What Should an Entrepreneur Do if Fraud is Detected?
If fraud is detected, entrepreneurs should take immediate action to mitigate the damage. This includes:
Conducting an internal investigation to understand the scope of the fraud. Reporting the fraud to the appropriate authorities and cooperating with any investigations. Communicating transparently with stakeholders, including investors and customers, about the fraud and the steps being taken to address it. Reviewing and strengthening internal controls to prevent future incidents.