PAM 
Implementing a Privileged Access Management (PAM) solution is an important step toward protecting your organization’s most sensitive data and systems. When executed correctly, PAM helps enforce
6 min read
Published on June 16, 2025
Monitoring privileged access is crucial for organizations of all sizes, not just large enterprises. Privileged Access Management (PAM) refers to the security and management of privileged accounts, such as administrators or third-party vendors, that have access to sensitive data and systems. Although PAM is traditionally viewed as a solution for large enterprises, small businesses also benefit significantly from implementing PAM solutions, especially as they expand into hybrid and cloud environments.
Continue reading to learn why small businesses need PAM and what features they should prioritize.
Why small businesses need privileged access management
Despite having fewer cybersecurity resources and less complex infrastructures, small businesses are prime targets for cybercriminals. Their perceived lack of defenses makes them appear to be easy entry points for cybercriminals looking to steal data, deploy ransomware or move laterally. According to the U.S. Chamber of Commerce’s 2024 Small Business Index Report, only 23% of small businesses feel very prepared to deal with cyber threats. A single compromised privileged account, such as an admin or service account, can result in financial loss and data breaches.
In addition to protecting against growing cyber threats, PAM helps small businesses:
- Enforce least-privilege access policies
- Monitor and log privileged activity
- Maintain compliance with standards like the General Data Protection Regulation (GDPR), Health Insurance Portability and Accountability Act (HIPAA) and Payment Card Industry Data Security Standard (PCI-DSS)
- Reduce human error and insecure credential sharing
Features to look for in a PAM solution for small businesses
When looking for a PAM solution, small businesses should prioritize a tool that is scalable and aligned with their operational capabilities. Here are the top PAM features that they should prioritize.
Easy, agentless deployment
Legacy PAM solutions can be overly complex for small businesses with limited IT resources. Instead, small businesses should look for cloud-based, agentless solutions that streamline deployment and eliminate the need for on-premises infrastructure or Virtual Private Networks (VPNs).
Modern PAM solutions can be deployed quickly, require no specialized network configurations and enable organizations without dedicated security teams to stay protected. This makes them far more accessible and manageable for small business environments.
Unified credential and secrets management
Managing privileged credentials, like passwords, SSH keys, API tokens and secrets, across multiple platforms increases the risk of human error and exposure. To combat these challenges, small businesses need a unified PAM solution that centralizes credential management in one secure, encrypted location. They should prioritize a PAM solution that offers centralized credential and password vaulting. This eliminates the need to use multiple tools, reducing the chances of privilege misuse.
Additionally, an ideal PAM solution should support secure secrets management for infrastructure and DevOps tools, ensuring IT teams can store and manage secrets, keys and tokens with the same level of protection as other credentials. Another important feature small businesses should look for in a PAM solution is automated password rotation across on-prem and cloud systems. With a unified approach to PAM, small businesses can improve their security posture, simplify administrative burdens and ensure compliance.
Least-privilege access control
Granting broad, unrestricted access can leave small businesses vulnerable if an account is compromised or misused. Enforcing the Principle of Least Privilege (PoLP) ensures users only have the access necessary for their role, minimizing security risks without disrupting productivity. Features to support PoLP include:
- Role-Based Access Control (RBAC): User access is limited to only what’s necessary to complete job tasks based on their role.
- Just-in-Time (JIT) access: Permissions are elevated only when needed and for a limited time.
- Credential-free sessions: Users connect to systems without the risk of exposing passwords or SSH keys.
Passwordless authentication and MFA
For small businesses, a modern PAM solution should support Single Sign-On (SSO) integration with existing providers, allowing users to authenticate once and securely access multiple systems. To enhance defenses against phishing and credential theft, small businesses should look for passkey support using FIDO2/WebAuthn standards for passwordless login. Just as important as supporting passkeys is enforcing Multi-Factor Authentication (MFA) across every system, including legacy platforms that may not natively support it.
Passwordless authentication is crucial for providing strict access controls that are secure, phishing-resistant and easy to use. These capabilities ensure consistent protection across small businesses without requiring major infrastructure changes. By choosing a PAM solution that prioritizes usability and advanced authentication, small businesses can improve their security posture without adding complexity or slowing down workflows.
Session recording and audit trails
For small businesses with limited IT resources, full visibility is a key part of detecting and responding to threats quickly. An effective PAM solution should offer:
- Session recording for SSH, RDP, database connections and browser-based sessions
- Detailed audit trails that log user activity and administrative changes
- Security Information and Event Management (SIEM) integration for real-time alerting and monitoring
These features help small businesses meet compliance requirements and respond quickly to suspicious activity.
Transparent, scalable pricing
Many legacy PAM solutions come with complex licensing, unexpected fees and costly add-ons that make them impractical for small businesses to adopt. Instead, small businesses need a PAM solution with transparent, per-user pricing that eliminates guesswork and avoids hidden fees. The right PAM solution for small businesses should include core features such as secrets management and session logging. As small businesses grow, PAM solutions should grow with them, allowing for an expansion from a handful of users to hundreds with ease.
Choosing a PAM solution built for SMBs
PAM is not just a tool for large enterprises; it’s an essential part of security for businesses of every size. With cybercriminals preying on small businesses’ limited resources, having a PAM solution that’s easy to deploy, affordable and built to scale is crucial for protecting sensitive data. KeeperPAM® delivers enterprise-grade security with user-friendly simplicity, offering small businesses agentless deployment and advanced audit capabilities in a centralized platform.
Request a demo of KeeperPAM today to protect your small business’s sensitive data and privileged accounts.
Frequently asked questions
Is PAM necessary for a business with fewer than 50 employees?
Yes, Privileged Access Management (PAM) is just as important for small businesses as it is for large enterprises. Even with fewer than 50 employees, a business still manages sensitive data, cloud systems and administrative accounts that must be protected. A single compromised privileged account can lead to a significant data breach, regardless of a company’s size. Fortunately, modern PAM solutions are designed to be affordable and easy to deploy, making them a practical tool for small businesses to use to improve their security posture.
Are there affordable PAM solutions for small businesses?
Yes, modern Privileged Access Management (PAM) solutions, like KeeperPAM, offer flexible per-user pricing models tailored to the needs of small and mid-sized businesses. These solutions remove the need for expensive and complex deployments, providing key features like credential management and remote access in a unified platform.
How difficult is it to implement PAM in a small business setting?
Implementing Privileged Access Management (PAM) in a small business is now easier than ever, thanks to modern cloud-native solutions that offer agentless deployment and user-friendly interfaces. Platforms like KeeperPAM don’t require on-premises servers, complex network changes or dedicated IT teams to set up and manage. Instead, KeeperPAM can be set up quickly and managed directly from a web browser or desktop app, making it an accessible resource for teams of any size.
Can PAM help with compliance requirements?
Yes, Privileged Access Management (PAM) is essential for organizations to meet compliance requirements across many standards, including the GDPR, HIPAA, PCI-DSS and SOC 2. PAM helps businesses demonstrate compliance during audits by enforcing least-privilege access, monitoring privileged sessions in real time, maintaining detailed audit logs and securing sensitive credentials. For small businesses, using a PAM solution reduces the risk of noncompliance penalties and simplifies the ability to align with strict security policies.
Does PAM only protect against external threats?
No, Privileged Access Management (PAM) protects against both internal and external threats. While it helps defend against cybercriminals, PAM is equally effective at reducing the risks of internal threats. Whether they’re malicious or unintentional, insider threats can be just as damaging as external threats, especially if they involve privileged accounts. To overcome this challenge, PAM enforces access controls, limits permissions and records session activity to assist in detecting suspicious behavior, preventing privilege misuse and holding users accountable.
