4 Tips on How to Protect Your Business from Fraud

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It is not uncommon for businesses to be hit with fraud.In fact, you may have been targeted in the past and had never noticed! The threat of online fraud, in particular, is worsening as technology revolutionizes, so protecting your business has never been so important. It is often large businesses that gain media attention when such incidents occur, however, it is often the smaller and newer businesses that are perhaps more at risk due to not having the correct strategies in place to tackle fraudulent activity.

It can be difficult to know what to do when it comes to securing your business, but there are many ways in which you can reduce the risk. Here are four tips you should put in place today.

1. Always be cautious of new customers

Keeping a close eye on your new customers is a must. Always check a new customer’s authority by asking for contact details as soon as they place any huge orders. Be sure to double check the delivery address to ensure it is legitimate, as this is one of the main hints to look out for on seeking out fraudulent activity. If you notice that a single customer is re-purchasing the same order time and time again, it may be worth searching into whether these bulk orders are being resold. This is extremely common with sought-after high-value items. There are many signs you can look out for when it comes to customer and payment fraud.

2. Keep an eye on your accounts

If you are not someone who keeps a check of your financial accounts, you may be unaware of the fact that your accounts have been hacked or attempted to hack. It is important to keep track of your company’s figures so that small sums of money aren’t going missing without being realized. If you have an accountant, they are far more likely to spot these occurrences almost immediately, but if you prefer to manage finances without assistance, it may be worth investing in specialized software to monitor your accounts from any device and anywhere in the world.

3. Virtual debit cards

When it comes to purchasing stock or equipment for your business, ordering a virtual debit card could be one of the best decisions you make regarding combating fraud. Placing orders or purchasing items with virtual debit cards means the organization you are buying from can authorize a maximum payment limit for every purchase made and you can also make purchases anywhere without having to enter your card details manually. You can find out more online about getting your own virtual debit card.

4. Employee fraud

One of the most common types of is employee fraud, so who you choose to hire is of great importance in preventing business fraud. Be sure to run thorough background checks during the hiring process, especially for those who will be working in finance departments. You may want to screen an employee’s criminal history, driver’s license violations or any past employment records to gain a deeper insight into the individual. If you do have any major concerns, it may be worth sharing the financial responsibility with several employees. You can discover how you can avoid employee fraud to ensure it doesn’t affect your business.