Encryption is a vital tool for small businesses to protect their sensitive data from hackers. At its core, encryption converts readable data into an unreadable format using a specific algorithm and an encryption key. This means that even if a hacker gains access to the data, they cannot understand it without the corresponding decryption key. This layer of security is crucial for small businesses, which often handle sensitive customer information, financial records, and proprietary business data. By encrypting this data, businesses can ensure that it remains confidential and secure from unauthorized access.