Ransomware, Phishing and other Malware Archives - Page 2 of 9

Watch, Detect, Protect: Detecting Cyber Attacks Before They Start

Imagine a small business owner who runs a 25-person company providing financial services to firms and individuals. He knows cyber threats are “a thing,” and in fact, one of his customers required basic security controls before signing a contract. And so, he took advice from his network provider, a local IT reseller, and he purchased a bundle: antivirus software, a firewall appliance, and a cloud backup service.

From his perspective, everything seems covered:

The antivirus dashboard shows green checkmarks.
The firewall has flashing lights and a web interface that he never logs into.
The backup system sends a weekly email saying, “Backup completed successfully.”

But here’s the reality:

He has no meaningful way to tell if any of this is actually protecting him.

A few subtle issues are happening behind the scenes:

The antivirus hasn’t detected anything, not because threats aren’t present, but because it’s misconfigured and only running quick scans.
The firewall rules were set up once by the reseller and never reviewed; several unnecessary ports are still open.
Backups are completing, but no one has ever tested restoring them, so they may be incomplete or unusable.
Staff occasionally click phishing emails, but those incidents go unnoticed because there’s no monitoring or reporting in place.
He doesn’t have a clear idea of what data he is holding and what that data may reasonably be classified as, i.e. highly sensitive or sensitive, or not sensitive at all. Neither does he really have an idea who has access to what, either at a user level or worse, at an administrator level.

One day, an employee unknowingly installs malware from a phishing link. The attacker gains access to the company’s systems and quietly exfiltrates sensitive client data over several weeks.

Throughout this entire period:

No alerts reach any level of management in a way they understand.
No KPI or metric tells them, “You are under attack”, or even “your defences are being exercised.”
The tools continue to report “all good” because they are measuring activity (i.e., scans completed), not effectiveness (i.e., attacks prevented).
He assumes that “no news is good news.” In reality, he’s operating in a visibility gap:
He doesn’t know what “normal” vs “suspicious” looks like.
He has no baseline metrics (i.e., number of blocked threats, phishing simulations, patch status).
He lacks independent validation (like audits, vulnerability assessments, or even simple security reports translated into business terms).

So, when a client later informs him of a data breach traced back to his company, it’s a complete shock. From his perspective, he did everything right; he bought the tools. But he never had a way to measure whether those tools were correctly configured, actively working, or aligned to real threats.

This is a common SME problem: security is treated as a one-time purchase rather than an ongoing, measurable process. Without clear, understandable metrics or external validation, the owner is essentially flying blind, relying on reassuring dashboards instead of actual evidence of protection.

The question then becomes what can an SME do to protect itself from these issues. The first problem is to recognise that they don’t have any in-house resource that can deal with these problems, and neither can they afford such a resource. At best, their IT systems are overseen by someone who has another primary function and hasn’t got much time to deal with IT issues, has no technical background, much less a cybersecurity background, and whose responsibility lies with liaising with their network provider.

Now, let’s deal with the network provider that supplied the security tools. These companies work to Ts&Cs that will concisely lay down what services they provide under any network maintenance contract. Such contracts may include administration of the network, adding and taking away access rights, or they may just refer to routine maintenance and troubleshooting. Whatever it is, an SME must have a clear understanding of what those Ts&Cs say. You may be under the impression that they are covering things that they simply aren’t. This is often the case with cybersecurity. This is because they themselves don’t have a handle on how cybersecurity hangs together. They concentrate on supplying products such as firewalls and AV, and on how to install and configure such products. They may also handle AV updates, and in that case, you need to be very clear about how they do that and how they assure you that it is done.

Be clear, I’m not denigrating these companies or the services they supply, simply pointing out that they work to strict service levels as laid down in the contract and will often not step outside of these.

To sum up, we are now at the point where we recognise that SMEs in general do not have a handle on how effective their security actually is, on where their sensitive data sits and how it’s accessed and handled. They don’t have anyone on staff who has an understanding of cybersecurity, and there is a good chance that their network contract doesn’t include any sort of security monitoring and alerting. The question now becomes, is there anything they can do about it?

Until quite recently, what we called protective monitoring, which is now more formally called Managed Detection and Response, along with Data Loss Prevention Systems, were very much out of reach of an SME on financial terms, and as such the majority of SMEs didn’t just not invest in them, they never really knew about them because the corporate level providers, never pitched to them because they knew they couldn’t afford it.

There are now systems on the market, AI-driven, that have managed to hit a price point that an SME can afford. These systems may not be as comprehensive as you might find in a large company or central government department, but they do match the requirements for most SMEs. You don’t need to understand AI; it’s built into the system and operates seamlessly. What it does is to allow one operator to manage multiple clients at the same time, because the AI does the heavy lifting. In this way, not only is the system itself affordable, but the managed service it supports also becomes affordable.

To maximise its cost effectiveness, it has additional capabilities such as vulnerability assessment, phishing simulations and cyber awareness training programmes, making it more attractive. The whole package needs to emulate enterprise-grade protection without the cost and complexity of a full-blown Security Operations Centre (SOC). Delivering it as a service reduces cost by cutting out the need for an in-house team.

In a nutshell, an SME would want this system because it delivers near enterprise-level cybersecurity protection, reduces business risk, improves compliance, and protects revenue without needing an internal cybersecurity department. It provides peace of mind; you don’t have to worry about this, let someone else take the strain, while you focus on your business.

To help explain this easily, I have produced a very short video which you can find on the Features Section on my LinkedIn profile. But if you don’t want to view that, what follows is an introduction to what the service offers.

Continuous monitoring of endpoints, servers, and some cloud environments
Rapid detection of ransomware, malware, insider threats, and advanced attacks
Expert-led response
Phishing simulations
Cyber awareness training programme
Dark web monitoring
Auditing your data, identifying what is sensitive and what isn’t; providing file-level encryption and tracking data movements around your network and where it goes when sending it to outside agencies.

In short, it provides the business benefit of reduced risk of downtime, data loss, and reputational damage.

This service comes with vulnerability assessment built into it. Such assessments are available elsewhere as both software and a service, but they would not be integrated into an overall protection, would come at additional cost, and would need to have a level of expertise to interpret the results.

Vulnerability assessments:

Identify outdated software, misconfigurations, and exposed services
Prioritise risks based on severity
Provide remediation guidance

Most breaches happen because of known, unpatched vulnerabilities. Regular scanning helps prevent attacks before they happen. It is a proactive risk reduction instead of reactive damage control.

The system also offers built-in protection against human error (Phishing Simulation).

Over 80–90% of cyber breaches start with phishing. A phishing simulation programme:

Test employee awareness safely
Identifies high-risk users
Reinforces learning through practical scenarios

It helps reduce successful phishing attacks and reduces the likelihood of credential compromise or ransomware infection. Such simulations are an integral part of cyber awareness training.

The system also assists in building a security culture (CBEE Awareness Training Programme). A structured awareness programme:

Trains staff on cyber hygiene and data protection
Covers password security, social engineering, safe browsing, and more.
Assists compliance with regulations (GDPR, ISO 27001, Cyber Essentials, etc.)

Cybersecurity isn’t just technology, it’s behaviour. Training reduces internal risk significantly and turns employees from a security liability into a security asset.

A managed system such as this can also help with compliance & insurance requirements. Many SMEs now face:

Regulatory obligations
Supply chain security requirements
Cyber insurance conditions

Having a managed service, vulnerability management, and training demonstrates due diligence and can reduce insurance premiums or improve insurability.

These last 2 points are very important to an SME: Cost Predictability & Simplicity. As a managed service, everything is:

Subscription-based
Centralised under one provider
Fully supported by trained personnel

No need to buy multiple tools, manage updates, or maintain in-house expertise.

In business terms, you are getting executive-level risk reduction with a simple value:

Reduced likelihood of business interruption
Reduced financial exposure
Protection of brand and customer trust
Clear reporting and measurable risk reduction

All through this article, I’ve talked about cost-effectiveness. So, what does this service cost? I’ll add the BBC caveat – other systems are available!! We charge £15 per seat per month for the technical system and £15 per seat per month for the data leakage protection system. Discounts are available for clients who take both systems, and you get a lot for your money. It’s a 30-day rolling contract, no long-term lock-in, simply 30 days’ notice to quit. We also offer a totally free 14-day trial that is fully functional, so you can see the outputs from your own system, rather than look at demos with dummy data.

What is Security Architecture, and what does it mean for SMEs?

Security architecture is the structured design of systems, policies, technologies, and processes used to protect an organisation’s IT systems, networks, and data from cyber threats. Easy to say, not quite so easy to do.

When working on a major IT infrastructure deal, the security architect would be brought in, or at least should be brought in, very early on, usually after the first logical design has been done. What that means is that a logical design is basically a bunch of boxes on paper that represent systems with connection arrows in between, identifying data flows. OK, I’m being a bit simplistic, but you get the idea. Once that’s done, the security architect has something to work with to start putting in security layers. As the design evolves, so does the security architecture.

So now let’s look at the real world. Most SMEs are way past this phase, with their systems having grown organically as the company grows. SME management is focused on how well the systems work for them, whether they meet the need, can the staff operate the systems efficiently, are the systems robust, etc. Security then tends to get bolted on, often using software and/or hardware that the company’s contracted IT provider recommends, which in turn is whatever software and/or hardware that the contractor sells.

Many SMEs had set up their system before COVID, and they were often set up using what we called the Bastion security model. That was named after the old castle design, a big wall around it with a moat and a portcullis to protect it, or in modern terms, a protected network, accessed via secure firewalling, with some sort of access control and other protections such as anti-malware. A good model had network segregation, but I’m afraid my experience is that network segregation was often lacking. Just to be clear, what segregation means in this instance is a breaking up of functions within the company, i.e., finance, HR, operations, management, etc., with relevant access controls of some sort. And of course, all this on premises.

In many cases, COVID drove a coach and horses through that model. First, it stopped people from going into the office, and owners/managers had to quickly come up with a way of working remotely through some form of remote access. Many at that point weren’t using cloud-based systems, and in fact, there was still some reluctance to embrace cloud tech because owners didn’t trust storing their data with what they saw as being out of their control. It took some persuasion and education to bring many of these owners/managers around. These days, of course, cloud storage and remote access are largely the norm, but there is still the question of exactly how secure existing systems are, having often been put together rapidly and from a position of necessity rather than choice.

A realistic cybersecurity architecture for an SME should balance security, manageability, and cost. Most SMEs are now operating in a cloud-based environment, so the architecture typically centres on identity security, endpoint protection, and cloud controls rather than heavy on-prem infrastructure. But let’s not forget monitoring and auditing, and, depending upon your business, data encryption.

Identity Layer (Core Security Control)

Identity management is core to a secure system. It is vital to ensure that only the right people have access to the right systems. SMEs need to consider some form of identity management, but they might feel this is expensive and unnecessary for them. Owners and managers need to decide their own risk appetite, i.e., what they see as an acceptable, as well as what they see as an unacceptable, risk. But it doesn’t have to be expensive. Many SMEs will be using MS365, for example, and will be able to get a reasonable deal on Microsoft Entra ID, formerly known as Azure AD. I know many of my colleagues in the security world will argue that Azure had its issues in the past, but it is better now.

It will help you implement controls such as:

Mandatory Multi-Factor Authentication
Conditional access policies
Single Sign-On (SSO)
Privileged identity management
Automated user provisioning/deprovisioning

Endpoint Security Layer

Endpoints are the primary attack surface. This typically includes:

Endpoint detection and response (EDR)
Device management
Encryption

Controls it should cover include:

Automated patching
Encryption:

Full disk encryption comes built into Windows with BitLocker and Mac with File Vault, but it has drawbacks in that it encrypts your disk at rest, protecting your data from a stolen device, but it is unencrypted on boot up, so it isn’t much protection against an intrusion or a mistake made by an employee.
- File-level encryption works by encrypting files that you have deemed to be sensitive and need protection. It encrypts the files using an agent-based system and unencrypts the files when shared or accessed by someone who also has the agent and therefore the permission. Sounds complicated, but it really isn’t, and it can be shown to you very easily.

Application control
USB restrictions
Remote wipe

Email and Collaboration Security

Email is still the No 1 entry point for attacks, and using cloud-based software such as MS365 or even Google Workspace, both affordable for an SME, has security features that are highly desirable if not essential.

Anti-phishing protection
Attachment sandboxing
URL scanning
DMARC, SPF, DKIM email authentication – these all refer to entries in your DNS (your network provider should be able to brief you), which help ensure email isn’t being spoofed and is coming from a trusted source.

Network Security Layer

Even cloud-heavy SMEs still need basic network protection.

Key components:

Next-generation firewall
VPN or Zero Trust remote access
Network segmentation
DNS filtering

Good firewall segmentation would include:

Company devices
Guest WiFi
Servers
IoT devices

Cloud Security

SMEs often rely heavily on Software as a Service (SaaS) and cloud infrastructure. Again, this needs some controls, which could include:

Secure configuration monitoring
Data leakage prevention
Access monitoring

Key policies may include:

No public file sharing by default
Alert on impossible travel logins
Monitor privileged activity

Data Protection Layer

Protect sensitive data even if systems are compromised. Controls might include:

Data classification
Data leakage prevention
Full disk and file-level encryption

Policies might include:

Prevent the sharing of sensitive records externally
Block download of sensitive files on unmanaged devices
Monitoring where your data is and how it transits the network, alerting to movements of data outside of the norm.

Backup and Recovery

This is critical for recovering from ransomware and other data compromises, as well as technical faults.

Best practice:

Immutable backups
Offline copies
Regular restore testing

Don’t forget cloud backups; that’s something that is often forgotten. Check your Ts&Cs with your provider, don’t just assume they are backing up as you would require.

Security Monitoring

You need visibility into attacks, and security monitoring is something that many SMEs simply don’t consider, possibly because in the past, it was considered very expensive and over the top. That is no longer the case. There are systems now available specifically for SMEs.

Typical SME approach:

Centralised log collection
Security alerts
Managed detection and response

Many SMEs outsource this to an MDR provider like H2. I know you would expect me to say this, but it really is recommended.

Security Awareness and Policies

Technology alone cannot protect the organisation. Cyber awareness training is a subject that I bang on about all the time. It really should be a no-brainer and is arguably the cheapest quick win an SME can make.

What you need as a minimum is:

Security training platform
Phishing simulation
Acceptable use policy
Incident reporting channel

Strangely enough, we provide all of these within our managed service.

Incident Response and Business Continuity

I have blogged about this in the past. You need to be prepared for security incidents. This means not just having a plan to bring your systems back online and to restore your data from backups, but also having a business continuity plan to enable you to continue your business whilst the technical work is being undertaken. Test these systems and plans and make sure they work.

Key elements include

Incident response playbooks
Legal and breach notification procedures
Disaster recovery and business continuity plans
Security metrics dashboard

Standards

Consider adhering to a standard such as Cyber Essentials, the Government standard, which has been taken into use by many SMEs.

Summary

Security architecture is the structured design of policies, technologies, and controls used to protect an organisation’s systems, networks, and data from threats.

It acts as a blueprint for implementing security to ensure Confidentiality, Integrity, and Availability (CIA Triad) of information. It really is something SMEs should consider and need to take advice about. Do not rely on your network provider, they will focus on the core services they provide and the products they have deals to supply.

WHY SMEs NEED a CYBER SECURITY STRATEGY: PROTECTING GROWTH and REPUTATION

For small and medium-sized enterprises (SMEs), cyber risk management is the business process of identifying and addressing digital threats to protect operations, revenue, and reputation. Rather than just a technical IT task, it is a strategic function focused on ensuring business continuity and managing potential financial losses.

For many SMEs, one of the most effective ways to secure a business is to follow the UK government’s National Cyber Security Centre (NCSC) recommendations. These five steps are designed to be cost-effective and provide protection against the majority of common cyber-attacks.

Secure your data with back-ups.
Protect with strong authentication (MFA).
Keep devices and software up to date.
Guard against malware.
Train staff on cyber awareness, phishing in particular.

However, no two businesses are the same. They will all have certain threats and vulnerabilities in common, and adherence to the NCSC guidelines will set you on the right path, as will schemes such as Cyber Essentials, and many of you will either have gone down that route or will be actively discussing it internally. But there will still be differences, perhaps only nuances, that can drive a hole through your defences, and that is why you need a risk management strategy to ensure you have built robust defences.

Establish clear security responsibility

Key elements:

Appoint a security owner (even part-time or Fractional
Make sure you have an overarching security policy under which you have more detailed and targeted policies.
Institute regular security reviews

The second point is one that is often downplayed or overlooked altogether by SMEs. Many of the protections that you may need will be procedural rather than technical. They will require robust policies and processes that are enforced and audited.

The Business Case for Cyber Risk Management

Cyber incidents are not just “IT glitches”; they are economic events that directly impact the bottom line.

Revenue Protection: Downtime can freeze sales, stop production, and prevent invoicing, leading to immediate cash flow gaps.
Liability & Compliance: Breaches of sensitive data (like customer or staff records) can trigger legal fees, regulatory fines (e.g., under UK GDPR), and mandatory reporting costs.
Market Advantage: Demonstrating robust security, such as achieving Cyber Essentials accreditation, is often a prerequisite for winning major contracts and building customer trust.
Survival: Reports indicate that 60% of small companies go out of business within six months of a major cyberattack due to recovery costs and reputational damage.

Core Strategic Pillars

Effective management focuses on Outcomes, not just tools.

Identity Control: Ensuring only the right people have access to specific business data. Multi-Factor Authentication (MFA) is a non-negotiable standard to prevent unauthorised access.
Data Integrity: Maintaining secure, encrypted, and regularly tested backups so the business can “rewind” to a stable state if files are locked by ransomware.
Operational Resilience: Building a plan to stay trading even during an incident. This includes defined roles for who contacts IT, legal, regulators and customers when a breach occurs.

Risk Treatment Options

Not all risks can be fixed; business owners must decide how to handle each one based on their risk appetite:

Mitigation: Investing in security controls (people (awareness training), process and technology) to lower the likelihood of an attack.
Transfer: Using Cyber Insurance to shift the financial burden of recovery, legal fees, and business interruption to an insurer.
Acceptance: Acknowledging low-impact risks where the cost of fixing them outweighs the potential loss.
Avoidance: Choosing to stop a high-risk activity altogether, such as retiring an old, insecure software system.

Human Capital as a Defence

Since over 80% of breaches involve human error (such as clicking phishing links), staff training is the most cost-effective “firewall” an SME can implement. Regular, simple awareness sessions turn employees into a proactive detection layer.

What does a practical strategy look like for an SME

Start with Risk Assessment

Before buying tools or even setting a budget, understand what you must protect.

Key actions:

Identify critical assets (customer data, financial systems, IP).
Identify main threats (phishing, ransomware, credential theft).
Map who has access to what.
Prioritise highest-impact risks.

Typical SME top risks:

Phishing attacks
Ransomware
Weak passwords
Unpatched systems
Cloud misconfiguration

Successful phishing attacks, ransomware, and weak passwords nearly all stem from poor cyber awareness by staff. Knights of Old, a transport company employing over 700 people, went under within two weeks following a ransomware attack that was the result of a poor password being cracked, allowing the criminals to install the relevant code.

Other important measures

Implement Strong Identity & Access Controls
Secure Endpoints and Devices
Protect Email and Users
Backup and Ransomware Protection
Network Security
Incident Response Plan
Third-Party Risk Management

In short, what we call a ‘Lean” Security Stack might include:

MFA + identity management
Email security filtering
EDR on endpoints
Automated patching
Secure backups
Firewall
Security awareness training
Encryption

This covers 80–90% of real attacks. The last piece of advice to those wanting to do this properly is not to try to do it all yourself. You are not experts in this field any more than I am an expert in yours. Working together with a cybersecurity professional, you can identify what, out of everything that is written above, is really going to give you the protection you need in your particular field, and what might be a nice-to-have, rather than an essential. You can then prioritise the fixes by both importance and cost, maybe implementing fixes over several budgetary periods

Data Leakage Explained for SMEs

Stopping data leaks from your organisation is an important part of data protection; it is a subset, if you like, of that ever-evolving subject. The rules are evolving here in the UK, with new legislation coming online, and there is a wide requirement that starts with a good mindset and sound rules and processes to guard your most sensitive data. We refer to data leakage when talking about a service we provide to SMEs, which we don’t like to frame as data protection because it is, as I said, a subset of the requirements. However, it is an important subset that lies at the sharp end of the whole thing.

First of all, let’s clarify what Data Loss Prevention (DLP) is. It is a cybersecurity strategy that identifies, monitors, and prevents sensitive information from being accessed, shared, or transmitted without authorisation, whether accidentally or maliciously, across endpoints, networks, cloud services, and email systems. In short, DLP stops sensitive data from leaving where it shouldn’t.

Sounds great until you investigate such systems, which can be extremely effective if you are a large corporate organisation. That’s because these systems can be very expensive, difficult to set up and come with a heavy admin burden. It’s not terribly surprising that SMEs don’t know much about these systems because the organisations that market them simply don’t target SMEs. After all, SMEs, in general, can’t afford them.

A data leak, however, can be one of the most damaging incidents an SME can face. Unlike large enterprises, SMEs often have fewer financial reserves, less technical expertise, and limited crisis-management capacity, making the impact proportionally greater.

Threats to an SME from Data Leakage

Taking a quick glance through the threats to an SME business from a data leak:

Financial Loss

Legal costs from customer or partner lawsuits.
Compensation payments to affected individuals.
Incident response and forensic investigation costs.
Business interruption losses during system shutdowns.
Regulatory fines (e.g., under data protection laws such as GDPR).

For SMEs, even moderate fines can significantly impact cash flow or survival.

Reputational Damage

Loss of customer trust.
Negative media exposure.
Damage to brand credibility.
Loss of competitive advantage.

SMEs often rely heavily on local reputation or niche trust; once damaged, recovery can be slow and costly.

Loss of Customers and Contracts

Clients may terminate contracts.
Prospective customers may choose competitors.
Larger partners may require stronger security compliance before continuing relationships.

Operational Disruption

Systems may need to be taken offline.
Data recovery efforts consume time and resources.
Staff productivity drops during investigation and remediation.

Theft of Intellectual Property

Loss of trade secrets.
Exposure of proprietary processes.
Competitors gaining access to confidential pricing or strategy information.

Increased Cyber Targeting

Once breached, a company may:

Be seen as an “easy target.”
Experience follow-up phishing or ransomware attacks.
Appear on dark web data marketplaces.

What are the Requirements of a Data Leakage Protection Solution?

In a nutshell, a solution that would fit an SME should be proportionate, cost-effective, scalable, and manageable without a large in-house security team.

Such a system needs to:

Identify sensitive data (customer data, financial records, IP).
Classify data based on sensitivity.
Map where data is stored and who has access.

It needs role-based access control (RBACS) using a least privileged principle, with multi-factor authentication and strong password policies. It needs encryption at rest, preferable file level encryption, and use TLS for encryption in transit with secure key management. Such a system needs to be set up with monitoring, logging, alerting for suspicious activity and periodic audits. It needs backup and recovery.

For SMEs specifically, the solution should be:

Affordable and scalable
- Cloud-friendly
- Easy to manage
- Automated where possible
- Supported by managed security providers (if no internal team exists)

How Do SMEs View Such Systems

All too often, we come up against the attitude that such a loss is very rare amongst SMEs, and the threat doesn’t justify the expenditure. That is often because this is a very under-reported issue, and those that are reported are just the tip of the iceberg.

What Is the Source of the “Tip of the Iceberg” Claim?

The idea comes from multiple types of evidence:

Incident Response & Forensics Data

Cybersecurity firms (e.g., Mandiant, CrowdStrike) publish threat intelligence showing:

Many breaches are only discovered during unrelated audits.
Cyber criminals often maintain access for long periods.

Academic Research

Studies in cybersecurity economics suggest breach reporting underestimates actual intrusion frequency due to:

Asymmetric information.
Underreporting incentives.
Detection bias.

Threat Intelligence Monitoring

Security vendors monitoring criminal forums consistently find large datasets being traded that were never publicly linked to a disclosed breach.

Bottom Line

The consensus among cybersecurity professionals, regulators, and researchers is that publicly reported data breaches represent only a fraction of actual incidents.

The conclusion is based on:

Detection lag data.
Forensic investigations.
Legal reporting thresholds.
Dark web intelligence.
Academic economic modelling.

How Can an SME Protect Itself?

Having waded your way through the reasons why SMEs don’t see much data on this subject and therefore don’t see the threat, I’m going to reward you with the pitch. Yes, H2 does have a managed solution that is designed, priced and operated specifically for SMEs. It’s a solution that isn’t as comprehensive as a full enterprise-grade DLP solution, but it does do the job for an SME.

The key advantages for a small or medium-sized enterprise (SME) of using our service in practical, business-focused terms are:

Automates Data Discovery and Protection

The service automatically finds, classifies, and assesses sensitive data (such as customer information, IP, and financial records) across endpoints, servers, cloud applications, and remote devices without manual scanning. This saves SMEs considerable time and decreases dependence on specialised security personnel.

Proactive Risk Reduction

Rather than just alerting after an incident, the service can automatically encrypt or block sensitive data based on risk level, minimising exposure before a breach happens. This helps avoid data leaks and insider mishandling.

Real-Time Monitoring and Alerts

The platform continuously tracks data movement and access, sending notifications for unusual activity. This keeps SMEs aware of potential threats or policy violations, even without a full-time security team.

Simplifies Compliance

The service helps businesses meet data privacy rules like GDPR, PCI, and others by providing reports, audit trails, and documented controls, making audits and regulatory compliance far easier.

Low Maintenance and Fast Deployment

Designed to be lightweight and “set-and-forget”, it can be deployed quickly with little disruption and minimal ongoing management, which is ideal for SMEs that don’t have large IT/security teams.

Cost-Efficient Risk Management

By automating complex security workflows and reducing reliance on manual processes or legacy tools, SMEs can keep security budgets lean while still achieving strong protection.

Centralised Visibility

It comes with a dashboard where you can see where sensitive data resides, who accessed it and what its risk level is, providing clear, actionable insights rather than fragmented logs across multiple systems.

Supports Remote & Hybrid Work

Because it works across cloud, endpoint, and server environments, the service helps secure data no matter where employees work or where the data lives, particularly useful as more SMEs adopt remote/hybrid models.

Reduces Human Error

With automatic classification and encryption, the service helps guard against accidental disclosure, which is a common risk in smaller organisations without dedicated security training.

In summary, for an SME, the service can deliver data leakage protection, risk reduction and compliance support without the heavy cost or complexity typically associated with traditional data loss prevention (DLP) or manual security practices.

Cost is something that is guaranteed to concentrate the mind of the SME owner. This service is priced specifically for SMEs at £15 per user per month. There is no contractual lock-in, and a client can quit with 30 days’ notice. We also offer a 14-day trial to allow a client to see the benefits of the system using their own data, rather than a demo with dummy data. We’d be delighted to discuss this with you further.

MORE ABOUT MANAGED DETECTION AND RESPONSE

This subject has, in the past, been difficult to convey to SMEs. In the corporate and major government department world, it’s a well-understood issue, more often referred to as a security operations centre, or SOC. I’ve built several of these over the years in the UK and the Middle East, and one thing is for sure: they are expensive to run in terms of both technology and manpower, which makes them unrealistic for an SME, even if they would be of real benefit.

So why am I even bothering to explain what it is? Simply because there are now systems on the market, very often AI-driven, that have managed to hit a price point that an SME can afford. These systems may not be as comprehensive as you might find in a large company or central government department, but they do match the requirements for most SMEs.

Why would an SME want such a system? First and foremost, any such system or service pitched to an SME needs to make business sense. To maximise its cost effectiveness, having additional capabilities such as vulnerability assessment, phishing simulations and cyber awareness training programmes makes it more attractive. The whole package needs to emulate enterprise-grade protection without the cost and complexity of a full-blown SOC. Delivering it as a service reduces cost by cutting out the need for an in-house team.

Good questions for all SMEs to ask themselves are:

If an attack or scam happened tomorrow…

Would you know about it?

Would you be able to stop it in time?

Would your team recognise it for what it is?

In a nutshell, an SME would want this system because it delivers near enterprise-level cybersecurity protection, reduces business risk, improves compliance, and protects revenue without needing an internal cybersecurity department. It provides peace of mind – you don’t have to worry about this, let someone else take the strain, while you focus on your business.

To help explain this easily, I have produced a short video which you can find on the Features Section on my LinkedIn profile. But if you don’t want to view that, what follows is an introduction to what the service offers.

Continuous monitoring of endpoints, servers, and some cloud environments
Rapid detection of ransomware, malware, insider threats, and advanced attacks
Expert-led response
Phishing simulations
Cyber awareness training programme
Dark web monitoring

For most SMEs, hiring skilled cybersecurity analysts is expensive and difficult. MDR gives access to an appropriate service level at a predictable monthly cost.

Business benefit: Reduced risk of downtime, data loss, and reputational damage.

This service comes with vulnerability assessment built it. Such assessments are available elsewhere as both software and a service, but they would not be integrated into an overall protection and would need to have a level of expertise to interpret the results.

Vulnerability assessments:

• Identify outdated software, misconfigurations, and exposed services

• Prioritise risks based on severity

• Provide remediation guidance

Most breaches happen because of known, unpatched vulnerabilities. Regular scanning helps prevent attacks before they happen.

Business benefit: Proactive risk reduction instead of reactive damage control.

The system also offers built in protection against human error (Phishing Simulation).

Over 80–90% of cyber breaches start with phishing. A phishing simulation programme:

• Tests employee awareness safely

• Identifies high-risk users

• Reinforces learning through practical scenarios

Business benefit: Fewer successful phishing attacks and reduced likelihood of credential compromise or ransomware infection. Such simulations are an integral part of cyber awareness training.

We also assist in building a security culture (CBEE Awareness Training Programme). A structured awareness programme:

Trains staff on cyber hygiene and data protection
Covers password security, social engineering, safe browsing, etc.
Supports compliance with regulations (GDPR, ISO 27001, Cyber Essentials, etc.)

Cybersecurity isn’t just technology, it’s behaviour. Training reduces internal risk significantly.

Business benefit: Employees become a security asset rather than a liability.

A managed system such as this can also help with compliance & insurance requirements. Many SMEs now face:

Regulatory obligations
Supply chain security requirements
Cyber insurance conditions

Having MDR, vulnerability management, and training demonstrates due diligence and can reduce insurance premiums or improve insurability.

These last 2 points are very important to an SME: Cost Predictability & Simplicity. As a managed service, everything is:

Subscription-based
Centralised under one provider
Fully supported by experts

No need to buy multiple tools, manage updates, or maintain in-house expertise.

In business terms you are getting executive-level risk reduction with a simple value:

Reduced likelihood of business interruption
Reduced financial exposure
Protection of brand and customer trust
Clear reporting and measurable risk reduction

All through this article I’ve talked about cost effectiveness. So, what does this service cost? I’ll add the BBC caveat – other systems are available!! We charge £15 per seat per month, and you get a lot for your money. Seems cheap and we’re happy to explain how we can get the price so low. It’s a 30-day rolling contract, no long-term lock in, simply 30 days’ notice to quit. We also offer a totally free 14-day trial that is fully functional so you can see the outputs from your own system, rather than look at demos with dummy data.

The Dark Figure of Cybercrime: Why SMEs Underreport Security Incidents

Last week, I made a short post about the difference between the perceived and actual threat to SMEs from cyber-attacks and scams, and whether there is any credible evidence to support a conclusion. Taking a hard look at this and doing some research, I have concluded that there is credible evidence from academic research, surveys, and policy reports showing that many small and medium-sized enterprises (SMEs) tend not to report cybercrime incidents, and there are well-documented reasons why. This phenomenon is sometimes described as the “dark figure” of unreported crime in the cyber domain.

We’ll take a look at some of that evidence later, but first, let’s turn to the gap between what people believe is happening and what the data shows is happening. That gap is influenced by psychology, media coverage, reporting behaviour and visibility of incidents.

Let’s break it down into the categories mentioned above.

Perception of Cybercrime Against SMEs

This is shaped by:

Media Coverage

High-profile ransomware attacks or major breaches dominate headlines. They mostly involve large enterprises, and as a result SMEs often feel it’s only those large enterprises that are at risk.

Vendor & Security Marketing

Cybersecurity vendors often emphasise rising threats, which though real, are designed to amplify urgency to drive awareness and sales. However, the use of fear, uncertainty and doubt or FUD, can have the opposite effect if it is seen as a sales tool rather than a real threat, which it all too often is.

Personal Experience

If an SME owner hears about peers being attacked, their perceived risk increases dramatically. Staying quiet about attacks can lower the perceived need for defences.

Fear of the Unknown

Cyber threats are invisible and technical. Lack of understanding increases anxiety and exaggerates perceived exposure. Taking a technical approach to educating business people is counterproductive and generally turns them off.

Underreporting Assumptions

Not all attacks are reported; in fact, the evidence suggests that the instance of underreporting is high.

Result

The result is that perception is often that, whilst cybercrime is constant. Underreporting of attacks on SMEs, coupled with the lack of education, and what education there is tends to be of a technical instead of business focused, leads many SMEs to view the threat as being covered off by technical barriers such as firewalls and anti-virus, and to be far more targeted at the corporate sector, not the SME sector.

Actual Level of Cybercrime Against SMEs

The actual level is measured by:

• Incident reports (law enforcement, insurers, regulators)

• Cybersecurity firm data

• Insurance claims

• Surveys with verified breaches

What data typically shows:

SMEs are frequent targets, especially for phishing, ransomware, and business email compromise.
Most attacks are automated and opportunistic, not targeted.
Many incidents are low-level (phishing attempts), not catastrophic breaches.
Severe attacks do happen, but not every SME experiences them.

The actual level is significant but uneven:

Some SMEs face repeated attacks.
Others may experience mostly low-impact attempts.
Many attacks are blocked before damage occurs.

Is Perception Higher or Lower Than Reality?

It can go both ways:

Perception is Higher Than Reality When:

• SMEs assume every business is constantly breached.

• Media focus on extreme cases.

• Attempts are confused with successful compromises.

Perception is Lower Than Reality When:

• SMEs believe “we’re too small to be targeted.”

• Minor incidents go unnoticed.

• Staff do not recognise breaches.

Interestingly, many SMEs underestimate their exposure before experiencing an attack, and overestimate overall catastrophic frequency after exposure.

In Summary:

The perceived level of cybercrime against SMEs is shaped by media attention, fear, and anecdotal experience, while the actual level is determined by measurable incidents and verified data. The gap exists because cyber threats are both highly publicised and often poorly understood.

Evidence That SMEs Often Don’t Report Cyber Crime

Survey data show high levels of non-reporting

A recent Europe-wide survey found that 44% of cybercrime incidents experienced by SMEs were not reported to anyone, not the police, not a regulator, not a service provider, and that only a minority of attacks were reported formally.

The same EU study found that when SMEs did report incidents, it was more often to a service provider than to public authorities, and that many businesses simply handled incidents internally or judged them “too trivial” to report.

Research identifies specific reluctance factors

Scholarly reviews and empirical work indicate that SMEs are less likely to report cyber incidents for reasons including:

Fear of reputational damage if customers or partners learn the business was breached.
Concern over regulatory or legal scrutiny once an incident is disclosed.
Perceived cost (time, money) of reporting, especially if there’s no regulatory obligation or clear benefit.
Belief that incidents are minor or can be more efficiently handled internally than involving law or regulatory bodies.

These findings align with broader research on businesses and cybercrime reporting, noting that decisions to report are influenced by the perceived severity of impact and whether the firm prioritises cybersecurity or has formal incident-response capabilities.

Structural and awareness challenges contribute to under-reporting

More general research into SMEs and cybersecurity shows that many smaller firms lack the awareness, training, resources, and formal incident-response processes that make reporting to authorities likely in larger firms. This lack of technical know-how and prioritisation often means incidents aren’t even recognised or escalated to reporting.

Why SMEs Might Choose Not to Report

There are several reasons, and looking across studies and surveys, as well as my own experience, common themes emerge explaining this reluctance:

Risk perception: SMEs often don’t think they’re targets, underestimating the likelihood or impact of cybercrime.
Internal handling: Many breaches are kept in-house, either managed by IT support or resolved without escalating to law or regulatory bodies.
Reputational fear: Owners worry about being seen as vulnerable or incompetent.
Cost of reporting: Time and money spent on reporting (especially when not legally required) can seem unjustified.

Does Under-reporting Matter?

Under-reporting matters because it creates a gap in official data on the frequency with which SMEs are victimised by cybercrime. This “dark figure” undermines effective policymaking, resource allocation, and threat intelligence sharing between the private sector, law and regulatory bodies, all of which are vital for improving cybersecurity resilience across the economy.

Finally I hope that this has provided you with a window into the lack of reporting of cybercrime, which is prevalent in, but not confined to, SMEs, and that it might encourage you to report crime if it occurs in your organisation. I also hope that it might encourage you to look at your own defences with a critical eye and perhaps seek advice and guidance to keep you safe.

An Increase in sophistication in cyber-attacks in 2025

Artificial Intelligence (AI) is a fascinating subject, but it’s also a controversial one. These days, we are all using it to some extent. I know I do in the solutions I provide for SMEs, as it allows for a large degree of automation, which in turn lowers costs. Lowering costs is always a priority for an SME.

So what is AI?

Artificial intelligence (AI) refers to computer systems that can perform tasks typically requiring human intelligence. This could include visual perception, speech recognition or translation between languages.

That description was one that was put forward by NCSC, and so it’ll do for me, although I’ve no doubt, you’ll find other descriptions if you look hard enough.

Often, what is called AI isn’t all that intelligent. It’s not taking in information, analysing it and coming up with answers. Of course, some very clever versions are doing just that, but they are mostly not available to you and me. The versions we see are very good at being asked a specific question and data mining various sources at an incredible speed and then producing the answer you want, usually with several variations. And that’s pretty much what most of us want to use it for.

As I said above, I use it in the applications I use for cybersecurity managed services directed at SMEs, not least because automation reduces cost, but also because it is very efficient, meaning that the results it produces need minimal human intervention to analyse the output.

But let’s look at the downside of AI in cybersecurity, which is what the cyber criminals are using it for. Firstly, what is it that is at risk:

Data Leakage. AI systems tend to be extremely good at analysing, organising, and harvesting vast amounts of data, raising concerns about privacy breaches and unauthorised access to sensitive information. A good AI-powered attack could capture huge amounts of personally identifiable information (PII) in a ridiculously short amount of time.
Data Integrity. In the good old days (please indulge me – I’ve been around a long time), we used to talk about CIA, no, not the infamous US intelligence agency, but Confidentiality, Integrity, and Availability. We now have something we call the Adversarial Attack. This is where attackers can manipulate AI algorithms by feeding them misleading data, causing them to make incorrect predictions or classifications, in turn destroying the integrity of your data, not just rendering it useless, but also dangerous.
Model Vulnerabilities. This next one is relatively new, at least to me, and as I never tire of saying, I’ve been in this game as long as there’s been a game. It’s something called Model Vulnerabilities. AI models can be vulnerable to exploitation, such as through model inversion attacks or model extraction, where attackers can reverse-engineer proprietary models. So, if you’re in the dev game, this is a very real nightmare.
Bias and Fairness. AI systems may inherit biases from training data, leading to unfair or discriminatory outcomes, which can have legal, ethical, and reputational implications. This could be used as another form of extortion, playing with the integrity of your data, to the point where you can no longer trust it.
Malicious Actors. These can compromise AI systems at various stages of development, deployment, or maintenance, posing risks to organisations relying on these systems. This has a role in supply chain security.
Attackers can leverage AI techniques to enhance the effectiveness of cyberattacks, such as automated spear-phishing, credential stuffing, or malware detection evasion.

What we saw in 2025 is an era where cyber‑attacks are AI‑powered, highly targeted, automated, supply‑chain enabled, multi‑stage, and geopolitically driven. These attacks exploit weaknesses across credential systems, zero‑day exploits, deepfake tools, and ransomware as a service (RaaS) platforms.

We are in an accelerating digital arms race that calls for AI‑driven defence capabilities, real‑time insights, deception environments, zero‑trust architectures, and quantum‑safe cryptography.

Cybercriminals are leveraging AI to automate vulnerability scans at astonishing speeds, up to 36,000 scans per second, resulting in massive volumes of stolen credentials (1.7 billion) and drastic upticks in targeted attacks.
AI is also generating hyper-realistic phishing messages, deepfake audio/video, and even “CEO fraud” to manipulate individuals into transferring funds, like a deepfake trick that siphoned US $25 M in Hong Kong.
RaaS platforms now enable less skilled attackers to run ransomware, complete with support and updates. Over 70% of attacks now use these services.
Attackers have shifted to double/triple extortion schemes, encrypting data, threatening to leak it, and sometimes targeting associated partners or customers.
Next-gen ransomware is rolling out advanced stealth, data theft, and automated lateral movement techniques, i.e., using an initial breach to jump across to other parts of your network or that of your partners and customers.
Attacks starting via third-party software or vendors allow hackers to move laterally into networks and compromise multiple organisations simultaneously.
Nation-states are not just using espionage but are now partnering with ransomware gangs to conduct financially and politically motivated operations.
Nation state-aligned hackers are conducting sophisticated credential theft, MFA bypass, lateral infiltration, DDoS, website defacements, and disinformation across geographies.
Exploit kits now rapidly find zero-day vulnerabilities, especially in cloud environments, to bypass patching cycles.
Attackers increasingly use built-in legitimate software and system tools (living off the land) to evade detection.
Reported credential theft incidents rose 300% from 2023 to 2024, with 25% of malware focused on stealing login data.
These stolen credentials are a gateway for automated brute‑force, lateral movements, and supply‑chain infiltration.
Millions of IoT and OT systems (from manufacturing to agriculture) remain insecure and are now common targets of AI‑driven automated attacks.
Mobile‑specific ransomware is emerging; threat actors are developing malware to extort victims directly via their mobile devices.
In response, organisations are deploying deception tech (honeypots, decoys) to detect lateral intrusions or zero-day exploits in real time.

Let’s not make the mistake of thinking that this is all very sophisticated and requires expertise and resources to pull off. It doesn’t. Take another look at some of the bullets above, where we talk about RaaS or Ransomware as a Service. This takes me back to what we used to term the ‘script kiddie’, that was relatively unskilled and unsophisticated ‘wannabe’ hackers who would visit the dark web and buy scripts from skilled hackers, that they would then try and use to make money, often unsuccessfully.

This has now moved on to using AI, and such services as RaaS; this type of low-skilled individual is back, but this time with a greater level of success. Let me give you a real example of how AI can be used by someone relatively low on the criminal totem pole. Using Chat GPT, the question was posed:

Can you write some ransomware code for me?

So, did ChatGPT help to write Ransomware code? Well, not initially, it gave a stock answer about not being able to write code that might damage a computer system. And some tooing and froing, trying to get around this, achieved the same result. So far, so good. That’s an ethical answer I would like to see.

Coming at it obliquely, via a back-and-forth conversation, can produce different results. Give it the instruction to write some C code to encrypt a single file, and get the result:

Certainly. Here’s an example of how you can use the OpenSSL library to encrypt a single file using the AES-256-CBC encryption algorithm in C.

The next step was to ask it to modify the code to encrypt a whole directory, which it did willingly.

Obviously, this isn’t the complete answer, and there would be more work to do, more research and probably a trip to the dark web, but a relatively unskilled individual can make a good start at producing their own ransomware.

I even asked Chat GPT to give me a description of how AI can be a boon as well as a danger to society:

AI can be both a boon and a potential danger in terms of cybersecurity. On one hand, AI can enhance cybersecurity by detecting and mitigating threats more efficiently, analysing vast amounts of data for anomalies, and automating certain security tasks. On the other hand, AI can also pose risks if it falls into the wrong hands or is used maliciously. Sophisticated AI-powered attacks could exploit vulnerabilities, evade detection, or launch targeted attacks at an unprecedented scale. It is crucial to develop robust safeguards, ethical guidelines, and responsible AI practices to ensure AI remains a force for good in cybersecurity.

If you’re looking for answers as to where we stand with AI, there are a multitude of opinions, I’m afraid, mostly because many of us are still trying to work that out for ourselves. However, I will continue to explore it, use it carefully and with forethought. The questions I pose will be based on my own knowledge of cybersecurity and my experience in life. Let’s hope I get it right.

ENCRYPTION

There are lots of different encryption solutions on the market, some which come with other applications and some that are stand alone. I’m not going to attempt to put one up against another but rather have a more generic look at the subject. I’m also not going to worry too much about the technicalities of how they work as frankly, most clients, many of which are SMEs, don’t really care about that. It’s the effectiveness and what they are going to get for their buck, that they care about.

There are essentially two main types of encryption, whole disc encryption (WDE) and file level encryption (FLE). WDE protects the device if the disk is offline or stolen. It’s the type of encryption that comes with Windows (Bitlocker) and with a Mac (File Vault). FLE on the other hand protects the data itself, even if stored on unlocked or shared systems. It encrypts on a file-to-file basis i.e. it encrypts the files you want to protect, and leaves others unencrypted. It generally operates as an agent-based system and often, but not always, comes as part of another application.

WDE is easy to describe. As you log off, the disc is encrypted so that if the hardware, laptop etc, is stolen, the data on the disc is protected. However as soon as you log on, the disc is unencrypted and so the data is unprotected from an intrusion.

FLE proactively encrypts sensitive files at the file level using AES 256-bit encryption. This makes stolen data completely worthless to attackers, as it cannot be accessed or decrypted without the proper decryption key, which is managed through an agent and defined access controls. By encrypting data automatically and in real-time, FLE ensures data remains protected even if the system is compromised, which can be more effective than traditional reactive security measures that rely on detecting attacks after they occur.

Let’s take a look in a bit more detail at the differences between WDE and FLE.

Feature	Whole-Disk Encryption (WDE)	File-Level Encryption (FLE)
What gets encrypted	The entire drive (OS, apps, swap, all files)	Individual files or folders
When data is decrypted	Automatically after the device boots and the user authenticates (e.g., login, pre-boot PIN, TPM key)	Each encrypted file decrypts only when accessed by an authorised app/user
Protection scope	Strong against physical theft, lost devices, or disk removal	Strong for protecting sensitive data, shared storage, or cloud backups
Visibility of encrypted content	Drive appears unreadable until unlocked	File names can still be visible (depends on tool), but contents are encrypted
Use cases	Laptops, desktops, mobile devices	Encrypting documents, databases, specific secrets, or user-chosen data
Performance impact	Minimal today, because decryption happens in bulk after unlock, and often uses hardware acceleration	Can be higher if many encrypted files are accessed frequently
Granularity / control	Low (all-or-nothing)	High (encrypt only what needs protection)
Key management	One main disk key (often protected by TPM or secure hardware)	Many file keys or per-user/per-file keys possible
Security if system is compromised while powered on	Weak (disk is unlocked, malware can read everything)	Better (files are only decrypted when opened, limiting exposure)

One question I get asked a lot is, does encryption protect against Ransomware. The short answer is no. WDE only protects the data when the machine is switched off. Once booted up the data is unencrypted. FLE protects data against data leakage or theft in that it can’t be read by unauthorised persons. However, it can’t prevent encrypted data from being encrypted again by a ransomware attack.

A secondary aim of most ransomware attacks is to steal the data to sell on or to use for other things. In those cases, FLE does help protect because the ransomware can’t decrypt the already encrypted data. So, there is a level of protection using FLE that you can’t get with WDE.

FLR can help a little (but still not enough):

It can slow or limit ransomware only if:

Keys are stored in a separate secure environment (HSM, smart card, enclave, etc.)
Decryption requires per-file user interaction ransomware cannot mimic
The storage supports immutable or version-protected encrypted blobs

Even in those cases:

Ransomware can still delete files, encrypt them again, or lock the device
It usually cannot be used as a full defence strategy

What it does not prevent

Files being encrypted again by ransomware
Files being deleted or corrupted
The system being locked or made unusable

What it can still be good for

• Preventing data theft if files are exfiltrated

• Limiting extortion via stolen data leaks

• Protecting backups stored in cloud/shared drives from being read by attackers

My focus as always is on the SME community and therefore I always aim to keep costs down to a level that makes sense to them. I am much more a fan of FLE than WDE however, as WDE comes from with both Windows and Mac, then let’s use it. Many corporate organisations use both as a belt and braces protection. But remember, on its own it’s not a total solution and should be implemented as part of a more holistic cyber defence.

I hope this has given an insight into the subject and answered some basic questions. If you would like to understand more about this then please give me a call or an email, I’d be delighted to chat it over.

Managed Detection and Response (MDR)

What’s this all about and why would it be of any benefit to you? The first part is easy to explain but the second is a little more problematic. MDR is a cybersecurity service designed to help organisations, including small and medium-sized enterprises (SMEs), detect, investigate, and respond to cyber threats without needing their own large security team. That latter bit is important for an SME simply because they don’t have the expertise or resources to do this themselves, neither can they rely upon their local IT provider to do this for them, even if only because it almost certainly won’t be in your service contract.

What does it give you:

Capability	Why it matters to SMEs
Around-the-clock monitoring	Cyber threats don’t stick to business hours – MDR providers watch systems 24/7.
Threat detection using modern tools	Uses advanced analytics, machine learning, and threat intelligence that SMEs typically can’t afford or manage internally.
Rapid Incident Response	Can remotely contain and remediate attacks before they spread.
Security expertise on demand	SMEs gain access to required expertise.
Proactive threat hunting	Identifies hidden attackers or early-stage breaches.
Compliance and reporting	Helps SMEs meet regulations (e.g., GDPR, Cyber Essentials, ISO 27001) with clear reports.

The above describes a full service, SMEs do have the choice of selecting a full response or an alerting service which also gives guidance on what to do i.e. helps manage a response by you.

It’s important to understand what an MDR is not:

Not a replacement for basic security hygiene (patching, backups, strong access controls)
Not just a tool, it’s a combination of technology + human expertise
Not “set and forget”, you still must collaborate on remediation decisions

So now we understand what MDR is, let’s look at why you might want it. SMEs are increasingly targeted by cybercriminals due to limited in-house security resources. An MDR service provides continuous monitoring, advanced threat detection, and rapid incident response, improving cyber resilience while reducing operational burden and cost. Implementing MDR will significantly reduce the company’s cybersecurity risk and support compliance, business continuity, and customer trust. And if you think this is all over the top let’s remember Knights of Old, they were an established trucking company who moved a lot of what you might call just in time goods, i.e. perishables. They were hit with a ransomware attack and went under in a frighteningly short time.

So just to crystallise the problem, current security controls are designed to be preventative and are largely reactive, with no proactive elements to them. They lack:

24/7 threat monitoring
Real-time detection and investigation
Specialised expertise required for modern cyber threats
Rapid response capability to contain breaches

As a result, you potentially face::

Increased probability of a successful attack
- Delayed breach response → attackers remain undetected for months
- Data exfiltration and business disruption
Higher financial and operational impact if one occurs
Non-compliance with data protection obligations (e.g., GDPR, industry standards)
Reputational damage and loss of customer confidence
Insurance coverage gaps (cyber insurers increasingly mandate MDR-level monitoring)
Greater operational and legal fallout from incidents

The trick for many SMEs would be finding a solution that is suitable for them and just as importantly affordable. A good fit could be:

Affordable subscription model with no costly infrastructure
Bridges the cybersecurity skills shortage
Improves resilience against ransomware, phishing, insider threats, and more
Scales as the business grows

SMEs would also need to consider whether they need a full response service or an alerting service level. The latter is obviously cheaper and maybe more appropriate for many. The coverage they should be looking for needs to include:

Endpoints (laptops, servers)
Cloud workloads (Microsoft 365, Azure, etc)
Identity services (Active Directory)
Network visibility
Email security
Remote workforce monitoring

I hope that this provides food for thought as I know many SMEs will not have considered this type of service or if they have, they will have dismissed it as too expensive and probably over the top. And for many years this would have been just that. I first got involved with this back in 2002 and built several security operations centres over the years, including staffing levels and processes.

Generally, these have been way too expensive for an SME to consider. But that has changed now, there are services available which are designed for SMEs, and which are affordable and appropriate. Now I know you’ve been waiting for the pitch and here it comes. At H2 we provide such a service which is very affordable, and we are happy to stack it up against others. We offer a 14 day totally free trial, that covers your whole estate, i.e. not restricted to one or two systems, or departments, but your whole organisation.

How one SME coped with the fall out of a cyber attack

We talk a lot about how to protect ourselves from cyber-attacks and the potential for how easy or difficult it is for cyber criminals to attack companies of all sizes and types, but we don’t often describe real events which could impact those companies until they actually happen, and then, we often only get the information that they want us to have.

So, we thought we’d try and do just that, albeit in a sanitised way (with permission) to protect the privacy of the company involved.

Background

The target was a small. To medium sized design agency based in the UK. They manage branding and marketing materials for a significant number of clients, many of whom share confidential product data and campaign details before public release. And of course, the company held their own confidential data regarding their operations, finances and personnel.

For years, this agency relied on a mix of free antivirus software, shared passwords, and basic email communication. Like many SMEs, cybersecurity wasn’t seen as a priority until the day that all changed!

So, what happened?

One Friday morning, a manager noticed that all shared project files on their network drive had strange extensions and couldn’t be opened. A ransom note appeared on every folder:

“Your files have been encrypted. Pay x amount of Bitcoin to recover them.”

The team had been hit by ransomware.
Their business was paralysed, and they couldn’t access their admin and finance systems or their client work, deadlines loomed, and panic set in.

The IT contractor confirmed the bad news: a staff member had unknowingly clicked a link in a fake invoice email that mimicked a well-known supplier. The malware spread across the network overnight.

At this point many companies fall into complete disarray simply because they haven’t got a disaster recovery and business continuity plan and they have no way of operating their systems manually. Management will be demanding to know how long they can manage without their IT systems and how long it will take to get everything up and running, without paying the ransom. The IT company will be pressured about backups; are there any and if so when can they be restored, which is when of course they realise that without their systems, there is nothing to restore the backups to.

The IT company confirmed that they did have backups stored off-site as part of the contract but that daily backups were stored on site and that the onsite backup server was also compromised, and the off-site backups were taken once a week, which meant that as by this time it Tuesday, the off-site backups were 2 days old. But much better than nothing.

The problem remained that they had deadlines to meet and if they didn’t want to lose clients and have their reputation in their industry shattered, they had very little time. Reluctantly the management made the decision to pay the ransom which meant they had to go cap in hand for extra funding as they operated on tight margins and the ransom in pounds was close to £150k.

This got them back online and saved their projects and reputation but at a cost that really hurt and not just in financial terms, but in their pride as managers. It really stung. They knew that had to bite the bullet and take cyber security seriously. They realised that their local IT company, although excellent in keeping their network up and running efficiently as well as providing their hardware and software, and kept strictly to the terms of the contract, was not going to protect them to the level that they needed.

The rebuild

Having got everything back up and running they were seriously worried that they might get hit again quickly, before they had a chance to sort things out. There was no room for complacency but at the same time they had to go forward with a strategic plan. So, they brought in a specialist cybersecurity company who guided them through a strategy to not just recover, but to protect themselves going forward.

One of the first things they learnt is that cyber security is a business issue and not a technical one. Management must own it and understand it. It starts with people, having the right people in the right place who understand, at least at a high level, the issues and how to take basic precautions to protect themselves and the business. Then comes policy and process, coming down from the top, regularly reviewed and updated by management, and promulgated to all staff with regular reminders. Once that’s in place we can look at technology. Noone had articulated that to them before.

The first thing their new cyber partner did was to devise a high-level strategy that the company could adopt going forward. They explained that it needn’t be complicated and in fact, the simpler and easier to understand, the better. Keep tech jargon out of it and use plain English. They came up with a plan which identified some quick wins to protect them quickly, before coming up with more detailed projects that could be phased in over time.

The quick wins were:

Cyber awareness training for all staff including management. Let’s make sure no one ever clicks a link they shouldn’t. The training should be done at induction and then refreshed regularly throughout the year. It can be run by the HR staff or a HR company under contract if that is the case.

Produce policies starting with a high-level policy signed off by the CEO which clearly outlines everyones responsibility for cyber security and who is responsible for the detailed polices which will underpin this top-level policy.

Enforced multi factor authentication (MFA) for all logins and a password manager to replace the spreadsheets they were using.

This is then followed by more detailed projects phased in over time. The phasing helps to ensure that there is not too much disruption to the business operations and that staff can be carried along with it, ensuring their buy in. It also helps to make sure that it fits in with the company budget and doesn’t hit the bottom line all at once. It included:

An examination of the contract with the IT company and making any revisions that might be necessary. For example, the back-up regime.

Migrated to a cloud-based file system with built-in versioning and encryption (in this case MS365 was chosen which is a favourite go to for SMEs and was offered by their IT support company).

Every employee completed simulated phishing exercises as part of the awareness training.

A detailed incident response plan was produced which clearly detailed who was responsible for what, who to contact and what to do, in a prioritised order. It also outlined a business continuity plan written by departmental heads, showing how the company would continue to operate whilst systems are recovered.

Identification of assets, i.e. databases, client information, HR data, financial data, project plans etc, to prioritise what data needs to be protected to what level.

Identity and access management review with a view to moving to a zero-trust access control system.

Consider applying for cyber essentials certification.

The Outcome

Within six months, they were back on track and stronger, much more resilient. They were, like most companies, hit with phishing attempts all the time but their employees were trained to recognise them instantly and knew who to report it to. No one clicked the link.

Clients noticed the change, too. The company started to include a short “data protection and security” statement in their contracts, which won them new business. Larger clients trusted them more because they could prove their cyber resilience. They were now committed to Cyber Essentials and would include that logo on their website and advertising as soon as they qualified.

The big lesson

Their experience shows that cybersecurity isn’t just an IT issue — it’s a business survival issue. Even small steps, awareness, MFA, and secure backups, can transform an SME from a target into a resilient organisation.

Ransomware, Phishing and other Malware