How to Protect Your Small Business from Phishing Attacks

Phishing attacks involve sending fraudulent emails or other messages that appear to come from legitimate sources, such as banks, suppliers, or customers. The goal of phishing is to trick you into revealing sensitive information, such as passwords, credit card numbers, or bank account details, or to install malicious software on your device.

Phishing attacks can have serious consequences for your small business, such as:

Losing money or data to hackers
Damaging your reputation and customer trust
Facing legal liabilities or fines
Disrupting your operations or productivity

In this article, we will explain how phishing works, why people do it, and how you can protect yourself and your business from falling victim to it.

How phishing attacks work

Phishing usually involves sending an email that looks like it comes from a trusted sender, such as your bank, a supplier, a customer, or even a colleague. The email may contain a link to a fake website that mimics the real one, or an attachment that contains malware. The email may also ask you to reply with personal or financial information, or to call a phone number that is controlled by the hacker.

The email may use various tactics to persuade you to take action, such as:

Creating a sense of urgency or fear
Offering a reward or incentive
Appealing to your curiosity or emotions
Mimicking the tone and style of the real sender
Using logos, images, or signatures that look authentic

Why people phish

Phishing is a lucrative and low-risk form of cybercrime that can target anyone who uses email or the internet. Hackers may have different motives for phishing, such as:
- Stealing money or data for financial gain
- Extorting ransom or blackmailing victims
- Spreading malware or viruses for sabotage or espionage
- Compromising accounts or networks for further attacks
- Testing security systems or conducting research
According to a report by Verizon ¹, phishing was involved in 22% of data breaches in 2019, and the average cost of a phishing attack for a small business was $25,000. According to another report by Security Boulevard ², more than 60,000 phishing websites were reported in March 2020, and 96% of all targeted attacks are intended for intelligence-gathering.

How to protect yourself from phishing

Phishing can be hard to detect and prevent, but there are some steps you can take to reduce your risk and minimize the damage if you do get phished. Here are some tips:

Educate yourself and your staff

The first line of defense against phishing is awareness and education. You and your staff should be familiar with the common signs and types of phishing emails, and how to report and handle them. You can also use online resources or tools ³ to test your knowledge and skills on phishing detection and prevention.

Some signs of a phishing email are:

The sender’s address or domain name is misspelled or unfamiliar
The subject line or message is vague, generic, or irrelevant
The message contains grammatical errors or typos
The message creates a sense of urgency or fear
The message asks for personal or financial information
The message contains links or attachments that look suspicious

Some types of phishing emails are:

Deceptive phishing: the most common type of phishing that impersonates a legitimate entity to trick you into revealing information or clicking on a malicious link or attachment
Spear phishing: a more targeted type of phishing that uses personalized information about you or your business to make the email more convincing
Whaling: a type of spear phishing that targets high-level executives or decision-makers in an organization
Vishing: a type of phishing that uses voice calls instead of emails to deceive you into providing information or following instructions
Pharming: a type of phishing that redirects you to a fake website by tampering with your browser settings or DNS server

Use strong passwords and multi-factor authentication

One of the best ways to protect your online accounts and data from phishing is to use strong passwords and multi-factor authentication (MFA). A strong password is one that is long, complex, unique, and hard to guess. You should also change your passwords regularly and avoid using the same password for multiple accounts.

MFA is a security feature that requires you to provide more than one piece of evidence to verify your identity when logging in to an account. For example, you may need to enter a code sent to your phone or email, scan your fingerprint, or use an app. MFA adds an extra layer of protection in case your password is compromised by a phishing attack.

You can use password managers or generators to help you create and store strong passwords, and enable MFA for your accounts whenever possible.

Verify the source and content of the email

Before you open, reply, or click on anything in an email, you should always verify the source and content of the email. You can do this by:

Checking the sender’s address or domain name for any misspellings or discrepancies
Hovering over the links or attachments to see the actual URL or file name
Comparing the email with previous or official communications from the same sender
Contacting the sender directly by phone or another channel to confirm the email’s authenticity
Searching online for any information or reports about the email or its sender

If you have any doubts or suspicions about an email, do not open, reply, or click on anything in it. Delete it or report it to your IT department or security provider.

Keep your software and systems updated

Another way to protect yourself from phishing is to keep your software and systems updated. This includes your operating system, browser, antivirus, firewall, and other applications. Updates often contain security patches or fixes that can prevent hackers from exploiting vulnerabilities or bugs in your software and systems.

You should also back up your data regularly to a secure location, such as an external hard drive or cloud service. This way, you can recover your data in case it is lost or corrupted by a phishing attack.

Use a reputable web hosting service

Finally, if you run a website for your business, you should use a reputable web hosting service that offers security features and support. A web hosting service is a company that provides the server space and resources for your website to be accessible online. A good web hosting service should:

Have a secure server and network infrastructure
Provide SSL certificates and encryption for your website
Offer malware scanning and removal tools
Have backup and recovery options
Have 24/7 customer support and assistance

Using a reputable web hosting service can help you protect your website and its visitors from phishing attacks.

Closing Thoughts

Phishing is a serious threat to your small business that can cause financial losses, reputational damage, legal issues, and operational disruptions. However, by following the tips in this article, you can reduce your risk of falling victim to phishing and protect yourself and your business from its consequences.

Remember to:

Educate yourself and your staff on how to spot and handle phishing emails
Use strong passwords and multi-factor authentication for your online accounts
Verify the source and content of the email before opening, replying, or clicking on anything
Keep your software and systems updated and backed up
Use a reputable web hosting service for your website

Stay safe and vigilant online!

¹ : https://enterprise.verizon.com/resources/reports/dbir/

² : https://securityboulevard.com/2020/12/staggering-phishing-statistics-in-2020/

³: https://www.tessian.com/blog/phishing-statistics-2020/