More than one in ten SME’s affected company fraud

More than one in ten SME’s affected company fraud

A new report by Experian has revealed that more than one in ten small to medium-sized businesses have been affected by company fraud, amounting to losses of £8 billion.

In total, nearly 286,000 have been a victim of company fraud, with over a quarter (27%) of businesses with more than nine employees affected and more than one in ten (11%) micro businesses also seeing losses from fraud.

According to Experian, although complex fraud cases often make the news, small companies were most likely to be affected by more straightforward card, cheque and identity fraud. The average amount of money lost was £2,627, but 1% of companies saw losses of over £10,000.

Ade Potts, Managing Director of Experian’s SME business, said: “Some of the smallest of businesses in the UK are just as likely to become victims of fraud as their larger counterparts. No matter what the size of the loss, whether it is £1,000 or £10,000, an unplanned loss can have a big impact on a small or medium-sized business, both financially and operationally.”

Katy Worobec, Director at Financial Fraud Action UK (FFA) warned that small firms are an attractive target for fraudsters: “Criminals are turning their attention to businesses because successfully scamming a company can net the fraudster a much bigger haul than they could steal from an individual.”

If you are concerned about the risk of fraud to your business, we may be able to help. As one of the world’s leading experts on cheque and document fraud, Hague offers advice and solutions for businesses who wish to take action to prevent themselves from becoming the next victim of company fraud. Through our Fraud Consultancy services we provide advice, guidance and solutions that combat counterfeiting, document fraud, cheque fraud, identity theft and more. Our custom-made print solutions help keep your products, services, business, staff and customers safe.