57% of SMEs Have Experienced a Cybersecurity Breach According to Survey by Cybersecurity Company Guardz
September 2023 by Guardz
Guardz shared that a staggering 57% of SMEs have experienced a cybersecurity breach, with 31% of respondents stating that their business had been targeted by a breach in the past 12 months alone. Meanwhile, 29% of small and medium-sized businesses reported currently having no cyber insurance. This is according to a survey by Guardz of hundreds of SME owners across various industries, which highlights the growing threats facing SMEs, the misconceptions their owners and managers have about their preparedness, and the potential role of MSPs in both securing and insuring these businesses.
With cyberattacks targeting SMEs on the rise, it is crucial for business owners and managers to be properly prepared. However, the survey findings highlight a glaring disparity between businesses’ perceived readiness and the actual state of their cybersecurity protection: An overwhelming 70% of respondents are confident that their businesses are adequately prepared and resilient enough to withstand a cyber-attack. However, 44% of respondents believe that their current antivirus solution fully protects their business, employees, and data, and a quarter (25%) of businesses admit to not regularly training their employees on cybersecurity best practices or never have.
"These survey findings reinforce the critical and urgent need to prioritize cybersecurity preparedness within the SME community," said Dor Eisner, CEO and Co-Founder of Guardz. "Understandably, not all small business owners have the resources to obtain in-house cybersecurity experts – but that doesn’t mean these companies should be left in the lurch. There are immediate and proactive actions SMEs can take to bolster their defenses in the face of growing threats, including working with certified MSPs who have the potential to not only offer comprehensive cybersecurity protection, but vital cyber insurance coverage as well."
Guardz’s survey results also highlight SMEs’ concerns around the aftermath of a cyber-attack and the potential resulting financial strain: 59% of respondents reported financial loss as their primary concern in the wake of a cyber-attack, while 53% were concerned about a breach of data privacy. Reputational damage, operational disruption, temporary loss of business, and business termination were also cited as significant concerns by the respondents, further underscoring the potential devastating impact of the cyber threats facing SMEs.
In addition to the 29% of respondents who stated that they do not have any cyber insurance coverage, 11% believe they do not even need it. Simultaneously, the survey revealed the significant role that Managed Service Providers (MSPs) could play in enhancing SMEs’ cybersecurity posture on this front: 78% of respondents indicated that they would be more likely to hire an MSP if they offered both comprehensive cybersecurity protection and cyber insurance.