Is your business prepared for a data breach? First steps + some tips

Is your business prepared for a data breach? First steps + some tips

It was 2:00 a.m. when the CEO received a phone call from the security team. “We have been compromised.” “What to do next?” The CEO was clueless about what to do next since he had a limited team to identify the measures to contain the incident and protect the assets affected by the breach, which hold valuable information about their customers and employees.

Many companies today are like the one in the above case. They are quite laid back to cyber security, and only after experiencing a cyber attack do their eyes open to the need for cybersecurity.

With our blog, we look at the reality that most companies face today in cyber security, their preparedness against attacks such as data breaches, and the way out, especially SMBs.

No one is safe: the reality of data breaches

Taiwan-based big-time computer hardware manufacturers MSI (Micro Star International) experienced a data breach in March, with the attackers demanding $4 million in ransom after claiming to have locked up to 1.5 TB of data.

Since businesses are scaling up their operations and taking the digital transformation route for customer excellence and brand loyalty, they have begun deploying technology that enables them with efficiency and helps them create new customer experiences. They start processing and storing large amounts of information, including the personal information of customers and employees.

To protect information assets they spend a good amount of time and money on cybersecurity but fail to establish an effective defense against cyberattacks.

As per one study conducted by CBI, over 80% of the companies were affected by ransomware attacks despite spending an average of $6 million annually to defend against them. It shows that no one is safe, whether you are an established company or a startup that has only recently started its journey.

Only recently, the VoIP software provider 3CX experienced a supply chain attack that compromised the software their customers in 190 countries used. Since it is an ongoing attack, the reputation of the company was affected due to the exposure of data on millions of their customers and employees.

The Impact of data breaches on SMBs and Startups

Most small and medium businesses do not possess enterprise-grade security based on a fundamental security framework that helps them detect and respond to security threats. It is primarily due to the rising cost of cybersecurity solutions year over year (YOY) basis and the lack of cybersecurity skills to put them to their maximum potential. The following are some facts reflecting how cyberattacks impact small and medium-sized businesses worldwide:

• As much as 52% of SMBs don’t have the required expertise for cybersecurity in their organization.
• 69% of SMBs had experienced some form of cyberattack. It shows how critical incident response is for small and medium businesses.
• The average cost of a data breach for SMBs is around $3 million per incident.
• In Australia, more than 60% of small businesses went out of business within 6 months of a cyberattack.
• 51 percent of small businesses pay the ransom when demanded by the ransomware attacker

Source: ESSET 2022, IBM 2022, Australian Business 2022, CNBC

Are they prepared for it ?

In a research report, it was found that at least 62% of SMBs don’t have a plan in place for cyber security. Why is this so? It is primarily due to the growing skills gap in cybersecurity.  

It is limiting businesses that have just started or are small or medium-sized from being able to scale their cybersecurity to suit their business needs.

There is a widening skills gap worldwide. Over 68% of organizations believe they are at risk due to a lack of cybersecurity skills.

Which is the best first step you should take if you suspect a data breach has occurred? 

As we have seen above, most organizations are clueless about what to do next when they become a victim of a breach.

No wonder why the question that is  the most Googled in 2023 was – “What is the best first step you should take if you suspect a data breach has occurred?”

We all agree that incident response does not work with one fits all approach. However, there are some initial steps that you can take to mitigate the damage due to the cyber attack.

We highly recommend that you don’t try anything yourself if you lack the expertise on board. It will only worsen the situation.

SharkStriker’s Breach Response services to the rescue

Are you experiencing a data breach? Did you just become a victim of a data breach?

Report it to us, and we will help you with some of the best tools and expertise coupled with best practices in the industry.

We have a team of dedicated cybersecurity professionals who work round the clock to ensure that your IT infrastructure stays protected against the bad guys of the digital world. And in case you have just become a victim of a cyber attack, we highly recommend that you have a call with us, and we will give you extensive guidance to control all your damage, protect all your information assets, and contain the threat from dwelling more in your IT infrastructure.

Conclusion

A cyberattack can damage a business both in terms of money and reputation. Through our blog, we explored the reality that most face today. We have seen the impact of data breaches on businesses and their preparedness against them.  

We have also seen how a cyber attack can worsen the situation for a business if there is no incident response plan and how SharkStriker helps.

If you are interested in implementing some of the best practices for incident response, send us a mail.