Fraud Continues to Be a Watchpoint for Small Businesses in the Current Economic Environment

Rhea-AI Summary

KeyBank's 2024 Small Business Survey reveals that fraud remains a significant concern for small business owners. The survey highlights that payment fraud (44%), identity theft (37%), malware and ransomware attacks (28%), and phishing and email scams (27%) are top threats. To combat these risks, KeyBank offers various resources and tools. In 2023, KeyBank lent $267.7 million to low-to-moderate income (LMI) communities and processed $11.2 billion in Paycheck Protection Program (PPP) loans in 2020-2021. KeyBank, a leading SBA lender, has provided over $4.5 billion in small business loans and lines of credit. The bank recently received its 11th consecutive 'Outstanding' rating from the OCC for their Community Reinvestment Act activities.

Positive

• KeyBank's survey identifies real concerns for small businesses, providing data-driven insights.
• KeyBank offers a comprehensive set of tools to prevent fraud including Small Business Check-In, Financial Review, and Cash Flow Calculator.
• KeyBank lent $267.7 million to LMI communities in 2023, supporting economic growth in underserved areas.
• The bank processed $11.2 billion in PPP loans during 2020-2021, aiding small and mid-size businesses during critical times.
• KeyBank received its 11th consecutive 'Outstanding' CRA rating from the OCC, reflecting its commitment to community reinvestment.
• KeyBank has provided over $4.5 billion in small business loans and lines of credit, showcasing its strong support for small businesses.

Negative

• The survey indicates significant concern about fraud among small business owners, which could affect their confidence and operational stability.
• Payment fraud, identity theft, malware/ransomware attacks, and phishing/email scams are prevalent, indicating potential vulnerabilities.
• Continued vigilance and evolving strategies to combat fraud suggest ongoing risks and challenges for small businesses.

NORTHAMPTON, MA / ACCESSWIRE / May 28, 2024 / KeyBank
KeyBank's new survey finds fraud to be a top concern for small business owners in 2024

Fraud prevention is an ongoing concern for small business owners, who continue to be vigilant of evolving fraud tactics and implement preventative measures to stop potential future attacks. KeyBank's 2024 Small Business Survey found that small business owners' biggest concern is payment fraud, such as unauthorized transactions or unauthorized electronic fund transfers (44%.) Closely following is identify theft (37%), malware and ransomware attacks (28%) and phishing and email scams (27%).

As technology evolves, small business owners must stay alert to protect their business from information theft and payment fraud. Falling for scams can have long-lasting effect on a business, impacting potential profit and relationships with customers. Learn more about advice KeyBank provides to business owners about business security and risk management.

"With the introduction of new technology over the last several years, small businesses are some of the many that have fallen victim to fraudulent activity," said Mike Walters, President of Business Banking at KeyBank. "It's important for owners to have a plan in place and KeyBank is proud to provide resources that can help their business run better."

Small businesses are the heart of many communities across the country. Their storefronts become part of neighborhood culture and contribute to the community by providing jobs to locals. KeyBank is dedicated to supporting low-to-moderate income (LMI) communities as well as providing community investments to bring access to capital to local businesses. In 2023, we provided $267.7 million in small business lending to LMI communities and, in 2020 and 2021, processed 69,000 loansthrough the Paycheck Protection Program (PPP), providing more than $11.2 billion in critical funding to small and mid-size businesses.

KeyBank, a top SBA lender¹, has provided more than $4.5 billion in small business loans and lines of credit. Most recently, KeyBank received their 11^th consecutive "Outstanding" rating from the Office of the Comptroller of the Currency (OCC) on its most recent Community Reinvestment Act (CRA) exam.

Learn more about KeyBank's opportunities and programs for your small business by visiting key.com/small-business. KeyBank offers a range of tools, including the KeyBank Small Business Check-In, KeyBank Small Business Financial Review and the Business Cash Flow Calculator. For resources on how to protect your small business from fraud, read the Protect Your Business Checklist and Protecting Your Organization against Payment Fraud.

Methodology

This survey was conducted online by Survey Monkey. 1,983 respondents, ages 18-99, located in the United States, who own or operate a small-to-medium size business with an annual gross revenue of less than $10 million, completed the survey in March 2024. Learn more about KeyBank's opportunities and programs for your small business by visiting key.com/small-business. KeyBank offers a range of tools, including the KeyBank Small Business Check-In, KeyBank Small Business Financial Review and the Business Cash Flow Calculator.

CFMA #240508-2592788

This material is presented for informational purposes only and should not be construed as individual tax or financial advice. KeyBank does not provide legal advice. All credit products and SBA Loans are subject to approval, terms, conditions, and availability and subject to change. Key.com is a federally registered service mark of KeyCorp. ©2024 KeyCorp

¹Source: Statistics released by the U.S. Small Business Administration (SBA) October 2023 for total approved loans through the SBA's 7(a) lending program during the federal fiscal year ending 10/2023.

View additional multimedia and more ESG storytelling from KeyBank on 3blmedia.com.

Contact Info:
Spokesperson: KeyBank
Website: https://www.3blmedia.com/profiles/keybank
Email: info@3blmedia.com

SOURCE: KeyBank

View the original press release on accesswire.com

FAQ

What is KeyBank's 2024 Small Business Survey about?

KeyBank's 2024 Small Business Survey focuses on identifying top concerns for small business owners, with a significant emphasis on fraud prevention.

What are the top fraud concerns for small businesses according to KeyBank's survey?

KeyBank's survey highlights payment fraud (44%), identity theft (37%), malware and ransomware attacks (28%), and phishing and email scams (27%) as the top fraud concerns.

How much did KeyBank lend to low-to-moderate income communities in 2023?

In 2023, KeyBank lent $267.7 million to low-to-moderate income (LMI) communities.

How much funding did KeyBank provide through the Paycheck Protection Program?

KeyBank processed $11.2 billion in Paycheck Protection Program (PPP) loans in 2020 and 2021.

What rating did KeyBank receive on its most recent Community Reinvestment Act exam?

KeyBank received its 11th consecutive 'Outstanding' rating from the Office of the Comptroller of the Currency (OCC).

How much has KeyBank provided in small business loans and lines of credit?

KeyBank has provided over $4.5 billion in small business loans and lines of credit.

What tools does KeyBank offer to help small businesses prevent fraud?

KeyBank offers tools such as the KeyBank Small Business Check-In, KeyBank Small Business Financial Review, and Business Cash Flow Calculator to help prevent fraud.