The holiday season brings increased activity—not just for shoppers and retailers, but also for cybercriminals. As business owners source gifts, supplies, or seasonal inventory online, they can become prime targets for sophisticated scams. Fake websites, fraudulent sellers, and impersonation attempts can lead to financial loss, operational disruption, or compromised business data.
To help keep your business protected during this high-risk period, here are key precautions every business owner should take.
Smart Safety Practices for Business Owners
Stick to Verified, Trusted Vendors
Before purchasing equipment, supplies, or gifts for clients and employees:
- Vet vendors thoroughly through independent reviews or known industry networks.
- Confirm that websites are legitimate, established, and have secure payment systems.
- If using new suppliers, start with small test orders to evaluate reliability.
- Remember: cybercriminals often create highly convincing storefronts—professional design alone is not proof of legitimacy.
Inspect Website URLs Carefully
Fraudsters frequently use URLs that mimic known brands or reputable wholesalers. To safeguard your business:
- Type the website address into your browser manually—avoid clicking links from emails or social media.
- Double-check spelling, domain endings, and the presence of HTTPS encryption.
- A small oversight can expose your business to large financial risks or data breaches.
Evaluate Price Offers Critically
When sourcing items in bulk or shopping for high-value equipment:
- Be cautious of deals that appear significantly cheaper than market value.
- Ask for verifiable product information, serial numbers, or supplier certifications.
- When dealing with social sellers, request in-person verification or video proof of inventory.
- Keep in mind: the lower the price, the higher the potential risk.
Avoid These High-Risk Behaviors
Don’t Buy Without Independent Research
Fraudsters may fabricate reviews on their own pages. As a business owner:
- Look for third-party feedback before making purchases.
- Search the company name alongside terms like “scam,” “reviews,” or “complaints.”
- Confirm business registration if purchasing from newer suppliers.
- Due diligence now can prevent costly complications later.
Don’t Let Pressure Tactics Influence Decisions
Scammers often create false urgency to trigger impulse purchases, using phrases like:
- “Limited stock—order now!”
- “Wholesale pricing ends in 15 minutes!”
- “Discontinued—final clearance!”
Businesses should avoid making procurement decisions without proper verification—no matter how urgent the messaging sounds.
Protect Your Business Information
Fraudsters don’t just target personal data—they also impersonate financial institutions and vendors to access business accounts. To safeguard your organization:
- Never share account numbers, passwords, tax information, or verification codes in response to unsolicited outreach.
- Review business account information regularly, including contact details and authorized users.
- Monitor for:
- Unusual transactions
- Changes to billing cycles
- Irregularities in rewards, credits, or vendor payments
Early detection is key to preventing further loss.
A Safer Season for Your Business
By implementing the right safeguards, business owners can ensure a secure and productive holiday season. Staying alert to online shopping fraud not only protects your finances—it protects your reputation, your employees, and your customers.
At the ESCO Agency, we understand your risks as a business owner. Click here to learn more about our cyber security insurance program. It’s time to protect what matters most … your business.