It is pretty common to notice that small businesses are becoming soft targets for fraudulent activities. Midsize and small businesses suffer more because of fraud losses than big corporations. It would help if you had a legal attorney by your side to prevent such fraud. They will guide you in times of crisis and give you tips to avoid such crisis scenarios.
Many entrepreneurs feel that having an attorney by their side will be an expensive affair, not realizing that getting into a corporate fraud would cause them much more. Therefore, it is sensible to have an attorney who could guide you in your business matters and detect issues to fix them in time, as advised by Michael e Weintraub Esq.
Many reports have revealed that companies lose a large sum of money because of fraud. Thus they should have a fraud prevention program assisted by a legal attorney to take legal actions whenever necessary.
Such a program should have three facets
- investigation by attorney
- having a qualified attorney by your side
- the proactive role of the attorney to prevent such scenarios.
Employees will inform you about misdeeds happening in the firm. Still, you should avoid taking immediate actions and instead notify your attorney to investigate the matter and work accordingly.
Some crucial ways where an attorney can help you detect corporate fraud
Your attorney will act as an anti-fraud expert who has the necessary experience to handle such fraud cases. They would also come up with practical and relevant measures to control corporate fraud.
- You must have norms and procedures that are clear and easy to establish. You must clearly outline the rules so that the employees can maintain them, and they should not come across as arbitrary guidelines.
- You need to check references and engage in all employee background checks, including the employees' criminal history licensing and credit. A reasonable attorney can play a vital role here because they can help you understand the legal technologies before hiring an employee to prevent later issues.
- You should secure your physical assets that include money and data with the help of an attorney to prevent mishaps later. Your attorney can also advise measures to review disbursements regularly, says Michael E Weintraub Esq.
- After consulting your attorney, you should segregate employee duties so that none of the employees will have too much control over any sector. A small business entrepreneur must review each payroll cheque on an individual basis thoroughly. The person who dispatches a cheque to the employee should not have the authority to sign the cheques; instead, the entrepreneur should do it. In case of any dilemma, you can discuss with your attorney and penalize employees involved in corporate fraud, as mentioned by Michael e Weintraub Esq.
You must check that the transactions occur under proper authorization and no employee has the authority to exceed their power. An attorney plays a crucial role in managing fraud and establishing measures that would detect fraud. You should consult your attorney in such a scenario so that they could bring out an apt solution without much hassle.