Organizations with fewer than 100 employees significantly trail their larger counterparts in the implementation of formal antifraud controls, according to a worldwide survey by the Association of Certified Fraud Examiners (ACFE). The industries most commonly victimized by fraud are banking and financial services, government and public administration, and manufacturing.
Antifraud experts say formal controls can help small businesses prevent and detect instances of fraud that, left undiscovered, could lead to costly losses and possibly to bankruptcy.
Implementing controls don’t have to be expensive. Antifraud measures such as a code of conduct, employee training programs, and formal management review of controls and processes can be implemented at marginal costs in many small organizations and can significantly increase prevention and detection of fraud.
For more information on implementing anti-fraud controls, contact a ShindelRock tax professional today.