In recent years, the growing wave of cyberattacks has put companies of all sizes and sectors on high alert. However, small and medium-sized businesses (SMBs) have been especially vulnerable, facing a disproportionate number of attacks. As a result, the consequences of these attacks can be devastating, affecting not only operations but also forcing many companies to close their doors. In 2023, a Check Point Software Technologies report revealed a 38% global increase in the number of attacks compared to the previous year.
Many factors contribute to the vulnerability of SMEs , such as a lack of adequate resources and knowledge. Often, managers of these companies believe that, because they are smaller, they are not attractive targets for cybercriminals , a perception that puts them at great risk.
Given this scenario, it's crucial that SMEs understand the seriousness and significant impact of cyberthreats and take steps to protect themselves. This article explores the impact of cyberattacks, the reasons for vulnerability, and the best actions to strengthen digital defense.
Increase in cyber attacks on SMEs
Cyberattacks have hit SMEs hard, causing impacts that go far beyond financial loss. Business interruption is one of the main consequences, as many of these companies rely on digital systems to continue operating. In other words, a targeted attack on these systems can lead to complete organizational paralysis for days or even weeks. According to Kaspersky , in the last 12 months, SMEs in Brazil faced more than 192 million cyberattack attempts, resulting in an average of 365 attacks per minute.
In recent years, there has been a substantial increase in the number of cyberattacks targeting small and medium-sized businesses. This is partly due to the fact that cybercriminals are increasingly sophisticated and are using smarter technologies to identify and exploit vulnerabilities in these companies' networks , such as attack automation, artificial intelligence to generate malicious content, and deepfakes.
Furthermore, the COVID-19 pandemic accelerated the digitalization of various industries and companies, increasing the attack surface. With the rise of remote work and the migration of systems to the cloud, SMEs became even more exposed to these attacks. Without a quality infrastructure to support this transition, many of these companies ended up becoming easier targets for cybercriminals.
Thus, the current scenario highlights that cyberattacks are not just a problem for large companies. With the increasing use of technology, SMEs must recognize that they are prime targets for cybercriminals and must invest in robust defenses to avoid becoming future victims.
Definition of cyber attacks
Cyberattacks are malicious attempts to access, alter, or corrupt confidential company or user information. These actions are carried out by cybercriminals with the aim of siphoning valuable information, causing system outages, and even extorting money from victims. These attacks can be implemented in a variety of ways, from direct intrusions to the use of malicious software that stealthily infiltrates the system.
Simply put, cyberattacks exploit technological or human vulnerabilities to achieve their objectives. Lack of software updates, poorly trained employees, or the use of weak passwords are loopholes that cybercriminals use to break into business networks and cause countless losses.
Due to their limited infrastructure, small and medium-sized businesses are particularly vulnerable to cyberattacks . Regardless of the source of the attack, the impact can be devastating for companies unprepared to deal with these risks.
Examples of different types of attacks
Cyberattacks can vary in complexity and purpose. One of the most common types of attacks is phishing , where cybercriminals send fake emails with malicious links or attachments. The goal is to trick victims into providing confidential information.
Another common example is ransomware , one of the biggest threats to SMBs. In this type of attack, cybercriminals block access to company systems and demand a ransom for data release. The financial impact of these attacks can be catastrophic, leaving many companies unable to pay or recover their data. Recent research has highlighted ransomware attacks in particular. According to data from the Cybersecurity Ventures Report , there will be a projected 25% increase in attacks in 2023 compared to 2022.
Denial of service (DDoS) attacks , on the other hand, are approaches implemented to overload a company's servers, causing operational disruptions. This process can lead to customer loss, reputational damage, and, in some cases, legal penalties, especially if the company is unable to guarantee service continuity.
Recent statistics and data
Given the significant impact of these attacks on companies of all sizes and sectors, researchers have conducted extensive research to assess the extent of the problem. According to a Sophos report , more than three-quarters of cyber incidents targeted small and medium-sized businesses in 2023, with ransomware the most common approach.
The criminal group LockBit was responsible for the largest number of ransomware incidents targeting small and medium-sized businesses, accounting for 27.59% of the attacks. The Sophos report also highlighted a significant evolution in the tactics used by ransomware operators, such as the increased use of remote encryption , which refers to the use of cryptographic techniques to protect information stored or transmitted outside the physical location where it was originally generated.
According to data collected by Kaspersky , between October 2022 and October 2023, there were 192 million cyberattack attempts blocked against small and medium-sized businesses in Brazil, with 526 blocks made per day.
The higher incidence of cyberattacks against small and medium-sized businesses, compared to larger ones, is due to the perception that they have weaker defenses . Even with smaller data volumes, cybercriminals know that SMEs' security infrastructure is often inferior, making it easier to carry out attacks. In many cases, large companies have dedicated security teams, while SMEs implement simpler solutions.
The role of governance and compliance
Governance and compliance with current cybersecurity laws and regulations are essential to protecting SMEs. There are specific regulations that companies must follow to ensure data protection and customer privacy, such as the General Data Protection Law (LGPD ) .
Compliance not only helps avoid sanctions and fines but also strengthens the organization's security posture. Furthermore, cybersecurity governance involves developing a clear structure of responsibilities and processes within the company. Defining roles for security management, implementing policies, and conducting regular audits are practices that ensure the correct application of security measures.
For SMEs, compliance with regulations such as the LGPD and GDPR is essential not only to avoid penalties but also to strengthen the trust of consumers and business partners. Adherence to these regulations demonstrates a commitment to information security and privacy.
Future Trends in Cybersecurity for SMEs
As technology continues to evolve, so do cybersecurity threats and solutions. An emerging trend is the use of Artificial Intelligence and machine learning to contribute to more accurate and efficient threat detection and response. These technologies have the potential to significantly improve SMBs' security strategies, helping them identify attacks more effectively.
Another trend is the importance of security in the remote work environment . With the increased implementation of this work model, it is crucial for SMEs to adopt more specific security measures to protect the information and networks of employees working outside the company environment. This includes the use of VPNs , secure collaboration tools, and stricter remote access policies.
Why are SMEs more vulnerable?
As mentioned earlier, there's a widespread perception that small and medium-sized businesses are more vulnerable to cyberattacks. This perception is quite realistic and based on the fact that there's less investment in security resources and less concern about implementing more robust measures.
To better understand how this impact relates to factors inherent to SMEs, see below the main causes of vulnerabilities:
Lack of resources and knowledge
One of the main reasons SMEs are more vulnerable to cyberattacks is their lack of resources to invest in more robust cybersecurity solutions. Large corporations have larger budgets to implement sophisticated and efficient tools, as well as hire specialists and conduct regular audits. Conversely, small and medium-sized businesses face financial constraints and need to prioritize their investments.
Furthermore, a lack of specialized knowledge also puts SMEs at greater risk. Many companies underestimate the potential for attacks, believing they are not targets of cybercriminals, making it easier for these actors to exploit vulnerabilities. It's important to remember that many SMEs don't implement even the most basic security measures, such as regular backups , firewalls , and multi-factor authentication . This combination of limitations makes SMEs especially susceptible to attacks that could easily be prevented.
Attractive targets for attackers
Cybercriminals see SMEs as easy and lucrative targets . They know that these companies don't typically invest in the same defenses as large corporations, so they focus their efforts on exploiting these vulnerabilities. This makes SMEs more frequent targets, as cybercriminals encounter less resistance.
Many successful attacks against SMBs involve relatively simple cybercriminal practices, such as using a strategy to steal credentials or applying ransomware to lock down systems and demand a ransom payment. While seemingly simple, these attacks can be devastating for small and medium-sized businesses because they often go unnoticed until the impact has already caused damage.
Successful attacks against small and medium-sized businesses often force these organizations to pay large ransoms to regain access to their systems. According to the IBM Security Cost of a Data Breach Report 2024 , the average global cost of a data breach is approximately $4.45 million for businesses.
The importance of education and training
Employee education and training are essential processes for increasing protection against cyberattacks. Many successful attacks occur due to human error, such as opening malicious links or using very weak passwords. Employee training to recognize signs of phishing and other threats can significantly reduce the risk of security compromises.
Implementing a cybersecurity culture within a company is crucial to increasing protection. When all employees understand the importance of cybersecurity and implement more efficient practices, the company's resilience to attacks will be improved. Investing in cyber education can also include hiring specialized consultants to help develop customized training.
This approach can be particularly useful for SMEs that need to more deeply understand the specific threats that may affect their industries and implement best practices to combat them.
Challenges of implementing security measures
Implementing effective security measures poses a significant challenge for small and medium-sized businesses (SMBs), which often face a variety of obstacles when trying to protect their systems and data. These challenges can be classified into several main areas:
1. Lack of specialized resources
One of the main challenges is the lack of dedicated IT teams . Many SMEs lack specialized cybersecurity professionals, which can hinder the effective implementation and management of protective measures. Cybersecurity can often be neglected or inadequately addressed, with potentially serious consequences for the company. Workload overload and a lack of specialized knowledge can lead to gaps in protection , exposing the company to unnecessary risks.
2. Budget constraints
Another significant challenge is budget constraints. SMEs often operate on tighter budgets, which can limit their options for adopting sophisticated security solutions. Investing in cutting-edge technology can be seen as a luxury rather than a necessity, leading some companies to opt for cheaper solutions or even postpone implementing security measures, resulting in inadequate protection and increasing the risk of cyberattacks.
3. Complexity of security solutions
In addition to resource and budget issues, the complexity of security solutions available on the market can pose an additional challenge to SMBs' security strategies. Many advanced solutions require specialized technical knowledge to be properly configured and maintained , and for an SMB without a dedicated IT team, understanding and implementing these solutions can be a complex task.
4. Constant evolution of threats
Cyberthreats are constantly evolving, with new types of attacks and vulnerabilities emerging regularly, targeting businesses across a wide range of sectors. To stay secure, SMEs need to keep up with these changes and update their security measures . This requires constant vigilance and adaptation to new threats, which can be challenging for companies with limited resources and no dedicated security team.
5. Need for training and awareness
Beyond technical and financial issues, employee awareness and training are crucial cybersecurity strategies. Many attacks are successful due to human error, such as clicking on malicious links or using weak passwords. To combat these risks, it's necessary to implement training and awareness programs to educate employees on best security practices. However, for SMEs, this can mean an additional investment of time and, most importantly, resources.
Measures to protect SMEs from cyberattacks
To strengthen their security strategy and help prevent most cyberattacks more efficiently and intelligently, there are some strategies that can help these companies. Implementing differentiated solutions and ensuring a culture focused on information protection can make all the difference for these companies.
Cyber Defense Technologies
There are several more affordable technology solutions that can help SMBs protect themselves against cyberattacks. Tools like firewalls , antivirus software , and intrusion detection systems are more accessible than ever and can help these businesses implement an extra layer of protection against unauthorized access.
Implementing multi-factor authentication is also a crucial approach for small and medium-sized businesses. This technology adds a layer of security, ensuring that even if someone compromises credentials, the cybercriminal still needs additional information to access the system.
Combining the implementation of more robust technological solutions with adequate training can help significantly reduce the risk of successful attacks. It's important to view cybersecurity as an essential investment for maintaining business continuity, just like any other investment within the company.
Internal policies and procedures
Implementing a clear and transparent security policy is essential to protect small and medium-sized businesses from cyberattacks. These policies should include all rules regarding the use of strong passwords, the importance and frequency of software updates, and the procedures to be implemented in the event of suspicious activity.
Furthermore, they also need to develop incident response procedures . This protocol includes creating an action plan to deal with cyberattacks, ensuring everyone knows how to act quickly to mitigate damage and restore operations as quickly as possible. These preventative and reactive measures are crucial to ensure that, should an attack occur, everyone is prepared to handle the situation in the best possible way, preventing the company from suffering even greater losses.
Monitoring and auditing
Continuous monitoring is essential for effective protection against cyber threats, as it allows for early detection of suspicious activity and potential security incidents. Implementing real-time monitoring tools can help identify anomalous patterns and signs of compromise before they cause significant damage.
Monitoring solutions , such as security information and event management (SIEM) systems, can aggregate information from multiple sources, providing a comprehensive view of network activity and alerting you to unexpected behavior or potential attacks. Effective monitoring helps ensure that your company's security relies not solely on reactive responses, but on constant, proactive vigilance.
In addition to monitoring the digital environment in real time, it's essential to conduct periodic security audits to assess the effectiveness of existing protective measures. Audits help identify vulnerabilities, security policy gaps, and areas requiring improvement. During an audit, experts review the company's system configurations , current security policies, and operational practices to ensure they comply with security standards.
Case Study: SMEs affected by cyberattacks
Nowadays, SMEs are increasingly targeted by cyberattacks due to the growing sophistication and persistence of online threats. While these companies often lack the visibility or resources of larger corporations, their vulnerability can have equally devastating consequences.
Through the analysis of real cases, we seek to better understand the common vulnerabilities that affect SMEs and identify best practices and defense strategies that can be applied to strengthen the cybersecurity of these organizations.
Stories of SMEs victims of attacks
There are countless reports of small and medium-sized businesses being victims of cyberattacks, often with devastating consequences. These examples highlight the critical importance of protecting SMEs against cyberattacks. It's crucial to understand that the consequences go far beyond immediate financial losses, also impacting the company's reputation and customer trust , which can be fatal for smaller businesses.
In August 2024, the Jacarezinho City Hall suffered a significant cyberattack, resulting in the encryption of essential files and the disruption of several services. This ransomware attack involved encrypting data and demanding a cryptocurrency payment for the release of the information.
Attack type
The incident was characterized by a ransomware attack that compromised the city's information technology systems. The attackers encrypted critical data and demanded a ransom payment, directly impacting the operation of public services and the ability to perform essential administrative tasks.
Immediate consequences
As a result of the approach, several of the city's online services were temporarily suspended, creating difficulties for residents needing to access documents and services. The interruption affected the efficiency of processes and the availability of information to citizens.
Incident Response
Following the attack, the city government quickly mobilized specialized cybersecurity teams to address the situation. They initiated an emergency response to isolate the systems compromised during the attack and begin data recovery. The administration also notified the appropriate authorities and is collaborating with security agencies to investigate the origin and motives of the attack.
Prevention measures and future actions
The incident highlighted the importance of strengthening digital security within the public administration. The city is now focused on updating its security practices, including implementing more robust protocols, conducting regular training for employees, and investing in new cybersecurity technologies.
Learning for other organizations
This event serves as a wake-up call to other organizations and businesses about the need for a robust and well-established cybersecurity strategy. Regular backups, vulnerability testing, and ongoing digital security education are best practices to reduce the risk of future attacks.
Recovery and resilience
After a cyberattack, many SMEs face a long road to full recovery. However, some companies adopt effective strategies to overcome this crisis and become more resilient, such as implementing regular backups , hiring cybersecurity , and training employees.
Many companies also make significant changes to their internal policies, ensuring the implementation of more effective preventive measures to prevent future attacks. These steps are crucial to ensuring these companies can recover and prevent future attacks.
In short, small and medium-sized businesses are becoming increasingly frequent targets of cyberattacks due to their vulnerability and lack of preparedness. Therefore, it's crucial that companies invest in security solutions, encompassing both organizational culture and the technologies needed to protect their operations and information. To ensure business continuity, it's essential that companies remain alert to current threats and be prepared to respond to incidents quickly and effectively.
To strengthen your company's cybersecurity and protect your data, count on Lumiun. Lumiun offers advanced security solutions that help identify and mitigate threats, ensuring robust and effective protection for your business. Don't leave your company vulnerable to cyberattacks—contact Lumiun and find out how we can help keep your operations safe and resilient.
