How to safeguard yours
Data breaches have been all over the news lately. This crime occurs when sensitive data (info on customers, employees, and private business accounts) are accessed or stolen by criminals. This can have a powerful impact on any business, including financial loss, a damaged reputation, and legal liability. Plus, a data breach can cause a disruption in normal operations, costing you a lot in lost time. It’s a huge threat. But there are things you can do to protect your small business.
Develop a Plan
The Federal Trade Commission (FTC) says that creating a detailed plan for responding to a data breach can help your company recover stolen or lost data faster or more completely. Your plan should include steps to contain the damage, identify other breaches, notify affected customers, and minimize your business losses. Create your plan with these detailed tips.
Train Your People
According to the FTC, employee education is one of the best defenses against a data breach. This should include cybersecurity training where employees learn about phishing scams, best practices for handling private company information, and more.
Use Strong Passwords and Multi-factor Authentication
We all know that complex passwords make a difference in our personal lives. That same philosophy can also work for your small business. Whatever the online business tool, encourage employees to utilize long and unrecognizable passwords for all work-related accounts. If necessary, have them use password managers. Finally, multi-factor authentication in the form of special one-time codes, fingerprint verification, and others should be implemented.
Encrypt Your Company Data
This includes customer data (Social Security numbers, addresses, phone numbers, etc.), employee information (salaries, personal information), banking (deposits, balances, logins, and more), and any proprietary company information.
Why encrypt your data? Because of ransomware, in which criminals hide software or malware hidden in emails or web pages. If one employee goes to the wrong website or clicks the wrong link, criminals could gain access to your data. They can then lock your systems and files, demanding a ransom or payment to unlock them.
How real is this threat? According to the Federal Bureau of Investigation’s Internet Crime Complaint Center, ransomware incidents spiked in 2023, with reported losses up 74%. Some 72% of all businesses worldwide may have already been affected by a ransomware attack in the past 12 months.
Update Your Company Software (Often)
A strong offense starts with a solid defense. Updating your business software, including operating systems and antivirus programs, can stop criminals in their tracks. Additionally, put someone in charge of continually installing or running security patches for work computers, tablets, and phones.
Help is Available
Anytime your company falls victim to a data breach, quickly report it to the FTC at ReportFraud.ftc.gov. Additionally, connect with local law enforcement.