Small businesses may be susceptible to fraud. Some ways to combat fraud are trusting relationship between owner and employee and knowledge of the payroll system as the business grows. It is important that owners keep tabs on cash flow and be on top of any theft both physical and online banking. The same goes for online banking where theft can happen. Knowing the suppliers may help keep false invoicing. So to keep fraud at bay owners just need to be aware of these money flow areas.
Key Takeaways:
- It is essential to have a basic knowledge of the most common fraudulent practices
- It is essential to gain a working knowledge of the payroll system and make book keepers accountable in their monthly reports.
- The potential detrimental financial costs of being too hands off within the business are too large to contemplate.
“Small businesses without a formal receipt process are particularly vulnerable to the disappearance of physical cash.”
https://insidesmallbusiness.com.au/planning-management/protecting-small-business-against-fraud
Leave a Reply