Fraud by companies or staff members is a serious and complex issue which very often requires those with expertise about the crime to sort out.
Fortunately, employers who have set up a forensic accounting service in their workplace have the ability to safeguard their corporate assets and ensure their business interests are at the heart of their company no matter what changes are made to the working environment.
Those of you who are a little puzzled about this concept should be able to get many of their questions answered by reading this following guide.
What is forensic accounting?
The best place to start discussing forensic accounting to those who have little or no knowledge on the subject is to delve into its definition.
To put it simply, forensic accounting sees professionals in the field using their investigative skills in order to integrate a person’s or company’s accounting and auditing awareness.
A typical forensic accountant, such as those who showcase their expertise to solicitors, insurance firms and private individuals at Frenkels Forensics, will begin by looking over the instructions given to them by a client in relation to a fraud case.
After the accountant has established the instructions which have been set out to them and their underlying circumstances, they will then build up their argument by examining the financial information of a person or company, as well as obtain any contracts and other agreements which can boost their point further.
Once all of the information has been gathered, a forensic accountant will then draw up a conclusion and prepare a detailed report on the subject, which a client can then present in a court if need be.
Forensic accounting is used to great effect in a wide variety of situations, with matrimonial disputes, fraud investigations, business interruption cases and professional negligence claims just to name a few.
The benefits of forensic accounting
The problems with fraud have developed in recent years as technology becomes more advanced and more people take their tentative steps into virtual fields. As such, the opportunities for people to perpetrate or conceal instances of deception have evolved significantly.
However, those skilled in forensic accounting often have the skills to quantify the damage caused by fraud and, as such, these individuals have formed a key part of litigation and investigating such crimes.
What’s more, there are many cases of fraud which professionals in the forensic accounting field can solve without the need for the problem to go as far as the courtroom.
Should a court case be inevitable though, companies who have employed or sought out the services of a forensic accountant will gain peace of mind that they have an expert to support their argument.
This helpful business information was sponsored by Frenkels Forensics.