In this post-Enron world, businesses have had to rethink how they manage and account for their financial well-being. While on one hand, this adds to the amount of time and energy even non-public, small enterprises have to devote to their financial accounting; on the other hand, every business can benefit from the increased safeguards they incorporate to deter fraud and embezzlement.
One way court reporting and other legal support firms can enhance their companies’ accounting practices is to upgrade their business management software to RB8. In particular, there are three accounting features in RB8 that could protect your business from fraud & embezzlement:
3 accounting safeguards in RB8
- Invoices that are not posted (i.e., not finalized) print with the word, “DRAFT,” on them. This is to prevent invoices not posted from being sent out accidentally (or otherwise) to clients. In RB8, you must post invoices before you can print final copies for clients. Once posted, invoices cannot be deleted nor tampered with.
- RB8 does not regard COD (Cash on Delivery) invoices as sales, therefore they cannot be posted. CODs are handled differently than sales to avoid overstating revenue and to minimize the number of voids that would occur to clear uncollectible CODs from your accounts receivable. In addition to protecting against fraud, this also avoids arousing IRS suspicions during an audit because of an unusual number of voids.
- You must close (i.e., finalize) payroll before you can print checks or the final version of the Resource Payroll Report. This is to ensure that no changes can be made to payroll data after you distribute checks and reports to your reporters and other resources.
While no system will ever be 100% foolproof, RB8 is a good way to help your business follow standard accounting practices and minimize the chances of your business suffering losses from fraud and embezzlement. Accounting procedures have been simplified and streamlined to minimize errors. For example, in RB8, the accounting manager sets payroll dates in advance so when it’s time to cut checks, the accounting staff simply selects the pay date from a drop-down list. No data-entry errors!
And RB8 provides a vast array of financial reports, such as daily sales and cash receipts registers, daily balance logs, and payroll reports, as well as a comprehensive collection of monthly reports.