Cyber threats remain a pertinent problem plaguing government agencies, independent organizations, and modern businesses. As of writing, over a hundred significant cyber incidents have been recorded this year alone. These attacks occurred all over the globe, targeting journalists, companies, government ministries, banks, and politicians.
Businesses offering digital solutions are especially vulnerable to modern cyber-attacks. With their business model primarily being online, software-as-a-service (SaaS) firms can be easy targets for malicious hackers. To help business owners prepare for the worst, we will outline the different cyber threats that SaaS companies face today.
Examples of Cybersecurity Threats for SaaS Companies
As a SaaS business owner, you may be too focused on growth to invest time, money, and effort in boosting security. Unfortunately, this mistake can have costly consequences and endanger your employees and customers.
Below are examples of cybersecurity threats plaguing SaaS businesses today. Knowing these threats can help you develop and adopt an effective cybersecurity strategy.
Data leak
In a survey about the top cybersecurity concerns for SaaS companies, 55 percent of the respondents cited data leakage protection.
Image from Statista
The more sensitive the data, the more the organization needs to be careful. Information that hackers might target includes payment information, personal details of customers, and intellectual property. They are always looking for gaps in cybersecurity or potential vulnerabilities in your application, waiting for opportunities for manipulation.
Data breaches can tank customer trust and loyalty and lead to financial and legal issues for your SaaS business.
One of the most crucial steps when you start an online website is to implement strong security measures. For SaaS businesses, this process involves installing intrusion detection systems and web application firewalls. Encrypt sensitive data to keep your business, customers, and employees safe.
Performing regular vulnerability assessments and security audits can also help you detect, identify, and address any gaps in your security systems.
Third-party cybersecurity gaps
As a SaaS provider, you rely on third-party vendors for different services, such as data analytics or hosting. Unfortunately, these businesses also introduce cybersecurity risks to your company. Since you have limited control or have no direct oversight over your partner’s security measures, this issue may be challenging to mitigate.
The gaps in security can impact how you provide your services to your clients and create an opening for hackers.
To prevent this issue, you must conduct due diligence on your partner vendors to limit external risks. Determine if they have robust security protocols that you can trust before committing.
Another solution is to work with as few external parties as possible. This way, you lessen your firm’s dependence on vendors who can introduce risks of service interruptions or disruptions.
Phishing attacks
Phishing attacks trick victims into sharing personal data or downloading malware disguised as external links or attachments. While these attacks were once centered mainly around email, they are also becoming commonplace via phone and text.
According to a 2022 threat report from cybersecurity firm Proofpoint, 44 percent of people do not suspect emails that mention familiar branding. However, hackers used the Microsoft brand in over 30 million malicious messages. The figures demonstrate how these threats are evolving to lure victims despite the growing awareness around cybersecurity.
The best defense against phishing attacks is awareness and training. Hold security awareness and training (SA&T) programs to keep employees vigilant against malicious emails or texts.
New malware potential
Image from AV-TEST
According to antivirus tools reviewer AV-TEST, they register more than 450,000 new potentially unwanted applications (PUA) and malicious applications every day. The company’s records show that the number of malware and PUA has been steadily increasing since 2008.
The numbers prove that malicious actors are always working hard to find new ways to circumvent the best security systems. They are looking for hidden vulnerabilities or creating opportunities by placing malware in digital applications. SaaS platforms that allow users to share and store files have become their target, taking advantage of lax access controls and weak passwords.
To address this problem, information technology (IT) team leaders must stay updated about emerging trends in the industry and new cybersecurity threats. By staying updated, security professionals can develop defense strategies against new malware.
Outdated software
Digital tools need constant updates so developers can patch any gaps or bugs that impact performance. As users detect vulnerabilities and bugs, hackers may exploit the gaps to get unauthorized access to sensitive data and disrupt business operations.
It is crucial to update your software to meet various industry compliance regulations. Remember that the last thing your business needs is paying hefty fees due to non-compliance.
Insider threats
A recent report about the psychology behind human error shows that people caused 85 percent of data breaches.
Published by cybersecurity firm Tessian and Stanford University Professor Jeff Hancock, the report aimed to understand the reasons why employees make mistakes at work. The researchers found that people who fell for phishing scams were either distracted, tricked, tired, or were not paying attention.
Image from Tessian
The numbers prove that your organization’s most exploitable gap in security could be your employees. They could be leaving their phones and laptops unattended, using weak passwords, or clicking on phishing emails. Such behaviors can harm your business, exposing the gaps where hackers can infiltrate and steal your data.
The security risk does not arise only from weak passwords or shared credentials. It also comes from storing data on the cloud, meaning employees can access it anywhere, anytime, and on any device. This factor makes SaaS businesses more vulnerable to cyber attacks due to employee negligence.
Fortunately, you can lessen the risk by providing cybersecurity awareness training to your staff. Educating employees can help them become more vigilant, regardless of the devices they use and where they work.
Compliance requirements
Data protection laws have a crucial impact on SaaS companies that handle sensitive customer data. These businesses need to regularly update their standards if they want to meet regulatory requirements. Failure to follow the new regulations can lead to legal issues, significant financial losses, and irreparable reputational damage.
By meeting regulatory standards and getting certification with security frameworks, you can prove that your business adopts standard cybersecurity practices. However, despite complying with all relevant regulations, you are still at risk of non-compliance if you work with vendors who fail to meet the requirements.
Supply chain vulnerabilities
Hackers target unsecured server infrastructure, vulnerable network protocols, and unsafe coding practices. This tactic allows them to access and install malware and PUA through update processes.
You can prevent these software supply chain attacks by implementing secure coding practices and updating software as soon as possible. Evaluating vendors before using their products is also crucial to avoid exposing your business to hackers.
Another effective way to prevent these attacks is by adopting a zero-trust security model. This strategy assumes that any attempts to access networks can be malicious, so users must verify their authority every time they log in.
Protect Your SaaS Business Against Cyber Attacks
As a business owner, you must consider how hackers can exploit any vulnerabilities in your system. Always assume that malicious actors will use the latest technologies to access your data so you can develop the proper defense strategies.
Train your employees about proper cybersecurity hygiene and run system checks regularly. This way, you can ensure your SaaS application is secure, and your clients have nothing to worry about.
Why is FinancesOnline free?
Leave a comment!