Common Business Security Myths

There are a lot of myths out there about business security solutions that leave many businesses vulnerable to fraud, robberies, and even employee theft. These common myths, that may seem harmless at first, can lead to major problems that are not easily repaired.

Here are some of the most common myths:

People Only Sue Big Companies with Fraudulent Claims

We’ve all heard the stories about people suing McDonalds because their coffee is too hot, or someone claiming to have broken their neck in a major retail outlet when really they are completely fine. But what about smaller companies, are they ever really sued with fraudulent claims?

This myth makes the claim that people only sue large businesses because that’s where the money is at. Unfortunately, the reality is that small and mid-sized businesses are also regularly targeted with fraudulent claims. The worst part is that these businesses are much more vulnerable because they can’t afford expensive lawyers and a large settlement could put them out of business.

Shoplifting Only Happens In Low Income Areas

This is a common and completely untrue myth that claims that people in richer areas are much less likely to be stolen from than in poorer areas. Unfortunately, the facts show that expensive stores in fancy shopping malls are just as likely to be stricken by shoplifters as anywhere else. Additionally, since the products they sell are so much more valuable than in lower end stores, there is an added incentive to steal.

Vendors Keep Perfect Records and Are Completely Honest

Many people don’t ever consider vendors a potential source of shrinkage when looking at where they are losing money. For some reason, while businesses are quick to blame customers or even employees, the activities of the vendors are seen as beyond suspicion.

The truth is that vendor fraud is estimated to account for 5.2% of overall shrinkage. It’s important that you watch your vendors carefully to prevent theft.

People Only Steal Inventory and Cash

The reality is that there are a lot of ways that people can harm your business without actually taking something physical.

Without proper business security systems and camera surveillance systems, customers can make false injury claims, employees can “under ring” sales or not work when they should be, and vendors can make errors that hurt your bottom line. When tracking what your company is losing from theft, be sure that you can measure all of the damage, not just the physical loss.