BPYB 20 Ways to get Defrauded in Business

Preface

Bullet Proof Your Business has pleasure in providing Business Risk Management Services to your business. This Document provides criteria which allows you to assess the risk of Armed Robbery in your business.

Disclaimer

This system has been prepared only as a guide and is based on business principles and policies which may or may not be relevant to you, your business or a particular transaction. This document can be used as a guideline only and does not constitute legal, accounting or other professional advice. No guarantees, warranties or assurances can be given about the applicability of this document or any part of it for your specific situation or needs. Bullet Proof Your Business, its directors, professional advisors, agents, consultants and employees exclude all liability (including liability for negligence) in relation to your use of this manual. You should:

• Seek legal or financial advice as appropriate on any document or business decision you make.
• Always obtain and rely upon your own independent professional advice.

There is strong evidence that Fraud in business is continuing to increase, as employees, contractors and suppliers, seize on opportunities made available to them. Often these opportunities arise, when hard working owners or managers are focused on work volume and cash flow, and do not have the necessary time to focus on managing risks.

The following is a snap shot of some common frauds in the workplace:

1. Overtime: Claims for overtime that are not worked or authorised
2. Reimbursements: Claims for reimbursement of expenses that were not incurred or authorised
3. Misuse of Company Property: Misuse of company property such as vehicles, telephones, plant and equipment or stock for own use
4. Ghost Employees: The payment of salary to employees who do not exist, such funds finding their way to the offender
5. Fraudulent Payment of Expenses: Payment of expenses not for business but created for personal use (e.g. vehicle lease)
6. False Invoices: Manufacture of false invoices by accounts payable staff for goods or services not received
7. Credit or Expense Cards: Fraudulent use of company credit or expense cards for personal use
8. Misuse of Cheques: Payment via business cheque for private expenses while fraudulently noting it as a business expense
9. False Refunds: Falsification of refunds where the employee processes and pockets the refund amount
10. Cash Skimming: Acceptance of cash in a transaction without recording it, later taken by the offender
11. Kickbacks: Payments by suppliers to employees for advantages, increasing costs to absorb kickbacks
12. Under Supply of Stock: Supply of stock or services less than agreed while charging full amount
13. Dishonoured Cheques: Payment for goods or services with cheques that are not honoured or stolen credit cards
14. Manipulation of Sales Figures: Altering sales figures to meet targets or achieve bonuses
15. Credit Card Chargebacks: Fraudulent chargebacks after receiving goods or services
16. Conflicts of Interest: Undisclosed personal or financial interests affecting business decisions
17. IP Theft: Theft of company data, patents, formulas or intellectual property for personal gain
18. False Accounting: Misrepresentation of financial records to hide true financial position or fraud
19. Identity Fraud: Use of fake identity or qualifications to obtain employment
20. Applications for Credit: Manipulation of financial records to wrongly obtain credit approval

Some employees, contractors and service providers will continue to investigate ways to manipulate the business system for their own advantage. Over 35 years, we have witnessed numerous types of activity across a broad range of business areas, where theft occurs.

“20 Ways to get Defrauded in Business” is a quick short snap-shop of the most common business fraud occurrences, which allows the business owner to quickly assess whether his or her business is potentially exposed to the most obvious fraudulent conduct. Buy now, for our low price and save yourself and your business a lot of money.