85% of small business owners believe they are “at less risk” from cybercrime

According to a survey sponsored by Visa and the US National Cyber Security Alliance, 85% of small business owners believe that they face less risk of being targeted by scammers and hackers than larger businesses.

The greatest threat is complacency

Despite growing concern from security experts and law enforcement officials that small businesses are actually becoming MORE of a target for high tech criminals, almost half of all small business owners surveyed said that their staff had received NO training in online security issues, with only 25% having received more than three hours training over the last year.

“The greatest threat to a company’s cybersecurity is complacency,” said Michael Kaiser, executive director of the NCSA. “We encourage small business owners to take the necessary precautions to protect their customers, employees and their businesses.”

Risk of cybercrime “does not justify the cost” of prevention

Only last month, authorities in the Ukraine arrested five individuals who allegedly stole $70 million from bank accounts in an elaborate scheme targeted at small and medium-sized businesses, yet half of small business owners questioned said that the risk did not justify the cost in time and money required to properly secure their systems against cybercrime.

Only in America?

It’s not just small businesses in the US who are increasingly being targeted by scammers. A report issued by the UK Government this month highlighted an estimated £21bn cost to UK businesses from cybercrime. Over £1.3bn of this was direct theft of money from bank accounts and credit cards resulting in part from “phishing” scams and other social engineering techniques designed to steal login details.

Additionally the report details a £3.1bn per annum loss to consumers resulting from online scams and identity theft. Undeniably, loss of customer data such as credit card details held by businesses contributes to this loss.

Soft targets

Let’s face it, as a small business you have everything that scammers and hackers are trying to get their hands on. You hold client data (including bank account/credit card/debit card details), employee lists, email accounts and bank accounts and by not training your staff to spot social engineering techniques such as phishing scams or accidental virus infections via email and social networks, or taking the necessary precautions to secure your systems against outside intruders, you’re making yourself a soft target.

Education is key

Whilst hardware solutions such as encrypted storage devices and firewalls can help to secure your business data from outside hackers, it’s vitally important that you train your staff to be aware of the methods used by scammers, spammers and social engineers to trick them into handing over confidential information and consequently exposing your business to financial fraud, industrial espionage and deliberate sabotage. It doesn’t have to cost a fortune but could save your business a small one!

Editors Note:
At Scam Detectives we believe that the key to online security (for both consumers and business owners) is education. Increasing your awareness of online scams and security threats, and ensuring that your staff are properly trained to spot and deal with these threats, could mean the difference between life and death for your business.

==========================================================================================

Scam Detectives editor Charles Conway has launched a book which aims to help businesses stay safe online. “Scammers, Spammers and Social Engineers” is now available at £9.99 plus P&P (Paperback) or for instant download at only £7.99 (PDF reader required)

Note: This button will add both the paperback version and the pdf download to your cart. Simply remove the one you don’t want and continue with the checkout process.