As we rely more and more on emails, Business Email Compromise (BEC) attacks are a growing problem, and they can cost businesses time, money and even their reputation. These scams are clever, calculated, and often difficult to spot until it’s too late. But the good news is that with the right knowledge and preparation, you can protect your company from becoming a victim. 

In this guide, we’ll be explaining what BEC attacks are, how they’ve impacted businesses, and (most importantly) the practical steps you can take to stay safe. 

What are Business Email Compromise (BEC) attacks? 

A Business Email Compromise (BEC) attack is a type of email scam where criminals impersonate someone you trust, like a CEO, vendor, or business partner. Their goal is to trick you into sending money or sensitive information. 

How do BEC attacks work? 

These scams typically unfold in a few key stages: 

1. Research: Cybercriminals gather details about your business. It can range from public information to staff names, and even email formats. 

2. Impersonation: Attackers create fake emails that closely resemble legitimate ones. Sometimes, they add a subtle change, like switching "Ltd" to "Limited" or adding a dot to an email address. 

3. Deception: They send messages that seem urgent, asking for actions like transferring funds, updating payment details, or sharing confidential data. 

Common targets and tactics 

There’s a bit of a misconception that unless you’re a really big business then BEC attacks won’t happen. Sadly, this is just not true. BEC attackers don’t just go after big corporations; small businesses are fair game too. Popular tactics include: 

• Fake invoices: Fraudsters pose as suppliers and request payment to a new account. 

• CEO fraud: An email pretending to be from the boss, asking for a quick cash transfer. 

• Account compromise: Gaining access to an employee’s real email account to send fraudulent requests. 

What is the impact of Business Email Compromise attacks on businesses? 

BEC attacks can cause serious damage, and the effects often go beyond the financial hit. 

Financial losses 

The financial cost of a single successful BEC attack can range from thousands to millions. Many businesses find it hard to recover, especially if they lack robust cyber insurance. 

Reputational damage 

When customers or partners find out your business fell for a scam, it can shake their confidence in your ability to safeguard their data and transactions. 

Operational disruption 

Investigating the breach, working with banks, and implementing new controls can drain time and resources, disrupting daily operations and causing a headache or two. 

How to prevent Business Email Compromise attacks 

Chances are if you clicked on this blog what you really want to know is how to help prevent these attacks. Fortunately, stopping BEC attacks isn’t about spending a fortune on tech, it’s about taking smart, practical steps and keeping your team alert. With a few key changes to how you approach email security, employee training, and communication protocols, you can build a strong line of defence against scammers. 

Here's a few actionable steps to get you started: 

Strengthen email security 

Your email system is often the first point of attack, so it’s worth giving it some extra protection: 

• Use multi-factor authentication (MFA): Think of MFA as an added layer of security that makes it much harder for attackers to break in. Even if someone steals a password, they’ll need to pass an additional verification step like entering a code from a text message, approving a login through an authentication app, or using a fingerprint scan.  

• Email rules: Configure your email to flag messages from external senders or domains that look suspicious. This creates an automatic alert to double-check who’s actually reaching out to you. 

• Enable anti-spoofing measures: Tools like DMARC, SPF, and DKIM may sound techy, but they’re essentially “trust checks” for incoming emails. They help weed out fraudulent messages pretending to be from someone within your organisation or a trusted partner. If you’re not sure what tools to use, it’s a good idea to talk to IT professionals as they’ll be able to guide you in the right direction. 

Train your team 

No security system can replace good old-fashioned awareness. Your employees are your first line of defence, so keeping them informed is really important: 

• Spot the red flags: Encourage your team to slow down and examine unusual requests. Does the email address have an extra dot? Are they being asked to share sensitive info or transfer money urgently? Recognising these subtle signs can stop an attack in its tracks. 

• Verify every request: If someone asks you to change a supplier’s bank details or approve a surprise payment, take a minute to confirm. Call the person directly using a trusted phone number (not the one in the email).  

• Be wary of urgency: Scammers love to pressure their victims. Whether it’s “this needs to be paid today!” or “the boss is out and needs this done now,” remind your team to pause and verify. Taking an extra five minutes is always worth it. 

Establish clear procedures 

Having set rules and systems in place makes it harder for fraudsters to manipulate your business processes: 

• Double-check financial transactions: For any payment, particularly large ones, require multiple approvals. Even if it feels like overkill, having two or three people review and sign off adds an extra layer of security. 

• Audit vendor information: Make it a habit to review and update supplier and partner details regularly. That way, you’re less likely to act on outdated or fake information. 

• Document communication protocols: Clearly outline how sensitive requests like changing payment details should be handled. Having this in writing ensures everyone knows the proper process, making it harder for fraudsters to bypass the system. 

Regularly update software 

Cybercriminals thrive on exploiting outdated systems. Keeping everything up to date will help your tech run smoothly and helps to close security gaps: 

• Schedule regular updates for your email platforms, antivirus software, and firewalls. 

• If you’re using older email systems, consider upgrading to newer, more secure platforms. 

Need some more tailored advice about keeping your business cybersecure? Contact us today.