CDR for Startups: Security on a Shoestring Budget

I've watched too many startups learn about cloud security the hard way. Here's how to get it right from day one, even when your security budget is basically "whatever's left after ramen."

The Startup Security Reality

Let's be honest about where you are. You've got three engineers, one of whom doubles as DevOps, and your security budget is approximately $47 per month. Your CEO keeps asking "Do we really need this?" and you're not even sure what "this" is yet.

I've been the security person at four different startups, from pre-seed to Series B. I've seen the same mistakes over and over, and more importantly, I've learned what actually works when you're resource-constrained.

The Three Stages of Startup Security

Stage 1: Pre-Seed to Seed (2-10 people)

Your reality: Everyone has admin access to everything because "we'll fix it later." Your AWS bill is under $500/month and adding another $200 for security feels impossible.

What you actually need: Basic hygiene, not enterprise solutions. Enable AWS CloudTrail (it's $2/month), set up MFA on all accounts, and for the love of all that's holy, rotate that AWS root key that three people have shared via Slack.

Stage 2: Series A (10-50 people)

Your reality: You're hiring fast, people are leaving, and you're starting to realize that "everyone is admin" doesn't scale. Your board is asking about SOC 2, and you have no idea where to start.

What you need now: Basic detection and response. This is where CDR starts making sense, but you need the startup version, not the enterprise one.

Stage 3: Series B+ (50+ people)

Your reality: You have customers asking about your security posture. You need compliance frameworks. You might even have a dedicated security person (congratulations!).

What you need: Proper CDR, incident response procedures, and enough monitoring to actually know when something goes wrong.

Common Startup Security Disasters (And How to Avoid Them)

The "Database Backup to Public S3" Incident

I've seen this three times. Developer sets up automated database backups, accidentally makes the S3 bucket public, and suddenly your entire customer database is on the internet. It usually gets discovered when someone Googles your company name and finds your data on a security researcher's blog.

Prevention: S3 bucket policies that deny public access by default. Takes five minutes to set up, saves you from a potential company-ending breach.

The "Former Employee Revenge" Scenario

Startup life means people come and go. I once worked with a company where a disgruntled former engineer still had access to their production systems three weeks after being let go. Fortunately, he just logged in to prove a point, but it could have been much worse.

Prevention: Access management isn't sexy, but it's critical. Even with five people, you need a process for granting and revoking access.

The "We'll Secure It Later" Technical Debt

Every startup says they'll "add security later." But security debt compounds faster than technical debt. That hardcoded API key becomes three hardcoded API keys becomes a security architecture held together with hope and prayer.

Prevention: Build security into your development process from day one. It's easier to start secure than to retrofit security later.

CDR on a Startup Budget: What Actually Works

Here's the truth about CDR for startups: You don't need the enterprise solution that costs $50K annually. You need the 80% solution that costs $500/month and actually gets implemented.

Start with AWS Native Tools

AWS GuardDuty costs about $30/month for a typical startup. It's not perfect, but it catches the obvious stuff: compromised instances, suspicious API calls, and cryptocurrency mining (yes, that's a real threat).

Add Lightweight CDR

Look for solutions that integrate with your existing tools rather than requiring new infrastructure. If you're already using Slack for everything, get a CDR solution that sends alerts to Slack. Your developers will actually see them.

Automate What You Can, Accept What You Can't

You don't have a 24/7 SOC. You probably don't even have someone checking alerts every day. Design your security around the fact that humans are busy and unreliable.

Practical Implementation Steps

Week 1: The Fundamentals

• Enable MFA on all AWS accounts (yes, all of them)
• Turn on CloudTrail in all regions
• Set up basic billing alerts (security incidents often show up as unexpected costs first)
• Inventory who has access to what

Week 2: Basic Detection

• Enable AWS GuardDuty
• Set up CloudWatch alarms for suspicious activity
• Configure alerts that go somewhere people actually look
• Test your alerts (seriously, test them)

Month 2: Response Planning

• Write down what to do when alerts fire
• Make sure at least two people know the incident response process
• Practice shutting down compromised instances
• Document your infrastructure (you'll need this during an incident)

When to Level Up

You'll know it's time to invest more in security when:

• Customers start asking about SOC 2 compliance
• You're storing sensitive data (PII, financial info, healthcare data)
• Your AWS bill hits $10K/month (you can afford better security now)
• You have more than 20 employees
• You're in a regulated industry

The Bottom Line

Security at startups isn't about having the perfect solution. It's about having something that works, that your team will actually use, and that scales with your growth. Start small, be consistent, and level up as you grow.

Most importantly, don't let perfect be the enemy of good. A basic CDR setup that's actually running is infinitely better than an enterprise solution that never gets implemented because it's too complex or expensive.