10/06/2026
🎃 October is Fraud Prevention Month! 🎃
Financial fraud prevention matters for nonprofits! Strong internal controls protect your mission and your donors' trust.
Here are Three Strong Internal Controls for Nonprofits:
1. Segregate Financial Duties
Avoid having one person responsible for receiving funds, recording transactions, making payments, and reconciling accounts. Dividing these responsibilities creates accountability.
2. Require Multiple Approvals
Set a dollar threshold where larger purchases, payments, or transfers require approval from a second authorized person.
3. Conduct Independent Financial Reviews
Have someone outside the day-to-day financial process, such as a board treasurer or finance committee, regularly review bank reconciliations, financial statements, and unusual transactions.
Strong internal controls protect your organization, your team, and the resources entrusted to your mission!