Did you know that small- to medium-size enterprises (SMEs) and small- to medium-size businesses (SMBs) face far greater threats, risks and challenges combating cyber attacks? In fact, 60% of SMBs who were victims of cyber attacks did not recover and shut down within 6 months. Why? What are the main reasons SMEs and SMBs fail to recover after a major cyber attack? More importantly, what can they do about it to have a stronger defensive strategy?
Cyber threat is huge for small businesses – USA Today
Just how big is the risk to small business? Big, very big. According to the Verizon Data Breach Investigation Report, 61% of breaches hit smaller businesses last year, up from the previous year’s 53%.
And, according to UPS Capital,
► Cyber attacks cost small businesses between $84,000 and $148,000.
► 60% of small businesses go out of business within six months of an attack.
► 90% of small business don’t use any data protection at all for company and customer information.
Almost two-thirds of all cyberattacks are now directed at small business, people.
SMBs Should Be Tightening Their Cybersecurity – StorageCraft
You can bet that if these massive organizations with millions invested in cybersecurity are vulnerable, your SMB is too. In fact, according to the Ponemon Institute’s 2017 State of Cybersecurity in Small & Medium-Sized Businesses report, 61 percent of SMBs were hit with a cyber-attack in 2017 and 54 percent experienced a data breach. That means there is a 61 percent or higher chance your SMB is at risk, and losses can be anywhere from $2,000 to $1 million. So now the question is, are you prepared?
In the event of a serious data breach, 66% of SMBs would either go out of business completely or be forced to shut down for at least a day, according to a Monday report from VIPRE. This would happen regardless of whether systems or data were compromised, according to a press release announcing the report.
Another surprising data point was how regularly SMBs were dealing with attacks: Some 23% said they were experiencing cyber attacks every day.
The survey commissioned by VIPRE took responses from some 250 SMB IT managers. In 2016, the US National Cyber Security Alliance presented similar findings. The organization found that 60% of small businesses can’t sustain their business over six months after an attack. It also found that most small businesses have to pony up $690,000 to mitigate the damage after an attack, while mid-market companies are paying more than $1 million.