Why Every Small to Mid-Sized Business Should Adopt NIST 800-171 Standards — Even If They're Not Required to

By: Joshua Beitler

Cyber security threats are evolving rapidly, and small to mid-sized businesses (SMBs) are no longer flying under the radar. As cyberattacks become more sophisticated and regulatory pressure increases, aligning with NIST 800-171 standards is no longer just a box to check; it is a smart business move.

Even for SMBs outside of federal contracting, adopting these controls builds trust, improves security posture and sets a foundation for future growth.

What Is NIST 800-171?

Developed by the National Institute of Standards and Technology (NIST), the 800-171 framework outlines how organizations should protect Controlled Unclassified Information (CUI) in non-federal systems. It consists of 14 families of security requirements covering everything from access control and encryption to incident response and personnel security.

This is a brief synopsis, to say the least, but the individual controls the framework puts into place can enhance an organization’s cyber security posture.

Why SMBs Should Care About These Standards

  1. Cyber Security Is Not Optional Anymore
    The cost of a single breach can be devastating for an SMB. NIST 800-171 provides a thorough, proven framework to reduce risk and identify vulnerabilities before they become liabilities. Cyberattacks are becoming more sophisticated with AI, and when put into the wrong hands, can increase an organization’s attack surface and highlight exposure that you may not have known you were vulnerable to.

  2. It Builds Competitive Advantage
    More customers, especially in B2B and regulated industries, want proof that their vendors take security seriously. NIST-aligned SMBs can stand out in competitive bids, gain trust and open doors to enterprise-level clients.

    As a managed services provider (MSP), we have seen a substantial increase in our customers’ vendors wanting them to, at a minimum, provide proof of 800-171 compliance and best practices. Having this already in place and not needing to scramble to implement new policies, procedures, equipment and software gives you the edge with vendors who are seeking partners that are already bringing their A-game (or better yet, their C-game, for cyber).

  3. It Future-Proofs Compliance
    Standards like Cybersecurity Maturity Model Certification (CMMC) are built on NIST 800-171. Even if you are not required to be compliant right now, being aligned puts you ahead of the curve when regulations eventually reach your sector. Pivoting into CMMC 1 is a lot easier when the foundation is already in place. Think of it like a pyramid. You need a good, strong foundation to build from. This is NIST 800-171.

  4. It Supports Cyber Insurance and Risk Reduction
    Carriers are tightening requirements and increasing premiums. Demonstrating compliance with frameworks like NIST 800-171 can improve your insurability and reduce premiums.

  5. It Shows You Take Customer Data Seriously
    In a world of rising data privacy expectations, implementing a security-first mindset is not simply good governance — it is good business. Keeping your client’s data, your company data and your employees’ data and information secure can show how important their information is to you and your company.

How MSPs Can Help

MSPs are in a great position to help guide you through this process. We have the tools, resources, knowledge and know-how to assess, implement and provide ongoing testing to ensure your organization meets all best practice requirements. Below, we break down the process for implementing 800-171 standards.

800-171 Implementation Process

  • Security assessments and gap analysis
  • Policy development (access control, incident response plans and group policy implementation)
  • Technical implementation (multi-factor authentication, logging, encryption, phishing testing and remediation)
  • Ongoing monitoring and reporting
  • Virtual chief information security officer (CISO) services

NIST 800-171 is not just for defense contractors. It is a smart, scalable framework that can protect your business’s data and security, all while boosting your credibility.

Need Help?

Gross Mendelsohn’s Technology Solutions Group can be your managed service provider and help your small to mid-sized business align with NIST. Contact us here or call 410.685.5512 for help.

Published August 6, 2025

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