Every business is susceptible to fraud, but small businesses are the most vulnerable. According to the Association of Certified Fraud Examiners (ACFE), private companies and small businesses rank highest in occupational fraud which can total a median loss of $164,000. Cybercriminals continue to develop sophisticated means to commit fraud. Spoof emails, malicious software spread through attachments and social media, fund transferring, and information breaches are just a few ways to gain access to business accounts. Many business owners aren’t aware that the same laws protecting your personal accounts don’t apply to business accounts.

How do you protect your business from becoming a victim to fraud? Here are a few ways you can do just that:

Educate your Employees

Fraud often starts on the inside and providing your employees with the info they need to detect warning signs is your first line of defense. Not only will your employees be able to catch things quicker than you can, but you’re also letting everyone know that you’re taking a proactive approach to security.

Be Vigilant

Watch for suspicious activity or unauthorized transactions and report them immediately. The faster you act the better chance you’ll have at protecting your assets. Stop all online activity and remove any compromised systems.

Secure Your IT Infrastructure

Invest in a firewall and anti-virus, malware, and spyware detection software to ensure your information is protected and secure. If you’re planning on upgrading devices, make sure your old equipment is completely clean of information or disposed of properly. Don’t take any chances.

Partner with Your Bank

Speak with your bank to see what security measures they have in place to protect your business. Ask questions about wire transfer protection, anti-fraud software, and encryption software. The benefit of a smaller, regional bank is that they’re just as invested in your business as you are. 

If you have any additional questions to help safeguard your business against fraud, feel free to reach out to us!

Jan Dotseth Chief Information Officer 320.230.9247