The biggest myth keeping small businesses from investing in cybersecurity is that they’re “too small to be a target.” The reality is quite different. Last year, 94% of SMBs faced cyberattacks. 43% of small businesses fell victim. Those attacks have been measured to cost between $826 and $653,587​. That’s a big spread. 

Let’s look at some specific types of attacks: 

  • Ransomware attacks: Average $35,000 with 2-4 week recovery times​
  • Business email compromise: Average $50,000 with 3-6 week recovery periods​
  • Data breach: Average $120,000 with a 3-6 month recovery period

Ouch.

Attackers know small firms often lack dedicated security staff and are more vulnerable than enterprises. Moreover, regulatory requirements apply to companies of all sizes. Whether you store credit‑card details, process medical records or simply maintain payroll information, you’re required to protect that data – even if you are a one-woman shop–and you could face stiff penalties if you don’t.

This post will help you understand why switching from “I’ll deal with it if it happens” to a managed security services model isn’t just about paying a monthly fee -- it’s about protecting your livelihood, complying with the law, and gaining peace of mind. We’ll examine common objections you may have about cybersecurity, explore cost‑effective options, and provide tips for choosing a provider that’s a good fit, such as inclusive of women and LGBTQ+–owned businesses. Finally, we’ll outline what level of protection suits businesses of different sizes and sectors.

The Old Way: Reactive and Risky

“I’ll deal with it when it happens” is known in IT as break-fix support and is exactly what it sounds like: you call when something breaks and pay for the repairs. This “pay only when you need it” model appeals to businesses with minimal technology reliance or tight budgets. A small bakery with a single point‑of‑sale system might get away with this during the early months of operation (as long as they have done some DIY protections).

However, several hidden costs lurk behind the break‑fix model:

  • Unpredictable expenses. Because there is no ongoing contract, emergency call‑outs and after‑hours work can lead to large, unexpected invoices. Think $250+ per hour.
  • Downtime devastation. In the context of ransomware, the average cost of downtime for SMBs can reach 100s of 1000s of dollars. (Think ransomware is rare? 82% of ransomware attempts now target SMBs.)
  • Limited security and compliance. Break‑fix providers typically install antivirus or troubleshoot simple issues. They do not continuously monitor networks, apply security patches or help with compliance. 

Despite these risks, some small businesses stick to break‑fix because it “feels” cheaper. 

Proactive Protection Through Managed Security Services

Managed security service providers (MSSPs) flip the reactive model on its head. Instead of waiting for issues to arise, an MSSP monitors your systems 24/7, applies patches, manages backups, and responds to threats in real time. You typically pay a predictable monthly fee based on the number of users, devices or service tier.

Typical services can include remote monitoring and management, automated updates, compliance and security reviews, data backups and disaster recovery, strategic planning through virtual chief information security officer (vCISO) consultations, and regular business reviews. Because the MSSP’s revenue depends on keeping your systems stable, your incentives are aligned -- fewer issues for you mean fewer urgent calls for them.

Tiered Pricing and Cohort Options

Managed service pricing can vary widely, but it generally falls into three buckets:

  1. Per‑device or per‑user plans: You pay a fixed fee for each computer, server or employee. This model scales up or down with staff changes and works well for businesses with predictable headcounts. These tend to run $100-300/user or device per month. Don’t go solely on price – pick the plan that meets your needs as well as being in your budget. 
  2. Service tiers: Basic packages may cover antivirus, patching and email security, while mid‑tier plans add additional services such as threat detection and compliance management. Premium tiers may include vCISO services and strategic planning. Some providers tailor packages for healthcare, finance or retail, including specific compliance controls. 
  3. Cohort options: These group several micro‑businesses in a common industry or having a common identity under a shared plan, which is what we do. By sharing the underlying infrastructure (within compliance requirements), each participant pays less while still accessing enterprise‑grade tools. Something like this is about $4-500/month flat per month per business with less than 10 people.

With all of these, you can always add special projects as needed, priced separately.  

When comparing providers, ask about month‑to‑month versus annual contracts, on‑boarding fees and termination clauses. Transparent MSSPs should clearly outline what is included in each tier, so you can match services to your needs and budget.

Compliance Isn’t Optional -- Even for Small Firms

One of the biggest misconceptions among small business owners is that compliance rules apply only to large organizations. In reality, regulatory frameworks don’t discriminate by headcount or revenue. Let’s look at the most common requirements and their potential costs.

  • HIPAA for healthcare and business associates. The U.S. Department of Health and Human Services mandates that any organization handling protected health information (PHI) must meet HIPAA standards. Fines for non‑compliance can put a small practice out of business.
  • PCI DSS for merchants processing credit cards. Failure to meet the Payment Card Industry Data Security Standard can result in fines starting at $10–$100 per month and rising to $100,000 per month for ongoing violations. Should a breach occur, remediation costs can reach $500,000. Non‑compliance also risks losing your ability to accept card payments altogether. Yikes. (Using a payment processor does not remove you from the equation. Periodically, a processor like Stripe or PayPal will ask you – per your terms and conditions – to provide your attestation of compliance.)
  • Cyber insurance requirements. While cyber insurance isn’t legally mandated for small businesses, it has become essential. Recovery from several types of cyberattacks averages well over $100,000. To qualify for coverage and keep premiums low, insurers require things like multi‑factor authentication (MFA), secure backups, regular employee training, risk assessments, and endpoint detection and response (your devices are endpoints). Be sure you know what’s required for your policy – half of claims are denied because the requirements weren’t met.
  • State data‑breach laws and other frameworks. Every state has breach notification laws, and many industries have their own standards (SOC 2, NIST SP 800‑171, CMMC). The point is that ignoring compliance isn’t an option -- even a two‑person company storing PHI or credit card data must follow the rules.

MSSPs can integrate compliance controls into their service. They implement MFA, patch operating systems, manage secure backups, conduct risk assessments and train your employees, AND they can document it, helping you meet both regulatory and insurance requirements while avoiding costly fines.

Why Managed Services Are Actually Cheaper in the End

A proactive security approach may appear more expensive up front, but when you account for the risks, it typically costs less than break‑fix in the long run. One report says small businesses can save 25-49% on annual security costs by using MSSPs instead of managing cybersecurity in-house. 

Consider these savings:

  • Predictable monthly budgets. Instead of sporadic invoices, you know your costs ahead of time, making budgeting easier.
  • Reduced operational costs. These savings come from avoiding emergency repairs and employing fewer in‑house specialists.
  • Downtime avoidance. Managed services minimize downtime through continuous monitoring and rapid response.
  • Breach prevention. By blocking most attacks, MSSPs prevent the direct costs of data breaches -- legal fees, PR recovery, notification costs, identity monitoring and potential lawsuits -- as well as the lost trust of customers. (Would your customers trust you if you experienced a breach?)

When you add up downtime, fines, lost contracts and customer attrition, paying an MSSP can be a bargain.

You might say, “but right now, I’m not paying anything!” Is that risk worth it? Are you going to gamble with your business?

(If you really need to DIY it for a while until you grow a bit – I get it. Contact me and I’ll send you links for free resources. Just add paid services to your strategic goals and budget for it when you can.)

Inclusive and Supportive Providers: Finding the Right Fit

Beyond technical expertise and cost, fit matters. For example, if you’re a woman‑ or LGBTQ+–owned business, working with a provider that respects diversity can make a difference in communication and trust. 

To find such a provider, look for evidence of:

  • Recognition or certification from organizations like the National LGBT Chamber of Commerce or Women’s Business Enterprise National Council.
  • Transparent leadership, including women, LGBTQ+, or people from other underrepresented groups in decision‑making positions.

An inclusive MSSP is more likely to understand the unique challenges minority‑owned businesses face and can be a partner that supports your values as well as your technology.

“It Won’t Happen to Us” and Other Thoughts You May Have Had

If your business has avoided a major cyber incident so far, you might think your systems are adequate. Here’s why that mindset is dangerous and how to counter it:

  1. “We’re not targets.” Attackers see small businesses as easy prey. Nearly half of all small businesses experienced a cyberattack in 2023. Hackers use automated tools to scan for vulnerabilities; they aren’t picky about the size of the company.
  2. “Compliance doesn’t apply to us.” HIPAA applies to any entity that handles patient data, PCI DSS covers all merchants accepting credit cards, and state breach laws apply regardless of size. Failure to comply can close your doors.
  3. “Cybersecurity is too expensive.” As explained above, break‑fix downtime, data‑breach costs and compliance fines quickly surpass managed service fees. 
  4. “We have antivirus, we’re fine.” Modern threats like ransomware, phishing and supply‑chain attacks require layers of defense -- multi‑factor authentication, real‑time monitoring, endpoint detection and continuous patching. One outdated antivirus solution won’t stop a social engineering attack.
  5. “We’re too busy or small to worry about this.” Cyber insurance applications already ask about your controls and risk assessments. Without proper security, you may struggle to get coverage or pay higher premiums. If you ever plan to grow, expand or sell your company, demonstrating strong security will increase your value.

Matching Security to Your Business Size and Data Criticality

Not every business needs the same level of cybersecurity. Use the following as a rough guide:

  • Micro businesses (1–10 employees). Start with essentials: strong passwords and multi‑factor authentication, reputable antivirus or endpoint detection, a firewall, secure Wi‑Fi, off‑site or cloud backups and basic security awareness training. If your technology needs are minimal, a low‑tier managed service or shared cohort plan like ours can suffice.
  • Small businesses (10–50 employees). As you add employees and devices, the risk of a breach increases. Invest in managed services for continuous monitoring, automated patching, and periodic compliance reviews. Consider a service tier that includes a vCISO for strategic planning.
  • Businesses handling sensitive data (healthcare, finance, legal). You need more advanced controls: full‑time monitoring, endpoint detection and response, encryption, regular risk assessments and incident response plans. Compliance frameworks like HIPAA and PCI DSS must be addressed and monitored.
  • Growth or remote‑heavy organizations. With remote work, you need secure access to SaaS apps, endpoint management, and more. If you or your people use personal devices, that can be a risk to manage. Managed services can scale quickly to cover new locations or remote employees.
  • Critical infrastructure or government contractors. If you contract with the Department of Defense or manage critical infrastructure, you may need to meet NIST SP 800‑171 or Cybersecurity Maturity Model Certification (CMMC) standards. These involve detailed documentation, robust controls and third‑party assessments. Partner with an MSSP experienced in federal compliance.

Whatever your size, invest enough to reduce your risk to an acceptable level.

Invest in Security, Invest in Your Future

Cyber threats are a reality for businesses of every size. A break‑fix approach might feel frugal at first, but the hidden costs of downtime, data breaches and regulatory fines are far worse. Managed security services provide proactive protection, compliance support and predictable budgeting -- ultimately saving you money.

When selecting a provider, don’t just compare prices; look for inclusivity and cultural fit. Providers with clear nondiscrimination policies and diversity initiatives demonstrate that they value all clients and employees. Ask about tiered pricing, cohort plans and co‑managed options to find a service level that aligns with your budget. Finally, remember: being small doesn’t make you invisible to hackers, and basic antivirus alone isn’t enough to protect sensitive data in today’s threat landscape.

By investing in managed security services now, you protect your customers, comply with regulations, and safeguard your business’s future. And you’ll sleep a lot better at night knowing that experienced experts are watching out for you.

Use the form to the right to schedule a free call with us. We’ll help you understand your cybersecurity options, no tech jargon required — just clear, practical answers for your business.