Accounting is a responsibility handled by finance professionals. Every business entity employs at least one accountant to ensure money matters. Paying taxes is also a part of financial acumen. Moreover, another area requires the specialization of finance professionals. Businesses that fear discrepancies in their records and/or misuse of funds often hire professionals to assume the onus of forensic accounting in Pleasanton and Concord, CA.
Forensic accounting is a highly specialized area in which professionals use accounting, auditing, and investigative skills to identify fraudulent practices. Such professionals may also discover the weak points of an organization and provide tips for the prevention of fraud and embezzlement of money in the future.
Some of the responsibilities of a forensic accountant include the following: -
Investigation of Accounts — Forensic accountants are like detectives. They examine all financial records and transactions to note the discrepancies or signs of wrongdoing.
Legal Support- Forensic accountants often work with legal professionals to gather additional evidence for mediation, arbitration, or civil/criminal trials.
Provide Testimony- Such accountants are often asked to provide testimony based on their expertise. Their explanation of the dispute helps judges and juries understand the facts.
True, simply suspecting wrongdoing is not enough to hire a forensic accountant. Instead, a business entity is advised to conduct an internal investigation before roping in a financial expert.
Many business entities use such accounting services to investigate internal financial fraud, manage risk, and obtain a report on another business following forensic accountants' due diligence. This enables the concerned business owner to decide about a merger or acquisition in the future.
Additionally, the following also hires a forensic accountant periodically or as needed: -
l Government Agencies
l Law Firms
l Regulatory Bodies
l The issues usually investigated by a skilled forensic accountant include the following: -
l Economic losses of the client
l Possibilities of declaring bankruptcy
l Protection against bankruptcy
l To ensure the veracity of Insurance claims
l Divorce settlements and marital disputes
l Securities and tax fraud
l Embezzlement of funds
l Identification of hidden assets
l Money laundering
True, hiring an accountant for specialized services is not cheap. However, business entities and government organizations find the costs justified when the professional reveals the following:
l Identification & Investment of fraudulent activities
l Providing advice about the protection of assets and organizational reputation
l Reduction of financial losses by stopping financial crimes at the initial stage
l Provides crucial evidence during civil and/or criminal trials
l Provide testimony at court as a witness
l Resolution of disputes during mediation to ensure settlements
l Tracking and recovery of misappropriated funds when appointed to look into financial fraud and fund embezzlement
l Assists the client in recouping the finances and helps them prevent further damage to their finances and assets
Legal and financial experts can serve as neutral third parties to help a couple going through a divorce. They ensure affordable divorce mediation in Pleasanton and Concord, CA, enabling the couple to reach an agreement on asset division and child custody.
