Cybercrime: Crime against businesses

Cybercrime against businesses continues to surpass consumer identity theft.

Businesses suffer because criminals know they lack the resources, including time and money, necessary to mount an effective defense against a data breach. Cybercriminals have developed sophisticated methods for stealing sensitive information from tiny companies to multinational organizations.

The majority of the time, organizations will never recover their losses because they have less fraud protection and a shorter reporting period because state and federal laws treat businesses differently than people; business transactions on personal credit cards are excluded from “zero liability,” and personal cyber security and insurance are not available to businesses.

Because the majority of owners’ personal and business information are inextricably linked, a data breach may have a devastating effect on both the owner and his firm. A single severe event may be fatal to a business. They must be cautious in protecting their personal and business information.

Although cybercrime is rampant, there are numerous things a business can do to safeguard its information. These include monitoring banking accounts and credit card balances daily, reviewing billing statements as they arrive, conducting regular credit checks with credit bureaus and Dun & Bradstreet, and changing passwords used to log into areas where private information is stored regularly.

Employees should be educated on what information may and cannot be shared with people outside the company, and rigorous policies should be implemented to minimize the likelihood of theft.

There is one additional step that most businesses overlook when it comes to cybercrime security, and it may cost them dearly.

One of the methods hackers use is information obtained from state government registries. The majority of states are “Good Faith Filing” states, which means that information submitted to the Secretary of State regarding a company or organization is simply accepted and recorded at face value.

Cybercriminals may simply submit a change of address, change of officers, directors, or registered agent, or even revive a previously dissolved business for between $10 and $15 in the majority of states. Additionally, they may register a corporation as a foreign corporation operating in a different state than their target corporation.

By altering state records in this way, cybercriminals may acquire the current and verifiable documents necessary to mislead creditors and financial institutions, as well as execute a variety of fraudulent activities in the business’s name.

One step they may be overlooking in preventing cyberattacks against businesses is monitoring their state registration information. There are two simple things that every owner may undertake to avoid or mitigate the effects of false state registrations and cybercrime:

  1. Installing a strong anti-malware program on all workplace PCs— Losing critical data may be very detrimental to your company. To avoid telling heartbreaking tales about how data was stolen and you lost so much in your company, ensure that each machine has a powerful anti-malware program installed.
  2. Never log in to your business account using a public computer or public Wi-Fi. Whether you are a business owner or an employee, you should never sign in to your company’s profile on every computer you come across; you risk being a victim of phishing or keylogging.

Among the other activities are the following:

  • Ascertain that workers are informed about cybercrime, including how to avoid being a victim and how to defend themselves.
  • Instill the practice of continuous data backup in everyone.
  • Separate backups of the machines from the source were obtained.
  • Ensure that your computer’s operating system is patched.
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