Business Email Compromise

Cyber threats are becoming more sophisticated every day, and one of the most pervasive and dangerous forms of attack is Business Email Compromise (BEC). Each month, cybercriminals launch an average of 68 million BEC attacks. This type of cyberattack targets businesses of all sizes, but it can be devastating for small to mid-sized businesses (SMBs) like yours.

In its simplest form, BEC is a scam where cybercriminals send highly convincing emails to trick employees into compromising sensitive data. Whether it’s login credentials, credit card numbers, or even social security information, the goal is clear: gain access to a company’s critical systems, often with catastrophic consequences.

But here’s the kicker — BEC attacks are among the easiest, cheapest, and most effective ways for hackers to infiltrate your business. Unlike ransomware or more elaborate hacks, which often require specialized knowledge, executing a BEC attack can be startlingly simple.

How BEC Attacks Work

Let’s break down how a typical BEC attack might unfold:

1. Create a Phishing Website: Using easily accessible open-source tools, cybercriminals can create a fake but convincing website that looks just like a legitimate company page.
2. Send Phishing Emails: Next, they send emails from what appears to be a legitimate email address, often posing as someone from within your company or a trusted third party.
3. Capture Credentials: When an employee clicks on the email link and enters their credentials on the phishing site, the hackers capture that information.
4. Log in and Set Up Forwarding Rules: With access to the employee’s email account, hackers can set up email forwarding rules to receive copies of future emails, allowing them to monitor communications, intercept sensitive information, or escalate the attack.

The low cost and high success rate of these attacks make BEC an appealing choice for cybercriminals, mainly because many businesses still lack the necessary defenses to stop them.

Cybersecurity Best Practices to Protect Against BEC

Thankfully, businesses can take many steps to protect themselves from falling victim to BEC attacks. Here are some best practices that Cloud at Work recommends to bolster your defense:

1. Use Multi-Factor Authentication (MFA) & Strong Passwords

According to Microsoft, enabling MFA and using strong, unique passwords can block over 99.9% of account compromise attacks. By requiring multiple forms of authentication, even if hackers steal login credentials, they won’t be able to access the account without the additional factor. This is particularly important in light of recent trends. In 2023, IBM reported a 71% year-on-year increase in attacks using legitimate user credentials. This shift means that cybercriminals are often logging in as authorized users rather than trying to break through traditional defenses, making it much harder for companies to detect these breaches early

2. Implement AI-Based Phishing Protection

Social engineering attacks like BEC are becoming increasingly sophisticated, making traditional spam filters less effective. Instead of relying on static rules, businesses should deploy AI-driven phishing protection. These tools analyze the characteristics of emails —such as their language, context, and patterns —  to detect phishing attempts more accurately. By leveraging AI and machine learning, you can catch many of these attacks before they reach your inbox. Read more about AI’s role on both sides of the cybersecurity war in our blog, Navigating the New Cybersecurity Landscape.

3. Configure DMARC

DMARC (Domain-based Message Authentication, Reporting, and Conformance) is a critical tool in preventing email spoofing, a common tactic in BEC attacks. It helps ensure that only authorized entities can send emails from your domain, making it harder for attackers to trick your employees into believing a phishing email is legitimate. DMARC adoption rates have been on the decline for several years, in part because it has traditionally been challenging to implement. However, it has seen a resurgence as companies turn to managed services providers (like Cloud at Work) to streamline adoption.

4. Use Enhanced Filtering

Cloud-based content filters can help block access to malicious websites, unwanted domains, and spoofed emails. Enhanced filters are more robust than standard email filters, adding an extra layer of defense against BEC by reducing the chances of malicious content reaching your employees. According to Trend Micro’s 2023 Email Phishing Statistics, enhanced filtering and advanced email security platforms are crucial in blocking threats that bypass built-in security tools.

5. End-User Security Awareness Training

Technology alone isn’t enough to stop BEC. Employees are often the weakest link in a company’s security chain. Regular security training is essential to teach employees how to spot phishing emails and avoid becoming victims. Training should cover the key red flags of BEC, such as unexpected requests from executives, suspicious email addresses, and grammatical errors. Organizations that combine employee training with security tools can reduce their vulnerability to phishing by up to 82%.

6. Data Protection and Backups

Finally, understanding the value of your data is crucial. Businesses should regularly back up their data and ensure that the backups are easy to deploy in case of a security breach. Backups provide a safety net and can reduce the impact of an attack by ensuring that critical data is not lost.

Five Essential Tips to Stop Phishing Attacks

To further protect against BEC, be sure your team is familiar with these five essential tips:

1. Don’t click on attachments or links in suspicious emails.
2. Check the “From” field carefully. Cybercriminals often use spoofed addresses that look similar to legitimate ones.
3. Look for pixelated images or poor grammar—these are red flags of phishing attempts.
4. Verify the sender before responding, either by googling the email address or using free tools like CleanTalk to cross-check the sender’s credibility.
5. Implement layered protection by combining spam filters with advanced AI solutions for comprehensive email security.

Cloud at Work Is Your Partner in Cybersecurity

Defending against BEC attacks can be daunting, especially for SMBs without dedicated cybersecurity teams. That’s why partnering with a provider like Cloud at Work is a smart move. We specialize in virtual private cloud hosting for Sage applications and offer comprehensive security solutions tailored to your business’s needs.

We help SMBs secure their email systems, manage cloud-based services, and implement advanced protections like AI-driven email filtering, MFA, and DMARC. Our team of experts is here to ensure your Sage ERP environment remains safe from threats like BEC so you can focus on growing your business.

Understanding the risks of Business Email Compromise and taking proactive steps can protect your business from this growing threat. Contact our team of experts to learn how we can help safeguard your email systems and keep your data secure.