It has never been more important to protect your business against a data breach. A breach has the potential to prove inconvenient, expensive and incredibly frustrating. It is even possible for a single data breach to bankrupt your business. Don’t let this happen! Our IT consulting firm in Denver can help combat data breach attempts and keep your business functioning without interruption.
Determining the Breach’s Overall Cost
The aggregate cost of a breach can’t be accurately determined unless a number of factors are considered. A recent data breach study conducted by the Ponemon Institute and IBM shows the average cost of a data breach is about $7 million. The average cost per compromised record is $220. Some costs are direct, while others are indirect. In some cases, money is spent to assist the victims and reduce the impact of data loss. There are also indirect costs like wasted resource time and damage to the company reputation. The lasting effects of a breach extend beyond restoring lost information. There are all sorts of additional costs that manifest in the days, months, and years to come.
Data Breach Costs: Lost Business
A significant data breach will send customers fleeing to competitors. Furthermore, those who were considering your company will likely move on to the next candidate after they learn of your data loss.
The Cost of PR Damage Control
There are also costs involved in notifying clients and any others that their personal data has been breached. Plenty of companies that endure a data breach ally with a PR company to handle interactions with victims, media, staff and other parties.
Data Breaches Disrupt the Flow of Businesses
The reduction in employee productivity and subsequent lost revenue will seriously disrupt your business. Costs can stem from a business process failure, lost clients, frustrated employees who look for work elsewhere and so on. The bottom line is disrupting the flow of business will negatively impact your business in all sorts of ways. Our IT consulting firm in Denver can help you prevent that from happening.
A breached network might also allow hackers to access business accounts. In fact, sophisticated hackers might be able to transfer funds right out of the company’s accounts.
Most data breaches require the assistance of at least one attorney. If a class-action lawsuit is filed, the assistance of several attorneys will be necessary.
It is possible for regulatory fines to be applied to businesses in certain industries and niches. Noncompliance fines can be quite costly. You won’t have to worry about dealing with regulatory agencies like the Federal Trade Commission (FTC) or the Federal Communications Commission (FCC) if you have solid digital security protections in place to thwart data breach attempts.
Identity Theft Monitoring and Repair
Businesses are required to perform follow-up measures after client data breaches. Otherwise, the victims would be that much more likely to have their identity stolen. Your business might have to pay for credit monitoring, the reissue of cards or another form of repair.
Worry no more— AccountabilIT is here for your IT needs. We are an IT consulting firm in Denver that provides IT services, data security, cloud computing, enhanced collaboration and many more. Contact us today for more details.