CMMC for Small Businesses: Getting Ready for Compliance

Starting in Q1 2025, software providers in the DoD supply chain must align their security with CMMC 2.0 standards. While many enterprise customers have been spending that past year getting ready, the reality is that most businesses don’t share this level of preparedness–specifically, small businesses. 

Meeting the challenges of a complex framework like CMMC can be challenging for SMBs with limited IT resources. Here, we’ll discuss how these organizations can prepare for their impending compliance requirements and maintain their contractual arrangements within the Defense supply chain. 

 

Why Is CMMC Challenging for Small- to Mid-Size Businesses?

For SMBs, the path to CMMC compliance can be daunting due to financial constraints, limited technical expertise, and the overlapping requirements to manage their handling of Controlled Unclassified Information (CUI) and related Federal Contract Information (FCI). 

 

Understanding CMMC 2.0

CMMC represents an evolution of the original framework meant to streamline the certification process while maintaining robust cybersecurity standards. 

The quick and dirty explanation of these requirements falls under three different maturity levels:

  • Level 1: This level focuses on basic cyber hygiene practices and consists of 15 controls derived from the Federal Acquisition Regulation (FAR) 52.204-21. It is designed for small businesses that handle FCI but not CUI.
  • Level 2: This level corresponds to the 110 security controls specified in NIST Special Publication 800-171. It is intended for businesses that handle CUI and requires them to implement comprehensive cybersecurity practices.
  • Level 3: This highest level targets businesses involved in critical national security information. It includes over 110 controls based on NIST SP 800-171 and select controls from NIST SP 800-172, requiring an advanced and sophisticated cybersecurity posture.

Typically, Level 3 organizations have the most sophisticated IT needs, handling the most sensitive information and facing dangerous Advanced Persistent Threats (APTs). Following that, most small businesses will fall under Levels 1 or 2. 

 

Unique Challenges Faced by Small Businesses

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Small businesses encounter several distinct challenges when striving for CMMC compliance. These challenges often stem from their limited resources and expertise compared to larger organizations.

  • Cost and Budget: CMMC compliance can be expensive. The costs associated with upgrading and/or maintaining infrastructure can balloon quickly, and unlike larger corporations, small businesses may need help to allocate sufficient budget for these activities.
  • Limited Resources: Many SMBs lack dedicated IT or cybersecurity teams, relying on generalist staff or external contractors who may lack specialized knowledge of CMMC requirements. This lack of in-house expertise can hinder their ability to implement necessary controls and maintain ongoing compliance.
  • Complexity: The CMMC framework, with its detailed and technical controls, can be overwhelming for small businesses. Understanding and interpreting the standards, especially for Level 2 compliance, requires expertise many SMBs lack out-of-pocket.
  • Time Constraints: Small businesses often operate with lean teams, and dedicating time to understanding, planning, and implementing CMMC controls can detract from their core business operations. 

 

Critical Components of CMMC for Small Businesses

To meet CMMC requirements, small businesses need to focus on the critical components of the framework that are most applicable to their operations.

  • Basic Practices (Level 1): For Level 1 certification, small businesses must implement basic cybersecurity practices, such as using antivirus software, maintaining strong passwords, and ensuring regular system updates. Approaching these relatively simple requirements can seem straightforward… but as many SMBs soon find out, this is hardly the case. Many of these components will have conflicting or overlapping implementations that can impact your overall compliance posture. 
  • Enhanced Measures (Levels 2 and 3): For Level 2 compliance, SMBs must implement more advanced measures, including access controls, incident response plans, and regular security assessments. These are impossible to implement ad hoc and require a dedicated IT team or outsourced provider to manage compliance and security.

Strategies Small Businesses Can Implement to Achieve Compliance

Achieving CMMC compliance requires a strategic approach. Small businesses can adopt several strategies to navigate the compliance journey effectively:

  • Conducting a Gap Analysis: A thorough gap analysis helps identify existing vulnerabilities and areas where current practices fall short of CMMC requirements. This analysis provides a clear roadmap for necessary improvements and prioritizes critical areas for immediate action.
  • Utilizing Third-Party Managed Service Providers: For most SMBs, handling CMMC alone is simply unfeasible. However, working with a Managed Security Service Provider (MSSP) allows you to outsource audits, compliance, and governance to a dedicated expert who can handle the minutiae of monitoring without burdening your organization. 
  • Investing in Employees: Human error is a significant risk factor in cybersecurity. Training employees on best practices, recognizing phishing attempts, and understanding the importance of security protocols can significantly enhance an organization’s overall security posture.
  • Locating Cost-Effective Cybersecurity Tools: Many affordable tools are available to help small businesses meet CMMC requirements. Solutions like cloud-based security services, automated compliance management tools, and scalable security software can provide robust protection without breaking the bank–and this will often go hand-in-hand with a relationship with an MSP. 

Now, we could also discuss some basic security controls you can implement to start your CMMC journey, like:

  • Zero-trust systems
  • Powerful authentication and authorization
  • Network segmentation
  • Perimeter security
  • Antivirus/antimalware

And so on. 

However, we must stress that compliance is more than just picking the right technology for the rack. It’s an ongoing process of evolving security requirements and interconnected practices and responsibilities. Your best bet as a small business is to work with a provider who knows the framework and can help you pass audits year after year. 

 

Running a Small Business? Get Ready for CMMC with Lazarus Alliance

CMMC compliance is a critical requirement for small businesses operating in the defense sector. While the journey to compliance can be challenging, understanding the specific requirements and adopting a strategic approach can make the process manageable. Don’t go alone into your CMMC journey. Work with the professionals at Lazarus Alliance.

To learn more, contact us

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