Not every business owner is ready to learn about the finances of his or her company. On a recent episode of Restaurant Impossible on the Food Network, host Robert Irvine visited a struggling restaurant. He analyzed the financial records, and in one day he uncovered that there was at least $100,000 unaccounted for due to employee theft and ‘comped’ meals. He uncovered this just by looking at one inventory item – steaks! Every day thousands of business owners make this critical error. They may assume their tax accountant would uncover such an anomaly, or they are simply overwhelmed with the prospect of delving into the books. Your accountant is filing your taxes, not managing your company or looking for fraud. You probably do not pay him or her for such services. As a business owner, can you afford to ignore it any longer?
You work so hard trying to make money, do not let people in your organization steal it from right under your nose.
Nobody expects a CEO or an Entrepreneur to be a CPA or a Forensic Accountant, but any manager or business owner should have some understanding of their company’s finances. A doctor does not ignore the heartbeat of a patient, and you cannot ignore the lifeblood of your organization.
Major corporations need to have managers that understand the big picture, and are invested in the health of their company. Everyone needs to play a role in the fraud prevention strategy. Small organizations might have one manager, the owner, and that owner needs to understand the flow of money.
You will find yourself developing a fraud fighting strategy, and you too will find that using the 800 Pound Friendly Gorilla can help you to detect, deter and prevent fraud.
Joe Petrucelli’s book, Detecting Fraud in Organizations, will give you the techniques, tools and resources you’ll need to find the financial vulnerabilities in your organization and prevent fraud from occurring. A basic understanding of why and where fraud occurs will go a long way in preserving the financial health of your business. You work so hard trying to make money, do not let people in your organization steal it from right under your nose. Joe’s book will help you to understand fraud, and learn how to look out for fraud. The book will help you to develop a fraud fighting strategy, and show you how to use an 800 Pound Friendly Gorilla approach to detect, deter and prevent fraud.
You still probably need your tax accountant to file taxes. Maybe once you understand how to fight fraud, your accountant will become part of your 800 Pound Friendly Gorilla strategy. Maybe you will want to bring in the big guns, the professional fraud fighters or forensic accountants. Every business is different and has varying needs. Start your journey of understanding fraud so you can avoid it and start saving money. Understanding fraud can help you protect your organization from fraud.