Online Attacks Target Small Businesses

Security experts are discovering an emerging trend in cyber-crime as more small businesses become attractive targets for online thieves because of their inadequate security measures.

Many small businesses have the misconception that they wouldn't be targets of cyber-attacks. "We’re too small a company to be of any worth" seems to be the mindset.

However, smaller companies may find themselves victims of the most elaborate and vicious attacks.

Small businesses tend to have fewer or inferior security protocols in place to counter hackers. While this was of little consequence in the past, criminals are starting to take notice and take advantage of the lack.

Joe Foos, director of sales and marketing at Lanlogic, a Livermore IT services company, said, "Small business customers assume they would never be the target of a computer security attack. They’re right — hackers don’t target individual small businesses. They target thousands of unprotected small business networks and servers randomly. They just want to find easily compromised networks to use them as launching points for other attacks.

"If SONY, TJ Maxx, Citigroup and dozens of other high-profile companies with full-time IT departments and senior level security teams can have their networks compromised, it’s unlikely that the free anti-virus software or consumer-grade network equipment purchased at the local electronics store can protect you from hackers."

An attack on one small business might not amount to as much as it would for a larger organization, but given the greater ease with which hackers can attack smaller businesses, they more than make up for the difference in the volume of companies they target.

The more unfortunate fact is that smaller companies are less able to counteract the effects of losses from cyber-attacks. This is why businesses must be diligent in keeping abreast of security system updates and patches, or hire experts who can help them with it.

$63,000 online banking attack

Hackers continue to target online banking transactions because many small businesses do not realize the vulnerabilities in their arrangements with their banks. Left unaddressed, a business may run the risk of allowing cyber-criminals to steal tens of thousands of dollars.

In a recent attack, thieves managed to get away with $63,000 after they exploited vulnerabilities in an online payroll system of a small business with its bank.

After breaking into the online banking system, the thieves created several new ghost employees complete with payroll accounts. They sent the transactions to the bank and authenticated them, using the company controller’s user name and password.

A direct threat to your business's finances is not something to be taken lightly. You may need to review your online banking systems and check the security protocols you have installed on routers, wireless access points and laptops or smart phones that may access systems on public wireless networks because hackers constantly adapt to changing IT protection systems to find new vulnerabilities.

Lanlogic can help you with a site security evaluation. For more information, contact Joe Foos at 925-273-2316.