4 Ways to Prevent Business Theft
4 Ways to Prevent Business Theft
According to estimates by the US Chamber of Commerce, businesses lose between twenty and forty billion dollars to employee theft every single year. While you’re not alone if you did a double take and assumed the previous sentence contained a typo, it actually didn’t. Employee theft really is a billion, not million, dollar issue.
Since it would take a nearly unfathomable amount of pens, sticky notes and staplers to add up to twenty billion dollars, one of the most common questions people have about this form of theft is “what exactly are employees stealing?” A study conducted by the Houston Chronicle found that stealing cash is actually the most common form of small business theft. And while embezzlement, which is the most common form of corporate theft, is obviously more sophisticated than yanking twenty dollar bills out of a cash register, a large percentage of this type of theft is far more basic than most people would expect. The study found that the other main types of business theft occur with merchandise, payroll and information.
The other most alarming statistic about this form of theft is that 75% of it goes completely unnoticed! Even though it may not be something you want to think about, the prevalence of this problem means it’s something that will more than likely affect your business. For business owners in the Syracuse and Ithaca areas if you want to avoid being part of the massive annual loss associated with employee theft, Our locksmith and security expert offers you four ways to prevent it:
Pay for a Background Check:
A large percentage of small businesses operate on very tight budgets. As a result of this constraint, they’re always looking for ways to cut their costs. Although many employees don’t realize it, one way that a lot of small businesses save is by skipping background checks. While this may not seem like a big deal, it’s the equivalent of buying a home without having any inspections done. Even though you will save a little upfront, the long-term cost of making a mistake can be huge.
Stay on Top of Your Books:
A significant percentage of employee theft happens on an ongoing basis. By keeping a close eye on your books, you will greatly increase your chances of noticing any inconsistencies that may indicate theft. Putting yourself in a position to make an early detection can mean the difference between a minor and a massive loss.
Don’t Be Afraid to Utilize Video Security Cameras:
Some employers think that using cameras creates a sense of distrust among employees. In reality, having cameras in practical places is just smart business. If employees don’t have anything to hide, it won’t take them long to forget about the presence of the cameras. Our locksmith and security expert can do an on-site survey of your business to create a program that is right for you.
Be Alert for Suspicious Behavior:
One of the biggest myths about employee theft is that employees who are paid well won’t ever steal. While it would be great if raises could solve this problem, employee theft data shows that’s simply not the case. Even though you don’t want to spend every minute being suspicious of your employees, just be aware that your highest paid employee is just as capable of stealing as your lowest paid one.
By following the above strategies the majority of employee theft can be eliminated and even a little prevention goes a long way!
For more information on business surveillance systems feel free to contact our business security expert.