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SMB THREAT LANDSCAPE REPORT

61% of small businesses were breached last year. Is yours next?

The threat data is in. Cyflare compiled the current numbers on ransomware, identity attacks, and readiness gaps so you know exactly what you’re up against.

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55%

SMB breaches involve a third party

Verizon DBIR 2025

88%

of SMB breaches involve ransomware

IBM Cost of a Data Breach 2025

$3.31M

average breach cost, under 500 employees

Spacelift, 2026

65%

of SMBs still don’t use MFA

Verizon DBIR 2025

WHAT'S IN THE REPORT

Three categories. One clear picture.

The Cyflare SMB Threat Landscape Report covers the risks shaping 2026, with every stat attributed to a numbered source. Here’s what’s inside.

31%

Vulnerabilities and phishing
Exploitation of unpatched vulnerabilities is now the leading way in. It’s up 55% in a year. Credential abuse still touches more breaches than anything else once you count the full attack chain.

55%

Third-party exposure
More than half of SMB breaches trace back to a vendor, partner, or supply-chain relationship, not a direct attack on the business itself. Ransomware-as-a-Service has lowered the barrier to entry. The pressure isn’t letting up.

34%

Readiness gaps
Only 34% of SMBs have a formal incident response plan. Insurance requirements are tightening. Most businesses don’t know where they stand.

THE GAPS ARE FIXABLE

Here's where to start.

Each risk in the report maps to a managed service that closes it. You don’t have to build this yourself.

Stop phishing before it reaches the inbox

Phishing drives 33.8% of SMB breaches. Managed Email Security filters AI-generated phishing and impersonation before employees ever see it.

Inside Managed Email Security Services »

Contain threats before they spread

Meet insurer requirements with managed endpoint detection. Ransomware gets contained before it moves laterally. Backups get validated. Coverage holds.

Inside Managed EDR Services »

Know what's exposed before attackers do

Vulnerability Scanning Services surface cloud misconfigurations, weak access controls, and unpatched systems on a schedule.

Inside Vulnerability Scanning Services »

Find out if your business is exposed

The data in this report reflects what’s happening to businesses your size right now. A 30-minute conversation with Cyflare will tell you exactly where you stand.

Find out if your business is exposed