Industry Insights: Small Business Cybersecurity Issues, Best Practices and Career Opportunities

Cyberattacks against small businesses are rising, with almost half of all cyber breaches impacting companies with fewer than 1,000 employees. Cybercriminals often view small businesses as easy targets, as many lack the necessary business cybersecurity measures. In fact, more than half of small businesses had no cybersecurity measures in place as of March 2022. 

The impact of a cyberattack can devastate a small business. According to a recent study, businesses with fewer than 500 employees face an average data breach cost of almost $3 million. To remain resilient, small businesses must implement robust security measures to protect their employees, customers, assets and reputation. This article outlines the top cybersecurity issues small businesses face today and explores possible solutions. It also explores the online Master of Science in Business Cybersecurity at the University of Tennessee, Knoxville, where you can develop the skills to excel in this fast-growing field.

Top Small Business Cybersecurity Issues in 2024 

Small businesses face a high risk of cyberattacks. Their employees experience 350% more social engineering attacks than those at large enterprises; companies with fewer than 250 employees have the highest rate of targeted malicious emails. These attacks can cause damage in many ways, including business interruptions, reputational damage, identity or proprietary information theft, customer loss and litigation fees. Continue reading to learn about the most common cyberattacks small businesses experience. 

Phishing Attacks on Small Businesses

Phishing is the most common cyber threat in the US; experts estimate that 82% of all data breaches originate with a phishing attack. Phishing refers to cyberattacks in which the attacker impersonates a trusted source to entice individuals to click on a malicious link, download a malicious file or provide access to sensitive information (like credit card details). Phishing attacks can occur through emails, text messages or phone calls. 

According to the Federal Trade Commission (FTC), small businesses are often targeted through fake invoice scams asking employees to pay for orders that were never placed or ”confirm” banking details or other sensitive information. Other phishing emails look like routine password update requests or automated company messages to entice employees to click on a malicious link.  

Ransomware and Malware Attacks on Small Businesses 

Malware is software installed on a computer without the user’s consent and then used to perform malicious actions, such as stealing passwords or money. Ransomware, a common type of malware, installs itself onto a victim’s computer, encrypts their files and demands a ransom to return the data to the user. 

Cybercriminals can start malware attacks in various ways, including sending phishing emails with malicious links and attachments, hacking into a company’s servers, and targeting individuals through malicious websites and online ads that automatically download software to the target’s computer. Small businesses are especially at risk for these types of attacks, with a recent report showing that 70% of ransomware attacks target small businesses. 

Software and Network Vulnerabilities in Small Businesses 

Cybercriminals often look for and exploit software and network vulnerabilities to gain unauthorized access to a company’s systems. Once in, they can steal data, install malware, disrupt business and even commit financial crimes. Examples of vulnerabilities hackers can exploit include software bugs, outdated applications, weak passwords and misconfigured security systems. 

Small Business Cybersecurity Tips and Best Practices 

All small businesses should prioritize cybersecurity to avoid falling victim to the attacks described above. Below are a few tips and steps companies should consider; the best course of action will depend on each business’s unique factors, including its location, industry and number of employees. 

Create and Implement a Business Cybersecurity Strategy

The first step for any small business wanting to address cybersecurity is to build a strategy or plan. Each business’s approach will be unique, but many resources are available to help small companies get started. The National Institute of Standards and Technology has published a cybersecurity framework quick start guide. The FTC provides resources specifically for small businesses to help them learn the basics of protecting their systems and data against attacks.

Implement Security Measures

Security measures such as firewalls, anti-virus software and multi-factor authentication (MFA) are critical in protecting small business networks and company platforms. These security measures help businesses block unwanted network access and ensure only authorized users can log into backend systems. 

Educate and Inform All Employees in Security Principles

Human error accounts for 95% percent of all cybersecurity issues. Small businesses must ensure their employees are trained in business cybersecurity best practices, regardless of whether their day-to-day work involves technology. They must also communicate their cybersecurity plans to the entire company and provide relevant training and documentation to their employees (including training on what not to do) based on their role and the tech tools they can access. 

Vet Your Vendors: Ensure Security of Third-Party Products and Services

Many small business owners use external vendors to help them run their companies. Business functions often outsourced to third-party vendors include web hosting, payroll, marketing and accounting. Small businesses must evaluate the security of their vendors and suppliers before giving them access to any company systems to protect their assets against cyberattacks.

Interested in Helping Small Businesses in Your Business Cybersecurity Career?

If you’re passionate about business cybersecurity and helping small businesses, you have many career options that combine your interests. For example, small business leaders (like CEOs) play a critical role in business cybersecurity. Other in-house business cybersecurity roles include IT lead and security program manager. Alternatively, you could seek employment at a cybersecurity software or service company or pursue a small business cybersecurity consultant career. 

Whether you’re a small business owner, entrepreneur or IT professional, earning an advanced degree in business cybersecurity can help you gain the skills and knowledge needed to protect your organization against cyber threats. 

Earn a Master’s Degree in Business Cybersecurity Online at UT 

At the University of Tennessee (UT), Knoxville, you can earn your Master of Science in Business Cybersecurity (MSBC) degree online, enabling you to earn your master’s without relocating or putting your professional development on hold. The UT online MSBC program curriculum teaches students how to leverage cybersecurity foundations to better inform business strategy. As a result, graduates emerge well-prepared for specialized business cybersecurity roles, whether they choose to work with small businesses or in the broader field. UT online MSBC students further benefit from the opportunity to learn from an expert faculty comprising top scholars and practitioners and to study alongside a diverse cohort of peers. 

If you are ready to take the next step, contact an enrollment advisor to learn more about the UT online MSBC program or start your application today.