Small Business, Big Risks: Prioritise Password Protection

A study conducted by Kaspersky at the end of 2023 found that 76 per cent of small businesses globally and 88 per cent in the Middle East, Turkiye and Africa (META) region experienced at least one cyber incident in the past two years.

The consequences of those attacks were severe and resulted in leaks of confidential data (34 per cent globally, 29 per cent of respondents reported this in META), reputational damage (23 per cent, in META – 20 per cent), loss of customer trust (20 per cent, 9 per cent in META) and more. Around 9 per cent of small companies worldwide and in META had to suspend certain areas of their business operations.

Imagine your small business as a treasure chest overflowing with valuable customer data. Now picture a swarm of digital pirates circling, searching for a weakness.  The bad news: In today’s connected world, small businesses are increasingly vulnerable to cyberattacks. The good news: simple yet powerful defenses exist.

This World Password Day, empower your small business with crucial cybersecurity measures – starting with robust password protection. By implementing these steps, you can significantly strengthen your security posture and safeguard your sensitive data.

“Even the smallest businesses face significant cybersecurity risks. Therefore, it’s important for them to prioritise security measures and employ specialised cybersecurity products to safeguard their operations and customer data,” comments Kirill Litvin, Senior Product Marketing Manager at Kaspersky.

Examining the reasons for these cyber incidents, it’s clear that one of the main causes was the use of weak passwords or failure to perform regular password updates. This reason accounts for almost a quarter (24 per cent globally and 20 per cent in META), second only to downloading malware. To address the global issue, use these tips below to help strengthen small businesses’ password policies.

Create Strong Passwords

Despite its importance, this obvious measure is often neglected by employees who must frequently juggle numerous passwords for the applications they use. Additionally, ensure that passwords are robust and unique for each corporate service. Weak and reused passwords are easy targets for cybercriminals, who leverage automated tools to crack them and gain unauthorised access to sensitive information. Encourage employees to use complex combinations of letters, numbers, and special characters to mitigate the risk of password-related breaches.

Implement Multi-Factor Authentication

Multi-factor authentication (MFA) adds an extra layer of security by requiring users to provide additional verification beyond just a password. This could include biometric data, one-time passcodes sent to a mobile device, or security questions. While small businesses may perceive MFA as complex or unnecessary, it is a critical security measure that can protect against cyber threats, such as password theft and unauthorised account access. Enabling MFA significantly reduces the risk of unauthorised access to small businesses’ accounts, even if passwords are compromised.

 Regularly Update Passwords

Regular password updates are essential for maintaining security hygiene and reducing the risk of password-related breaches. Small business owners should encourage employees to change their passwords periodically and enforce password expiration policies to prevent the reusing of old passwords. Furthermore, prompt password updates should be conducted in response to staff changes or when there are suspected security breaches.

Educate Employees

Employee awareness is crucial for effective password protection and online safety within small businesses. Employees should be educated on the importance of strong passwords, the risks of password sharing, and the potential consequences of falling victim to cyberattacks. By fostering a culture of cybersecurity awareness, small businesses can empower employees to play an active role in protecting sensitive information and mitigating cyber threats.

Secure Devices And Networks

In addition to securing passwords, small businesses should also take steps to protect their devices and networks with cybersecurity solutions. With the increasing prevalence of remote work and cloud-based services, small businesses must ensure that their devices and networks are adequately protected against malware, phishing attacks, and other cyber threats. Small businesses can significantly strengthen their defences by installing reputable cybersecurity software, enabling firewalls, and keeping operating systems and software up to date.

The statistics paint a sobering picture, but don’t let them discourage you. Even small businesses can become fortresses against digital threats by prioritising cybersecurity measures. World Password Day serves as a timely reminder to act. Even the simplest steps can significantly reduce your risk.  Don’t wait for a cyberattack to become a cautionary tale.