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Writer's pictureVerity Eyre

Why Would a Hacker Target an SME?

Updated: Dec 1, 2023

Small and medium-sized enterprises (SMEs) have become a prime target for hackers in recent years. This may come as a surprise to some, because larger corporations are usually the ones making headlines when it comes to cyber attacks. However, SMEs are just as vulnerable, if not more so. And understanding why hackers would target SMEs is crucial in developing effective cyber security defences. In this article, we will examine the motivations behind cyber attacks, explore common types of attacks, and discuss the vulnerabilities that make SMEs attractive targets.

hacker targeting SME

SME Hacker's Motivations


When it comes to cyber attacks, hackers have various motivations that drive them to target SMEs (Small and Medium-sized Enterprises). These motivations range from financial gain to the access of sensitive information, and even the disruption of services.


One of the primary motivations for hackers is the lure of financial gain. SMEs become attractive targets because they often do not have the same level of security measures as larger corporations. Hackers exploit vulnerabilities in the systems of these smaller businesses, gaining unauthorised access to valuable data. This data can then be used or sold for profit. It includes sensitive customer information, financial records, and intellectual property.


However, the motivations behind financial gain go beyond just the immediate monetary reward. Hackers understand that SMEs may not have the resources to invest heavily in cyber security, making them more susceptible to attacks. This vulnerability creates an opportunity for cybercriminals to exploit and profit from the weaknesses in their cyber defences.


Hackers also target SMEs to access sensitive information that can be used for various purposes. This can include stealing trade secrets, customer databases, or corporate information. The information obtained from an SME can be incredibly valuable for competitors or even other cybercriminals looking to profit from it. Moreover, the access to sensitive information can also be leveraged for other malicious activities, such as identity theft or blackmail. By infiltrating the systems of SMEs, hackers can gather personal data that can be used to impersonate individuals or extort money from them.


Hackers may also target SMEs with the intention of disrupting their services or causing reputational damage. Many SMEs heavily rely on digital infrastructure to conduct business operations, and any disruption can result in significant financial losses and a loss of customer trust. For instance, a ransomware attack can lock critical systems, making it impossible for SMEs to continue their operations until a ransom is paid. This not only leads to financial losses due to downtime but also tarnishes the reputation of the targeted business. Customers may lose faith in the ability of the SME to protect their data, causing them to seek services elsewhere.


The disruption of services can have far-reaching consequences beyond the immediate financial impact. It can lead to legal repercussions, breach of contractual obligations, and even regulatory fines. This highlights the importance for SMEs to prioritise cyber security and implement robust measures to mitigate the risk of attacks.


Common Types of Cyber Attacks on SMEs


Let's explore some of the common types of attacks SMEs face. It is important for SMEs to be aware of these cyber threats and take proactive measures to protect their data and systems.


Phishing Attacks on SMEs

phishing attack sme

Phishing attacks are a prevalent type of cyber attack that targets individuals within an organisation. Hackers send deceptive emails or messages that appear legitimate to trick employees into revealing sensitive information, such as login credentials or financial data. These attacks can be highly sophisticated, with hackers impersonating trusted entities like banks or government agencies.


SMEs are particularly vulnerable to phishing attacks due to a lack of security awareness and training among employees. Many employees may not be familiar with the signs of a phishing attempt and may unknowingly disclose confidential information. It is crucial for SMEs to educate their employees about the risks of phishing and provide regular training to help them identify and report suspicious emails or messages.


Ransomware Attacks on SMEs

ransomware attack sme

Ransomware attacks have become increasingly common and pose a significant threat to SMEs. In a ransomware attack, hackers encrypt the victim's data, rendering it inaccessible until a ransom is paid. SMEs often lack proper backup systems, making them more susceptible to paying the ransom rather than risking permanent data loss.


Ransomware attacks can have devastating consequences for SMEs, as they can lead to significant financial losses, reputational damage, and disruption of business operations. It is crucial for SMEs to implement robust cyber security measures, including regular data backups (which are immutable), strong network security, and employee training on how to avoid downloading malicious files or visiting compromised websites.


SME Data Breaches

sme being hacked

Data breaches involve unauthorised access to a company's sensitive information. This can occur due to vulnerabilities in the company's systems or through external attacks. SMEs, sometimes seen as easy targets due to their perceived inadequate security measures, are often targeted for data breaches.


The stolen data can be sold on the black market or used for various malicious purposes, such as identity theft or corporate espionage. SMEs should prioritise cyber security and invest in cyber security solutions that can detect and prevent unauthorised access to their systems. Implementing strong encryption methods, regularly updating software, and conducting thorough security audits can help SMEs mitigate the risk of data breaches.


Why SMEs are Vulnerable to Cyber Attacks


Now that we've explored the motivations behind cyber attacks and the types of attacks that SMEs face, let's look at why SMEs are particularly vulnerable.


Lack of Cyber Security Infrastructure


SMEs often have limited resources to invest in robust cyber security infrastructure. They may lack essential tools such as firewalls, intrusion detection systems, or cybersecurity training for employees. Hackers know this and it makes it easier them to exploit vulnerabilities and gain unauthorised access to SME business systems.


Limited Awareness and Training


A lack of cybersecurity awareness and training is another factor that contributes to SMEs' vulnerability. Employees may be unaware of the risks associated with cyber attacks or lack the knowledge to recognise and report suspicious activities. This creates opportunities for hackers to manipulate individuals within an organisation and gain access to sensitive data.


Perception of Being an "Easy Target"


Hackers often perceive SMEs as easier targets compared to larger corporations, simply because SMEs are less likely to have robust security measures in place. This perception, combined with the potential for financial gain, makes SMEs an attractive target for cybercriminals.


Conclusion


In conclusion, SMEs are increasingly perceived as easy targets for cyber attackers . Understanding the motivations behind these attacks, the common types of attacks that SMEs face, and the vulnerabilities that make SMEs attractive targets is crucial to develop effective cyber security defences. Implementing robust enterprise grade managed cyber security solutions, providing cyber security training for employees, and staying vigilant against emerging threats are essential for SMEs to protect themselves from cyber attacks.


However big or small your business is, MCATS IT can advise you of the best approach to protect your business from cyber threats. Contact us for a friendly consultation.


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