As a business owner, you owe it to your clients to keep their confidential information safe and secure. Unfortunately, breaches caused by employee errors are on the rise, making them the leading cause of data loss. Whether unintentional or not, a security breach can quickly lead to the downfall of your company.
According to an annual study updated in 2017, the average cost of an information breach in the United States is over $7 million.
Don’t think it can happen to you? Consider that you have a 1 in 960,000 chance of being hit by lightning, while your business has a 1 in 4 chance of experiencing a data breach. Worldwide, an average of 58 personal records are stolen every single second.
Properly training your employees is one of the major keys to preventing an accidental security breach. Here are the top 3 reasons why you need to make this one of your top priorities.
1. Cost of Remediation
According to studies, the average cost to remediate a data breach is right around $21,155 per day. How many days can your business afford this expense?
Unfortunately, it usually takes about 46 days to reach an initial state of remediation. This doesn’t include additional undetected breaches that may be lying dormant that could surface again in the future.
2. Loss of Customers and Brand Goodwill
The vast majority of consumers would strongly consider taking their business elsewhere if they found out their data was breached. Companies unfortunate enough to get a reputation for being careless with customer data will undoubtedly see a decline in business revenues.
Many businesses find they need to hire a public relations agency to address the damage. As you can imagine, this isn’t an inexpensive endeavor.
3. Legal Fees and Fines
Depending on the nature of the breach, you may be subject to fines from the Federal Trade Commission (FTC), Federal Communications Commission (FCC) and other regulatory agencies.
Most states require you to notify those whose data has been breached at your own expense. You may also have to pay for the reissue of customer credit cards and ongoing credit monitoring services for impacted customers.
Companies that suffer large breaches may be subject to a class action lawsuit. This will cost you a significant amount in legal costs not to mention the potential payout if you’re found to have been negligent.
Need to Know More About How to Avoid a Security Breach?
Every responsible business owner must take their obligation to protect customer data seriously. Properly training your employees is just one of many important cybersecurity resolutions.
At Sagacent Technologies, we pride ourselves on providing Worry-Free computing solutions for your business. We can help you manage the security of your mobile devices, document management, infrastructure and more. Contact us today to learn how we can work together to keep your business safe and secure.
Sagacent Technologies offers technology management and support, including proactive/preventative maintenance, onsite and offsite data back-ups, network and security audits, mobility solutions, disaster planning and emergency business resumption services. The company serves clients of 10 to 150 employees within the Silicon Valley region.