Small Steps You Can Take to Make a Big Difference in Your Practice’s Financial Health
An interest in teeth is necessary to becoming a dentist, but did you know that an interest in business is important, too? All too often, dentists start their own practices without recognizing that they’re actually starting their own businesses. Now they have to wear two hats: compassionate health care provider and shrewd business owner.
As a dental practice owner, you’d like to believe the best of your employees…that they’re dedicated and upright and would never even consider stealing from you. Hopefully this is the case if your practice, but taken as a whole, fraud in small businesses, including dental practices, is surprisingly high. In fact, the Association of Certified Fraud Examiners (ACFE) estimates that the typical organization loses 5 percent of its revenues to fraud each year.
As do teeth, businesses need preventative care to stop problems from developing. One important kind of preventative measure: internal controls – the processes and systems that protect your practice from employee fraud.
Internal Controls Best Practices
Follow these internal controls best practices to decrease your risk of fraud and keep your practice healthy and profitable:
- Conduct a risk assessment to identify areas where fraud may occur.
- Set a tone that your practice takes ethics serious.
- Segregate duties to ensure that no one employee is responsible for all steps of the accounts payable or receivable process.
- Train employees on the proper use of practice resources and how to report misuse of resources.
Dental Internal Controls Help
Want to get started on fraud prevention in your practice, but don’t know where to start? Contact Rea & Associates. Our Bright Dental CPAs will perform an internal control review or conduct a fraud assessment. We’ll help you create the policies and procedures you need to keep your practice healthy.