10 Small Business Cyber Security Statistics

The world wide web has brought numerous benefits to the world, including technological advancements and unimaginable global connections. Unfortunately, it has also led to the rise of cybercrimes that can have detrimental effects. Recent research from Cybercrime Magazine predicts that in 2024, such cybercrimes will result in losses of approximately $9.5 trillion.

While small business owners might think that larger corporations are more at risk for website hacks, that notion is not true. In 2023, 41% of small businesses fell victim to a cyberattack. Indeed, small businesses are ideal targets for cyber-attacks because they often lack the mechanisms to protect themselves from cybercrimes. Below are some quick stats that emphasize the importance of cybersecurity for small businesses.

A Quick Overview of Cyberattack Concerns and Outcomes

1. 59% of small enterprises perceive themselves as too small for cyberattacks.
2. Only 14% of small businesses can mitigate cyber risks and vulnerabilities—with 47% lacking the understanding to protect themselves from cyberattacks.
3. The volume of cyberattacks against small businesses increased by 150% between 2020 and 2022.
4. Six months after a cyberattack, 60% of small enterprises go out of business. This outcome arises mainly because small businesses spend significant amounts of money remediating the cyber-attack coupled with reputational damage and downtime.
5. Small businesses typically spend less than $500 annually on cybersecurity, leaving them vulnerable to cyber attacks that can cost thousands or even millions to remedy.
6. On average, cybercrimes cost small businesses anywhere from $826 to $653,587 per incident depending on the type and severity of the attack. Keep in mind there is no limit to how many security incidents can occur in a given year.
7. 92% of businesses with fewer than 50 employees do not have a dedicated cyber security budget.
8. Only 28% of small businesses have cyber risk insurance and 72% lack necessary coverage.
9. Acts of malicious intent account for 48% of data breaches.
10. Cybercrime will cost $10.5 trillion by 2025.

These statistics show the shocking truth about small businesses’ vulnerability to cyberattacks. As cybercriminals continue to target small businesses, it’s important to play an active role in protecting your small business from these unchecked and harmful attacks.

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