In today’s digital age, businesses are becoming increasingly reliant on technology to operate efficiently and effectively. From storing confidential data to conducting financial transactions, technology has made business operations faster and more streamlined.

However, with an increased reliance on information technology also comes the increased importance of Cyber Security.

Cyber Security has become a critical issue for businesses of all sizes. Small and medium-sized businesses (SMBs) are especially vulnerable. In this article we discuss why cyber security is important for SMBs and the steps they can take to protect themselves from cyber security threats.

What is Cyber Security?

Cyber security refers to the protection of intellectual property, computer systems, networks, financial data and digital information from unauthorised access, theft, or damage. It encompasses a range of practices and technologies designed to safeguard digital assets from cyber security risk, including malware, phishing scams, and hacking attempts. Cyber security is an ongoing process that requires continual monitoring and updating to stay ahead of evolving cyber threats.

Why Cyber Security is Important for SMBs?

Small and medium-sized businesses are increasingly targeted by cyber criminals. HALF of UK SMB’s have suffered cyber attacks according to a report published in April 2022

SMB’s make good targets as many lack the resources and expertise to implement robust cyber security measures. However, the consequences of a cyber attack can be devastating for SMBs, including lost revenue, damaged reputation, and even bankruptcy.

Here are some of the main reasons why cyber security is important for SMBs:

Protect Against Data breaches

SMBs often store sensitive customer and business data, including financial information and personally identifiable information. So data security is paramount. Cyber criminals target this data because it can be sold on the dark web for a high price. Cyber attacks that results in the theft of this data can have severe consequences for the affected individuals and the business. Data breaches are often in the news when they affect big businesses, however the victims are more often SMB’s. These attacks might not make the headlines but they do devastate businesses. You might not think your data is worth anything to anyone. But data theft is often about how valuable this sensitive information is to you. Criminals steal data and hold it to ransom, making you pay to get your own information back.

Protect Against Financial Losses

Cyber attacks can result in financial losses for SMBs, including the cost of repairing damaged systems, lost revenue due to downtime, and legal fees. These financial losses can be particularly devastating for SMBs that operate on tight profit margins. The costs to improve cybersecurity measures are normally much lower than the costs associated with recovery. The business can also be fined if they suffer a serious data protection breach under the GDPR. It’s difficult to find an estimated average cost of a single security breach. However cybersecurity professionals agree it is somewhere between £10,000 – £50,000. Some attacks can close businesses down completely.

Protect Reputation

Cyber attacks can damage an SMB’s reputation, which can be difficult to recover from. If customers or partners lose trust in a business’s ability to protect their data, they may take their business elsewhere. This can have long-lasting negative effects on the business.

However a good security posture can have a beneficial effect on a businesses reputation. Increasingly buyers are asking questions about businesses security systems, and critical infrastructure security. Understanding that cyber security is important and having disaster recovery and business continuity planning in place can help secure business.

Comply with Regulations

Many industries are subject to regulations regarding the protection of confidential data, including HIPAA for those holding protected health information and GDPR for businesses that operate in the EU and the UK. Failure to comply with these regulations can result in significant fines and legal consequences.

Provide Competitive Advantage and Business Opportunities

Increasingly businesses want to do business with those that take cyber security seriously. A data breach often ripples up and down a supply change. It affects the reputation not only of the business that suffers that data breach but those that are associated with it.

Those businesses looking to undertake government funded contracts have been asked to prove their commitment to cyber security via Cyber Essentials certification for some time. These standards are tightening, and many frameworks are now asking for Cyber Essentials Plus.

Good cyber security is good business. It shows you care about vendors, clients, stakeholders and employees and are looking to protect them and their data.

Build Customer Trust

Good cyber security practices can build customer trust by demonstrating a business’s commitment to protecting their sensitive information and privacy. When customers share their personal or financial information with a business, they expect it to be kept safe and secure. By implementing strong cyber security measures such as encryption, access controls, and threat detection, businesses can help protect against data breach and other cyber security incidents that could compromise customer information.

When businesses prioritize cybersecurity, they can communicate this commitment to their customers. This can be through various means such as security policies, privacy notices, and cybersecurity certifications. When customers see that a business has taken steps to protect their information, they are more likely to trust that business and continue to do business with them.

Steps SMBs Can Take to Protect Themselves from Cyber Security Threats

Cyber security often seems complex. Cyber security professionals don’t help using acronyms and confusing terms. But many of the steps that businesses can take are not that difficult or expensive. Their is no doubt that providing cybersecurity measures such as cloud security, identify theft protection, EDR, XDR, SOC, SIEM, Access management control and all of the other fancy things is big business. However this is great news for the small business. With increased completion comes more competitive pricing. It’s now cheaper than ever before to put in place a really robust, multi-layered cyber security solution.

In some cases you don’t need to spend any money at all. You can get a audit or assessment totally free, which will help you understand the cyber security threat. A good password policy, some basic employee training and turning on Multifactor Authentication wherever it’s available is a great starting point.

Educate Employees

Employees are often the weakest link in an SMB’s cyber security defenses. Employee training is one important way to protect businesses from cybersecurity threats. Employees should be trained on how to identify and avoid common threats, such as phishing attacks and malware.

They should also be taught to use strong passwords, or use a password manager, and to be cautious when accessing business systems from outside the office. Cloud services provide a different type of threat to internal networks.

Training shouldn’t be a ‘one-off’. Constant reinforcement and refreshment are important to keep the importance of cyber security front of mind for everyone in the organisation.

Implement Multi-Factor Authentication

Multi-factor authentication (MFA) adds an extra layer of security to online accounts by requiring users to provide multiple forms of authentication, such as a password and a code sent to their mobile devices.

MFA can help prevent unauthorised access to sensitive data and systems. MFA is available on all kinds of connected devices and software. Your people should be encouraged to use it wherever it is available, whether on the organization’s software or on things like social media accounts.

Endpoint Detection & Response

Antivirus software has long been the baseline for cyber security in businesses. However, AV alone might not be enough to protect sensitive customer data. Qualified cyber security professionals recommend managed End Point Detection and Response as a minimum level of protection against cyber security threats.

Managed Endpoint Detection and Response (EDR) is a service that small businesses can use to proactively detect and respond to security threats across all their endpoints, such as desktops, laptops, and mobile devices.

With managed EDR, small businesses benefit from 24/7 monitoring and real-time threat detection. This can prevent attacks before they even happen. This service also provides advanced features such as threat hunting, behaviour analysis, and incident response to quickly identify and remediate any potential security issues.

Backup Data

Regularly backing up data is an important part of a comprehensive cyber security strategy. In the event of a cyber attack, having a recent backup can help businesses recover their data without having to pay a ransom. The backup is an often overlooked part of the cyber security journey for businesses.

Without an effective backup business continuity planning can be impossible. You need to know that you have multiple copies of your data, that the data can be recovered quickly and that you can have your most vital systems up and running in the event of a cyber attack quickly.

Monitor Systems

Regularly monitoring systems for unusual activity can help businesses detect and respond to threats quickly. This can include monitoring network traffic, logs, and user activity to identify potential serious security risks or breaches.

In modern cyber security monitoring is carried out by SIEM (Security Incident and Event Monitoring) software. SIEM is advanced cyber security technology that uses artificial intelligence and machine learning to collect and analyse data, looking for threats and potential data breaches. Once SIEM has spotted an issue

SIEM works alongside a SOC (Security Operations Centre). A Security operations center staff consists mainly of cyber security analysts with specialist staff also including those with technical knowledge and skills in forensic analysis, cryptography to malware reverse engineering.

A 24/7 Security Operations Center (SOC) gives small businesses access to around-the-clock monitoring, real-time threat detection, and immediate incident response. Protection against cyber security threats by a SOC used to only be affordable for much larger businesses. However, these aggregated SOC’s mean that you smaller businesses can know have an entire team of qualified cybersecurity professionals to protect their businesses at affordable rate.

Keep Systems Up-to-Date

Software and operating systems should be kept up-to-date with the latest security patches and updates. These updates often include security fixes that address known vulnerabilities that cybercriminals could exploit to gain access to company data or systems.

If a business fails to apply these patches in a timely manner, they expose themselves to the risk of cyber attacks. These could result in data breaches, system failures, and costly downtime. By keeping software patched and up to date, businesses can stay one step ahead of potential threats and minimise the risk of data loss, financial damage, identity theft and reputational harm. It’s important to remember that cybercriminals are constantly evolving their tactics. Outdated software is an easy target for them making it a huge cybersecurity risk.

Outdated software is often a route to get gain access to systems and install malicious software. So, businesses must remain vigilant and prioritise software patching and updating to ensure that they stay secure against the latest threats.

Use a Firewall

A firewall is a network security system that monitors and controls incoming and outgoing network traffic from connected devices. A firewall can help prevent unauthorized or illegal access made to a business’s network and systems.

Cyber security specialists recommend that businesses use a Unified Threat Management (UTM) firewall as it provides an all-in-one security solution that helps to protect against a range of cyber attacks. A UTM firewall combines multiple security features such as firewall, antivirus, intrusion prevention, and web filtering into a single device. This means that businesses can have greater visibility and control over their network traffic, enabling them to block potential threats before they can reach their systems. In addition, a UTM firewall can simplify the management of security policies, reducing the burden on IT staff and allowing them to focus on other critical tasks. By using a UTM firewall, businesses can enhance their security posture, reduce the risk of cyber-attacks, and ensure business continuity.

Use Virtual Private Networks (VPNs)

A virtual private network (VPN) is a technology that allows users to securely connect to a remote network over the internet. VPNs can help protect sensitive data by encrypting communications between users and the remote network.

Businesses should especially consider using a Virtual Private Network (VPN) for their remote workers and off-site locations as it provides a secure and encrypted connection to their corporate network.

A VPN creates a private ‘tunnel’ between the remote user or location and the businesses network. This ensures that all communication is encrypted, and data is protected from potential interception or eavesdropping. This is especially important when employees are working from public Wi-Fi networks or other unsecured internet connections.

By using a VPN, businesses can maintain control over their network traffic and safeguard against potential data breaches or data leaks. In today’s world, where remote work has become the norm, a VPN has become a critical component of a business’s security infrastructure.

Conduct Regular Security Audits

Regular security audits can help businesses identify potential vulnerabilities in their systems and processes. These audits can be conducted internally or by a third-party cybersecurity and risk management firm.

Cyber security threats are ever changing. Criminals get more sophisticated all the time and the importance of cyber security grows for businesses. Good network security systems today might nor be adequate in just a few months time. It’s vitally important that businesses continually check their cyber security arrangements and stay up to date.

In an increasingly digital world data security procedures need to be continually updated. Setting out specific time to audit cyber security should be part of business operations for every company.

There are definite advantages to engaging an external cyber security industry professional or company to conduct an audit. Your provider or internal IT department might know your computer systems inside out, but having a fresh pair of eyes check your network security can be invaluable.

Develop an Incident Response Plan

In the event of a cyber attack, having a well-developed incident response plan can help businesses respond quickly and effectively. This plan should include steps for identifying and containing the attack, notifying stakeholders, and recovering from the attack.

Businesses often get confused between business continuity planning and disaster recovery and . In simple terms business continuity is how a business continues to operate it’s core systems in the event of an cyber incident or other event that interrupts ‘business as usual’.

Disaster Recovery is how you return the business to the same state it was in before the attack or other event.

Conclusion

Cyber security is an essential part of running a business in today’s digital age. Small and medium-sized businesses are particularly vulnerable to cyber threats. They must take steps to protect themselves and their customers’ sensitive information.

By implementing best practices, such as using security procedures, educating employees, using multi-factor authentication, and regularly monitoring systems, SMBs can reduce their risk of cyber attacks and protect themselves from financial and reputational damage.

It is important for SMBs to take cybersecurity seriously and make it a priority in their business operations.