In modern times, startup companies are multiplying more rapidly than ever and as a result there is a large part of them in the market. The rise of technology contributed to this phenomenon, as they have many means of approach in their disposal and extensive visibility. In addition, consumers and businesses prefer startups, usually due to the low cost of their products. Furthermore, startups have great potential regarding their business future, thereby investors have turned to them.

 According to the above, these are the factors that increase the number of startups. A common mistake that startup companies make is not paying enough attention to their cyber security. In this article, we will analyze the reasons why startups don’t invest in cybersecurity and why they should.

Why companies don’t invest in cybersecurity

 According to a related research, 51% of startups do not own security systems. Their lack of preparedness originates from the following: 

Lack of motivation

 A key reason why startup companies do not focus on cyber security is the lack of motivation to bother with this issue. This is because a newly established company has set other priorities that they deem more important. This is something that hackers can exploit to carry out their attacks. 

Underestimating the seriousness of security 

 Many startups tend to dismiss cybersecurity, because of the fact that they are in an early stage of their life cycle. This means they do not think that they generate enough revenue for hackers to be interested in them. This approach is wrong, as no company is safe from cyber-attacks. 

Limited budget

 An additional reason that startups do not invest in cyber security is because the budget they have for their activities is limited. The finances of many startups are not in a very good condition during their inception. Thus, they give priority to other issues, which they consider more important. Ironically, if companies fall victim to an attack, the cost will be considerably higher. 

 According to a related research, it is estimated that the average cost of a malware attack for a large company is about 2.5$ million. Some large-sized companies are more capable of covering this cost, while smaller ones, such as startups, do not have the resources to achieve this. 

Why businesses need to make security a priority

 What may seem as logical “reasons” for not investing in cybersecurity, are not in fact reasons at all. Every company should be ready for possible cyber-attacks, regardless of their size and revenue. By investing in cybersecurity, a company protects both its finances and its reputation. Regarding reputation, it is very likely that a lot of personal customer information will be exposed. In this case, in addition to financial problems, legal problems may arise from leakage of personal data. All these are valid points for a company to incorporate cyber security in their business.


To conclude, startup companies need to reconsider their priorities and give more thought to such a significant issue as cybersecurity. The worries that they present as reasons, are not strong enough if someone considers the cost of a cyber-attack to a company. with the advanced systems and technologies helps you to have full control regarding the security of your systems to prevent a threat or improve a weak point. Now, it is not necessary to have engineering knowledge to build and use a log management and security analysis tool. You can turn your data into useful information easily and without many processes. You can increase the performance of your infrastructure or be alerted to potential problems and take appropriate action. Sign up for a free demo to realize Logstail’s capabilities.    

 Logstail also offers the services needed to effectively mitigate cyber-attacks. Our rapid incident response and advisory, penetration testing and red team operations are specifically designed to help our customers reduce cyber-attack incidents. Contact us at to receive a custom quote for your business or get free advice from our team of experienced security experts. 

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