Industry & Compliance ~$8,000lost per hour of downtime (SMB average)

What an Hour of Internet Downtime Actually Costs Your Business

TB Telebridge Editorial · July 21, 2026 · 6 min read
SMB downtime averages around $8,000 an hour, and the typical small business loses ~14 hours a year — most owners underestimate it 3–4×. Here is the real math, and how to prevent it.
~$8,000/hr average SMB downtime cost
~14 hrs downtime per year, typical
3–4× how much owners underestimate it
78% of SMBs: one hour costs $10,000+

Ask a small-business owner what an internet outage costs them and most will shrug — a bit of lost time, maybe a few missed sales. The measured number is a lot higher, and it recurs every year.

Industry research puts the average cost of small-business downtime at roughly $8,000 per hour, and 78% of small businesses say a single hour costs them more than $10,000. Those figures are not just lost sales — they combine four things most owners never add up.

#The four buckets

The four cost buckets of an outage. Most owners count only the first — which is why downtime is routinely underestimated 3–4×.
  • Lost revenue — sales that do not happen because customers cannot pay, orders cannot process, or the storefront (physical or online) is effectively closed.
  • Idle payroll — you are still paying everyone who cannot work. A 15-person team at a $35/hour loaded cost is over $500 an hour, doing nothing, through no fault of their own.
  • Recovery and overtime — emergency IT time (often at 2–3× normal rates), plus the overtime to catch up on the backlog once you are back.
  • Reputation — the customer who could not check out, the client who sat through a dropped call, the review that mentions it.
Downtime is not a rare catastrophe you can ignore. For the average small business it is about 14 hours a year — a recurring line item you are paying whether you plan for it or not.The part owners miss

#Why small businesses get hit harder

In absolute dollars, an enterprise outage costs more. But proportionally, small businesses get hurt worse — for a simple structural reason: no redundancy. When a small business loses its connection, there is usually no second internet line to fail over to, no monitoring to catch the outage early, and no in-house IT to troubleshoot at 6 a.m. The result is longer outages and higher emergency costs, on the businesses least able to absorb them.

#What prevention looks like

A second connection that automatically takes over costs a fraction of a single serious outage — and turns the outage into something your customers never notice.

For most Alberta and B.C. businesses, resilience is a matter of design, not budget: a properly sized primary connection, an automatic failover path (wireless or a second line) for when it drops, and monitoring so issues are caught early. As a Rogers Business dealer, Telebridge builds connectivity with that redundancy in, sized to what your operations actually require — so an outage upstream does not become an outage for your customers.

Sources

Every figure in this article traces to one of the following. Where a number is derived rather than reported, it is labelled in the text.

  1. State of the Channel Ransomware Report (SMB downtime cost) Datto View source
  2. Hourly Cost of Downtime Survey Information Technology Intelligence Consulting (ITIC) View source
  3. The real cost of business internet downtime Business.com View source
Telebridge Editorial

Written in-house by the team running connectivity, payments and sales operations for Canadian businesses. We disclose commercial relationships in the article rather than in a footer.

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