{"id":207014,"date":"2021-06-25T13:57:59","date_gmt":"2021-06-25T00:57:59","guid":{"rendered":"https:\/\/legalvision.co.nz\/?p=207014"},"modified":"2025-05-30T17:53:30","modified_gmt":"2025-05-30T04:53:30","slug":"business-cyber-threat","status":"publish","type":"post","link":"https:\/\/legalvision.co.nz\/data-privacy-it\/business-cyber-threat\/","title":{"rendered":"What Cyber Threats Does My Online Business Face?"},"content":{"rendered":"\n<p>A brick-and-mortar store protects its premises with a burglar alarm, and you need to do the same for your online business. Therefore, you should know what business <a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/business-cyber-threat\/\">cyber threats<\/a> are and how to protect yourself and your customers against them. Customers rely on businesses to store their personal and sensitive data securely against cyber-attacks. Therefore, you need to identify what risks you may encounter in your online business. This article will identify potential cyber threats for your business and how you can meet your legal requirements for adequately protecting against them.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Cyber Threats to Your Business<\/h2>\n\n\n\n<p>When you operate your business online, this will require large volumes of data transmission and storage. Indeed, whilst this digital access makes business operations easier for you, it also increases the potential for online risks to eventuate. These risks can expose you and your customers to data breaches. Cyber threats can take many forms, whether they are deliberate or accidental. For example, potential threats to your business may include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Cyber attacks:<\/strong> when a third party discovers weak points in your security and data systems and exploits them for their own gain, such as malware or denial-of-service attacks.<\/li>\n\n\n\n<li><strong>Data breaches:<\/strong> where information leaks into an unsecured environment or unauthorised persons gain access to sensitive business data. If the data leaked includes <a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/owns-personal-data\/\">personal or sensitive data<\/a>, this can induce legal liability.&nbsp;<\/li>\n\n\n\n<li><strong>Business email compromises:<\/strong> where a third party has unauthorised access to your business&#8217; email accounts and then pretends to be your business.<\/li>\n\n\n\n<li><strong>Insider threats<\/strong>: where someone with insider knowledge of your data systems threatens your business.<\/li>\n<\/ul>\n\n\n\n<p>The consequences of a successful attack or data breach can be devastating for your business. However, this depends on the nature of the compromised data. In some cases, you can incur legal liability if you do not implement adequate safeguards against such cyber threats, especially when they involve customer data.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Common Types of Cyber Attacks<\/h2>\n\n\n\n<p>Some of the most common cyber attacks businesses face include phishing scams, ransomware attacks, and distributed denial of service (DDoS) attacks.&nbsp;<\/p>\n\n\n\n<p>Phishing scams involve tricking employees into revealing login credentials or other sensitive information through fraudulent emails or websites. The hackers can use this data to access sensitive information and wreak havoc on your business. Ransomware attacks encrypt a company&#8217;s data and hold it for a ransom payment. DDoS attacks overwhelm a website or network with traffic, causing it to crash or become unusable.&nbsp;<\/p>\n\n\n\n<div  class=\"box box--icon box--star\">\n    <p>These types of attacks can cripple business operations and lead to data breaches, financial losses, and reputational damage.<\/p>\n<\/div>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+64800005570\" class=\"not-prose\">0800 005 570<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we 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Many successful attacks exploit human error or lack of awareness about cyber risks. By educating employees on topics like recognising phishing attempts, creating strong passwords, and handling sensitive data securely, businesses can significantly reduce their vulnerability to cyber-attacks. Regular training and testing should be a core part of any comprehensive cybersecurity strategy.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Legal Responsibility for Online Security&nbsp;&nbsp;<\/h2>\n\n\n\n<p>When you deal with customers&#8217; (and employees&#8217;) personal information, the law requires that you have reasonable safeguards in place according to the sensitivity of the data. For example, personal data that your online business collects may include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>customers&#8217; names;&nbsp;<\/li>\n\n\n\n<li>delivery addresses;<\/li>\n\n\n\n<li>location data;<\/li>\n\n\n\n<li>cookie data;&nbsp;<\/li>\n\n\n\n<li>debit or credit card details; and<\/li>\n\n\n\n<li>IP addresses.<\/li>\n<\/ul>\n\n\n\n<p>For example, any kind of financial data lost to a cyber attack would have disastrous consequences for your customers, such as identity theft. Therefore, when you collect and store such personal data, you need to know about threats to that data and how to protect against those threats.<\/p>\n\n\n\n<p>What qualifies as reasonable security measures will depend on:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>the sensitivity of the personal data you collect;<\/li>\n\n\n\n<li>what you use the data for;<\/li>\n\n\n\n<li>what safeguards\/software you have available; and<\/li>\n\n\n\n<li>the consequences of the personal data not being secure.<\/li>\n<\/ul>\n\n\n\n<p>If you fail to protect customers&#8217; personal information adequately, they can complain to the <a href=\"https:\/\/www.privacy.org.nz\/\">Privacy Commission<\/a>, who will then investigate. Further, if the case is severe enough, they can recommend it to the Human Rights Review Tribunal. Customers can also bring civil proceedings against your business if you do not protect their personal data appropriately.<\/p>\n\n\n    <div class=\"my-7 lg:my-10 border-y-2 border-gray-100 py-7 lg:py-10 flex flex-col sm:flex-row items-start gap-10\">\n                    <img decoding=\"async\" class=\"w-52 mx-auto my-0! rounded\" src=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2022\/02\/21064805\/online-business-nz.jpg\" alt=\"Front page of publication\"\n                 loading=\"lazy\" width=\"208\" height=\"298\">\n                <section>\n            <div class=\"text-2xl font-bold\">Guide to Starting an Online Business in New Zealand<\/div>\n            <div class=\"body-text\">\n                <p>This guide will help you learn how to launch your new online business.<\/p>\n            <\/div>\n            \n\n<a href=\"https:\/\/go.legalvision.com.au\/online-business-nz-guide.html\" class=\" block px-5 py-3.5 max-w-fit bg-orange button__hover transition rounded text-white font-bold text-lg no-underline uppercase leading-tight text-center\" target=\"\" rel=\"\">Download Now<\/a>        <\/section>\n    <\/div>\n\n\n\n\n<h2 class=\"wp-block-heading\">Data Breaches at Your Business<\/h2>\n\n\n\n<p>If you do experience a cyber attack that leads to a data breach, you need to take appropriate steps to mitigate its consequences for you and your customers. Indeed, where such a breach involves personal information and is likely to cause serious harm, the law requires that you <a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/notifiable-privacy-breach\/\">report the breach<\/a> to both the:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Privacy Commission; and<\/li>\n\n\n\n<li>any affected individual(s).<\/li>\n<\/ul>\n\n\n\n<p>You will likely need to notify any third-party contractors if the breach affects them. If the data breach affects sensitive or confidential information, this could also have contractual consequences. Therefore, it is crucial to identify the indicators of a data breach and what preventative measures you can implement.&nbsp;<\/p>\n\n\n\n<div  class=\"box box--icon box--info\">\n    <p>For example, your business\u2019 account access logs may indicate unusual logins from your staff. This could indicate unauthorised access in a data breach, so following up on any suspicious behaviour is important.<\/p>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\">Protecting Against Cyber Threats<\/h2>\n\n\n\n<p>You cannot completely eliminate the risk of cyber threats to your online business, but you can take steps to lessen that risk. This means:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>identifying weak points in your security and fixing them;<\/li>\n\n\n\n<li>having a cybersecurity policy;<\/li>\n\n\n\n<li>training your staff to recognise cyber threats;<\/li>\n\n\n\n<li>strengthening passwords and login credentials;<\/li>\n\n\n\n<li>limiting access to sensitive data; and<\/li>\n\n\n\n<li>implementing appropriate cybersecurity software for your databases.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Key Takeaways<\/h2>\n\n\n\n<p>Running an online business is increasingly accessible now, but it has its own risks that you need to know about. If you do not adequately protect against cyber threats, you could face legal penalties as well as reputational loss. Customers trust you when they give you their personal data, so you need to take steps to reduce any risks to that data.<\/p>\n\n\n\n<p><span style=\"font-weight: 400\">If you need more information about your legal liability online, <\/span>our experienced <span style=\"font-weight: 400\"><a href=\"https:\/\/legalvision.co.nz\/it-lawyers-lp\">data and privacy lawyers<\/a><\/span> can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on <a href=\"tel:+64800005570\" class=\"AVANSERnumber dynamic-number\">0800 005 570<\/a> or visit our <a href=\"https:\/\/legalvision.co.nz\/membership\/\">membership page<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"font-weight: 400\">Frequently Asked Questions<\/span><\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1624580337194\"><strong class=\"schema-faq-question\">What is a cyber threat?<\/strong> <p class=\"schema-faq-answer\">A cyber threat is anything that threatens your business using online channels or digital data. This can include cyber attacks, scams, or data breaches.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1624580350563\"><strong class=\"schema-faq-question\">How can I protect my business against cyber threats?<\/strong> <p class=\"schema-faq-answer\">You can protect your business against cyber threats by identifying weak points in your security systems and accounting for them. For example, you should encrypt any important business data, especially when it involves personal information.<\/p> <\/div> <\/div>\n<div class=\"not-prose m-feedback-prompt\">\n    <!-- Thumbs up\/down bar -->\n    <div class=\"m-feedback-prompt__main\">\n        <div class=\"m-feedback-prompt__title\">Was this article helpful?<\/div>\n        <div>\n            <!--span class=\"m-feedback-prompt__button--text\">Thanks!<\/span-->\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--yes\"\n                    data-analytics-link=\"feedback-prompt:yes\" aria-label=\"Agree\">\n                <i class=\"fa-regular fa-thumbs-up fa-3x\"><\/i>\n            <\/button>\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--no\"\n                    data-analytics-link=\"feedback-prompt:no\" aria-label=\"Disagree\">\n                <i class=\"fa-regular fa-thumbs-down fa-3x\"><\/i>\n            <\/button>\n        <\/div>\n    <\/div>\n\n    <!-- Feedback form -->\n    <div class=\"m-feedback-prompt__form\">\n        <div class=\"m-feedback-prompt__form--thanks \">\n            <div>Thanks!<\/div>\n            <p>\n                We appreciate your feedback \u2013 your submission has been successfully received.            <\/p>\n        <\/div>\n        <form id=\"contact-form\" class=\"m-feedback-prompt__form--form\" action=\"\" method=\"post\">\n            <input type=\"hidden\" id=\"authenticity_token\" name=\"authenticity_token\" value=\"ed19fd34f0\" \/><input type=\"hidden\" name=\"_wp_http_referer\" value=\"\/api\/wp\/v2\/posts\/207014\" \/>            <input value=\"https:\/\/legalvision.co.nz\/data-privacy-it\/business-cyber-threat\/\" type=\"hidden\" name=\"currenturl\"\n                   id=\"currenturl\">\n            <input value=\"What Cyber Threats Does My Online Business Face?\" type=\"hidden\" name=\"currenttitle\"\n                   id=\"currenttitle\">\n            <label>\n                <!-- display on thumbs-up -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--yes\">\n                    Can you tell us <span class=\"font-semibold\">why<\/span> you found it helpful?\n                <\/span>\n\n                <!-- display on thumbs-down -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--no text-lg\">\n                    How can we better improve this article?\n                <\/span>\n                <textarea name=\"feedbackmessage\" id=\"feedbackmessage\" required><\/textarea>\n            <\/label>\n\n            <div class=\"m-feedback-prompt__form--error\" id=\"form-submit-error\"><\/div>\n            <button id=\"submit-contact-form-button\" type=\"submit\" name=\"commit\" class=\"m-feedback-prompt__form--submit\"\n                    data-analytics-link=\"feedback-prompt:submit\">\n                Submit            <\/button>\n        <\/form>\n    <\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>A brick-and-mortar store protects its premises with a burglar alarm, and you need to do the same for your online business. Therefore, you should know what business cyber threats are and how to protect yourself and your customers against them. Customers rely on businesses to store their personal and sensitive data securely against cyber-attacks. Therefore,<a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/business-cyber-threat\/\">Continue reading <span class=\"sr-only\">&#8220;What Cyber Threats Does My Online Business Face?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13496,"featured_media":201812,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"1621,216228,205600,205152,202189,210295","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[28],"tags":[25,257,258,506,507],"class_list":["post-207014","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-data-privacy-it","tag-small-business","tag-cybersecurity","tag-cybersecurity-policy","tag-privacy-breaches","tag-data-and-privacy"],"acf":[],"yoast_head":"<!-- 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Zealand"},"image":{"@id":"https:\/\/legalvision.co.nz\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/LegalVision","https:\/\/x.com\/LegalVision_law","https:\/\/www.linkedin.com\/company\/legalvision-group"]},{"@type":"Person","@id":"https:\/\/legalvision.co.nz\/#\/schema\/person\/e9616ad9a9aa00d136d779d4efd56796","name":"Georgia MacKay","image":{"@type":"ImageObject","inLanguage":"en-NZ","@id":"https:\/\/legalvision.co.nz\/#\/schema\/person\/image\/","url":"https:\/\/legalvision.com.au\/wp-content\/uploads\/2024\/06\/georgia-mckay-96x96.png","contentUrl":"https:\/\/legalvision.com.au\/wp-content\/uploads\/2024\/06\/georgia-mckay-96x96.png","caption":"Georgia MacKay"},"url":"https:\/\/legalvision.co.nz\/author\/georgiamackay\/"},{"@type":"Question","@id":"https:\/\/legalvision.co.nz\/data-privacy-it\/business-cyber-threat\/#faq-question-1624580337194","name":"What is a cyber threat?","acceptedAnswer":{"@type":"Answer","text":"A cyber threat is anything that threatens 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This can include cyber attacks, scams, or data breaches.","inLanguage":"en-NZ"},"inLanguage":"en-NZ"},{"@type":"Question","@id":"https:\/\/legalvision.co.nz\/data-privacy-it\/business-cyber-threat\/#faq-question-1624580350563","name":"How can I protect my business against cyber threats?","acceptedAnswer":{"@type":"Answer","text":"You can protect your business against cyber threats by identifying weak points in your security systems and accounting for them. 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