $150,000 in direct costs, and that doesn’t include the time lost trying to fix everything. When you also take into account the impact on your reputation, it’s easy to see why cybersecurity is a smart investment, not an expense.

The Good News: You Don’t Have to Do It Alone

If cybersecurity feels overwhelming, you’re not alone. Many small businesses don’t have an in-house IT team, they work with local IT providers or managed security services that can monitor your systems and help prevent attacks before they happen.

There are also plenty of affordable tools available, Things like password managers, backup systems, and phishing filters. Cyber liability insurance also provides coverage to mitigate the financial impact of an attack.

Why October Is the Perfect Time to Act

Cybersecurity Awareness Month is designed to help small businesses like yours take action before a problem hits. It’s a reminder to slow down and make sure your digital doors are locked.

Start with one thing this month — maybe reviewing your passwords, or training your staff — and build from there. Every step you take makes your business stronger, safer, and more resilient.

Businesses of every size need ot take cyber security seriously, and have a plan in case a cyber attack happens.  The threats are real, but with the right steps, you can stay ahead of them.

So this October, take a moment to protect what you’ve worked so hard to build. Your business, your team, and your customers will thank you for it.

Sources:

• StrongDM — Small Business Cybersecurity Statistics (2024)
• BD Emerson — Small Business Cybersecurity Report (2024)
• PreVeil — SMB Cybersecurity Statistics (2024)