Matthew Accounting, PLLC

In a world where 30% of applicants give false or misleading information about their backgrounds, adding employee background checks to the hiring process is the employer’s first line of defense in hiring good people, and possibly avoiding negligent hiring lawsuits.

Background checks supplement the interviewing process, confirm information provided by applicants, and uncover inaccurate information. Background checks do not rely on getting references from former employers who may be fearful of being sued.

Though the information from background checks varies, this information can identify some of the following problems:

- A given residential address that is commercial, including a bar, mail forwarding service, or homeless shelter.

- A residential address that may have been used in suspected fraudulent activity.

- Failure to appear for court appearance.

- Differences between the legal name and the name on the application.

- Variations in the legal name.

- Criminal records located under an alias.

- Applicant with multiple aliases, an incorrect Social Security number, or multiple numbers.

- Use of Social Security number in a death benefit claim.

- Use of Social Security number in fraud-related (credit card) activities.

- Convictions:
a. Assault/battery
b. Forgery
c. Theft
d. Probation violation
e. Possession of firearms/carrying concealed firearms
f. Possession of a controlled substance
g. Under the influence of a controlled substance
h. Operating a motor vehicle on a suspended license
i. Infliction of injury on spouse or child
j. Burglary
k. Credit card fraud
l. Driving under the influence (multiple offender)
m. Disorderly conduct
n. Resisting arrest
o. Indecent exposure
p. Tampering with government records
q. Grand theft auto

Background checks serve as an insurance policy and may identify potential issues that may not have been uncovered during the hiring process. If you are running a high-risk or turnover business, it might make sense to add background checks to your hiring procedures.

What others have to say about your products or company is a key influence on what they buy. A recommendation from a friend or colleague is something people trust, not to mention that research shows it is much more effective than traditional advertising.

So what are you doing to promote word-of-mouth in your marketing plan? Word-of-mouth marketing is defined as, “Giving people a reason to talk about your products and services, and making it easier for that conversation to take place.”

Word-of-mouth can be fostered and integrated into your everyday business operations. An effective word-of-mouth campaign starts with any interaction with your customer. Do you truly listen to your customers, asking for and listening to their feedback? Is it easy for customers to tell their friends about you and your products? Do influential people know about you and speak positively about your services?

An effective word-of-mouth campaign starts with empowering your customers to share their experiences. It is this voice that can either strengthen or doom your brand. Don’t forget that a dissatisfied customer can be just as powerful as a happy one.

Word-of-mouth marketing techniques start with a dialogue with your customers. The basic elements are:
• Educating people about your products and services.
• Identifying people who are most likely to share their opinions.
• Providing tools that make it easier to share information.
• Studying how, where, and when opinions are being shared.
• Listening and responding to supporters and detractors.

Is word-of-mouth advertising right for you? In reality, it is already happening, and you may not even know about its effects. Making it part of your marketing strategy is an inexpensive way to concentrate and listen to your customers while making them your greatest ally. 

Business plans are used primarily for raising capital and guiding growth. Not everyone who starts and runs a business begins with a business plan, but it certainly helps to have one.

If you are seeking funding from a venture capitalist, bank, or other lending institution, a comprehensive business plan that demonstrates sound business reasoning will help you negotiate through the funding process. The business plan will convince investors that your new venture is worth funding, that you have identified an opportunity and have gathered the management and organization needed to be successful.

A well-written business plan is the best way to show investors that you deserve their financial support. Make sure that your plan is clear, accurate, focused and realistic. Use it to convince prospective investors that you have the tools, talent and team to build and run a successful business.

A business plan can be a valuable tool in analyzing all aspects of your business as it grows. Since most business owners are in fact learning on the job, a business plan takes this information and analyzes different possibilities without the risk and cost of working them out in real time. A variety of marketing or pricing scenarios can be played out on paper before testing even occurs.

The business plan helps focus the entrepreneur by:

• Defining objectives and detail programs to achieve forecasted results.
• Creating a regular business review and course correction process.
• Evaluating a new product line, promotion, or growth opportunity.
• Analyzing the quality of staff and future staffing needs.
• Clarifying financial requirements and cash flow forecasts.
• Refining strategy when making difficult decisions.
• Determining the strength of the competition and analyzing market trends.

Understanding where your venture is heading can determine whether or not you need to plan. Your business plan can help you work smarter, anticipate the future, test ideas and help create a results-oriented organization.

It seems like every year there is a hurricane, flood, earthquake, wildfire or some other natural disaster that impacts everyone in the community. Even smaller companies are not immune to an unexpected loss. What can you do to prepare and minimize your risk to ensure that such a disaster won’t run you out of business?

Unplanned events can have a devastating effect on your business. You need to be protected from any number of natural and unnatural events, such as a fire, computer failure and illness of key staff, all of which can make it difficult or even impossible to continue day-to-day operations.

Good planning can help you take steps to minimize the impact of a disaster and protect your business. The following recommendations can help your business cope with an unforeseen calamity.

Why the Need to Plan?
By identifying possible disasters that could affect you and your business, you may be able to minimize the risks and losses that might occur. A well thought-out business continuity plan will identify an action plan, safety concerns, applicable computer back-ups, and alternative operation headquarters. It will also provide a road map back to normal activities by highlighting the points of contact for insurance and emergency relief way ahead of time.

Educate Your Staff.
How will you escape? Where will you meet up? How will you communicate? Map out and practice escape routes from your building. Familiarize yourself with local authorities and emergency radio signals announced at the time of a disaster. What happens if you survive the disaster but your biggest supplier does not? Develop back-up vendors and relationships ahead of time. Don’t forget that many employees will have families to care for and may have their homes affected by the disaster. Have you stockpiled water, batteries, first aid kits and food in case emergency services are delayed?

Back Up Key Business Information.
Does your computer system have a nightly back-up tape? If the answer is yes, where are the back-up tapes stored? And more importantly, will the back-ups include all of the software needed for your computers to function at another location? Many businesses now have outside vendors that host and back up their computer systems for them. Inquire if they have redundant back-up systems and request information on their emergency plans. If the disaster is only temporary and shuts down the electrical grid to your business, a generator may be a sound investment. The generator can power your computer system, equipment, refrigerators and other items that might be crucial.

Review Your Insurance Coverage.
As many realize after the fact, they are not insured for many natural disasters under their existing business policy. You may need to add or increase coverage if it is available. Check with your carrier for details on your coverage.

Recovery and Government Assistance
The following government agencies may provide assistance:

• Small Business Administration (SBA) - Provides low-interest loans to businesses, homeowners and renters who are victims of a disaster. They even provide loans for the replacement or repair of damaged or destroyed clothing, appliances, furnishings and automobiles. For more information, visit their website at: www.sba.gov.

• Federal Emergency Management Agency (FEMA) - Disaster assistance is provided in the form of money or direct assistance to individuals, families and businesses in an area whose property has been damaged or destroyed and whose losses are not covered by insurance. It is meant to help with critical expenses that cannot be covered in other ways. For more information, visit their website at: www.fema.gov.

Since a disaster strikes without warning, being prepared can help your business recover more quickly from a catastrophic emergency. Take the necessary steps to ensure that both you and your business investments are well-protected.