One question that we always like to discuss with our clients is their control over their cash. Now we are not just talking about their petty cash account or even their cash sales. These are important and procedures and internal controls should be reviewed to make sure they are working. But we are talking about the big cash picture.
Are the bank accounts being reviewed online by owners or appropriate levels of management. Are the accounts reconciled every month? If there is an error of fraud you typically have 60 days from the incident to get it addressed with the bank to get any credit back, after that it is all on you. Also if the amount is significant the bank may come back at you to see if you are culpable in the matter.
Are your checks secured in locked cabinets or left in the printer for anyone to take. Have you done criminal background checks on your employees? Do you routinely have those background checks re-reviewed every two to three years?
It is estimated that businesses that US businesses loss $400 billion dollars to fraud, how much are you contributing to that number?
If you would like assistance in reviewing your cash controls call us at (847) 690-9454 to schedule an appointment.