Last December, an accounts payable clerk at a midsize company got a text from her “CEO.”
“Hey, can you grab $3,000 in Apple gift cards for clients? Scratch the backs and e-mail the codes.”
It sounded a little strange — but it was peak holiday chaos, the message came from the boss’s name, and she wanted to be helpful. By the time she double-checked, the money was gone. The scammer had already cashed out, and the company was left holding the bill.
That one hurt — but another business lost far more.
That same month, Orion S.A., a Luxembourg-based chemical manufacturer, fell for a far more sophisticated version of the same game. An employee received what looked like routine e-mail requests for wire transfers — the kind that come from trusted partners every week. The messages seemed legitimate, urgent, and in line with normal business operations. So, the employee followed instructions.
The result? $60 million wired straight into a cybercriminal’s account — more than half the company’s annual profit, gone.
If you think your small business is “too small” to be a target, think again. Gift-card scams alone cost U.S. businesses over $217 million in 2023, and business e-mail compromise attacks made up 73% of all cyber incidents in 2024. The holidays are prime time because criminals know your team is distracted, juggling end-of-year deadlines, and processing more transactions than usual.
5 Holiday Scams Your Employees Need To Know (Before They Cost You Thousands)
1. “Your Boss Needs Gift Cards” — The $3,000 Text Trap
The scam: Impostors pose as owners or managers and pressure staff to buy gift cards for “clients” or “employee appreciation.” In just Q1 of 2024, nearly 38% of business e-mail compromise incidents were gift-card schemes.
How to prevent it: Set a clear policy — no gift cards without two approvals. Train employees that executives will never request them over text.
2. Invoice & Payment Switch-Ups — The Big Money Play
The scam: Criminals send “updated banking details” or hijack vendor e-mail threads right as year-end payments go out. In June 2024, the Town of Arlington, MA, lost nearly $500,000 this way.
How to prevent it: Always confirm banking changes by calling a known number — not the one in the e-mail. Adopt a “phone call rule” for every financial change over $5,000.
3. Fake Shipping & Delivery Notices
The scam: Phishing e-mails or texts posing as UPS, FedEx, or USPS asking you to “reschedule delivery.”
How to prevent it: Train your team to go directly to the carrier’s website instead of clicking links. Bookmark the real tracking pages to avoid clickbait.
4. Malicious “Holiday Party” Attachments
The scam: E-mails titled “Holiday_Schedule.pdf” or “Party_List.xls” that install malware the moment they’re opened.
How to prevent it: Block macros, scan attachments automatically, and make verifying unexpected files part of your culture.
5. Bogus Holiday Fundraisers
The scam: Phishing sites disguised as charities or fake “company match” programs that steal money or personal data.
How to prevent it: Share a pre-approved charity list and route all donations through official portals only.
Why These Attacks Work (And How To Stop Them)
The same tools that make business run efficiently — e-mail, digital payments, online banking — are exactly what scammers use against you.
These aren’t your old “Nigerian prince” e-mails. They’re well-researched, well-timed, and incredibly convincing.
Here’s the reality:
- Companies that run regular phishing simulations cut their risk by 60%.
- Multifactor authentication blocks 99% of unauthorized logins.
And yet, most small businesses still skip both.
Your Holiday Defense Checklist
Before the holiday rush hits full swing, lock these in:
- The Two-Person Rule: Any transaction above your threshold needs verbal confirmation through a separate channel.
- Gift Card Policy: Put it in writing — no gift cards via e-mail or text.
- Vendor Verification: Always confirm banking or payment changes by phone using numbers already on file.
- Multifactor Authentication: Turn on MFA for all e-mail, banking, and cloud systems.
- Team Awareness: Brief your staff on these five scams and share real examples.
The Real Cost: More Than Just Money
While Orion’s $60 million loss grabbed headlines, the ripple effects often hit smaller businesses harder:
- Operations grind to a halt during the busiest time of year
- Productivity tanks as everyone scrambles to clean up
- Customer trust erodes if data is compromised
- Insurance premiums spike after an incident
The average loss per business e-mail compromise is now $129,000 — enough to sink a small business when it can least afford it.
Keep Your Holidays Merry, Not Messy
The holidays should be about growth and celebration — not cleaning up after wire fraud.
A quick team huddle, a few smart policies, and some layered protections can keep you out of the headlines.
Remember: that employee at Orion could have prevented a $60 million loss with one verification phone call.
With the right awareness and simple checks, your business can avoid becoming the next cautionary tale.
Want to make sure your team is buttoned up before the new year?
Book a 15-minute discovery call with us — we’ll walk you through practical steps to keep your business secure.
Because the best gift you can give your company this holiday season is peace of mind.
