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Most Small Businesses Can’t Recover From Cyber Breaches

By September 8, 2018May 22nd, 2021Cybersecurity

A new study recently published by Sitchfast Technologies paints a grim picture of the threat landscape for small and medium-sized business. Their key finding? A staggering 60 percent of small businesses that suffer a data breach of any magnitude go out of business within six months. Worse, one business owner in three does not have a plan or safeguards in place to prevent a breach.

The single biggest weak link in the small business landscape is the fact that most employees who work for smaller companies are woefully uneducated about the dangers, how to identify them and how to avoid them. The study noted that among small business employees, more than a third (35 percent) haven’t changed their passwords in over a year. In addition, 19 percent of small business employees share their passwords with colleagues, with a similar percentage using weak passwords based on personally identifiable information. Put those elements together, and it’s a recipe for disaster.

The authors of the report had this to say on the matter:

“Today’s cyber criminals employ a variety of complex attack methods to exploit business weaknesses and target employees with bad cyber hygiene, whether it’s the CEO or an intern, bypassing the basic security measures most companies have in place.

Until they recognize they are prime targets for hackers and adjust their security strategies, small businesses will continue to fall victim to rampant cyber attacks.”

Unfortunately, there are no easy solutions, but the report clearly points to two areas where you can make immediate improvements:

  1. Currently, 65 percent of small to medium sized businesses have never run a phishing email test.
  2. Only 21 percent of small to medium sized businesses provide cybersecurity training to their employees.

Both of these are incredibly easy to remedy, and if you perform these two simple steps, you’ll be miles ahead of your peers.

Chris Forte

Chris Forte

Chris Forte, President and CEO of Olmec Systems, has been in the MSP workspace for the past 25 years. Chris earned his Master’s Degree from West Virginia University, graduating Magna Cum Laude. He was a past member of the Entrepreneurs’ Organization, a current member of the New Jersey Power Partners and Executive Association of New Jersey, where he has previously served on its board of directors. In his spare time, Chris enjoys traveling with his family. He also admits to being a struggling golfer and avid watcher of college football and basketball. He currently lives in Boonton Township, NJ with his wife, two daughters, son, and black lab Luna.

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