As a business owner or Director, you need to know how to prevent financial frauds in your business or organisation.
We understand that a lot of businesses like schools, not for profit clubs and organisations are run by people that often have limited financial experience or background. This creates a unique environment and can often increase the likelihood of financial issues and inefficiencies.
As financial auditors, we determine if the processes, checks and balances in place create a very difficult environment for any member of your business to make mistakes or commit fraud relevant to the size of the organisation.
Our most helpful fraud prevention services and tips
With our financial audit and fraud prevention services, not only will you ensure you have all the checks, balances and appropriate processes in place to minimise the chance of fraud, you also make sure there are no mistakes made and your company is as efficient as possible. Here are some of our best tips for preventing fraud in your business.
Don’t let one employee do all the accounting and bookkeeping
You may feel like it’s not possible in a business your size but best practice to avoid financial fraud is to make sure the accounting is not looked after solely by one employee. This includes financial responsibilities such as processing incoming payments, paying invoices, and managing business bank accounts and petty cash.
This makes it easier for cases of fraud to go unnoticed until a financial audit is executed.
Implement strong internal controls and processes
We love a good process and as part of our financial audits, we are able to guarantee independent assessment, examinations, and analysis to make sure that you streamline your business processes, and have peace of mind that your business is consistently operating as it should.
Our audits are specifically tailored to not only meet the regulatory and statutory needs of your business but also provide management and board members with the insights allowing you to make real actionable change to your business processes and prevent future fraud.
We have seen all the problems and seen all the solutions, in every organisation from large and small. Our auditors understand that every business is different and their fraud prevention processes need to be uniquely tailored to them.
Conduct Regular Financial Audits
Your accounts team should be told that regular audits will take place but there shouldn’t be a predictable schedule. By making the audits random, you are more likely to highlight areas of financial fraud.
Train Your Employees To Prevent Fraud
It is critical that your accounting employees and those in the financial areas of your business are taught how to identify and prevent fraud, and report suspicious behaviour that could lead to fraud.
During an internal audit, our auditors really spend the time with you and will achieve a much deeper understanding of your organisation and become more involved in the day to day running of the business. We will suggest incremental changes and actually work with your company to train your employees on fraud prevention.
Look Into Every Case Of Potential Business Fraud
These fraud prevention tips only help if you follow up. You should check on any suspicions of financial fraud, no matter how small or unlikely they seem.
It’s important not to become complacent or get caught up in the daily pressures of running a business.
The earlier fraud is detected, the better the result for your business but fraud prevention provides the best protection.
If the numbers don’t add up, it is imperative you get an audit on your business to help with fraud detection.
Chat to a trusted independent auditor today and get help with how to prevent financial frauds in your business.
