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Theft from the inside may account for 30% of business failures.

Prevention measures

  • Thoroughly investigate the background of prospective employees. Check personal and credit references.
  • Diplomatically inform new employees of your company's internal theft policy, what constitutes "internal theft" and provide this information in writing to each new employee.
  • Ensure that employees who are hired to handle accounting and funds are adequately bonded.
  • If possible, never give one employee sole responsibility for the company's accounting.
  • Number and log all keys before issuing them to new employees.
  • Conduct "exit interviews" with employees who are leaving. Significant information may be revealed regarding internal theft.
  • Most importantly, as an employer, provide a consistent example of honesty, fairness and accountability.
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