How Much Should a Business Spend on IT/Cybersecurity?

Cybersecurity is a hot topic these days. Threats are always evolving and cybersecurity has become a multimillion-dollar industry. How much should a business spend to protect itself from these threats? The costs of cyberattacks and cybersecurity can vary greatly, but we want to help you understand the approximate cost for an average company.

When choosing a great IT provider your budget is one of the main factors to consider. But this doesn’t mean you have to compromise the quality of service you’ll get. You don’t have to break the bank to get world-class cybersecurity.

Cybersecurity is a huge concern for businesses of all sizes. That’s why it’s important to think about how much money you want to spend and what kind of return on investment (ROI) will meet your needs the most effective. For example, if spending $100K per year prevents 1 million lost from cyber attacks then that would be an excellent return with minimal risk!

How Much is the Average Cybersecurity Budget?

A recent survey by Deloitte shows that companies have increased their cybersecurity budget since the start of the pandemic. According to the survey, an average organization spends about 10-15% of the total IT budget on cybersecurity each year, which includes products, services, support, and consulting fees. This figure excludes other IT security expenditures such as firewalls or intrusion detection systems (IDS) since this could vary widely depending on how many devices you need to be secured.

We can see that companies have already started to understand cybersecurity as a business issue and not just an IT problem. That is why cybersecurity spending continues to grow at more than three times the rate of inflation, which has been relatively flat for years now.

The cybersecurity market is expected to grow by a double-digit percentage over the next several years and cybersecurity spending will continue. The problem is that cybersecurity costs can be very high in terms of initial outlays, but also ongoing expenses once your infrastructure is up for it.

What do You Need to Consider When Setting Your Cybersecurity Budget?

This is a great time for your business to invest in cybersecurity. The market is growing and the return on investment (ROI) for most cybersecurity investments is high. But, like anything else, there are some things you should keep in mind before making your decision.

There are so many different variables and factors involved when it comes to determining your cybersecurity budget. Here are some ideas on how you can efficiently create it:

• Calculate your cybersecurity risk. This will involve understanding the value of your data and how likely it is that an attack could occur. You also need to factor in things like the cost of a potential breach, as well as the time and money it would take to recover from an attack. For example, when Target had a breach last 2013, it cost them $90M and the unrecoverable damage it caused their reputation.
• Factor in your cybersecurity needs. This will include the type of security you need, as well as the size and complexity of your network. You also need to consider any compliance requirements you may have.
• Consider your cybersecurity budget. Now that you understand your risk and needs, it’s time to set a budget. Make sure to allocate enough funds for both prevention and response, and remember that these costs will likely continue to rise over time.

When it comes to cybersecurity, businesses should be prepared to spend a significant amount on IT/Cybersecurity in order to protect their valuable data and infrastructure from cyberattacks.

Cybersecurity budgets will likely continue this trend upward through 2022 thanks in part to geopolitical tensions around cybersecurity. In the ever-changing world of cybersecurity, it can be difficult to know how much you should spend on your company’s security. But one thing is certain: preventing cyber attacks will always be cheaper than repairing any damage they may cause. So don’t wait! Contact us today and we can help you work things out with your cybersecurity needs!