Your Auto Dealership Cybersecurity Checklist

1. Set Up Secure Wi-Fi With Network Segmentation

The first item on your cybersecurity checklist should be configuring your dealership’s Wi-Fi properly. Too often, businesses launch with a single, shared network that handles everything, from staff computers to customer devices and payment terminals. That’s risky.

Start by setting up two distinct Wi-Fi networks:

One for internal dealership operations, accessible only by staff devices.
One for guest access, with limited bandwidth and device isolation.

Use enterprise-grade encryption (WPA3 or WPA2), rotate passwords regularly, and avoid using the router’s default settings. A segmented network protects sensitive systems even if a guest device is compromised.

2. Configure a Business-Class Firewall

Consumer-grade firewalls aren’t built to handle dealership-level data flow and threat protection. A professional-grade firewall acts as your digital gatekeeper, filtering traffic, detecting suspicious activity, and blocking unauthorized access.

When configuring your firewall, make sure to:

Block all unnecessary incoming ports
Enable Intrusion Detection and Prevention Systems (IDS/IPS)
Set geo-restrictions to limit traffic from high-risk countries
Regularly update firmware and security patches

This step is essential in any secure auto dealership setup.

3. Install Endpoint Protection on All Devices

From desktop workstations to mobile tablets and point-of-sale systems, every device that connects to your network is a potential vulnerability. That’s why endpoint protection—software that defends individual devices—is a must.

At minimum, install:

Advanced antivirus and anti-malware tools
Real-time threat monitoring
Device-level firewalls
Remote wipe capabilities for mobile devices

Don’t rely on built-in protection alone. Commercial endpoint solutions provide the visibility and control needed for secure dealership operations.

4. Create Employee Access Controls

Not every team member needs access to every system. Sales reps don’t need full administrative rights, and service technicians shouldn’t be able to modify payment processing tools.

Create role-based access policies by:

Limiting system privileges by job function
Requiring unique login credentials for each user
Enabling multi-factor authentication (MFA) across all accounts
Using Single Sign-On (SSO) for centralized access management

Clear access controls are one of the most effective ways to prevent internal threats and reduce exposure if a single account is compromised.

5. Audit Your Software and Systems

Many new dealerships piece together legacy tools, used software, or inherited systems without fully evaluating them for security risks. If you’re using outdated platforms, unsupported apps, or default settings, you’re vulnerable, even before the doors open.

Conduct a full audit of:

Operating systems (ensure support and updates are available)
Dealership-specific tools (DMS, CRM, inventory management)
POS and payment platforms
Browser plugins and email clients

Ask vendors about their update schedules, compliance protocols, and integration support. Staying up to date from the beginning reduces the risk of relying on tools that can’t keep up with modern security demands.

Strong cybersecurity keeps data safe and helps your tech run smoother for customers and staff. Learn how reliable IT systems can directly improve the car-buying experience, from online scheduling to faster in-store service.

6. Protect Customer Data at Every Touchpoint

One of the top concerns in auto dealership security is how customer data is handled. You’re collecting driver’s licenses, loan applications, and insurance details, all of which are targets for identity theft.

Build privacy into your systems with:

Encrypted data transmission (SSL/TLS for all web forms)
Local encryption for stored data (e.g., disk-level encryption)
Secure portals for document upload and sharing
Role-restricted access to financial and personal information

If you’re still using paper files, make sure those are stored securely as well. A digital-first approach, properly secured, reduces risk and improves efficiency.

7. Establish FTC Safeguards Rule Compliance From Day One

The FTC Safeguards Rule requires non-bank financial institutions (including auto dealerships offering credit) to implement specific measures to protect customer data. This isn’t optional, and penalties for non-compliance are steep.

Ensure your dealership cybersecurity compliance by:

Designating a qualified individual to oversee the information security program
Conducting risk assessments to identify system vulnerabilities
Implementing access controls, encryption, and multi-factor authentication
Monitoring activity on your network
Maintaining secure data disposal practices

Along with keeping you out of regulatory trouble, complying from day one builds trust with customers who expect you to treat their data seriously.

8. Train Employees on Security Awareness

Cybersecurity isn’t just about software and systems. Human error remains one of the most common causes of breaches. Phishing emails, weak passwords, and mishandled data are all issues that can be prevented with the right training.

Your cybersecurity checklist should include:

Regular training sessions on phishing awareness and secure habits
Simulated phishing tests to identify risky behaviors
Password hygiene enforcement (minimum length, complexity, rotation)
A clear reporting process for suspicious activity

Security training should be part of your onboarding process and reinforced regularly to keep everyone sharp.

9. Build a Backup and Disaster Recovery Plan

What happens if your systems go down? What if you’re hit by ransomware or suffer data loss? Without a tested recovery plan, you could face days of downtime and irretrievable data.

Ensure your dealership is prepared by:

Backing up all critical data to secure, off-site or cloud environments
Automating backups on a daily or hourly basis
Testing recovery procedures on a regular schedule
Documenting emergency procedures and contact points

This protects against hackers and is your safety net in case of hardware failure, natural disasters, or power outages.

10. Monitor Your Network Continuously

A “set it and forget it” approach doesn’t work when it comes to dealership cybersecurity. Threats evolve constantly, and new vulnerabilities emerge with every software update. Continuous monitoring allows you to detect unusual behavior before it becomes a real issue.

Consider tools that provide:

24/7 network monitoring with real-time alerts
User activity logs and audit trails
Threat detection dashboards
Remote visibility into hardware and software health

If you’re not able to manage this in-house, it’s smart to work with a provider who offers continuous oversight.

11. Set Up Vendor Risk Management

Dealerships rely on a wide range of third-party tools and services, from inventory platforms and marketing software to credit providers and insurance integrations. Each one adds complexity and risk.

Manage vendor-related cybersecurity by:

Reviewing security policies of every vendor you use
Restricting vendor access to only necessary systems
Including breach notification clauses in service agreements
Requiring proof of compliance with industry standards (like SOC 2 or ISO 27001)

Vendor risk is often overlooked, but one weak link in the chain can expose your entire dealership.

12. Make Security Part of Your Growth Strategy

Whether you’re opening your first dealership or your fifth, it’s easy to treat cybersecurity as a one-time setup. But long-term security depends on planning ahead. As your business grows, your infrastructure will need to scale, and your security protocols must evolve with it.

Include the following in your strategic plan:

Regular IT reviews and audits
Hardware and software lifecycle planning
Scalability built into your cloud and networking solutions
A trusted IT partner who grows with you

This step ensures that security doesn’t become a blocker to expansion, but rather, a foundation that supports it.

The Bottom Line: Build It Right the First Time

Launching a new dealership is an exciting milestone. But if cybersecurity takes a back seat, you’re building on unstable ground. From data breaches to system outages, the cost of not securing your infrastructure from the start can be massive.

This cybersecurity checklist gives you the foundation to launch with confidence, secure, compliant, and ready for growth. From Wi-Fi segmentation to FTC safeguards and endpoint protection, each step builds a stronger, smarter operation.

Whether you’re opening a single rooftop or expanding into multiple locations, getting these basics right sets your team up for long-term success. And with the right support, you won’t have to figure it out alone.

Secure Your Dealership from Day One With M7 Services

M7 Services helps new dealerships launch with cybersecurity built into every layer, from secure Wi-Fi and endpoint protection to FTC compliance and disaster recovery. Let’s make sure your tech is ready to support your business, not expose it. Reach out today for a launch-ready security strategy.

Your Ultimate Auto Dealership Cybersecurity Checklist

1. Set Up Secure Wi-Fi With Network Segmentation

2. Configure a Business-Class Firewall

3. Install Endpoint Protection on All Devices

4. Create Employee Access Controls

5. Audit Your Software and Systems

6. Protect Customer Data at Every Touchpoint

7. Establish FTC Safeguards Rule Compliance From Day One

8. Train Employees on Security Awareness

9. Build a Backup and Disaster Recovery Plan

10. Monitor Your Network Continuously

11. Set Up Vendor Risk Management

12. Make Security Part of Your Growth Strategy

The Bottom Line: Build It Right the First Time

Secure Your Dealership from Day One With M7 Services

Share This Post

More Like This

How Poor Dealership Network Infrastructure Is Costing Sales

IT Infrastructure Issues That Show Your Dealership’s Tech Is Outdated

Automotive Industry Solutions an IT Support Provider Can Provide

Cybersecurity Risks Automotive Dealerships Can’t Afford to Ignore

How Managed IT Improves Customer Experience in Auto Dealerships

The Importance of Managed IT for Dealerships

Stay Connected

Find Us

Call Us