Businesses are Underestimating the Costs of a Data Breach

Small and medium sized businesses have become major targets of cybersecurity scams. The effects of these scams can be devastating not only to the target business but also to the customers of the victim businesses. The management of these small and medium sized businesses do everything they can do to minimize the risk of their firm’s falling victim to a data breach because they know it will cost them the company dearly. Regrettably, many don’t realize that the cost of a data breach is much higher than they might originally have believed.

The Small Business Administration estimated that there were over 42,000 cybersecurity incidents last year and of those incidents, forty-three percent were targeted at small businesses. With such a high number of these threats targeted at small businesses, it’s essential to understand the true implications and costs of a data breach so you can best prepare for the possibility of your small business falling victim.

For a small business, it would be hard enough to have to shell out $149,000 on something that generated revenue for the business, but what if that same amount of money had to be spent on recovering from the damage of a data breach? Devastating, right? It has been found that the average cost of a data breach to a small business is $149,000. To be clear, this average amount does not include the irreparable damage to the brand which might ultimately cost the business its existence.

In a study performed by Logically, after being shown the statistics on how much a data breach will truly cost their business, sixty prevent of small business owners would rather give up half their revenue than lose half their data. This indicates that small business owners are starting to realize the real cost of a data breach. There are things that small business owners can do to minimize the cost of a data breach; the number one thing that they can do is to have a plan in place to be implemented if they were to fall victim to one of these cybercrimes.

LibertyID is the leader in identity theft restoration, having restored the identities of tens of thousands of individuals without fail. If you retain personal information on your customers, now it is the time to get data breach planning and a response program in place with our LibertyID for Small Business data breach preparation program. With LibertyID Enterprise you can now add value to existing products, services, or relationships by covering your customers, employees, or members with LibertyID’s fully managed identity theft restoration service—at a fraction of our retail price—with no enrollment and no file sharing. We have no direct communication with your group members–until they need us.

Call us now for a no obligation proposal at 844-411-LIBERTY (844-411-5423).