Protect your business from internal theft

Six ways to spot internal fraud and four tips to prevent it
Cyber Security
Business planning
Written By:
Nikki Geiszler, Treasury Management Sales Manager
Person pocketing a hundred dollar bill

Here in the U.S., businesses report losses of hundreds of billions of dollars related to internal fraud, most of which is perpetrated by first-time offenders. Small and mid-sized businesses are more vulnerable to fraud than larger organizations and the effects are more damaging to the fiscal health of the business. 

Be on the lookout for these six signs of embezzlement:

  1. Accounting exceptions/abnormalities
  2. Internal control weaknesses
  3. Analytical symptoms
  4. Employee behavior changes
  5. Employee lifestyle changes
  6. Tips and complaints

Practice these steps to prevent internal fraud:

  1. Create separation of duties
  2. Clearly document policies and procedures
  3. Don’t let personal relationships with employees reduce needed scrutiny, especially around cash-flow tasks.
  4. Enforce vacation policies

If you’re concerned about suspicious activity at your business, talk to your banking relationship manager. Your banker should offer tips and tools to help protect your company.

Source: 2019 AFP Payments Fraud and Control Survey at