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Microsoft 365 security mistakes SMEs make — with expert Trisha Mungur

Trisha-Mungur-365-Microsost-expert Trisha-Mungur-365-Microsost-expert

Many small and mid-sized businesses believe they’re too small to attract cybercriminals.

“We’re only 20 people.” 
“We’re not a big corporation.” 
“Why would anyone target us?”

Yet most Microsoft 365 security incidents affecting SMEs don’t start with advanced hacking. They start with small configuration gaps.

The real issue isn’t company size. It’s governance.

Why Microsoft 365 security for SMEs often falls short

Microsoft 365 is a powerful platform for collaboration and productivity.

Email. 
Teams. 
SharePoint. 
Remote access.

But in many SMEs, it’s configured for convenience rather than control.And that’s where risk begins.

The most common Microsoft 365 mistakes SMEs make

1. MFA enabled - But not enforced

Multi-Factor Authentication (MFA) is one of the most effective cybersecurity controls available.

Yet many small businesses:

  • Make MFA optional
  • Allow users to delay setup
  • Leave legacy authentication active

Without enforced MFA, a compromised password can still lead to a full account takeover.For SMEs, enforcing MFA is not optional - it’s foundational.

2. Too many global administrators

In smaller teams, admin rights are often shared freely.But every global administrator account increases exposure.

If one admin account is compromised, attackers can:

  • Reset passwords
  • Access sensitive data
  • Disable security settings

Limiting admin access is a critical Microsoft 365 security control for SMEs.

3. Conditional Access left unused

Many SMEs pay for Microsoft 365 Business Premium, which includes Conditional Access - but never activate it.

Conditional Access allows businesses to:

  • Block high-risk login attempts
  • Restrict access from unmanaged devices
  • Require additional verification based on risk

Without it, login policies remain basic and reactive.This is one of the most underused Microsoft 365 security features in small businesses.

4. Assuming cloud means backup

A common misconception in SME cybersecurity is:

“If it’s in the cloud, it’s backed up.”

Microsoft secures the infrastructure. Your organisation remains responsible for protecting its data.

Without a structured backup solution:

  • Accidental deletions may be permanent
  • Ransomware can encrypt files
  • Retention limits may erase recoverable data

Cloud storage does not automatically equal business continuity.

5. Paying for security features that aren’t configured

Many SMEs already pay for advanced protection within Microsoft 365, including:

  • Microsoft Defender
  • Device management (Intune)
  • Identity protection
  • Data Loss Prevention

But these features often remain inactive or unmonitored.Buying licences alone does not improve Microsoft 365 security posture.Configuration and ongoing review do.

6. No regular security review

Microsoft 365 environments evolve.

Employees join and leave. 
Devices multiply. 
Permissions change.

Yet many SME tenants are configured once and never reassessed.

Over time this leads to:

  • Stale accounts
  • Excessive permissions
  • Security drift
  • Increased risk exposure

SME cybersecurity requires periodic review - not one-time setup.

You should ask yourself : 

If a Microsoft 365 account in your company was compromised tomorrow:

  • Would the damage be limited?
  • Would you detect it quickly?
  • Could you recover without disruption?

For many SMEs, Microsoft 365 has become critical business infrastructure.It deserves structured oversight - not just convenience.Because company size does not determine risk.Security discipline does.

Contact our team to learn more.

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