Real-Life Impacts Of Ransomware On Your Business That You Must Know

Ransomware attacks have become quite common. You must have heard headlines throughout the years 2021 and 2022. Companies today hire an intelligence team to fight ransomware first and start their business second. This is because of the negative effects that this ransomware effect has on their businesses.

Effects that not only reduce the quality of their services but also damage the reputation of a business. Thus, having real-life long-lasting effects which if not managed properly can cease the growth or even destroy a business.

This article highlights the real-life impacts of ransomware on businesses along with some solutions to handle these in time. 

Prolonged downtime

The enterprises today are more about online stores and websites rather than brick and rock locations. Ransomware causes increased downtime of a website which means that the company’s website will not perform with 100% efficiency.

Even the recovery process will take three weeks for gaining back a functional website. This prolonged downtime will not only influence the product selling rate but will also affect the client’s experience. Thus, leaving long-lasting impacts on the business.

To avoid such consequences of ransomware, use table-top simulation techniques that can provide rapid recovery. Moreover, it’s better to hire an IT team for your business. This team will not only keep your company’s protection system up to date and will manage the response team in the hours of crisis.

Brand reputation

When a business encounters a ransomware attack its data safety, its functionality, and credibility are crippled. According to a Forbes report, almost 46% of the company had to face reputation damage due to cybersecurity attacks and data theft. Your company may recover back from this attack after the ransom amount is paid. But no money can help you gain your company/s attack back.

Brand reputation can only be secured by high security and careful selection of IT partners. A partner that could help you stay fully protected and can respond on time to disable the users before the ransomware propagates further.

Data theft

Companies and businesses fear ransomware the most because of the high chances of data theft and exposure during this attack. Sensitive data like the hospital record of patience, private records or confidential documents of a company, etc. all are at the edge of exposure if ransomware is not paid in time.

This fear is the biggest factor that can create a real-time problem for businesses if the proper head is not paid to the issue. The example of an Apple company named Quanta computer faced such an attack in the year 2021. Where an amount of $50 million was demanded as a ransom amount.

The solution to this risk lies in regular backups and securely placed data. Make sure to reduce the number of people who have direct access to sensitive data.  

Financial loss

Financial loss caused by ransomware has the potential to convert a startup business into a bankrupt business. Not every ransomware attack can be reversed on its own. Most of the time the companies shave to pay a big amount of ransom which is a sudden financial burden on the company.

Companies try to ensure their company survives during such a financial crisis. However, make sure to select an insurance company that is less picky and more cooperative.

Gateway to future attacks

Many companies have experienced one after another cybersecurity attack. These attacks followed by the initial attacks are due to the explored vulnerabilities that a cyber attacker may have found in his first attack. Thus, the gateway to future attacks opens as the attacker gets to know all the loopholes in the security system of a company.

Its solution lies in addressing the loopholes, continuous updating, cross-companies training about cyber security, and hiring IT partner that remove the chances of a second ransomware attack.