4 ways to protect your small business from cyberattacks
Since the beginning of the COVID-19 pandemic, small businesses have quickly adopted remote working and transitioned to new technologies, such as contactless payments and online ordering. Unfortunately, these adjustments have come with increased risks.
Compared with larger companies, many small businesses have fewer resources to dedicate to cybersecurity, leaving them vulnerable to the ever-evolving tactics of cybercriminals.
Learn how to protect your small business from cyberattacks with these four tips.
1. Evaluate your online systems
Before you can effectively protect your business from cyberthreats, you should have a complete understanding of your current ecosystem of online computer operations. You can ask: “What do we do on any machine that’s connected to the internet whatsoever?” says Andrew Lipton, vice president, head of cyber claims at Amtrust Financial Services.
Business owners should understand where their data lives and classify what types of data they store — for example, names, addresses, Social Security numbers.
Lipton suggests reaching out to a legal expert, especially if you’re handling sensitive information like Social Security or credit card numbers, to get a better understanding of the consequences of a data breach and get a professional opinion on how to protect your data.
Then, you’re in a good position to talk to your internet service provider to find the best way to secure your most important information.
2. Implement cybersecurity best practices
As a business owner, you can implement basic security and hygiene practices, such as:
■ Installing firewalls to prevent unauthorized access to your networks.
■ Using antivirus software and ensuring that it’s updated regularly.
■ Regularly backing up data and storing it offline or in another location, not just in the cloud.
■ Creating strong passwords and not using the same password across different accounts.
■ Requiring multifactor authentication, which asks for two identifying factors, like a password and a code, to access accounts and systems.
3. Train your employees — and yourself
You and your employees are often the first line of defense in protecting your business from cyberattacks. In fact, according to the 2022 Global Risks Report by the World Economic Forum, 95 percent of cybersecurity issues can be traced to human error.
Receiving basic cybersecurity training can help you and your employees learn to identify common threats, such as phishing emails or suspicious downloads, as well as develop online best practices, like safe browsing and strong passwords.
The Federal Communications Commission offers a free online tool to help you create a customized cybersecurity plan based on your unique business needs. Free virtual and in-person cybersecurity training events are available from the U.S. Small Business Administration and its partners. Your internet systems and cyber insurance providers may also offer these types of training.
4. Invest in cybersecurity insurance
Cybersecurity insurance can help protect your business from financial losses caused by incidents such as data breaches, ransomware attacks and hacking.
If, for example, your pointof-sale system is hacked and the hackers release the stored credit card information of your customers, this policy would cover the cost of notifying your customers, investigating the incident and providing credit monitoring services. It would also cover legal fees or settlements if a customer sues your business as a result of the incident.