November 03, 2025
Last December, an accounts payable clerk at a midsize firm received a suspicious yet urgent message allegedly from her CEO: Purchase $3,000 in Apple gift cards for clients, scratch off the codes, and email them immediately. Despite her hesitation, the holiday frenzy and the manager's name convinced her to comply. By the time she verified the request, the fraudsters had already redeemed the cards, leaving the company with a costly loss.
While this scam was painful, some cyberattacks inflict far greater damages. That same month, Orion S.A., a chemical manufacturer based in Luxembourg, was deceived by a far more sophisticated fraud. An employee received emails that appeared to be routine wire transfer requests from trusted colleagues or partners. These urgent messages aligned perfectly with typical business operations, prompting the employee to initiate multiple transfers without question.
The devastating outcome? Cybercriminals stole $60 million—over half of the company's annual profits—through fraudulent wire transfers.
Don't be fooled into thinking small businesses aren't targets. In 2023 alone, gift card scams drained over $217 million from companies, and in 2024, business email compromise attacks accounted for 73% of cyber incidents. Criminals strike hardest during the holidays because they exploit your team's distractions, stress, and heightened transaction volume.
5 Holiday Scams Your Employees Must Recognize to Protect Your Business From Costly Losses
1. "Your Boss Needs Gift Cards" (Beware the $3,000 Text Scam)
- The Scam: Impersonators posing as executives pressure staff to purchase gift cards for "clients" or "employee rewards." In Q1 2024, nearly 38% of business email compromise incidents involved gift card fraud.
- How to Prevent: Enforce a strict company policy requiring dual approvals for gift card purchases. Educate employees that executives will never request gift cards via text messages.
2. Fake Invoice & Payment Changes (Costly Money Diversions)
- The Scam: Fraudsters send fake "updated bank details" or hijack vendor email threads just as year-end payments are due. For instance, in June 2024, Arlington, MA, lost nearly $500,000 to this scam.
- How to Prevent: Always verify banking changes via known phone numbers—not those in emails. Institute a "phone call verification rule" for transactions exceeding $5,000.
3. bogus Shipping & Delivery Alerts
- The Scam: Phishing emails or texts masquerade as UPS, FedEx, or USPS, urging recipients to click links to "reschedule shipments."
- How to Prevent: Train employees to navigate directly to carrier websites by typing URLs or using bookmarks rather than clicking suspicious links.
4. Malicious "Holiday Party" Attachments
- The Scam: Emails containing attachments like "Holiday_Schedule.pdf" or "Party_List.xls" that unleash malware upon opening.
- How to Prevent: Disable macros, scan all attachments for threats, and make verifying unexpected files routine.
5. Fraudulent Holiday Fundraisers
- The Scam: Fake charity websites and counterfeit "company match" campaigns designed to steal money or personal data.
- How to Prevent: Circulate a vetted list of approved charities and require all donations to be processed through official channels.
Why These Scams Succeed and How to Defend Your Business
E-mail, online banking, and digital payments streamline business but also create vulnerabilities scammers exploit. These sophisticated attacks combine social engineering with detailed company research, far from the obvious "Nigerian prince" cons of the past.
Businesses that conduct regular phishing drills cut their risk by 60%, yet most small companies neglect employee training. Multifactor authentication prevents 99% of unauthorized access, but many still rely solely on passwords—leaving doors wide open.
Your Essential Holiday Cybersecurity Checklist
Prepare your business for the holiday rush with these key actions:
- Two-Person Verification Rule: Require verbal confirmation from a second party for all transactions above a set amount.
- Gift Card Procedures: Implement a firm policy forbidding gift card purchases or requests via email or text.
- Vendor Confirmation: Always authenticate bank account changes via known phone numbers on file.
- Enable Multifactor Authentication: Protect all email, financial, and cloud accounts with MFA.
- Holiday Scam Awareness: Educate your team on these five scams using real cases to heighten vigilance.
The True Cost of Cyberattacks: Beyond Money
While Orion's $60 million loss grabbed headlines, smaller businesses often face more insidious consequences:
- Disruptions halting operations during peak seasons
- Declined productivity as teams scramble to manage fallout
- Loss of customer trust if sensitive client information is breached
- Higher insurance premiums following cyber incidents
With an average loss of $129,000 per business email compromise incident, these attacks threaten to sink many small enterprises at the most critical time of year.
Protect Your Holidays: Keep Your Season Cheerful and Fraud-Free
The holiday season should focus on growth and celebration—not a frustrating cleanup from wire fraud. Engaging your staff in briefings, instituting smart policies, and layering security controls can powerfully deter attackers from infiltrating your accounts.
Remember: A single verification call could have stopped Orion's $60 million loss. With proper awareness and simple checks, your business can escape becoming the next headline.
Ready to fortify your team before the New Year? Click here or call us at 888-624-7383 to schedule a 15-Minute Discovery Call. We'll guide you through actionable steps to safeguard your business. This holiday, give your company the priceless gift of peace of mind.
