What is a cyberattack?

You’re tapping away. Everything seems normal, when suddenly, your systems crash. Or worse, your customers’ sensitive data vanishes. You’ve just been hit by a cyberattack.

A cyberattack can strike without warning and paralyse businesses of all sizes, yet some owners are unaware of the actual dangers. We explain what a cyberattack is, how they happen, the risks they carry, and what you can do to prevent them.

How do cyberattacks happen?

What is a cyberattack, in simple terms? Think of it as a digital break-in. Criminals often exploit weaknesses like outdated software, poor security practices, or even human error to steal sensitive information, disrupt your operations, or hold your data hostage. Here are some of the most common ways in.

• Exposed ID and login credentials

Weak or reused passwords and lost laptops are a clear (and unwelcome) invitation. If a cyberattacker gets access to your employees’ login details, they could have the keys to your entire system.

• Outdated software and systems

Failing to update your software regularly leaves you open to attacks. Cybercriminals often target known vulnerabilities in old software versions.

• Lack of antivirus or malware protection

Cybercriminals are constantly creating new ways to breach digital defences. Without robust antivirus or malware software, you’re open to ransomware, spyware, and other malicious attacks that can cause significant damage.

Who is most at risk of cyberattacks?

Any business can be a target. You may think cyberattacks are mainly a problem for larger corporations, but as SMEs typically have fewer resources to devote to cybersecurity, they’re often seen as an easier target.

The impact of cyberattacks on business

The effects can be devastating. Here’s what you could face.

• Damage to your reputation

A breach can seriously erode customer trust. If sensitive information like payment details or personal data is stolen, it can take years to rebuild confidence.

• Financial loss

Whether it’s paying ransom to get your data back, compensating for lost revenue during downtime, or covering the costs of a data breach, the financial impact can be huge.

• Disrupted operations

When key systems go down, your business can come to a stop. People are unable to work and productivity drops, leading to missed deadlines, and lost revenue.

• Legal and regulatory issues

Authorities take data breaches extremely seriously. If they find you had inadequate data protection, you could face hefty financial or legal penalties for non-compliance with data privacy regulations.

A cyberattack is a direct threat to your business, your data, and your reputation. While the consequences can be far-reaching, the good news is that most attacks are preventable with the right steps. By staying proactive, updating systems, using strong passwords, and training your team, you can help ensure your business stays safe.

Want personalised advice on keeping your business safe from cyber threats? Speak to one of our V-Hub Digital Advisers.