1. Lesson 7.3 PROTECT YOUR BUSINESS
Chapter 7
Lesson 7.3 PROTECT YOUR BUSINESS
GOALS
Categorize business risk.
Identify security precautions to protect your business from different types of theft.

2. Chapter 7
7.3 Protect Your Business
As an independent business person, you will face many risks. Security precautions are the steps you take to protect yourself against different types of risks.

3. Group Activity: Think of examples for each type of BUSINESS RISK
Chapter 7
Group Activity: Think of examples for each type of BUSINESS RISK
Human risks- those caused by the actions of employees and customers
Natural risks
Economic risks

4. Categories of BUSINESS RISK
Chapter 7
Categories of BUSINESS RISK
Human risks- those caused by the actions of employees and customers
Shoplifting, employee theft, credit card fraud, bounced checks, robbery
Natural risks
Storms, fires, floods, earthquakes
Economic risks
Competition, shifts in population, government regulations

5. Chapter 7
SHOPLIFTING
Shoplifting is the act of knowingly taking items from a business without paying.
Customers shoplift millions of dollars in merchandise every year.

6. Chapter 7
EMPLOYEE THEFT
Procedures for preventing and detecting employee theft include:
Prevent dishonest employees from joining your company.
Install surveillance systems.
Establish a tough company policy regarding employee theft.
Be on the lookout.

7. Screen job applicants carefully Verify educational credentials
Group Activity: Think of 5 Ways to keep dishonest employees from being hired
Chapter 7
Screen job applicants carefully
Verify educational credentials
Verify work experience
Talk to references
Criminal background check
Driver’s license reports
Civil court records
Credit reports

8. Chapter 7
Group Activity: Think of 5 Ways to be on the lookout for dishonest employees
Watch for cash discrepancies
Watch for missing merchandise
Watch for missing supplies
Vehicles parked too close to loading areas

9. More…
Chapter 7
Employees who seem to work odd hours, perform poorly, complain unreasonably
Make inquiries if an employee has an unexplained close relationship with a supplier or a customer
Make inquiries if an employee has a personal lifestyle that seems inconsistent with his salary

10. OTHER TYPES OF THEFT Robbery Credit card fraud Bounced checks
Chapter 7
OTHER TYPES OF THEFT
Robbery
Credit card fraud
Bounced checks

11. Group Activity: Think of 5 Ways to Prevent Robbery
Chapter 7
Group Activity: Think of 5 Ways to Prevent Robbery
Choose a safe location for your business
Install dead-bolt locks
Install burglar alarms
Keep a small amount of cash in register
Use surveillance cameras

12. Chapter 7
Credit Card Fraud
If someone uses a stolen credit card, the business may not be able to collect the money

13. Chapter 7
Bounced Checks
A check that is written when there isn’t enough money in the account to cover it.
You could charge a fee for any returned checks.
Ask for identification
Maybe not accept checks at all

14. Chapter 7
Individual Book Work
Pg. 175 (skip #5)