A survey conducted by KeyBank has shown that small businesses are increasingly concerned about payment fraud. The survey targeted 2,000 small-to-medium sized businesses with an annual revenue of less than $10 million. The top concern among the participants was unauthorized transactions or electric fund transfers, with 44% expressing anxiety about this issue. Identity theft, malware and ransomware attacks, and phishing and email scams were also major concerns for 37%, 28%, and 27% of the participants respectively.
Mike Walters, President of Business Banking at KeyBank, emphasized the need for small business owners to be prepared to combat fraudulent activities in light of new technological advancements. However, the survey also revealed that high overhead costs, delays in payments from clients, and fluctuating revenue are anticipated economic challenges in the coming months. Despite these challenges, 65% of small business owners expressed confidence in their ability to cover operating expenses for one month using their cash reserves in case of an unexpected need.
Walters commended small business owners for their resilience in facing financial uncertainties, noting that their strong confidence enables them to navigate challenges such as inflation and continue on the path to economic growth.
