The Most Common Cybersecurity Mistakes Small Businesses Make

The Most Common Cybersecurity Mistakes Small Businesses Make

Every week, we talk to business owners who know they need better cybersecurity but aren’t sure where they’re going wrong. The good news? Most gaps aren’t the result of sophisticated attacks or expensive oversights. They’re simple, fixable mistakes that happen when security becomes an afterthought instead of a business practice.

Here are the most common cybersecurity mistakes we see—and more importantly, how to fix them.

1. Treating Antivirus as a Complete Security Strategy

The Mistake:
Installing antivirus software and assuming you’re protected.

Why It’s a Problem:
Antivirus is one layer of defense—and increasingly, not even the most important one. Modern threats like phishing, credential theft, ransomware, and insider risks don’t always trigger antivirus alerts. If your entire security strategy is “we have antivirus,” you’re operating with a false sense of security.

What to Do Instead:
Think in layers. Antivirus is part of the picture, but you also need strong password policies, multi-factor authentication, regular backups, employee training, and access controls. Security isn’t a product you install once—it’s a set of practices you maintain.

2. Using Weak or Reused Passwords Across Systems

The Mistake:
Allowing employees to use simple passwords like “Password123” or reusing the same password across multiple accounts.

Why It’s a Problem:
Password breaches happen constantly. If an employee uses the same password for your accounting software that they use for a compromised shopping site, attackers can pivot directly into your business systems. Weak passwords can be cracked in seconds.

What to Do Instead:
Require strong, unique passwords for every system. Better yet, implement a password manager so employees don’t have to remember dozens of complex passwords. And wherever possible, enable multi-factor authentication (MFA)—even a simple text message code dramatically reduces your risk.

3. Skipping Software Updates and Patches

The Mistake:
Postponing updates indefinitely because “they’re annoying” or “we’re too busy.”

Why It’s a Problem:
Software updates often include critical security patches that fix known vulnerabilities. When you delay updates, you’re leaving doors open that attackers already know how to exploit. Many high-profile breaches happen because organizations didn’t apply patches for vulnerabilities that were publicly disclosed weeks or months earlier.

What to Do Instead:
Enable automatic updates wherever possible, especially for operating systems, browsers, and security software. For business-critical applications where you need more control, establish a regular patching schedule—monthly at minimum. Don’t wait until something breaks.

4. Not Having a Backup Strategy (or Not Testing Backups)

The Mistake:
Either skipping backups entirely or backing up data without ever verifying that you can actually restore it.

Why It’s a Problem:
Ransomware, hardware failure, human error, and natural disasters can all destroy your data. If you don’t have reliable backups, a single incident can end your business. And here’s the kicker: having backups that don’t work is almost as bad as having no backups at all.

What to Do Instead:
Follow the 3-2-1 rule: keep three copies of your data, on two different types of media, with one copy offsite or in the cloud. More importantly, test your backups regularly. Can you actually restore files? How long does it take? Do employees know the process? If you haven’t tested it, you don’t really have a backup.

5. Giving Everyone Admin Access

The Mistake:
Making every employee an administrator on their computer or giving broad access to sensitive systems “to make things easier.”

Why It’s a Problem:
Admin access gives users—and any malware that infects their machine—the ability to install software, change settings, and access sensitive data. If an attacker compromises an admin account, they can move laterally through your entire network. The same goes for cloud systems and applications: giving everyone access to everything creates unnecessary risk.

What to Do Instead:
Follow the principle of least privilege: people should have access only to the systems and data they need to do their job. Use standard user accounts for daily work, and reserve admin access for IT tasks. Regularly review who has access to what, and remove permissions when people change roles or leave the company.

6. Ignoring Employee Training

The Mistake:
Assuming employees will “just know” how to spot phishing emails or handle sensitive data securely.

Why It’s a Problem:
Your employees are your first line of defense—and often the first target. Attackers know that tricking a person is often easier than breaking through technical defenses. One clicked link, one opened attachment, or one shared password can bypass all your other security measures.

What to Do Instead:
Conduct regular, practical security awareness training. Don’t just lecture—show real examples of phishing emails, explain what to look for, and create clear reporting processes. Make it easy for employees to ask questions without fear of judgment. Security works best when everyone understands their role in it.

7. Not Having an Incident Response Plan

The Mistake:
Figuring out what to do during a security incident, while the incident is happening.

Why It’s a Problem:
When a breach or attack occurs, confusion and panic slow your response. Who do you call? What systems do you shut down? How do you communicate with customers? What are your legal obligations? Making these decisions under pressure leads to mistakes that make the situation worse.

What to Do Instead:
Develop a simple incident response plan before you need it. Document key contacts (internal team, IT provider, legal counsel, cyber insurance), outline basic response steps, and define roles and responsibilities. You don’t need a 50-page document—just a clear playbook that people can follow when things go wrong. Then review and update it annually.

8. Thinking “We’re Too Small to Be Targeted”

The Mistake:
Believing that attackers only go after large corporations and that your small business isn’t interesting enough to hack.

Why It’s a Problem:
Small businesses are actually attractive targets precisely because they often have weaker defenses. Attackers use automated tools that scan for vulnerabilities across thousands of organizations at once—they’re not hand-picking targets based on size. And if you handle customer data, connect to larger partners, or process payments, you’re absolutely a target.

What to Do Instead:
Take security seriously regardless of your size. You don’t need an enterprise-level security budget, but you do need to cover the fundamentals: strong authentication, regular backups, updated software, employee training, and documented policies. Good security is about consistent practices, not expensive tools.

9. Not Understanding What Compliance Actually Requires

The Mistake:
Assuming compliance is just about checking boxes or thinking you’re compliant because you signed a contract saying you’d follow certain rules.

Why It’s a Problem:
Compliance frameworks like CMMC, NIST, HIPAA, or PCI-DSS exist for a reason—they’re roadmaps to better security. But saying you’re compliant and actually implementing the required controls are two very different things. When audits or incidents happen, “I thought we were fine” won’t protect you.

What to Do Instead:
Understand what your compliance obligations actually mean in practice. If you’re required to follow NIST 800-171 or CMMC, don’t just read the requirements—implement the controls and document what you’re doing. If you’re not sure where to start, get help from someone who does this work regularly. Real compliance isn’t about paperwork; it’s about demonstrable security practices.

10. Failing to Document Anything

The Mistake:
Keeping security policies, procedures, and decisions in people’s heads instead of writing them down.

Why It’s a Problem:
When security practices aren’t documented, they’re inconsistent. Different people do things differently. New employees don’t know the rules. And when something goes wrong, you can’t prove what you were supposed to be doing or what actually happened. For compliance purposes, “undocumented” is the same as “not done.”

What to Do Instead:
Write down your key security policies and procedures. This doesn’t have to be complicated—start with the basics: password requirements, acceptable use policies, data handling procedures, and incident response steps. Keep documentation simple and accessible so people actually use it. Update it when processes change. Documentation protects you, your employees, and your business.

The Bottom Line

These mistakes are common, but they’re not inevitable. The difference between organizations that get breached and those that don’t often comes down to these fundamentals—not cutting-edge technology or massive security budgets.

Security doesn’t have to be overwhelming. Start with one area, fix it, and move to the next. The goal isn’t perfection; it’s consistent improvement and defensible practices.

If you’re not sure where your gaps are, that’s exactly where an assessment starts. Understanding what you’re doing right—and what needs attention—is the first step toward security that actually works in the real world.


Need help identifying where to start? Brookmore Solutions specializes in practical cybersecurity assessments for small and mid-sized businesses. We’ll help you understand your risks and build a plan that fits your operations and budget. Contact us to schedule a consultation.

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