Ransomware is the fastest growing criminal activity and it’s predicted to cause damages totaling $6 trillion USD globally in 2021. This growing trend was intensified by the 2020 pandemic where more people were working remotely and hackers were more active than ever before.
Criminals are on the prowl – for Your Small Business
As IT networks become increasingly complex, so have hackers’ tactics and strategies, making it exceedingly difficult for you to secure your systems. While hackers launch thousands of automated attacks, you’re left struggling to find the resources and talent needed to keep up with modern security best practices. So, you make compromises that ultimately leave gaps in your security, which hackers inevitably find and exploit.
Weak or non-existent security strategies make your small business an attractive target. According to CNBC, only 14 percent of small businesses are prepared to defend themselves against a cyberattack, which is likely why 43 percent of cyberattacks target small businesses such as yours. Would you be able to recover from a data breach right now?
Most cyberattacks are financially motivated—which shouldn’t be surprising. What’s frightening is how costly they can be. While the Hiscox Cyber Readiness Report of 2019 found the average cyberattack cost a business $200,000, a 2020 report by Ponemon Institute and IBM puts that number closer to $3.86 million. And according to the National Cyber Security Alliance, 60 percent of companies that have experienced a data breach go out of business within six months. While these numbers are staggering for even enterprise level companies, they are devastating for smaller businesses.
Here are a few examples of cyberattacks from recent years that affected businesses of all sizes:
- Marriott: The international hotel chain has experienced two major data breaches in two years, the second of which resulted in hackers acquiring information about 5.2 million guests. This breach started when hackers obtained the login credentials of two Marriott employees for a guest services application the hotel chain uses. Once inside the app, the hackers were able to access guest data, including names, birthdays and phone numbers.
- SolarWinds: The most notable attack of 2020, and one of the biggest data breaches of the last decade occurred when someone wrote malicious code into SolarWind’s Orion platform. When customers updated their software, the code gave hackers access to SolarWinds’ clients’ systems. Unlike many attacks that are system-wide, this was an extremely targeted attack, according to a company representative.
- Broward County School District: The Broward County School District in Florida was hit with a ransomware attack earlier this year that accessed, and eventually exposed, student data. Ransomware attacks on school districts have become increasingly common, especially with the number of schools teaching remotely during the last year.
- Wood Ranch Medical: A medical center in California was also hit with a ransomware attack that forced the center to close it door permanently. The hackers encrypted medical records—and backup records—and held them hostage. The computer systems were ultimately damaged and file recovery was deemed impossible, forcing the small business to close its doors.
- Coop Sweden: Coop Sweden says it closed more than half of its 800 stores on July 2 after point-of-sale tills and self-service checkouts stopped working. They were able to bounce back but not before losing thousands of dollars in missed sales while the company was trying to solve the issue.
- Kaseya: Hackers leverage a tool commonly used by MSPs to infect and ransom more than 1,500 customers in more than 10 countries. The hacking group responsible asked for $70M in ransom, making it the biggest ransomware attack to date.
It’s clear whether you’re a Fortune 100 company or a SMB, hackers will use the same sophisticated techniques and tools to break into your systems. And once they’re in, the results can be catastrophic—especially if the breach goes unnoticed.
Why Your Small Business is a Sitting Duck
With such an advanced threat landscape, taking a reactive approach to cybersecurity is no longer an option. Nor is simply investing in cyber insurance, which probably won’t protect your business from ransomware attacks. Businesses need to be proactive to survive. While Fortune 100 companies have teams of cybersecurity personnel, the unfortunate truth is smaller businesses can’t afford that level of protection—even though hackers don’t discriminate. Do you have the time or expertise to sift through the 3,500+ cybersecurity vendors to determine which are the right fit for your small business?
To truly protect their valued data, small and mid-sized businesses are best served by working with a trusted MSSP.
RG Technologies is Here to Level the Playing Field for SMBs
RG Technologies is a modern MSSP that does things a little differently. We believe cybersecurity should make you resilient but shouldn’t be difficult, complex or costly. We provide Fortune 100 cybersecurity into a service that is built for the SMB space. It’s also a service that any business can afford, understand and rely upon.