Why should you budget for online security?

At the moment, you almost can't go a day without hearing about another big company being under attack from hackers! Whether it's leaked files or customer details, these attacks can be a big problem. But you'd think with their eye-watering budgets and super-charged teams of tech experts, multinationals would be safe from the nasty grip of cyber criminals, right? Wrong!

Any business can come under attack from hackers and internet scammers, and your small business could be susceptible as any other. In the end, it comes down to how seriously you take the threat. For a budding small business, creating a budget for cyber security might be way down your priority list, but think about what you could lose if things went pear-shaped? Here are a few reasons to make room in your budget for cyber security. 

Cyber attacks are happening more often

Checking the company's social media profile? Emailing customers? Saving your invoices in the cloud? It's mind-boggling to think about how the internet has become the centre of the small business universe. Scammers have cottoned on to the fact that you're busy and have fewer resources than the big kids of the business world, so they try to take advantage of this. They can worm their way through weak defences and wreak all kinds of havoc.

Hackers might steal financial and business records, or leak customers' personal and credit card details. This can be particularly devastating for you as a small business owner, as you could suffer a blow to your reputation. Think about it this way: There were some 1.7 million fraudulent transactions in 2014, according to the Australian Payments Clearing Association.1

You can lose - big time

It's not just your reputation that's at risk -  your entire company's future could be in jeopardy if you fall prey to a cyber attack. For instance, you might pay a fake invoice, or be tricked by ransomware. The latter scam can cause massive financial headaches. In fact, the Australian Competition and Consumer Commission found that small businesses and consumers lost almost $1 million to ransomware scams in 20142 - and some people even reported losing over $10,000! 

The scams don't necessarily need to hit your finances directly, either. A hacker can crash a computer system with malware and corrupt files, or even take down your website. Just a few days out of businesses could be catastrophic for your bottom line.

Now that you're aware of the impact cyber crime can have on a small business, are you ready to make room in your budget? Installing the best software you can afford, or getting advice, could make the difference between financial success - or defeat.

Better yet, why not be proactive? By registering information you want to protect with Identity Watch we can monitor illegal internet forums for your company's data and advise you on how to deal with breaches. 

1 Fraud Statistics 2014 Calendar Year. Australian Payments Clearing Association. 2014. 

2 Small business warned to watch out for ransomware. Australian Competition and Consumer Commission. Media release. May 2015.