I Didn’t Budget for a Security Program, How Much Will It Cost?

Can You Afford Not to Invest in Cybersecurity?

Determining what you should be spending on your security program is a cost that you must understand. If you don’t allocate enough in your financial budget, you could be seriously underprepared for an IT cybersecurity breach – and that could cause immeasurable damage.

Market analysis has found that spending on cybersecurity will top $1 trillion between 2017 and 2021. According to the Kaspersky report ‘Investment adjustment: aligning IT budgets with changing security priorities’, small and medium-sized businesses allot around 26% of their IT spending for cybersecurity, and large businesses around 29%. Almost three quarters of organizations expect this to rise in the next three years.

Should you earmark upwards of a quarter of your IT budget for a security program?

How Much Is 26% of Your IT Budget?

Kaspersky surveyed more than 5,000 firms when compiling its report. It found that companies are responding to evolving cybersecurity challenges and economic trends by targeting a growing threat of cyberattack. IT budgets are falling, but cybersecurity spending continues to rise. They learned that:

  • SMBs invest an average of $275k on cybersecurity
  • Enterprises spend an average of $14 million
  • Most companies think investment in security programs will increase by around 11% to 12% this year

There is no doubt, to ensure your company is protected you must invest. How do you decide what your cybersecurity budget should be? Is 25% and more the benchmark you should now expect to match?

Can You Afford Not to Invest in Cybersecurity?

When deciding on your budget, you must remember that this is an investment in your security. A cyberattack could do irreparable damage to your reputation, resulting in loss of customers and revenue. How bad could this get for you?

According to the U.S. Securities and Exchange Commission, 60% of small businesses close within six months of falling victim to a cyberattack.

Neglecting cybersecurity in your business finances is clearly not an option.

What Do You Need to Consider When Budgeting for a Security Program?

When investing in cybersecurity, you will need to consider how much you should spend in six key areas:

  • Cyber insurance – especially important with so many employees working remotely.
  • Staffing – should you hire a full-time team or retain the services of an MSP?
  • Training – your employees will need to be trained in mitigating security threats.
  • Vulnerability testing – a necessary undertaking to assess for and manage potential points of penetration and overall vulnerability
  • Incidence response – what will your company do if it is attacked? How will it continue to operate?
  • Cloud cybersecurity measures – are you under-protected in the cloud?

How Much Does Cybersecurity Cost?

While research like those we have quoted above offer a guide to average investment in cybersecurity, it is impossible to say with any accuracy how much you should spend in this area. Each company is unique, with unique needs. Variables that affect your investment needs include:

Is This Your First Security Program?

These numbers look daunting, but you realize that cybersecurity is something you must invest in. So where do you start, especially if this is your first foray into ensuring your company is protected from cyberattack?

As a specialist in this arena, we help clients like you to assess their security needs and prioritize them. We help you to decide which are most important and which security measures offer the greatest impact with the best cost-effectiveness. We’ll help you customize your security program and grow it as the need arises.

Cybersecurity isn’t a luxury – it is essential in today’s digitally interconnected world. Cybersecurity doesn’t have to be expensive, but it does have to be effective. If it isn’t, then all that you spend on your security program will not be an investment, it will be a gamble.

Our advice is not to risk your business with inadequate security measures. Contact Tiro Security today, for the advice and peace of mind we deliver to all our clients.

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