Protecting Your Business

Protecting your business assets in a challenging economy is one area small business owners must keep track of or it can potentially lead to trouble.

At Thomas Howell Ferguson P.A., we instruct our clients on the basics of internal controls, with a primary focus being on the segregation of duties for employees handling your finances. Separate responsibilities as much as possible; for example, the person who reconciles the accounts versus the person cutting the checks. Someone outside of the accounting process should open all bank statements and review them for proper signatures, authorized vendors, unusual wire transfers, etc.

In addition, signature stamps can be another way of increasing your risk of unauthorized transactions if they are not safeguarded properly. If it is necessary for you to have signature stamps, keep them under the lock and key, and separate from the person who has access to the checks.

Travel and entertainment expenses are also an area where you could have the risk of duplicate expenses and falsified documentation. Be on the lookout. The financial health of your company depends on it!