The Cost of Network Vulnerabilities Beyond Data Incidents

Network vulnerabilities are something that every small business owner is aware of. The damage from network vulnerability includes leaked employee or client details, ransomware payments, and stolen account information. Cybercrime is only growing, so having a plan to protect your small company from being left vulnerable is more critical than ever. 

However, many business owners may not know that the costs of data security incidents go beyond the attack. Additional financial damages linger on and have an even bigger impact. Knowing the potential costs and being prepared to manage a cyber incident shields your small business from disaster. 

What Are Network Vulnerabilities?
Common Examples of Network Risks
The Price of Network Vulnerability
Costly Downtime
Reputational Damage
Regulatory Penalties
Secure Your Business with Proactive IT Support

What Are Network Vulnerabilities?

Network vulnerability is a term used to describe weaknesses in a network security system that leaves the associated business exposed to cyber threats. Many things can leave a network vulnerable to attacks. In every instance, it means that secure information is endangered. 

When a cybercriminal initiates an attack, they often target the personal information of employees and customers. They might also be targeting banking accounts and revenue streams of the business through ransomware threats or outright theft. No matter what the criminals are doing, it endangers the livelihoods and safety of millions of people each year. 

Network vulnerabilities can come from flaws in online software, server hardware, or just the internal security processes of a business. If these areas aren’t addressed, your small business might be at risk. Having the support of an IT security team can help you cover all the bases in your network to provide more protection against attacks. 

Common Examples of Network Risks

Many small businesses are at risk without ever being aware there is a flaw in their system. Some of the most common examples of network vulnerability include:

• Outdated software: Software systems regularly produce patches and updates that include additional security measures. However, some people in an organization or business might delay the update. This leaves the entire network vulnerable.
  
  
• Unprotected passwords: Weak passwords make it easy for cybercriminals to hack and gain access to your systems. Using multi-factor authentication can help strengthen passwords and avoid attacks.
  
  
• No data backups: Having backups of your critical data is important to protect your company from cyber attacks. Without a backup, you risk your entire network being shut down during an incident with no copies to load.
  
  
• Bad firewall configurations: The firewall keeps unwanted traffic out of your network, but it needs to be checked up frequently. If the firewall is poorly configured, unsecured visitors can access your network and find ways to attack your systems.
  
  
• Untrained staff: Human error is one of the leading causes of data security incidents. If your staff is untrained, they might not know how to respond to phishing emails, keep their data secure, or avoid system process mistakes. Training your staff is crucial for keeping your data safe.

The Price of Network Vulnerability

No matter what type of network vulnerability you have, it can be exploited and damage your small business. However, the less-discussed aspect of network vulnerabilities is the long-lasting impacts that go on after the attack has taken place.

Costly Downtime

One of the most common types of cyber attacks is the ransomware attack. In this type of incident, a cybercriminal group will freeze your network and refuse to give you back control until you pay a ransom. This leads to extremely costly downtime where you are unable to operate unless the ransom is paid. The cost effects of this downtime can go far beyond the initial attack.

Reputational Damage

If your business is attacked in a data security incident, it can hurt your reputation in the community. Customers and shareholders will lose trust in your organization. They may not want to spend money at your business or invest if they think their information is vulnerable to attack. They can also spread the word that you didn’t do your due diligence in keeping your network secure.

Regulatory Penalties

There are times when a data security incident goes beyond a missed process or a simple mistake. If you don’t put in the right effort to protect personal information, it can violate laws like HIPAA. In addition to the costs of re-securing your network, you may also have to pay regulatory penalties on top of the other expenses. 

Secure Your Business with Proactive IT Support

Making sure that your network is protected from vulnerabilities is an essential part of running a small business. Trying to manage it on your own can quickly become overwhelming. Having the help of an IT managed services team specializing in small businesses can be the difference between vulnerability and protection. To learn more, contact Christo IT and learn how we can help secure your network.