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By Sanjeev Kumar
Founding Attorney

Businesses of different sizes and in different industries need to be aware of the real threat of fraud. Fraud can take so many different forms it can be difficult to consider where to even begin protecting your business from falling victim to such criminal actions. Cybercriminals, in particular, are most adept at adapting and changing their modes of operation in order to try and infiltrate businesses. There are, however, a number of things you can do to protect your business from fraud.

Steps to Take to Protect Your Business from Fraud

Whether it be a hacker, a cybercriminal, or someone looking to poach someone else’s identity, businesses can be rife with opportunities for these people to take advantage of business records and other informational holdings. The operations of those looking to perpetrate fraud on your business are constantly working to get one step ahead of security measures you may put in place, but you should be vigilant in putting such measures in place and continuing to adapt them yourself. Let’s take a look at some of the steps you can take to protect your business and your holdings from being infiltrated by those looking to perpetrate fraud.

For starters, you should separate out your personal credit cards and bank accounts from your business. Have separate accounts for yourself, personally, and for your business. The separation is an added layer of protection. Should a criminal get their hands on your business account, they won’t automatically have access to your personal account and vice versa. You should also be sure to investigate the security systems your bank offers for things like online banking. Do they make things like automatic logout available? Make sure they do. Also, be sure to go paperless so that you can manage your accounts online. A paper trail can be messy and any correspondence with banking information that is lying around could end up in the wrong person’s hands.

It is also critical for you to put security measures in place to protect your computer systems from infiltration. This means putting a strong firewall up and keeping your antivirus software up to date. It may also look like you putting strict protocols in place regarding employees creating passwords that are strong. Additionally, you should consider having your employees change their passwords every 2 to 3 months.

Protecting your business from fraud also means making sure you are hiring trustworthy individuals to work within your business. Conduct thorough background checks. This means not relying just on references. Furthermore, you should consider creating a secure entry system into your business offices to help ensure you are keeping out people who have no place in your business. You can also restrict certain areas of your office to certain employees. For instance, the server room may only be accessible to IT employees.

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The Kumar Law Firm is committed to helping you secure and protect your business. Contact us today.

About the Author
Sanjeev Kumar is the founder and principal at the Kumar Law Firm, which provides a wide range of legal services to entrepreneurs and business owners in the area of business & corporate law and intellectual property along with related areas of interest to clients such as business succession planning, wealth preservation through estate planning, and alternate dispute resolution.