Fraud Prevention: How To Protect Your Business

by Josh Biggs in Business on 29th April 2022

In the last 10 years, the majority of businesses have moved more of their work online, which, in theory, is great. This provides instant access to accounts, while also allowing for communication with a workforce around the globe. However, it does also present certain risks, especially in terms of security and fraud. 

There are many types of fraud. The ones that tend to strike businesses tend to be identity theft and payroll fraud. Identity theft usually occurs from external sources, away from the business. 

The best way for a fraud to get access to your accounts and details is via the internet. Therefore, to keep yourself and your business safe, you may need to update some old practices. Which ones are the best for protecting against fraud? Read on to find out.

Encrypt Your Emails

Passwords and emails are vital to keeping your accounts safe online. If your systems are operating from 4K laptops there are many security systems that you can install: McAfee, for example. 

Also, regularly change the passwords to your accounts and emails, and encourage your staff to do the same. Encrypt your online bank accounts as much as possible, and be sure to set up alerts, so you can keep track of when there is any unusual activity within your company’s accounts.

Know Your Staff

You don’t want to accuse your staff of fraud, and as mentioned earlier, the majority of business fraud occurs externally. However, you also need to hire employees who you can trust, so be sure to hold regular staff meetings, so you can assess that you are all on the same page. Keep an eye on the people who have access to the payroll and banking accounts, and ideally, only give access to a couple of trusted employees. 

Educate Your Employees

It is important to educate your staff. They may inadvertently be engaging in unsafe online practices, which may be putting them, you, and your company at risk. There are lots of companies who can come to your workplace and provide training sessions relating to online safety or even on how to spot the signs of hacking and fraud. These can all be priceless in the long run, as your staff will be well informed and your business will remain safe from fraud.

Hire External Help

As mentioned before, educating and fraud-proofing your business is hard, so it may be worth seeking help from experts in other areas. Maybe you need to hire a securities expert to update your computer systems; or perhaps you should consult with an accountant? These people are trained to detect issues with large business accounts, and they can also help to defend your case should your company fall victim to or be accused of fraud. 

Know Your Business Partners

External threats of fraud are not only from online hackers. If you are looking to make a business deal with a new set of partners, research them first. This is especially important if your business venture involves moving money or if it is a partial or full merger. If you spot any red flags, do not sign on the dotted line!

Categories: Business