You’ve balanced the books. Squeezed every dollar from operations. Watched every hire, lease, and expense. 

But while you’ve been busy protecting the budget… who’s protecting you the day after a breach? 

Let’s be clear: when hackers hit, it’s not your CISO, your IT team, or your insurance broker in the hot seat. 

It’s you. 

The CFO. 

The one who should have known better. 

Because the real damage doesn’t end when the ransomware is cleaned up. It begins when your clients start asking, “How did this happen?” And worse—when their lawyers start asking, “Why weren’t you prepared?” 

Here’s what we’re seeing: CFOs making three fatal mistakes that turn a manageable crisis into a full-blown legal and financial catastrophe. 

Mistake #1: Thinking Compliance Is a Checklist—Not a Courtroom Argument 

You’re thinking, “We don’t store credit cards. We’re not a hospital. We’re not a bank.” 

But here’s what you do have: user data. Client records. Email logs. HR files. 

And if you’re collecting any of that? You’re already on the hook under the Federal Trade Commission Act, 15 U.S.C. § 45. That means if you promise to protect it—and don’t—you’re not just negligent. You’re liable. 

That’s the first fatal mistake: treating compliance like it’s about passing an audit. 

It’s not. 

After a breach, you’re not the victim. You’re the defendant. 

And in court, no one cares about your binder of policies. They care about what you did—and whether you can prove it. 

Mistake #2: Making Promises Without Proof 

Most companies think they’re covered. Policies? Check. Tools? Deployed. Maybe even some training. 

But here’s the kicker: those commitments don’t count unless you can prove you followed through. 

Because guess what? The breach is already public. The plaintiffs don’t have to prove you got hacked. That’s a given. 

They just have to ask, “Did you act responsibly?” And if all you’ve got is lip service, you’ve already lost. 

  • Said your systems were secure, but MFA was “coming soon”? That’s misrepresentation.
  • Didn’t require employee security training? That’s negligence.
  • Vendor contracts with vague accountability? That’s exposure.

You made promises. Now you have to prove you kept them. 

Mistake #3: Believing Great Security Is Enough Without Evidence 

Let’s say your security’s actually good. Strong stack. Trained team. Clean audits. 

Doesn’t matter. 

If you can’t prove it, it didn’t happen. 

Just ask the CFOs who’ve been dragged through court in the last 90 days. Ask their lawyers. They’ll all tell you the same thing: 

“We thought IT had it covered.” 

That excuse doesn’t stand up in a deposition. 

When the breach hits and there’s no evidence of who did what, when—it’s open season. Settlements hit six or seven figures. Reputations evaporate. 

In this game, it’s not the most secure company that survives. 

It’s the one with the receipts. 

Want to make sure your organization doesn’t become the next cautionary tale? 

It starts with an independent cybersecurity assessment. We’ll show you exactly where the gaps are, what evidence you’re missing, and how to fix it—before the breach and the lawyers show up. 

Start here: https://www.galacticadvisors.com/third-party-assessments/