6 Scams Targeting Small Business


Businesses are not immune to scams. Thieves constantly develop schemes to take advantage of businesses. They have kept pace with the advancement of technology, making it harder for businesses to protect themselves against cybercriminals targeting them.

To avoid these scams, you have to learn how they work and their characteristics. Below are the most common scams that are targeting small businesses. Make sure to take note of the following:

1. Phishing schemes

Phishing is one of the common scams that have victimized millions of people. Usually, it appears as a legitimate email from a familiar source when they are not. These emails are intended to acquire your valuable data, such as your passwords, bank information, credit card numbers, and many more.

So, when you receive an email that says it’s from your bank and that your account has been compromised, ignore it. You shouldn’t click any link that comes from it, too. These links aim to lead you into a fake website whose goal is to get your important information.

2. Insurance fraud

This scam involves misusing insurance applications or policies to gain or benefit illegally. Usually, it tries to use an insurance contract to obtain money. Most cases of insurance fraud include false claims or exaggerated claims.

3. False invoices

Since your company might usually receive a large number of bills each month, it’s pretty easy for a fraudster to put in a bogus invoice. Cybercriminals might do some research to know your suppliers and make invoices according to the names familiar to you.

Another version of this scam is when someone asks you to pay in cryptocurrency for a fraudulent investment. Read more about it at Winchargeback review, as this company offers services for people who have lost money due to crypto scams. They are experts in identifying schemes that are associated with cryptocurrency.

4. Bank account takeover

Another dangerous scam that is circulating today is account takeover. Just like a phishing scam, an account takeover usually involves emails and fake websites to deceive you into downloading or installing malicious software. This software will obtain your bank account information and withdraw your money without knowing it. So, make sure to monitor your online bank accounts every day to prevent unauthorized electronic transfers.

5. Office supply scams

Some thieves will also trick you into believing that they are your regular supplier. For example, office supply scammers will email or call you, reminding you to re-order any product that your office typically uses, like copier toner or bond paper. When you are tricked into this scam, you have to pay for overpriced merchandise for a wrong order.

6. Vanity awards

Many owners are fooled into thinking they have been chosen to appear in a supposedly “prestigious” journal highlighting great personalities in their industry. The scam starts when the said journal or publication collects “expenses” for the publishing. These expenses would usually include the printing costs and the number of books you want to print for your friends and family.

Bottom Line

To avoid falling into these scams, you have to educate yourself about them. Then, be vigilant and always be mindful of your actions, especially when online.

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About Author

Founded in 1994 by the late Pamela Hulse Andrews, Cascade Business News (CBN) became Central Oregon’s premier business publication. CascadeBusNews.com • CBN@CascadeBusNews.com

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