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Business owners are increasingly concerned about payment fraud, survey reveals
NEW YORK (AP) — Small businesses are increasingly concerned about payment fraud.
That’s according to a small business survey from regional bank KeyBank. Almost 2,000 small and medium-sized companies with annual revenues of less than US$10 million were surveyed.
The main concern among survey participants was payment fraud of various types. Forty-four percent were concerned about unauthorized transactions or unauthorized transfers of electrical funds; 37% were worried about identity theft; 28% said malware and ransomware attacks were their biggest concern; and 27% were concerned about phishing and email scams.
“With the introduction of new technologies in recent years, small businesses are some of the many that have fallen victim to fraudulent activity,” said Mike Walters, president of Business Banking at KeyBank. He emphasized the importance of owners having a plan to combat fraud.
In addition to fraud, the survey concluded that the three main economic challenges expected in the coming months include high indirect costs, delays in customer or consumer payments and fluctuating revenues. But businesses remain confident in their ability to meet the challenges, with 65% of small business owners saying they feel confident they could fund their operating expenses for a month from their cash reserves if an unexpected need arose. .
“The resilience of small business owners is a testament to years of resisting financial uncertainty and, by keeping their confidence strong, they are able to weather the latest leg of inflation and stay on the path to economic growth,” said Walters.