When others expect participation.
WHAT SITUATIONS ARISE
A customer's employee requesting a personal benefit to award business A partner proposing an arrangement you are uncomfortable with Being asked to invoice differently Being asked to make a payment on someone's behalf Being asked to employ someone as a condition
WHY THEY ARE DIFFICULT
Refusing risks the relationship and the revenue.
WHAT TO ESTABLISH
That the business does not do it, as a rule rather than a judgement.
WHY A RULE
It removes the decision from the individual and the moment.
WHAT TO SAY
That your policy prevents it, and offer what you can legitimately do.
WHY ATTRIBUTE IT TO POLICY
It avoids accusing the person and it is difficult to argue with.
WHAT TO BE ALERT TO IN INVOICING REQUESTS
Invoicing a different entity Invoicing for something other than what was supplied Splitting invoices Inflating an invoice with a rebate arrangement
WHY THEY MATTER
They are frequently steps in fraud, tax evasion or concealment, and you become part of it.
WHAT TO NEVER DO
Issue an invoice that does not reflect the actual transaction.
WHY
It is falsification regardless of who requested it.
WHAT TO DO ABOUT REQUESTS TO PAY THIRD PARTIES
Establish why, and decline where it is not legitimate.
WHY
Payments routed through you are how funds are moved improperly.
WHAT TO ESTABLISH
That payments go to the party you contracted with, at verified details.
WHAT TO DO ABOUT LOSING BUSINESS OVER REFUSAL
Accept it.
WHY
Business retained through improper arrangements creates ongoing exposure and it never stops.
WHAT TO RECORD
The request, and the decision.
