The Silent Threat: Why Small Businesses Can't Ignore PII Protection
The Silent Threat: Why Small Businesses Can't Ignore PII Protection
In today's digital age, data is the lifeblood of any business, and for small businesses, this data often includes Personally Identifiable Information (PII). This information, ranging from customer names and addresses to more sensitive details like credit card numbers and health records, is a valuable target for cybercriminals. Many small business owners assume that because they are not a large corporation, they won't be a target, but this assumption is dangerous. Small businesses are increasingly vulnerable to cyberattacks. Ignoring the risks associated with PII can lead to devastating consequences, including financial loss, reputational damage, and legal liabilities. This blog will explore PII, why it’s a concern, and how small businesses can proactively protect themselves.
What Exactly is PII?
PII is any data that can be used to identify a specific individual.. Think of it like puzzle pieces that, when combined, create a picture of a person. This can include:
Names
Addresses (both physical and email)
Phone numbers
Dates of birth
Credit card information
Social Security numbers (or equivalent)
Health records
Online account credentials (usernames and passwords)
The sources also note that even seemingly innocuous data, such as buying habits and preferences, can be considered PII when linked to an individual [4, 5]. In essence, anything that can help identify a person directly or indirectly falls under the umbrella of PII.
The Journey of PII: A Risky Road
Understanding how PII travels across the web [4]. When a customer enters their PII on a website, it does not always stay there [5]. It may be shared with third-party data brokers, who collect and sell data for targeted advertising. If the website suffers a data breach, your customers’ data can end up on the Dark Web, where cybercriminals trade and exploit this information. This exposed information is then used to create convincing phishing messages, using personal details to trick people into revealing even more information or falling for scams.
This highlights a critical point: PII doesn't just sit still. It's a dynamic entity that travels across the web and can be exposed at multiple points, potentially putting your business and customers at risk.
Why Should Small Businesses Be Concerned?
Small businesses might think they are too small to be targeted by cybercriminals, but the reality is quite the opposite. Cybercriminals often target small businesses because they may not have the resources to implement robust security measures. Here are some of the key reasons why small businesses need to be particularly concerned:
Financial Loss: Data breaches can lead to significant financial losses through direct theft of funds, legal costs, fines, and the costs associated with recovering from the attack. A data breach could also impact customer confidence, leading to a loss of business.
Reputational Damage: A data breach can severely damage a small business's reputation. Customers who have had their PII exposed may lose trust in the industry and take their business elsewhere.
Legal Liabilities: Small businesses are subject to data protection laws and regulations, such as the Privacy Act in Australia and the General Data Protection Regulation (GDPR) in Europe, even if they don't operate there. Failure to protect PII can result in fines and legal action.
Supply Chain Risks: Small businesses may not be fully aware of the risks associated with their third-party suppliers. If a supplier suffers a breach, it can affect the small business if the two share data.
Employee Error: It’s important to note that not all threats come from the outside. Mistakes made by employees due to fatigue or insufficient training can also lead to breaches. For example, an employee may fall for a phishing scam, use weak passwords, or improperly handle customer data.
AI-Driven Threats: Cybercriminals increasingly leverage AI to create compelling phishing messages, making it harder to spot these scams. AI is also used to create deepfakes, which can be used to spread misinformation or impersonate people.
Steps to Protect PII and Your Business
The good news is there are practical steps that small businesses can take to protect PII and reduce their risk of a cyber incident:
Strong Passwords and Password Managers:
Use strong, unique passwords for every account. Avoid using personal information in your passwords.
Consider using a password manager to store and manage passwords securely. Choose a reputable password manager with strong encryption and multi-factor authentication.
Implement regular password changes and encourage users to update their passwords regularly, especially after a breach.
Multi-Factor Authentication (MFA):
Enable MFA on all accounts that offer it. Use authenticator apps rather than SMS-based codes for more secure MFA.
Be aware of MFA fatigue attacks, where cybercriminals try to overwhelm users with repeated MFA requests to gain access.
Employee Training:
Provide regular cybersecurity training to employees. Training should cover topics such as phishing, password security, and the importance of data protection.
Encourage employees to verify requests for information, especially out-of-the-blue requests.
Ensure employees know to avoid sharing sensitive information with AI chatbots.
Data Minimisation:
Only collect the PII you need and avoid collecting or storing unnecessary information [28].
Implement robust data retention policies and delete data when no longer needed.
Software Updates and Security Software: Keep all software and devices updated with the latest security patches.
Use reputable security software, such as antivirus protection, on all devices.
Secure Network Practices:
Avoid using public Wi-Fi for sensitive activities. If you must use public Wi-Fi, use a Virtual Private Network (VPN) to protect your data.
Keep IoT (Internet of Things) devices, such as smart thermostats, on a separate network.
Monitor network activity and be aware of any unusual activity.
Incident Response Plan:
Develop and implement an incident response plan to respond effectively during a breach.
Ensure backup procedures are in place, as data can be lost due to an incident or accident.
Third-Party Due Diligence:
Thoroughly assess the security practices of third-party vendors and service providers.
Ensure contracts with third-party providers include clauses about cyber security and data protection.
Be Vigilant and Aware:
Be wary of unsolicited messages, links, and attachments.
Verify the legitimacy of websites before entering any information.
Be cautious when interacting with images or comments online.
Do not give out personal information over the phone to unsolicited callers.
Be wary of QR codes, as they may lead to malicious websites.
Beware of scams using cryptocurrency.
Do not act on emotions such as fear, panic, or urgency, which scammers often use.
Cybersecurity Frameworks:
Consider using a cybersecurity framework like the Essential Eight to build a baseline for your security strategy.
By taking these steps, small businesses can significantly reduce their risk of cyber incidents and protect their valuable data.
Conclusion
Protecting PII is not just about avoiding fines but building a sustainable, resilient business. Cybersecurity threats continuously evolve, so small businesses must be proactive and continually adapt their strategies to stay secure. Ignoring PII protection is no longer an option; it's a necessity for survival]. Small business owners can protect their customers, reputations, and livelihoods by prioritising cyber security and understanding the potential threats.
Stay productive and secure with TCD’s 24/7 managed cybersecurity services and keep your business safe from evolving cyber risks.
Your Security is our Priority
Your friendly Support Team
Speak to us about all your computer needs
This is Part of our Cyber Security awareness educational campaign. Through this training, you will learn awareness and key principles, and best practices to protect yourself, your organisation, and the public from cyber attackers. You will also be equipped with the knowledge to identify potential threats and take action before any damage can occur.