Author: Jennifer Brazer

ID theft statistics

Identity theft has become relatively common in today’s world. In the year 2016 and the year 2017, ID theft statistics have attracted a lot of attention and interest. These facts and stats encompass the entire territory of cybercrime. Even though ransomware garners more attention, ID theft remains much simpler to execute and monetize. Credit card numbers, social security numbers, and other private ID issues can be embezzled and sold on the web. There is also the possibility that offenders can use the information for a fast and secure income.

ATO (Account takeover) fraud is seen to make a comeback last year. Just as the name implies, the Identity thief utilizes the victim’s stolen personal data to enter their account and get a new card delivered to them.

These reasons are why it is essential to be familiar with the concept of bookkeeping. Bookkeeping helps you to understand and analyze accounting, finance, and statistics.

Some common kinds of identity theft occur. According to the Federal Trade Commission (FTC), the government agency maintains a warehouse for ID theft complaints. Provided below are some statistics related to credit card and ID theft.

1. 34% Tax-Related or Employment Fraud

When a criminal utilizes someone’s Social Security Number and other personal data to apply for an income tax return or to acquire employment.

2. 33% Credit Card Fraud

The crook utilizes someone’s credit card or just the number to obtain fraudulent purchases.

3. 13% Utilities or Phone Fraud

The crook utilizes someone’s data to open a utility account or assess their wireless phone.

4. 12% Bank fraud

The crook utilizes someone’s data to take possession of an existing commercial bank account or create a new account in that victim’s name.

5. 7% Lease or Loan Fraud

The lessee or borrower utilizes someone’s data to gain the lease or loan.

6. 7% Government Benefits or Documents Fraud

The crook utilizes stolen personal data to attain government benefits.

Credit card fraud

Regardless of the circumstances that credit card fraud only influences about one% of its fraction, as per the information by the Federal Reserve, the situation is a significant concern among customers. Regardless of how small the offense fraud is, no individual wants their hard-earned cash drained away by criminals.

According to The Identity Fraud Study, new account scam continues to grow. Alongside, account takeover fraud has also flourished dramatically. New account scams recorded nearly doubled the previous year.

As Europay, MasterCard, and Visa (EMV) technology advances and becomes widely adopted,  the criminals out there are shifting their strategy and opening up new credit accounts in the name of the victims. These criminals are buying stolen information such as Social Security number, name, mother’s maiden name, date of birth to open a new account.

Credit card fraud and new account fraud offers another benefit for the thief. They can go unnoticed and hidden for a more extended period. This extension is because the unfortunate victims do not get to see unauthorized charges made on their statement issued for their credit card as the crooks have generated a brand new account, and the credit card statements go on that account.

The other disturbing finding was that stealing cellphone accounts approximately doubled from the year 2015. Through the misused Social Security number, the credit card criminal can get hold of your account and divert all your text messages and emails.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Retail Trade Network

A local grocery store’s trading network is a set of trading enterprises located within a particular territory or under joint management.

The local grocery store provides the opportunity to quickly and conveniently acquire the necessary goods and services with minimum effort and time in the conditions of free choice from a variety near the place of work and housing in convenient quantities.

The retail trade of the grocery store network performs the following functions: purchase, transportation, storage, sub-sorting, part-time, bringing to market, selling goods, accepting risk, financial activities, informing the market, and obtaining information about the market.

The retail enterprise of grocery stores purchases and sells goods to deliver the necessary services to customers.

Local Grocery Store and its Problems

A store is a specially equipped in-house building or part intended for the sale of goods and services to customers and provided with trade and all necessary auxiliary, administrative, and domestic premises, as well as premises for receiving, storing, and preparing products for sale.

There are universal, specialized shops that offer a mixed assortment of goods.

Universal store (department store): A store with an unlimited range of non-food items and a department of food products. Controlling operational costs can be the biggest challenge for this kind of grocery store.

Supermarket – a self-service store with a universal assortment of food products and a limited range of non-food items of daily demand. The most common problems of the supermarket are time wastage, strain on the working employees, and less efficient software. Therefore, the inefficient process is one of the biggest challenges of this type of grocery store.

Hypermarket: A store selling luxury and consumer goods, emphasizing essential consumer goods and food. Managers of such grocery stores cannot understand the inventory process. What to deliver, where to deliver, and what time to give?

A specialized store is a retail enterprise that sells one group of goods or a subgroup of products.

A grocery store with a combined assortment of goods is a retail enterprise that sells several products connected by common demand and satisfying individual needs. The enterprises of this type include “Goods for Children,” “Household Goods,” “Goods for Leisure,” “Fruits and vegetables,” “Makeup and Jewelry,” etc.

Principles of a Grocery Store

The difference between a supermarket and a Hypermarket is noticeable. A supermarket is a large department store with self-service technology and the sale of goods through the cash register. A grocery store’s challenge can be that many people shop daily. The average number of customers in one supermarket chain is 3,500 people per day.

The Pricing and Space Issue

Grocery stores in the “Premium” class can face many pricing, discounts, and space challenges. The spaces of such grocery stores do not exceed 2 thousand square meters; in their variety, there are up to 20 thousand items. Here are essential food products, a minimum amount of vegetables and fruits, and a small selection of alcohol, meat, and fish. But the main difference from discounters, in this case, is the price. The trade markup to wholesale prices in the economy-class supermarkets is 30% – 40%.

The Retail Network of Grocery Stores is Characterized by:

• the ratio of grocery store enterprises engaged in trade in food and non-food products
• the specific gravity of the fixed network in the total number of grocery store enterprises
• the specific weight of specialized grocery stores in the total number of trade enterprises
• used forms of sale and methods of service
• the ratio of retail space used for the implementation of certain groups of goods
• the ratio of trade and non-trading areas of the grocery store
• duration of use of the working area during the day (mode of operation)
• the ratio of parts of the total area of ​​a grocery store trading enterprise
• The specific gravity of grocery stores provided with refrigeration equipment, including those that trade in perishable goods
• the average size of the sales area of ​​a single grocery store

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Each year, thousands of organizations worldwide face employee fraud. These frauds result in billions of dollars’ worth of loss of goods and tangible assets. Generally, frauds are perpetrated or orchestrated by highly-trusted individuals holding key positions in the organization. The increased reliance and trust on entrusted employees often leads businesses to lose a significant portion of the money, which ultimately makes companies lose their competitive advantage. So, organizations need to prevent fraud no matter what it takes. Why? Because if they won’t, then soon they will be kicked out from the competitive race. Moreover, organizations don’t always have to acquire expensive technology and highly empowered tools and gear to prevent theft.

Some Auditors Are Biased, Some Help Business Grow!

Most organizations depend on their auditors or accountants to protect them against employee theft or fraud. You may be surprised to know that sometimes the auditors are also biased and inclined towards acquiring auditing contracts and hence money. Under this scenario, the auditors try to trick or deceive organizations with auditing results and keep the company in the dark. Since entrusted employees watch each other’s backs, people working in the organization hire their preferred auditors and cover their colleagues. This cover reveals that favoritism exists everywhere. Organizations need to audit their bookkeeping records and business books on their own. If not, then they need to hire a credible auditor themselves.

Implementing Internal Control!

To prevent fraud, organizations have to be proficient and hire individuals who can identify discrepancies in business books and statements. When it comes to auditor’s role, s/he needs to make certain spot checks and review the organization’s internal controls and accounting procedures. An auditor gets a clear picture of the company’s finances by systematically confirming the existence and value of the organization’s assets and extent of its liabilities. This way, organizations identify where their employees are stealing from them and what they need to do to prevent fraud.

Undoubtedly, employee fraud exists in almost every organization, making it clear that prevention is ‘must.’ Although in some organizations, the frequency of employee fraud is more significant than a typical organization. Such organizations are mostly related to the retail sector, where stealing from shelves is easy. So, by implementing the right policies and procedures, you can expect to prevent fraud and maintain a healthy growth cycle. The point is that internal growth defines your success, and whosoever learns that leveraging the right internal control never falls behind.

Set Up A Reporting System!

Moreover, organizations need to develop or set up the reporting system that would make employees aware of how things are going to be tracked and monitored by the superior management. When employees know that their performance is going to be tracked daily, they would be fair in their dealings and business roles and duties. When hiring employees, it is crucial to do a reference check for evaluating an applicant’s past performance and credibility. In today’s era, organizations cannot afford to hire individuals right away. They need to cross their reputation for judging their character and drive to work.

Understand business vulnerabilities!

On the contrary, organizations need to understand their vulnerabilities and continuously improve their business processes. If organizations desire to prevent fraud, they need to create a strategy and review the company’s fraud exposure risk. If there are loopholes, then organizations should act right away!

Review Business Books—Closely!

Even if organizations have little or no bookkeeping or accounting knowledge, a close watch on books will make bookkeepers aware that they cannot commit fraud. To prevent fraud, you don’t always have to use expensive technology to monitor your employees.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Overhead costs are the expenses, which are difficult to recognize with specific activities or products. Unlike materials and production labor, the overhead cost is the unseen part of the refined product.  In this regard, the overhead cost is considered a necessary input to production, similar to the raw materials. Understanding the nature of overhead cost assist the business managers to use strategies and control the expenses. The documentation and proper allocation of the overhead cost among products or the departments help managers understand the production cost of an organization. The manager also needs to consider bookkeeping to accurately verifying the overhead expenses. Appropriate allocation of the overhead cost is also likely to contribute to ascertaining the extent to which each of the products of the firm has helped with prosperity.

The small business owners used the overhead cost control for monitoring, distributing, and reducing their overheads. Overhead cost includes the administrative, as well as rental expenses, the office supplies, subcontractors, depreciation, as well as advertising. The costs considered as overhead are expenses in the business processes; however, it does not necessarily mean that these expenses are essential. Controlling for the overhead cost is a complex process. The overhead cost distribution is vigorous for the organization to possess more than one activity or possess more than one department. The allocation of overhead costs is also essential if the organization has been considering adding, drop, or change the levels of business actions.

Steps to Control Overhead Expenses

Organizations use different techniques for decreasing overhead costs. The steps include.

1. Reduction of Working Capital
   

Working capital refers to funds associated with production and inventory from beginning to sales.  The appropriate management of inventories, raw materials, and the accounts receivable results in the decrement in the working capital required by the firm, resulting in the decrement in the overhead cost. In most cases, the overhead is fixed; therefore, the increment in sales also results in a reduction in per-unit overhead cost.

2. The Implementation of Total Quality Management

Ambiguities resulting in rework and the incorrectly filled orders arise in the increment in the cost, causing a reduction in the saleable units—payoffs resulting from the implementation of a total quality system results in the sales volume. For staying in the business world, the firm needs to adopt customer-oriented strategies. However, the organization must also control the cost associated with the promotional activities and the cost associated with the effective utilization of the funds. The implementation of total quality management is likely to contribute to controlling the overhead expenses. 

3. Strategies to Control Sales Costs

Organizational management can implement a range of strategies to control the sales cost and increase sales volume. For staying in the business world, the organization must be customer-oriented; however, at the same time, the organization must also control the created due to sales and promotional activities. The utilization of funds in an effective manner is one of the most commonly used business strategies which are used to control the sales cost. Managers can also decrease the value by relating the service incentive to profitability compared to the product’s sales price.

4. Consideration of Maintenance Costs

In light of the accounting expert’s experiences, it is essential to develop effective and long-term advertising and promotion of a product or services. The repairs and maintenance increase the lifespan of the equipment. The general objective behind the support is to keep equipment in running condition for fulfilling the production goals. Remedial maintenance is making minor changes in the design or materials of equipment. On the other hand, predictive maintenance involves sensing, measuring, or controlling devices to identify and correct technical ambiguities before break-down.

5. Reduction of Transportation Expenses

The sales efforts are sometimes unpredictable and fail to accomplish significant results.  A careful analysis of sales expenditures permits reduction and reallocate of sales expenditures, increasing advertising efficiency simultaneously. The transportation expenses can be controlled up to a certain extent and are likely to decrease overhead costs. Establishing a fixed schedule for transportation can also contribute to controlling the overhead cost.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

The bank reconciliation is the comparison made between the accounting records, maintained by you about your bank account, and the modifications made by the account. The reconciliation of business books, bank accounts, loans, and credit cards is one of the most significant steps of the accounting cycle. A considerable majority of the population considers that bank reconciliations as the most complicated tasks. The reconciliation of business books is not that complicated.

Most people do not check the statements of the credit card before paying. Also, none of us has time to balance our checkbooks. Most of the users consider personal payments as flossing. We are aware of the significance and potential impacts of reconciling our business books, but view it as a hassle. With the advancement in technology, personal finances are extremely automated, leaving you off the hook. However, at the same time, due to the automation of personal finances, the potential errors can be easily identified. The transparency between you and your bank accounts had made your life easier. Before reconciling your business books, you need to make readjustments to your books.  When you make readjustment to your bank account, you identify and correct the errors in cash transactions that might not have appropriately entered into the books. You might have adjusted for reflecting the interest payments or incomes, the charge-backs of credit cards, and bank fees. Reconciling your business books will ensure whether or not, you have done everything right. Bookkeeping is fundamental for the reconciliation of business books. Your accounting records must match the bank records for analyzing the cash present within your bank accounts. The day you have closed your business books might not be the same date at which the bank had to send it. For this reason, you must do your best to maintain your accounting records and balance the business books internally before going for the reconciliation of your bank account.

The following are some of the reasons you should reconcile your books with your bank statement at least once a month.

Preventing Slow Transaction

While dealing with your finances, you can take more hands-off approaches, as the transactions are almost instantaneous. Paying someone by using credit cards requires just one click and a duration of two to three seconds. Within only three seconds, you can check your accounting records as well as your checking account balance. With the advancement in technology, your business finances are nothing but an instant. Banks require time for processing the payments, as well as the consumers take a long time in handing over the case. These sorts of intentional delays are likely to create discrepancies between your account book and your bank account. Such differences can quickly snowball and can also have devastating consequences. However, reconciling your bank statement can provide you with opportunities to ensure matches.

 

Preventing the Risk of Experiencing Typographic Errors

The entire banking system is computerized; therefore, it at the risk of experiencing typographic errors. Typographical errors are likely to occur during typing. Such that one backspace key can cause almost eight mistakes for every 100 words. Reconciling your books allows you to ensure that your numbers match your banks so that you can find problems earlier before experiencing severe consequences.

Dealing with Ambiguities of Initial Stages

In the initial stages of starting any business, there is a requirement to deal with a range of simultaneous happenings. The to-do list seems to get larger and larger. This list growth will allow essential issues to fall through the cracks. If you come across clients who are overpaying for your services, reconciling the business books can allow you to catch the mistake and foster goodwill.

There exist a range of reasons, which can lead to a mismatch between your numbers and the numbers kept by banks. However, it is essential for running the business to match your numbers with the bank numbers to budget early and to budget often. It is challenging to predict the future or to make the forecast of the budget if you try to jump blindly to a particular degree. However, the individuals who are diligent about reconciling their business books can leave the ground on solid footing for sure.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Prioritizing time, according to the accomplishment of the daily tasks, is considered the key to successful management. People invest their precious time in doing things that are not a high priority. It seems that a person is making progress through the completion of various tasks. Busyness can keep a person from accomplishing anything meaningful by creating the impression that they finished the task. Instead, it has stolen away their time. In this regard, it is essential to focus on priorities that can help achieve the desired goals and success. This focus requires an individual to learn how to manage time to spend according to the requirement of priorities. And avoid wasting time on non-priorities. In this respect, it is essential to acknowledge those aspects of life that are more valuable.

What is Important?

A person who wants to be successful must manage their time to achieve their goals and tasks. Time management comes from identifying priorities. A person should first determine their values, goals, responsibilities, and impact of the activities.  By evaluating these priorities, a person can significantly manage their time as they have realized their priorities.

Values

Values determine the overall direction of life. They provide the foundational context for the objectives, tasks, and priorities of daily routine. At the same time, goals are impactful results or achievements that a person wants to accomplish, aligned with the values. 

 

Responsibilities influencing your priorities

There are different responsibilities on each individual, and an employee bears the responsibility to perform the task assigned by their boss, and be productive. However, a person should critically evaluate that either these daily tasks or responsibilities impact their priorities or not because it should be impactful and must have lasting value. Individuals should separate their personal lives from their profession as it can have a tremendous effect on their priorities.

 

Sight of Priorities

If someone brings an issue to you, it may be a priority to them, but not for you. While it is important to work on that priority, you must manage your priorities and time.  This attention to your priorities doesn’t mean helping others is not worth your time. You have to keep your priorities

as your primary focus.

 Understanding the Urgent Issues

Many people struggle to realize the difference between urgency and significance. Most people lack understanding in interviews when the interviewer asks the difference between urgent tasks and important tasks. Every employee must understand the difference, as this will affect how they prioritize their day.

 

Steps to Manage Your Task

Individuals should develop and follow a plan to manage their tasks daily. A plan should consider the following key points:

• Identification of steps required to complete any task
• Set a time in which the task must be complete
• Schedule specific time into your calendar to complete each step of the task
• Manage the time to get the task done according to priorities

 

Prioritization and Time Management

• Managing the time for tasks can help individuals to accomplish daily goals.
• It helps to focus on efforts and priorities.
• It also helps to identify and solve the urgent issues of someone else’s or even own issues.
• It helps to realize that all tasks are not equal; even positive activities can get in the way of your priorities, which can affect the management of time for daily tasks.
• It helps to assess the essential steps required to complete daily tasks and to manage quality bookkeeping as it provides benefits to plan enough time to get the work done at the expected time.

 

 

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

The retail market landscape has significantly changed over time due to the digitalization of shopping and the shifting in consumers’ buying behavior. Presently, consumers have a low level of attention spans, use peer recommendations, and conduct comprehensive research before resorting to making purchases.

Establishing a unified and seamless experience between brick and mortar and digital channels gives market retailers a competitive advantage in the world’s present digital economy. Transformations in the digital era have created current opportunities for traditional retailers to make the overall shopping experience better for customers. Several retail chains pin their hopes on seasons of sales and struggle when sales results fail to live up to their expectations.

Perils of Commodity Sellers

Retailers appear to be most in peril selling commodities. For example, music shops that sell DVDs and discs in Blu-ray format, while selling in the shop can also sell them online. Consumers have become far savvier about buying products conveniently. Unless retailers selling in a brick and mortar retail shops adapt to selling online, they will go out of business.

Shop, Mobile, and Online

The comparison of mobiles, online platforms, and retail shop access for the people looking for purchasing something they often research for by accessing online sources and checking the latest prices of mobiles and other electronic gadgets, and they prefer to go for shopping. This transformation is something people have got used to it.

Developing away from Commodity Selling

There is no need to evolve away from selling commodities. Many retail shops that survive for a long time are that those that sell specialty items. For instance, the comic book shops which contain rare editions at premium prices will likely survive in the long term because they have limited, one of a kind commodities.

While selling these types of items online is possible, many buyers want to see them in person.

But, retailers who are dealing with the growing digital era should accept that many products can be bought online instead of compelling the consumer to purchase the products in person. While the prices may not be lower when selling in postage or packaging, for consumers getting free shipping service via Alibaba or Amazon, it will be tougher to match their prices. Retailers are supposed to provide a friendly retail environment and useful online experiences to meet the customers’ demands whenever they decide to lock down the sale.

Both Amazon and Walmart are realizing that the future state of global retail commerce, both offline and online, is more than merely a world of distribution hegemony, where every kind of brand has been reduced to conforming products and always at low prices.

Present Scenario

What makes the situation a bit more difficult is the fact that people live in a vacuum. Traditional retail in the present circumstances needs to pick the best location for establishing stores, keep up with consumers’ expectations about what the experience of in-store should be, and get more good at e-commerce strategies.

Therefore, rather than concentrating merely on one channel, market retail shops need to shift their focus to optimizing their physical store portfolios. Meanwhile, they should improve their online presence by keeping savvy employees who can expertly handle online platform. Also, retailers need to adjust how they view the value of their physical stores.

Brick and mortar retail stores make capture sales in today’s market. However, they also need to create values by advancing towards digital online sales. It means that the value of a particular store for retailers and consumers is higher than the sales they captured within them. Thus, just as consumers’ shopping behavior has changed over time, the sales and value needs of retailers also need to evolve, so that both the consumers’ easiness and retailers’ sales targets go hand in hand with each other by leaps and bounds.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

One of the most controversial topics in the business and management field is document management. In almost all industries, relevant confidential documents are created. Contemporary companies have realized that effective document management is needed. Using computer recycle bins is not how to handle essential documents. Instead, managers and employees must properly dispose of these documents. From an ethical point of view, critical documents must be deleted securely so that any third party cannot use it for personal gains or for haring others. However, permanently destroying data is an unusual topic, and many people are not aware of it. Bookkeeping data is among the most confidential and critical data of a business that needs to be shredded after its use so that it could not be recovered by rivals, customers, and even employees. 

Moving office documents into recycling bins poses considerable risk of a security violation. Intruders are always looking for unprotected data characterized by personally identifiable information such as names, addresses, and id’s, and social security numbers. Here are some useful ways that can ensure the safe disposal of essential documents.

Delete file – not enough

Regular readers of our site already know that simply deleting a file is entirely inadequate in terms of information security. The deleted files (with rare exceptions in the form of SSD-drives) can be restored within just a few minutes. This restoration is because when you delete a file, Windows does not destroy its contents but makes a note in the file system that the data is removed, and the disk space it occupies is free. 

Formatting a Disk

The very existence of tools like Hetman Partition Recovery is a good indicator that formatted partitions are not a guarantee of data security. In fact, except all the same SSD disks, formatting the partition in “fast” mode (and in old versions of Windows – and formatting in “full” mode) does not erase the data, but merely updates the file system. Accordingly, the data after such formatting can be restored.

However, full formatting of the disk with Windows Vista and Windows 7 will overwrite the contents of the drive with zeros, and format by any means an SSD with a significant (but not 100%) probability will also lead to the destruction of data.

Data destruction programs

There is a whole class of programs management designed for the reliable and safe destruction of information. Such programs use arrays of random numbers to physically overwrite the disk space occupied by the file being destroyed. Some security standards (for example, the standard used in the US Army) require several rewriting cycles and insist on using cryptographically stable random number generators. In practice, it’s more like shooting a cannon at sparrows. For private users and most commercial organizations, a single rewriting cycle is enough.

To find such a program is simple – just run a search for the keywords’ reliable deletion of files’. Similarly, the free space on the disk is mashed – even programs often use the same ones.

These methods work only with traditional magnetic drives, in which unambiguous addressing of the physical space on the disk is possible. In the case of SSD disks, this is not the case, and destroying the information on them is a separate and rather inadequate topic.

Destruction of data on CD and DVD

When getting rid of old backups, do not forget to destroy the data. The easiest way to suppress information on a CD or DVD is to destroy the media physically. Do not be tempted to break the “dummy” with your hands – you will most likely cut the shreds, and small pieces of plastic and aluminum substrate will meet for a long time in the most unexpected places.

To destroy disks, it’s easiest to use an office shredder equipped with a CD and DVD receiver. Besides them, there are specialized devices that are not as expensive as one might think. For most purposes, it is reasonable to cut the disc into four strips.

Some devices make the discs unusable by drilling a few holes in them (by the way, you can also create holes in the disk yourself with a conventional drill). Experts consider this method of management less reliable than using a shredder.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

In the present time, one of the widely discussed topics regarding financial information is the security of the information provided online. The continuous fear of hackers of financial information has increased the need to develop strategies for the protection of online business information. The security of online financial information is a severe issue, as unsecured financial information can have several adverse consequences. Different trends and tips can come from wealth management, financial planning, and accounting executives. Seven ways for the security of online business information are as follows:

Direct contact with an organization

The approach, which is issued by most of the scammers, is to contact directly via email or phones and show themselves as a representative of a financial organization to gain personal and business information. This approach obtains personal and financial information and uses the data for fraud. Financial information can be secured by making direct contact with the financial organization instead of providing information to anyone asking for information online.

Periodic Updating of Password

Another way used to keep financial information secure online is by updating passwords periodically. This update is a first-line defense mechanism that keeps financial information safe and secure. The periodic change of password makes it difficult for anyone to access. Also, one must not use easy or standard passwords. For instance, names of significant others, birthdates, or any such dates or names as these are easy to guess by others. Keeping hard passwords and periodic changing of these passwords is an effective way of securing financial information online.

Using Secure Portals

Another way to maintain the security of financial information is to use secure portals to share financial information. People’s common perception is that the safest approach used for sharing financial info or documents is email. However, most of the hackers use email accounts for theft of identity and financial information. Sharing via emails give access to financial information and social security numbers easy for hackers. In this regard, using a secure portal is an additional security level for the protection of identity. Mixing up the password for each account can be a practical approach in this context.

Bookkeeping

Another way to keep financial information secure online is bookkeeping. Bookkeeping is useful to record information about a financial transaction. The online information and bookkeeping records can be used to check whether the financial information is secure and accurate. However, bookkeeping must also be secured and must not be accessible to everyone.

Securing Passwords

Another way is to secure the password must not be left near the computer. Some of the cases of financial insecurities have revealed that close members of family or friends can hack financial information. Therefore, securing passwords and leaving no password near a computer is another way to secure information.

Two-Factor Authentication

Another way is to secure online financial information is to use a two-way authentication approach. As if any email is required to be addressed for any commercial site, clicking on that link must be avoided as it can be fraudulent. Using two-factor authentication for every financial activity is useful in securing financial information.

Regular Monitoring of Records from Private Network

For the security of online information, it is crucial to monitor your account as well as passwords. Weekly monitoring of accounts and monthly changing passwords would be a practical monitoring approach for securing financial information online. It is vital to use secure settings during online banking transactions and only to use private Wi-Fi networks. The financial information is available in print and electronic form. It is important to keep only the required print material, and unwanted information must be shred to avoid the use of any other. These are some ways to secure online financial information and prevent the accessibility of information to hackers and non-authorized persons.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Considering the present economic climate, several countries are facing challenges in stimulating the growth of fragile economies. In this regard, financial reporting is deemed to be essential. However, financial reporting must be based on some standard criteria as transparent and effective reporting is imperative. Both the large scale and small scale businesses are competing for capital and credit. The financial institutions and banks are cautious while making decisions for investment.

Different businesses must be financially effective and transparent. In this regard, the government must develop a strong regulatory environment for various companies’ financial reporting. In the case of limited financial resources, different businesses require investment for achieving high returns on the money. Financial transparency and efficiency can assist the business organization in attracting some investors to invest in their companies.  The businesses giving effective and transparent practices of financial reporting can receive good prospects. Thus they can earn credits and investments from banks because of a good reputation and financial record.

Financial transparency and efficiency can also transverse the borders. The financial crisis has highlighted that the high volume of trade at the intra-regional level makes the economies more interdependent and interconnected. Keeping efficiency and transparency as the prime characteristics of the reporting system helps businesses expand at the national and international levels. Transparent and efficient reporting can assist the companies in developing and adopting a common framework, compiled according to regulatory factors.

The transparent and efficient reporting system can ensure that the business follows auditing and accounting practices and standards and complies with all standard procedures. Ensuring efficiency and transparency of the financial information is a practical approach for imposing market discipline, providing an opportunity for the businesses to grow. Evaluation of business organization success indicators has also presented the significance of financial reporting. Financial reporting affects different operational activities of companies as it has a significant association with the activities of capital, firm managers, and directors. In this regard, the management of transparency and efficiency of financial reporting can bring significant strength for businesses.

There are some approaches, which can be used for transparent and effective financial reporting by business organizations.

Bookkeeping

One of the approaches, which are used for transparent and effective financial reporting, is bookkeeping. Bookkeeping is a complete record of sales, purchases, payments, and receipts of the businesses, thus maintaining transparent and effective financial reporting. The significant aspects of bookkeeping are transparency, efficacy, and accuracy of up-to-date records.

Automated Reporting

Another approach that can be used for transparent and effective financial reporting is the use of an automated reporting system. The use of automated reporting can keep extensive records of the financial transaction about different business activities. Using rules and guidelines for automated record keeping can be useful in securing a lot of data with less time consumption.

There are some important benefits of financial reporting. It can communicate information from a business to customers, shareholders, creditors, and the public. The transparent and effective financial reporting, therefore, becomes crucial to the integrity of a business. Open financial reporting can reduce the risks of errors and can develop a consistent system. Improved efficiency and regulatory compliance are the major positive factors associated with financial reporting. Though it is a complicated and time-consuming procedure, it is beneficial in attracting investors. This gain can provide competitive advantages to the businesses and assist in short-term and long-term financial and non-financial benefits.

 

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.