Many small businesses like to think that their size insulates them from fraud. In reality, though, the opposite is true – small businesses are big targets for would-be fraudsters. According to the ACFE Report to the Nations, small businesses are two times more likely to experience billing and payment fraud and four times more likely to experience check and payment tampering as compared to their larger counterparts. Too often, small businesses lack the necessary security measures to protect against fraud, making it easier for perpetrators to breach the company’s financial systems.
The ways small businesses have been handling their bookkeeping and accounting for years are quickly becoming obsolete. Antiquated and manual processes leave small businesses vulnerable to fraud from both the inside and the outside. Reducing fraud starts with understanding your vulnerabilities and instituting the changes needed to secure your business.