Security Technology

5 Ways Cyber Crime Impacts a Business

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Cyberattacks have been common since technology has become part of daily lives. It became a gateway for cybercriminals to gain access to everything found online.

They have become smart in their ways to get what they want. The alarming part is that they have also become advanced in their techniques, trying to go along with cybersecurity trends.

Most cyberattacks happen to businesses, particularly small to medium-sized businesses. It’s common because small businesses don’t allocate budget for cybersecurity.

Business owners must know the importance of cybersecurity. They have to make it a part of their business plan because cybercrime is a serious problem.

Are you still not convinced that you need cybersecurity for your business?

Here we have listed the impact of cybercrimes on a business.

DAMAGES REPUTATION

Building your business from the ground takes a lot of time and hard work. But cybercriminals can destroy what you have built in just a second.

Once a business’s reputation has been damaged, it would be challenging to build your brand as it used to.

Customers trust your business to take care of their private information. But if their data has been exposed to the public, there’s a lot of consequences to face.

When your business becomes a victim of cybercrime, customers will not trust your brand, and they would not recommend you to anyone.

Quick Tip – Also, check Tips to Protect Business Reputation

LOSS OF COMPETITIVE EDGE

You don’t only lose your customers when a cyberattack happens. You also lose all the plans you have made for your business.

Cybercriminals will not only steal your customers’ information, but they will also expose your business plans, marketing strategy, and more. Having these exposed will lose your business’s competitive edge.

All the things you and your employees have worked hard for will all be gone.

Your competitors will have an idea of your plans.

IT COST A LOT

Cybercrime costs a lot. It’s not as cheap as you think, and as easy as it may be. Losing your company’s data cost millions of dollars to retrieve the data and to conceal further damage.

Investing in cybersecurity is vital. It may be expensive, costing thousands of dollars, but the fact that your data is secured keeps you at peace that your business is safe. Also, you don’t have to lose your customers and your brand’s reputation.

LOSS OF SALES

It’s not only the loss of data that businesses under a cyberattack can experience. Some cyberattacks can cause a loss of sales

Distributed Denial-of-Service (DDoS) attack is a cyberattack that will block customers or visitors to enter a website. It will cause the loss of sales and profit as customers are unable to purchase anything from a website.

Aside from the loss of sales, customers will be leaving your site, which is another problem for your business.

-SHUTTING DOWN OF A BUSINESS

Cyber-attacks will cost your business millions, and the time and effort needed are a lot more than you think of. Sometimes businesses couldn’t afford to keep up with the amount to retrieve data, and at the same time secure their accounts. Hence, they end up closing their businesses instead.

About 60% of small businesses closed their doors within six months of becoming a victim of cybercrime.

Now that you have seen the impact of cyberattacks on a business, you should consider securing your company. Remember, there is no such thing as too small for cybercriminals.

HOW TO PROTECT YOUR BUSINESS

Here are simple ways you can protect your business from these attacks.

EDUCATE YOU EMPLOYEES

In a survey, most small business owners pointed out that employee negligence is one of the reasons why their businesses were attacked. If you don’t want to encounter cyberattacks, it’s crucial to educate your employees. Inform them of the consequences that could happen to your business if you are under an attack.

Also, limit the use of personal gadgets when doing business.

-BACK UP YOUR DATA

Regularly backing up your data will help you in times when your business becomes a victim of a ransomware attack. You don’t have to have unnecessary expenses because you have access to your data from another drive, despite being locked out by the hacker.

You can back up your data manually or automatically.

UPDATE SOFTWARE

If your business uses software or apps, make sure to stay up-to-date with it. Any available updates must be implemented immediately. It’s to avoid being used by hackers as a gateway to your system.

INSTALL A SECURITY SOFTWARE

There are various security software programs available in the market. Some of these software are free, but if you want to ensure total protection, go for the premium plans.

Look for different security software and weigh in the pros and cons of each to determine which one will suit your business.

-INCLUDE A FIREWALL PROTECTION

Firewall is a security system that is used to protect your computer and the internet. It makes sure that all ingoing and outgoing data are safe and protected.

USE SECURE PASSWORDS

One way to avoid data breaches is to secure your data with a strong password. Avoid using passwords that are common, and are anything personal. Personal passwords like the name of your pet or your favorites can be figured out by hackers. They can use social media to look up for information they need to decipher your password.

As much as possible, use long passwords, with a combination of upper and lower cases, numbers, and symbols.

Also, inform your employees that password sharing and recycling are discouraged.

TURN ON FILTER SPAM

Email phishing is one of the problems of data breaches. They contain links that look like a legitimate website. Therefore, a lot fall victim to this cybercrime.

The best way to avoid getting spam emails is to turn on the filtered spam. You can reduce the number of spam emails you can avoid. Also, it’s best to avoid responding to emails that look suspicious.

USE TWO-FACTOR AUTHENTICATION

Aside from using a secure password, the need to increase or double your protection is vital. Two-factor authentication is a verification process that could either send a code to your mobile phone or email, or the need to verify the login process with a fingerprint.

This process will double the security of an account, avoiding cybercriminals to get into your business data.

SECURE YOUR WI-FI

Make sure that your Wi-Fi connection is secure with a strong password. Do not allow anyone to have access to it. If you want to provide Wi-Fi for your customers, you can provide another connection for them. It must differ from your business Wi-Fi, to avoid unauthorized people to gain access to your business data.

INVEST IN A CYBERSECURITY INSURANCE

The cost of data breaches or any cyberattack is worth millions. Often this leads to businesses closing down, due to lack of finances. Therefore, it’s best to invest in a cybersecurity insurance because even the most efficient and effective cybersecurity software can be attacked.

CONCLUSION

Cybercriminals don’t care how small or big your business may be. All they want is to steal all the information they can and use it for their benefit. Seeing what cybercrimes can do to your business, gives you an idea or the knowledge on the importance of cybersecurity.

It’s better to be prepared than to end up closing a business you worked hard for years.

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About the author

John Ocampos

John Ocampos is an Opera Singer by profession and a member of the Philippine Tenors. Ever since, Digital Marketing has always been his forte. He is the Founder of SEO-Guru, and the Managing Director of Tech Hacker. John is also the Strategic SEO and Influencer Marketing Manager of Softvire Australia.

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