Increased Number of Cyber Attacks

Small businesses are growing and they have become a good target for cyber attacks. In just March 2016, AZGAD SECURITY recorded more than 50,000 attacks to its clients websites and servers. The most common targets are membership-based and ecommerce websites. These are the sites that keep large number of list of users and their private details and some financial details about them. These attacks push many entrepreneurs and small businesses to the verge of bankruptcy.

Small businesses are targets of cyber attacks because most of them use free stuff, do not use the help of experts and do not invest on their security,  so it is easy to steal their critical data.

According to Symantec report, Almost half of cyber-attacks worldwide, 43%, last year were against small businesses with less than 250 workers. Last summer, the FBI reported that more than 7,000 U.S. companies of all sizes were victims of cyber hacks via phishing email scams as of late 2013, the latest data available, with losses of more than $740 million.

Hackers steal small business information to do things like rob people’s bank accounts via wire transfers; steal customers’ personal identity and credit card information; file for fraudulent tax refunds; commit health insurance or Medicare fraud; or even steal intellectual property. The criminals can also take control of a small business’s website to cyber attack and hack other small businesses websites. “There are many ways a hacker can get access to a website” run by a small business. Most of them have been developed by non-professionals and are vulnerable and easy to hack.

Cyber Attacks to Small Businesses is the Top Global Risk

The World Economic Forum has listed cyber-crimes as a top global risk, and warns that industrial-scale attacks are on the rise. An estimated 430 million new types of malware flooded the Internet last year, up nearly 40% versus the year prior. The Department of Justice’s Internet Crime Complaint Center recorded 269,422 cyber-security related complaints in its 2014 report, an exponential increase of over 1500% from 2000.

Why Bankruptcy

By stealing the information of the members and clients of a website, these data are used for various criminal activities such as stealing their money from their bank or PayPal account, spamming, and many other things. Therefore, people will lose their trust on these websites and no longer use them, buy from them or discontinue their membership which ends to the bankruptcy and shutting down.