Financial Forensics 101 for Business Owners

Financial Forensics 101 for Business Owners

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You’ve just closed your business after a long, successful day. Things are stressful, but going well overall. You sit down to look at your financial statements and notice that something seems awry.

Some of your finances are missing. What’s going on? How could this even happen?

If you’ve experienced the heart-dropping panic of fraud, you know there’s nothing like it. Nonetheless, there are services to help you and your business get to the bottom of a troubling situation.

Financial forensics is one of the most important fields in business that we never hear about. So, what is it and what does it mean for your business? Read on to find out.

What Is Financial Forensics?

To begin, we’ll start with the basic question. What is financial forensics?

While the field itself is quite complicated, financial forensics can be defined as the combination of forensic investigations with the finances of a business.

Think a cross between a financial consultant and a criminal investigator.

It works in much the same way too. The expert will use his or her skills to analyze a business’s records to spot fraud. It’s a complicated process that takes years to perfect.

Make no mistake, however, it’s effective. One of the most famous forensic accountants in the world is Frank Wilson. He used his expertise to take down Al Capone, one of the world’s leading mobsters.

Does My Business Need Help?

This is a complicated question. If you’re a newer business owner, you may not be sure what to look for and where to find it. Technology has only made the process more difficult.

Since newer businesses tend to keep their records online, it isn’t always easy to spot when someone is sneaking in and embezzling. If you suspect fraud, a financial expert can help spot the culprit.

Let’s be clear, newer businesses are often easier targets. There are plenty of different types of fraud, and it only takes one sneaky criminal to send your business spiraling out of control.

How Can Forensics Protect Me?

Financial forensics can help your business in two distinct ways.

First, it can spot any types of financial crimes that may be taking place without your knowledge. Should something come up, you’ll have definitive proof and can take your case to court with hard evidence.

However, it can also provide your business with some much-needed peace of mind. You’re already stressed enough running a business. The last thing you need to worry about is an employee skimming extra money from you.

Hiring an expert isn’t always necessary, but it can do wonders for your business. If you suspect foul play with your finances, get in touch with a forensics pro ASAP.

Get The Financial Help Your Business Deserves

At Parker Business Consulting and Accounting, we understand how important your finances are. That’s why we’ve dedicated ourselves to providing the best assistance possible.

Whether you need tax help or a business valuation, get in touch today! We’d love to work with you to help make your business a success.

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