Prevent AI-Powered Cyberattacks Amid Growing Online Security Threats
Cyberattacks have concerned small businesses for decades, but the threat has become increasingly hard to ignore.
The rapid growth of artificial intelligence has made it easier for criminals to launch sophisticated attacks, often with less technical knowledge than before. For small business owners and founders, that means the risk of falling victim to a cyberattack has grown significantly in recent years.
As new security vulnerabilities continue to emerge, protecting your business and your customers’ data is more important than ever.
A successful cyberattack can have serious consequences, from exposing sensitive customer information to stealing money directly from company bank accounts.
Reports from The Independent show that recent high-profile attacks highlight how vulnerable even major organisations can be. A cyberattack hit Jaguar Land Rover in August 2025, while Marks & Spencer suffered an attack in April of the same year. Manchester Airports Group also reported a customer data breach in 2026.
So, what can small businesses do to reduce their risk?
Cybersecurity expert Conor O’Neill, co-founder and CEO of OnSecurity, has shared six practical steps businesses can take to improve their online security.
1. Encrypt customer and payment data
One of the most important steps a business can take is to make sure sensitive information is properly encrypted.
Encryption turns data into a format that can’t be easily read without the correct decryption key. This means that even if criminals manage to steal the data, they may not be able to use it.
“If encrypted data is stolen in a cyberattack, it will be unreadable without the decryption key, preventing attackers from accessing or exploiting the information,” O’Neill said.
It is also important to keep encryption tools and security software up to date as new and improved versions become available.
2. Use multi-factor authentication
A strong password is no longer enough to protect important business accounts.
Multi-factor authentication (MFA) adds another step to the login process. This could involve confirming your identity through a mobile app, receiving a text message code, or approving a login notification by email.
“This adds an extra layer of security by requiring users to provide more than one form of verification when logging in, leaving stolen passwords useless,” O’Neill said.
Wherever possible, businesses should enable MFA on email accounts, banking services, cloud platforms, and other systems that contain sensitive information.
3. Run regular security audits
It can be difficult to know whether your business systems have weaknesses until someone discovers them — and you don’t want that person to be a hacker.
Regular security checks and audits can identify vulnerabilities before criminals can exploit them. Some businesses may need specialist help to carry out these checks, particularly penetration testing.
“Organisations need to ensure their most critical assets are secure through regular penetration testing, to assess for vulnerabilities before they are exploited,” O’Neill said.
For smaller businesses, getting professional advice may be a worthwhile investment, particularly if you handle large amounts of customer or financial data.
4. Train staff to spot suspicious activity
Technology is only one part of cybersecurity. Your employees also play an important role in protecting your business.
Staff should learn to recognise common warning signs, such as suspicious emails, unusual login requests, fake invoices, and links asking for sensitive information.
“Staff must be properly trained to recognise the signs of cyberattacks to easily identify attempts and report them immediately,” O’Neill said.
“When employees consistently recognise suspicious behaviour and report it quickly, organisations gain early warning of attacks, reducing the number of successful breaches and creating a culture where security is everyone’s responsibility.”
Regular training can make cybersecurity part of a business’s day-to-day culture, rather than something employees only think about after an incident.
5. Keep systems and software up to date
Those software update notifications can be easy to ignore, especially when you’re busy running a business. But installing updates promptly can be one of the simplest ways to improve your security.
Software updates often fix vulnerabilities that hackers could otherwise use to access your systems.
“Outdated software can contain weaknesses that attackers may exploit to gain access to systems,” O’Neill said.
If you’re not confident you can keep track of updates yourself, check whether your software offers automatic updates. Enabling them can help make sure important security fixes are installed as soon as they become available.
6. Create an incident response plan
Even with the best security measures in place, no business can eliminate the risk of a cyberattack.
That’s why it is important to have a plan for what happens if the worst does occur.
“Having a response plan in place means businesses can act quickly if a cyberattack occurs, and should include how to identify, contain and respond to an incident, alongside who is responsible for each stage,” O’Neill said.
“This helps to limit the disruption caused and protect systems.”
A good response plan should clearly state who to contact, which systems to isolate, how to inform customers and other stakeholders, and who makes key decisions.
Like staff cybersecurity training, having this plan in place before an attack can make it much easier to respond quickly when every minute matters.
Staying one step ahead
You can’t predict exactly when or how a cyberattack might target your business. But basic precautions can significantly reduce the chances of a successful breach and limit damage if one occurs.
As AI makes cyberattacks faster and potentially harder to detect, businesses need to think about cybersecurity before they become a target.
“As AI makes cyberattacks faster and increasingly more difficult to detect, businesses need to prevent and prepare for potential hacks proactively,” O’Neill said.
“A combination of technology, processes and training can help companies to mitigate the risk of attacks and enhance their resilience.”
For small businesses in particular, good cybersecurity doesn’t have to mean complicated systems or huge budgets. Strong passwords, multi-factor authentication, regular updates, staff training and a clear response plan can all make a meaningful difference.