Internal controls every growing business should have

As a business grows the owner can no longer see every transaction. Simple controls keep errors and fraud from going unnoticed.

Internal controls do not have to be complicated. A few well chosen checks protect most small and medium sized organisations.

Separate duties. The person who approves a payment should not be the person who records it or reconciles the bank account.

Set approval limits. Decide who may commit the organisation to spending, and up to what amount, and write it down.

Reconcile regularly. Bank accounts, mobile money accounts, stock and customer balances should be reconciled and reviewed every month.

Protect your systems. Give each user their own login, limit access to what the role requires and keep backups.

Review the numbers. Compare actual results to budget and ask questions about anything unusual.

We carry out internal control reviews and can help you design procedures that fit the way you work.