1st Choice Savings - Business Checklists

Personally receive your unopened bank statements each month.
Reconciliations of your statements should balance your records.
Reconciliations should be performed monthly, within 30 days of receiving your bank statements.
Report any discrepancies to the credit union immediately.
Segregate financial responsibilities - do not have the same person balance the bank statement and issue checks.

Some items to watch for are:

- Cheques to suppliers or people you don't know.
- Cheques made out to cash.
- Signatures that look forged.
- Missing or out of sequence cheques.
- Cheques in which the payee does not match the name in your register.
- Cheques made to a third party but endorsed by someone in your company.

Periodically review your cheque register to ensure that cheques are in numerical order and that there are no cheques missing.
Keep blank cheques locked away in a secure location, account for missing numbers, and periodically inventory your remaining supply. Have a "voided cheque procedure" requiring validation of all voided items.
Never sign a blank cheque.

Some questions to consider:

Are they living a lifestyle not commensurate with their wage income?
Are they the first to arrive at work and the last to leave? § Are they taking vacations?
Are they adequately supervised?
Are they highly territorial over their accounting function, especially if the employee is solely responsible for accounting?
Have you performed background checks on employees, including temporary ones?
Keep duties separate. No single employee should be responsible for financial transactions from beginning to end.

If you are placing online orders, ensure that you are doing so on secure internet sites (with URL that begins with “https:/” and a lock symbol that will show in your browser), or place your order by telephone or mail.
Ensure that you keep your login access codes confidential, especially to your internet banking sites. Do not share these with anyone.
When your computer is not in use, shut it down or disconnect it from the internet.
Do not respond to unsolicited e-mails from companies requesting you to validate or verify personal information. Change your passwords often.

Understand your books

Team up with knowledgeable professionals who can help you understand your financial picture, especially if the numbers don't look right.
Monitor daily deposits and use dual control procedures for cash. Personally prepare or review the cash deposits.

Paper Work

Shred/destroy any paperwork that you no longer require including bank records, credit card statements, credit card/loan solicitation letters, receipts, etc.

Business Checklist

Bank Statements

Cheque Supplies

Employee Actions

Online Transactions

Other Checklist Items