Small Businesses Step Up Cybersecurity Defences

Small and medium-sized businesses across Australia are being forced to toughen their cybersecurity measures as threats escalate, but limited budgets and staff expertise are holding them back. The push to compete with larger enterprises on cyber resilience is gaining urgency as the financial toll from cyberattacks rises sharply, but the lack of resources means many smaller companies remain exposed.

Right now, SMBs make up a significant portion of Australia’s employment landscape, yet they’re struggling to protect themselves from the same high-level cyber threats targeted at major corporations. Over the past five years, the typical cost of cybercrime for small businesses has surged from around $9,000 to $50,000. For mid-sized firms, that figure has jumped from $33,000 to $63,000. These rising numbers reflect how hackers are no longer just targeting the big end of town.

To bridge the gap, new initiatives are emerging to support these businesses. Programs like Cyber Wardens, run by the Council of Small Business Organisations Australia, aim to boost internal awareness by training staff to recognise threats and implement basic cyber hygiene practices. Many small business owners simply lack the time, knowledge, or funds to handle complex cybersecurity matters, so such external support can be pivotal in elevating their defences.

The threat of ransomware looms large, especially for small firms that can’t easily absorb downtime or financial loss. Although official recommendations warn against paying ransoms, reality sometimes drives owners to consider it, especially when the survival of their business is at stake. One prominent example saw the loss of decades of precious data because a ransom wasn’t paid—highlighting the brutal dilemma facing small operators.

And while antivirus and security tools help, they’re not foolproof. Often, breaches happen when employees click malicious links or download unsafe software. Staff awareness is critical here, as phishing scams and impersonation tactics are among the most common ways criminals infiltrate businesses. Training teams to spot red flags and verify suspicious messages using only official contact information can stave off major breaches.

On top of that, identity verification is a growing concern. With widespread data leaks and credential reuse across platforms, hackers are using automated tools to exploit exposed information. That means even a small business accountant’s compromised login could become an open door for cybercriminals. Experts say multi-factor authentication offers strong protection—especially when using dynamic codes generated by apps or software that ensures users are who they claim to be before giving access.

Cyber threats aren't going away - but Australian small businesses seem to be moving from underestimating the risk to actively preparing for it. It’s a shift that could make all the difference in a digital economy where resilience is no longer optional.

Source: The Australian, Australian Government