If you are running a startup and have no previous experience in handling finances, then it becomes extremely important for you to protect your business from financial fraud. They can happen any time, anywhere, and in ways, you have never imagined. So, be careful with how you handle your business finances. Here are a couple of tips that can help you in this regard.
Protecting Your Business From Financial Frauds:
First thing first, never use your personal bank account to carry out business transactions. When you share your bank account details to vendors and clients over email or text messages, you put out something that’s supposed to be very confidential online. And as a matter of fact, everything that’s online can be hacked into. So, it’s better to keep two different bank accounts for personal and business-related usage.
Stop using your credit cards randomly at online stores and websites that are slightly new. If possible, stop using credit cards online at all. From time to time, fraudsters hack into the database of various online stores and websites and steal credit card information. By the time anyone comes to know about this hack, they might have already used credit cards for shopping or making random payments.
Don’t share your website’s password with too many people, regardless of whether they are your teammates or not. You don’t know who’s going to leak it to someone that can misuse that information for their own benefits. Also, do a thorough background check every time you hire a new employee. It will help you determine if the person you are hiring has a clean track record and was never involved in any criminal activities.
Lastly, if you suspect any fraud being carried out by your client or vendor and have solid evidence that proves them wrong, connect with the investment fraud team at Erez Law and take legal action to hold them accountable for their actions and recover your money. Follow these points to have a smooth and hassle-free experience while running your startup.