Articles

"Trust But Verify"

BUSINESS TIPS FROM THE EDITOR

April 2026

Richard T. Hendee, Editor
The Silver Fox Advisor

                          “Trust But Verify"

“Trust But Verify” began as an often-used phrase on the world political stage in the 1980’s and I think it could become a phrase that gains momentum in the business world in the near future. There are many business leaders today whose eyes glaze over when they look at their company’s financial statements, mainly because they do not have financial backgrounds, so they depend on their internal CFO, Controller or financial accounting team to print the financial statements off the “Quick Books-System” and think “well they must be right” and don’t ask questions or make inquiries as to “what the numbers actually mean”?

Then, one dark and stormy night, as they are reading their mail, they open a letter stating that a supplier is putting them on a cash basis or their bank has frozen their line of credit. Or, what about the notice from the IRS that their withholding taxes haven’t been paid and the IRS is putting liens on the company’s bank accounts and assets? Notices like that will get any business owner’s attention. Then, it becomes a mad scramble to figure out “what is going on”?

I am certainly not implying that any business’s CFO, Controller, or accounting team is stealing company funds and covering up some massive scandal, but they simply may not want to be the bearer of bad news and don’t want to report that sharks are in the water. Or they also may not be experienced enough to spot some of the early warning signs that the wheels on the bus are wobbling and need tightening. 

Before you get surprised by the financial juggernaut, maybe you should engage an outside financial advisor or consultant to perform a financial assessment on your business’s finances and procedures and get an early diagnosis before it becomes financially terminal! 

If you want to sleep better at night knowing your business’s financials and processes are in order, seek help or assistance from one of our professional Silver Fox Advisors who can provide guidance or a directional change for your business’s financial position. We encourage you to visit our Website at www.silverfox.org.  There, you can learn more about our great programs and community outreach endeavors, or about selecting a Silver Fox Advisor whom you can engage, or perhaps about even becoming a member yourself.