The Crucial Role of Cybersecurity for Nonprofit Organizations in 2025

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As we step into 2025, the importance of cybersecurity for nonprofit organizations cannot be overstated. The digital landscape is fraught with evolving threats that pose significant risks to the operations, reputation and financial stability of nonprofits. This article aims to highlight the critical importance of cybersecurity for nonprofits, backed by recent statistics and trends, and to persuade executives and board members to prioritize this issue. Additionally, we will explore how BDO can assist in navigating these challenges and how artificial intelligence (AI) will play a pivotal role in defending against cyberattacks.

The BDO Benchmarking industry surveys noted that mitigating cybersecurity is in the top tier of IT challenges for 2025. 


The Growing Threat Landscape

Nonprofit organizations are increasingly becoming prime targets for cybercriminals. According to Integrity3601, nonprofits experienced a 30% year-over-year increase in the number of weekly cyberattacks in 2024. This alarming statistic underscores the vulnerability of nonprofits, which often lack the robust cybersecurity measures found in for-profit enterprises.

In 2024, 68% of breaches involved a human element, such as phishing or human error. This highlights the critical need for comprehensive cybersecurity training and awareness programs. The financial implications of cyberattacks on nonprofits are profound, with the average cost of a data breach reaching up to $2 million. This includes costs related to data recovery, legal fees and reputational damage control.


Financial and Operational Impacts

The financial impact of cyberattacks on nonprofits can be devastating. The average ransom demanded in a ransomware attack increased by nearly $1 million in 2024 compared to 2023. Despite this, very few organizations that paid the ransom received all their data back. Such incidents not only disrupt operations but also erode trust among donors and beneficiaries.

Nonprofits often operate on limited budgets, dedicating most of their funds to fulfilling their missions. This financial constraint makes it challenging to invest in advanced cybersecurity measures. However, the cost of inaction is far greater. Cyberattacks can lead to identity theft, loss of donor trust and diversion of precious funds to mitigate the damage.


The Need for Proactive Cybersecurity Measures

Given the increasing digitalization of nonprofit operations, from online fundraising to managing beneficiary data, it is imperative for nonprofits to adopt proactive cybersecurity measures. Unfortunately, many nonprofits are ill prepared. A staggering 78% of organizations feel their cyber resilience is insufficient to meet their needs. This gap in preparedness makes nonprofits attractive targets for cybercriminals.

To address these challenges, nonprofits must prioritize cybersecurity at the executive and board levels. This involves not only investing in technology but also fostering a culture of cybersecurity awareness and resilience. Regular training, robust data protection policies and incident response plans are essential components of a comprehensive cybersecurity strategy.


The Role of AI in Cybersecurity

AI is revolutionizing the field of cybersecurity by enhancing threat detection, response and prevention capabilities. Here are some top ways AI is being utilized in cybersecurity:

  1. Threat Detection and Prevention: AI systems can analyze vast amounts of data to identify patterns and anomalies that may indicate a cyber threat. Machine learning models establish baseline behaviors and detect deviations, enabling real-time threat detection and rapid response.
  2. Automated Response: AI can automate routine cybersecurity tasks such as log analysis, vulnerability scanning and incident response. By automating these processes, AI frees up human analysts to focus on more complex and strategic activities.
  3. Behavioral Analysis: AI-powered systems can monitor user behavior and network traffic to detect unusual activities. For example, AI can identify phishing attempts by analyzing email content and user interactions.
  4. Predictive Capabilities: AI's predictive analytics can anticipate potential cyberattacks by analyzing historical data and identifying trends. This allows organizations to implement preventive measures and strengthen their defenses against future threats.
  5. Enhanced Security Operations: AI enhances the capabilities of security operations centers (SOCs) by providing advanced threat intelligence and automated incident response. AI-driven tools can correlate data from multiple sources, prioritize alerts and provide actionable insights to security teams.
  6. Vulnerability Management: AI can continuously scan for vulnerabilities in systems and applications, providing real-time updates and recommendations for patching. This helps organizations stay ahead of potential exploits and reduce their attack surface.

How BDO Can Help

BDO offers a range of cybersecurity solutions tailored to the unique needs of nonprofit organizations. Our approach is built on the principles of Perpetual Defense, a multilayered strategy that combines enterprise-class technologies and security practices refined across numerous engagements worldwide.

  1. Cybersecurity Strategy Consulting: BDO helps nonprofits understand the specific threats they face and develop a tailored cybersecurity strategy. This includes assessing digital assets, identifying vulnerabilities and implementing appropriate defenses.
  2. Managed Cybersecurity Solutions: Our Managed Extended Detection and Response (MXDR) solution leverages advanced security tools and a dedicated SOC to provide 24/7 monitoring and threat response. This ensures continuous protection against evolving cyber threats.
  3. Cybersecurity Compliance: BDO assists nonprofits in achieving and maintaining compliance with relevant cybersecurity regulations and standards. This not only enhances security but also builds trust with donors and stakeholders.
  4. Active Insights and Active Protect: BDO's Active Insights service helps nonprofits maximize their security coverage while reducing operational costs. Active Protect provides continuous validation of cybersecurity measures through simulated attacks, ensuring that defenses are always up to date.

Conclusion

As we prepare to navigate the complexities of 2025, cybersecurity must be a top priority for nonprofit organizations. The risks are too significant to ignore, and the consequences of inaction can be devastating. By investing in robust cybersecurity measures and partnering with experts like BDO, nonprofits can safeguard their operations, protect their beneficiaries and continue to fulfill their vital missions with confidence.

For executives and board members, the message is clear: Cybersecurity is not just an IT issue; it is a critical component of organizational resilience and success. Taking proactive steps today can secure a safer tomorrow for your organization and the communities and stakeholders you serve.

Source:
1Integrity360 Cybersecurity Statistics 2024