The Better Business Bureau is warning scams can impact every business, regardless of location, size, or industry. But they are especially a problem for small businesses. Local businesses and start-ups often don’t have the cybersecurity support or established accounting processes of larger companies. This can make them more vulnerable to scams.
Common small business scams:
Business Email Compromise (“BEC”). Business email compromise fraud is an email phishing scam that typically targets people who pay bills in businesses, government and nonprofit organizations. It has resulted in more losses than any other type of fraud in the U.S., according to the Federal Bureau of Investigations.
In BEC fraud, the scammer poses as a vendor or other trusted source, who sends an email to an accountant or chief financial officer. The email asks them to wire money, buy gift cards or send personal information, often for a plausible reason. If money is sent, it goes into an account controlled by the con artist. Learn more about BEC scams here.