Small Business Fraud is on the Rise – 3 Things You Can Do Right Now To Protect Your Business
Updated: Mar 22, 2022
If you assume that your small business will glide peacefully under the radar of the hacker community, you’re not alone. And unfortunately, you may be setting yourself up for disaster.
According to Keeper Security SMB Cyberthreat Study, nearly 70% of senior decision-makers at small businesses believed that they were unlikely to be targeted by cybercriminals. But they’re wrong. CNBC found that hackers target small businesses at least 43% of the time, and yet only 14% of companies were prepared to defend themselves.
What’s worse? According to the National Cyber Security Alliance, 60% of companies go out of business within six months after falling victim to a data breach.
Centrust Bank advises our business owners to take the threat of fraud seriously. Here are 3 immediate steps to protect business accounts:
1. PASSWORD PROTOCOLS
Change your passwords regularly. Insist that any critical banking accounts require long and varied passwords.
Enable two-factor authentication for any sensitive accounts
Install and regularly update anti-virus software
Limit employees’ access to sensitive data
2. PAYROLL PROTECTION
Payroll fraud occurs in 27% of all business, and twice as frequently in small business with fewer than 100 employees. As a business owner, have a working knowledge of the payroll system and enforce accountability among bookkeepers in their monthly reports. If you own a business where overtime is a factor, maintain consistent scrutiny.
3. INVOICE FRAUD
This scam involves hackers or even troubled employees that move funds to their own accounts under the guise of a supplier invoice. Another scam involves washing of checks to change the payee or amount of the check. The fraud may not be detected until it’s too late. Centrust Bank customers can enroll in Positive Pay, a powerful fraud prevention tool used by business customers to protect against check fraud. Centrust Bank’s Positive Pay Service helps detect suspicious transactions, such as reducing the risk of financial loss and safeguarding the reputation of your business.