Friday, June 12, 2015

Is your business safe?

Small business owners as well as service organizations are more and more often finding themselves victims of internal theft.  And while such thefts can vary from small amounts pilfered from petty cash or items charged to the club or business that were actually for personal use, there are some simple things that can be done to detect, stop, prevent, or make it possible to recover such losses.
The first step to take is to make sure the person who reconciles the checkbook is not the person who writes the checks – or at least have a second person who also reconciles.  If the check writer is also the only one seeing the bank statement, the fox is in charge of the henhouse!

To Remedy: Make sure that someone else is seeing the bank statement each month.  Have the statements sent to a PO Box that your check writer has no access to rather than the business address.  Or make sure to view the bank accounts online on a regular basis to look for aberrations or transactions that are not authorized.

By Maura Phelan  (