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AI can make familiar scams—especially phishing and impersonation—more convincing and easier to scale. It also introduces risks when businesses use AI systems, including prompt injection, data poisoning, unauthorized access and unexpected outputs. The practical response is to strengthen core cybersecurity controls, verify high-impact requests independently, and set clear rules for what business data may go into AI tools.
U.S. guidance from the FTC, CISA and NIST informs the steps below. It does not establish how likely a small business is to be attacked specifically because of AI, and it is not a determination of legal duties for a particular industry or jurisdiction.
What AI changes—and what it does not
AI can generate or alter text, images, audio and video, giving scammers new ways to make a false identity or request seem plausible. NIST warns that AI can help produce increasingly convincing phishing attacks. But the core defense is familiar: do not treat a polished message, familiar voice or plausible-looking video as proof of identity. Confirm unusual requests through a separate channel you already trust.
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There is no small-business-specific attack probability or loss rate established by the cited federal guidance. That makes it more useful to prioritize safeguards that reduce several kinds of risk at once than to guess at a business’s odds of an AI-related incident.
How to protect your business from AI phishing and impersonation
Scam messages often appear to come from a familiar person or company, seek credentials or financial details, and create pressure to act quickly. AI can make the wording and apparent identity more convincing, so training that focuses only on spelling errors or strange phrasing is not enough.
Verify high-impact requests out of band
Require staff to confirm unexpected payment instructions, password resets, requests for sensitive information, or changes to vendor banking details using a known, independent channel. For example, call a number already on file rather than the number or link in the message. A reply to the same email thread is not an independent check if the account may be compromised.
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Make reporting easy and rehearse the response
Give employees a clear way to report suspicious messages and suspected account or device compromise. Make sure staff know whom to contact and what information to preserve. The FTC recommends staff training and an incident response plan; a useful plan assigns decision-makers and describes how to isolate affected systems and respond to compromised credentials or devices.
Set rules for business data in AI tools
Using an AI service can create a data-exposure risk even when no one is trying to attack the business. Employees may enter customer records, financial details, credentials, internal documents or other sensitive material into a service without knowing how it handles that information.
- Approve tools: Keep an inventory of AI services the business permits and identify who is authorized to use them.
- Classify information: State what staff may enter, what requires approval, and what must not be entered. Apply the rule to customer data as well as internal business information.
- Review vendor practices: Before adoption, ask what data the service receives, who can access it, how long it is retained, whether it is shared or reused for other purposes, and how it can be deleted.
- Set contractual expectations: Document relevant security and data-handling requirements, including use, sharing, retention and deletion.
- Limit access: Give employees and vendors only the access needed for their roles, and know how to revoke access when it is no longer needed.
The FTC’s small-business cybersecurity guidance and NIST’s AI and cybersecurity resources support treating vendor data practices as part of the security decision, not as an afterthought.
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Prioritize safeguards that protect more than one way
The FTC recommends a set of practical controls for small businesses. Apply them in an order that closes common gaps first, then check that the business can recover if an incident occurs.
- Secure accounts. Use strong, unique passwords and enable multifactor authentication (MFA) wherever available. A password manager can help staff maintain unique passwords; CISA includes password-manager guidance among its small-business resources. A hardware security key is one possible MFA factor, but check that it works with the accounts and devices in use and that account recovery is understood before relying on it.
- Keep software current. Turn on automatic updates where practical and apply security updates to operating systems, applications and devices. Unpatched software can leave known weaknesses available to attackers.
- Back up and test restoration. Maintain regular backups of important files and know how to restore them. A backup is most useful when the business has verified that it can recover the information it needs.
- Limit access and protect data. Restrict business and customer information to people and services that need it. Encrypt sensitive data and devices where appropriate.
- Train staff to report and verify. Teach employees to recognize suspicious requests, report them promptly, and confirm consequential instructions through a known separate channel.
- Plan to respond and recover. Document who makes decisions, how affected systems are isolated, how backups are restored, and how customers or relevant authorities will be notified if required.
- Review suppliers and AI services. Apply the same scrutiny to AI providers and other vendors that can access sensitive information. Record their security expectations and data-handling terms.
Use NIST CSF 2.0 to organize the work
NIST’s Cybersecurity Framework 2.0 Small Business Quick-Start Guide is designed to help smaller organizations with modest or no existing cybersecurity plans begin managing risk. Published February 26, 2024, the guide organizes cybersecurity around six functions:
- Govern: Set responsibilities and policies, including who approves tools and handles security decisions.
- Identify: Understand the business’s systems, data, suppliers and risks.
- Protect: Put safeguards in place, such as MFA, access limits, updates and training.
- Detect: Know how the business will notice suspicious activity or a possible incident.
- Respond: Define how the business will contain and manage an incident.
- Recover: Plan how to restore systems and operations.
The framework is a way to structure risk management, not a claim that every small business faces the same threats or needs the same controls.
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- Video previews – Record a few extra seconds before every motion event with Advanced Pre-Roll to get a more complete picture of what happened.
- Privacy at your fingertips – Turn off your camera and mic with the manual Privacy Cover, then reactivate with a simple swivel.
- Get important alerts – Get real-time alerts when the camera detects movement, and choose exactly what your camera covers so you only get notified above movement that matters.
- Versatile mounting options – Find the perfect angle on a table, or mount up high with the flexible swivel mount. Indoor Cam is plug-in, making it easy to move where you need it.
Evaluate tools, vendors and insurance on fit
For a security tool, consider whether it works with the accounts and devices the business actually uses, what protection it provides, how difficult deployment and recovery will be, how it handles access and data, what support is available, and the total cost. For an AI vendor, include data retention, permitted reuse, sharing and deletion in the review. The cited federal guidance does not rank products or vendors.
Cyber insurance may be worth considering as a separate business decision. The FTC describes first-party and third-party coverage; terms, exclusions, limits and obligations vary. Compare what events are covered, what response support is offered, and what conditions the policy imposes rather than assuming a policy replaces security controls.
What the guidance does—and does not—establish
NIST’s Generative Artificial Intelligence Profile (NIST AI 600-1), published July 26, 2024, discusses AI-related risks and risk management. NIST also lists broader challenges such as data governance, unauthorized use, supply-chain security and inaccurate or unexpected results in a presentation dated March 27, 2026. That presentation includes developing work, not a finalized standard; it should not be treated as proof that every listed issue affects every small business.
The practical foundation remains well-established small-business cybersecurity guidance. The FTC’s Cybersecurity for Small Business materials cover safeguards including updates, backups, strong unique passwords, MFA, encryption, training, access limits and incident planning. CISA’s Small and Medium-Sized Business Resources include additional small-business materials, including password-manager guidance. For phishing-specific advice, see NIST’s Small Business Cybersecurity: Phishing guidance, dated August 2025.
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