Today’s consumers are beginning to make buying decisions based on a brand’s data security reputation. Especially in a sensitive sector like smart home technology, a strong cybersecurity posture is a prerequisite for long-term success. Unforced errors, such as leaving a database exposed, become especially egregious. Of course, mistakes do happen, and businesses need a response plan to contain the event and to identify the scope of the problem as quickly as possible.

This incident is an especially prescient warning for SMBs who often have less cash on hand that rely on critical IT systems to manage their operations. As security experts noted, the company’s ultimate failure wasn’t financial solvency but an inability to adopt cybersecurity standards that could have prevented a ransomware attack from crippling their operations.

Ransomware attacks come with high recovery and opportunity costs. Especially for SMBs that operate with more limited budgets, these increasingly common attacks can dampen their financial outlook and prevent them from embracing opportunities in the future. However, ransomware always requires a foothold, and every organization can take steps to ensure that they are not inviting these attacks to damage their business.

While it’s unclear how cybercriminals accessed the organization’s communications platform, it’s possible that they walked right through the proverbial front door. With millions of user logins available on the Dark Web many hackers have critical login information available at their fingertips. Unfortunately, the consequences for businesses can be devastating.

It’s inevitable that phishing scams will make their way into your employees’ inboxes. Fortunately, these attacks are useless if employees identify the threat and don’t engage with the email. Employee awareness training can empower email recipients to become a strong defense against phishing scams but waiting until after a breach to provide this training is fruitless.