November 03, 2025
In December, a mid-sized company's accounts payable clerk received an urgent text "from the CEO": purchase $3,000 in Apple gift cards for clients, scratch off the codes, and email them. It seemed unusual, but the request came under the boss's name during busy holiday season. By the time she verified, the scammer had already cashed out, leaving the company to bear the loss.
While costly, this scam pales compared to others that can devastate businesses. The very same month, Luxembourg-based chemical firm Orion S.A. suffered an immense breach. An employee processed what appeared to be routine wire transfer requests, seemingly from trusted colleagues or partners, urgent and consistent with normal business. Without hesitation, multiple transfers went through.
The consequence? $60 million vanished directly to cybercriminals—over half the company's annual profits lost due to fraudulent wire transfers.
Small businesses aren't exempt either. Gift card scams cost companies over $217 million in 2023, and business email compromise attacks made up 73% of cyber incidents in early 2024. The holiday rush is prime for attackers, exploiting distracted teams overloaded with transactions.
Top 5 Holiday Scams Your Employees Must Recognize (Before You Lose Thousands)
1. "The Boss Needs Gift Cards" (The $3,000 Text Scam)
- Scam Explained: Impersonators pretend to be executives, pressuring staff to buy gift cards for "clients" or as "appreciation." In Q1 2024, nearly 38% of business email compromise attacks involved gift card fraud.
- Protection Tips: Enforce a strict company policy requiring dual approvals for gift card purchases. Educate employees that leaders never request gift cards via text.
2. Invoice & Payment Alteration Frauds (The High-Stakes Game)
- Scam Explained: Cybercriminals send "updated bank info" or hijack vendor email threads when invoices are due. For instance, Arlington, MA lost nearly $500,000 this way in June 2024.
- Protection Tips: Always verify banking changes via trusted phone numbers, never the email-provided one. Implement a "call verification rule" for transactions above $5,000.
3. Fraudulent Shipping & Delivery Alerts
- Scam Explained: Fake emails or texts claiming to be from UPS, FedEx, or USPS ask recipients to follow links to "reschedule deliveries."
- Protection Tips: Teach employees to manually enter carrier websites into browsers or bookmark official tracking pages to avoid phishing links.
4. Harmful "Holiday Party" Attachments
- Scam Explained: Emails with attachments like "Holiday_Schedule.pdf" or "Party_List.xls" can install malware if opened.
- Protection Tips: Disable macros, scan all attachments, and cultivate a culture of verifying unexpected files.
5. Fake Holiday Fundraising Campaigns
- Scam Explained: Phishing websites imitate charities or bogus "company match" drives to steal money or personal information.
- Protection Tips: Maintain and share a vetted charity list and require all donations go through official channels.
Why These Scams Succeed & How to Prevent Them
The very tools that streamline your operations—email, online banking, digital payments—also serve as gateways for scammers. These aren't your typical "Nigerian prince" scams; they're expertly crafted social engineering attacks backed by thorough company research.
Companies conducting regular phishing drills reduce risk by 60%. However, many small businesses neglect employee training. While multi-factor authentication stops 99% of unauthorized access, too many organizations still depend solely on passwords.
Essential Holiday Cybersecurity Checklist
Before the busy season kicks into gear, take these vital steps:
- Two-Person Rule: Require verbal confirmation via a separate channel for transactions exceeding your set limit.
- Gift Card Policy: Establish a no gift card purchase policy over email or text.
- Vendor Confirmation: Always verify any changes in payment details by calling known contacts.
- Multi-Factor Authentication: Enable MFA across all email, banking, and cloud platforms.
- Holiday Risk Awareness: Educate your team on these top scams using real-world examples.
The True Price of Cyberattacks: Beyond Financial Loss
Orion's $60 million theft captured headlines, but smaller businesses often face more profound hidden costs, including:
- Business operations stalling during critical peak periods
- Lost productivity as teams scramble to recover
- Diminished customer trust if sensitive data leaks
- Rising insurance premiums post-cyber incidents
On average, business email compromise costs $129,000 per incident—potentially devastating for small businesses in the busiest season.
Protect Your Holidays—Keep Cybercriminals at Bay
Holidays should be a time of growth and joy, not expensive fraud cleanups. A brief staff meeting, clear policies, and layered protections can safeguard your business from cyber threats.
Remember: The Orion employee could've stopped a $60 million loss with just one verification call. With awareness and simple safeguards, your business can avoid becoming a costly example.
Want to secure your team before the New Year? Click here or call us at (760) 266-5444 to book a Discovery Call and learn practical steps to protect your business. Don't let scammers ruin your holiday success—the best gift for your company this season is peace of mind.
