Small businesses are increasingly targeted by cyberattacks, challenging the misconception that hackers only focus on large enterprises. In reality, 43% of recent cyber attacks are directly targeted towards small to mid-sized businesses (SMBs).
Cybercriminals exploit weaker security measures, assuming that small businesses are easier to crack than larger corporations. Unfortunately, most small businesses lack financial preparedness and cyber insurance, making them vulnerable. For some, a successful cyberattack could even lead to business closure. In fact, 60% of SMBs victimized by an attack are forced to close their doors within six months.
However, awareness is growing. Small businesses now recognize they are prime targets and are actively enhancing their security practices.
Let's explore the latest cybersecurity statistics relevant to small businesses and discover how they can defend themselves.
What's In This Article?
Impact of Breaches: 
1. Targeted Businesses ⇾ 46% of all cyber breaches affect companies with fewer than 1,000 employees.
2. Common Targets ⇾ In 2021, 61% of SMBs were targeted by cyberattacks.
3. Malware Prevalence ⇾ Malware accounts for 18% of cyberattacks on small businesses.
4. Ransomware Attacks ⇾ 82% of ransomware attacks in 2021 hit companies with fewer than 1,000 employees.
5. Small Ransomware Victims ⇾ 37% of ransomware victims had fewer than 100 employees.
6. Email Threats ⇾ Small businesses receive one targeted malicious email per 323 emails.
7. Social Engineering Challenges ⇾ Employees at small businesses face 350% more social engineering attacks than those at larger enterprises.
8. Data Vulnerability ⇾ 87% of small businesses hold customer data that could be compromised.
9. Credit Card Risks ⇾ 27% of small businesses without cybersecurity protections collect customers' credit card information.
Cost of Cybersecurity:
10. Consumer Trust ⇾ 66% of U.S. consumers would hesitate to continue business with breached companies.
11. Financial Impact ⇾ Cybersecurity incidents cost SMBs between $826 and $653,587 on average.
12. Recovery Time ⇾ 50% of SMBs take 24 hours or longer to recover from an attack.
13. Website Downtime ⇾ 51% of small businesses experience website downtime of 8-24 hours.
14. Total Damages ⇾ In 2020, over 700,000 attacks on small businesses resulted in $2.8 billion in damages.
15. Data Loss ⇾ Nearly 40% of small businesses lost crucial data due to attacks.
16. Ransom Payments ⇾ 51% of ransomware victims pay the ransom.
17. Operational Impact ⇾ 75% of SMBs cannot continue operating after a ransom attack.
18. Insurance Coverage ⇾ Only 17% of small businesses have cyber insurance.
19. Post-Attack Insurance ⇾ 48% of insured companies purchased insurance after an attack.
20. Awareness Gap ⇾ 64% of small businesses are unfamiliar with cyber insurance.
Preparedness Measures: 
21. Budget Constraints ⇾ 47% of businesses with less than 50 employees lack a cybersecurity budget.
22. Lack of Measures ⇾ 51% of small businesses have no cybersecurity measures in place.
23. Risk Perception ⇾ 36% of SMBs are not concerned about cyberattacks.
24. Size Misconception ⇾ 59% of owners without measures believe their business is too small to be attacked.
25. Encryption Adoption ⇾ Only 17% of small businesses encrypt data.
26. Multi-Factor Authentication ⇾ 53% of companies have implemented multi-factor authentication.
27. Credential Risks ⇾ 80% of hacking incidents involve compromised credentials.
Conclusion
The increasing frequency of cyberattacks on small businesses highlights the urgent need for enhanced cybersecurity measures. Despite the prevalent misconception that only large enterprises are targeted, statistics reveal that small to mid-sized businesses are often more vulnerable due to weaker security protocols. The financial and operational impacts of these breaches can be devastating, with many businesses unable to recover.
However, growing awareness among small business owners is a positive trend. By investing in robust cybersecurity practices, including data encryption and multi-factor authentication, and considering cyber insurance, small businesses can significantly reduce their risk and protect their assets. Prioritizing cybersecurity is no longer optional but a critical component of sustaining business operations.
At GAM Tech, we understand the unique cybersecurity challenges that SMBs face. Our comprehensive cybersecurity solutions are designed to protect your business from the evolving threat landscape. From data encryption and multi-factor authentication to tailored cybersecurity strategies, we have the expertise to safeguard your assets.
Take Action Today!
- Discover how our IT Services can strengthen your cybersecurity posture.
- Explore our Managed IT Services to ensure your business is always protected.
- Contact us for a Free Consultation to assess your cybersecurity needs.
Don't wait until it's too late. Protect your business with GAM Tech's expert cybersecurity solutions and ensure your operations are secure and resilient.
