Crime Tip of the Week: How to protect your business from fraud, theft or embezzlement

No matter the size of you company, taking some of the following steps could prevent a business from falling victim to employee fraud or theft.

• Separate the financial duties to provide a system of checks and balance. Some of these duties include:

– who prepares checks for payments

  • who receives payments from customers

  • who makes bank deposits

  • who signs the checks and verifies the amount/vendor

  • who reviews the bank statements

• Endorse all checks in pen, do not provide employees with a “signature stamp.”

• Set a monetary amount that needs secondary approval prior to any expenditure or separate quotes from multiple vendors for large purchases.

• Assign separate check cards to individual employees in order to track their spending.

• Conduct background checks when hiring.

Four consistencies with suspects caught embezzling or stealing money from employers are known as the 4 D’s to law enforcement: debt, divorce, drugs or disgruntlement.

Being in tune with your employees and knowing what is going on in their lives can also help prevent future disasters.

Support Local Journalism

Support Local Journalism

Readers around Steamboat and Routt County make the Steamboat Pilot & Today’s work possible. Your financial contribution supports our efforts to deliver quality, locally relevant journalism.

Now more than ever, your support is critical to help us keep our community informed about the evolving coronavirus pandemic and the impact it is having locally. Every contribution, however large or small, will make a difference.

Each donation will be used exclusively for the development and creation of increased news coverage.