Business owners in various industries use 3 part checks. As a business owner, you could use 3 part checks to pay for business equipment. Some employers pay workers with this type of check as well. Regardless of how you use 3 part checks, you need to know the requirements in order to keep your company’s finances safe. When businesses fail to properly hand out checks, they put themselves at risk of fraud. To prevent fraudulent activity, continue reading and learn the top business 3 part checks requirements for financial security.
Business Checking Account
In order to create and fill out business 3 part checks, you need to open a business checking account. To do so, you need to obtain your business filing documents. Banks demand these papers in order to validate the legality of your entity. If you own a corporation, you need to provide your articles of incorporation as well as your tax identification number. If you filed your business as a sole proprietor, you must provide a social security number among other documents. Before providing a bank with these papers, visit multiple banks in your area. You can also look into opening a virtual bank account for your company. Certain banks place restrictions on business checking accounts that could be problematic. For instance, many require clients to maintain a minimum amount of money in their accounts. Others place restrictions on the number of transactions you can make. Choose a fair, secure bank to open your business checking account with. Then, you can write 3 part checks safely.
Upon writing out 3 part checks, you must include the payee’s name. While this may seem like an obvious requirement, many individuals deal with issues revolving around it. If you spell an employee’s name wrong on a check and continue to hand it over to them, they could have issues cashing it. As a result, they will grow unsatisfied. The same goes for other business transactions. When companies provide problematic checks to manufacturers, their relationship can suffer. If the manufacturer assumes that the mistake was purposeful, they could choose to terminate the partnership. To ensure you maintain a quality financial situation, double check that you spelled the payee’s name correctly on your checks.
Another necessary feature to include in 3 part checks is “Non-Negotiable” print. Business owners write “Non-Negotiable” particularly on checks for employees who have direct deposit. Since the top of pay stubs often look like checks themselves, they pose threats for employers. To avoid conflict, indicate that the employee has already been paid by writing “Non-Negotiable” on the pay stub. Then, it can easily be differentiated from an actual check. As a result, you will maintain a secure payroll system through 3 part checks.
Also, you need to include your company name in each 3 part check you fill out. Many software systems allow you to automate this step. Then, your company name is already on your checks when they print out. For instance, numerous online payroll services for small business provide business owners with checks that have the company name printed on them. If you prefer to manually write out your checks, you can still avoid manually filling in your company name on each check. Opt for customized 3 part checks. Include your company name and any other features that could enhance your checks’ appearances. You need your company name on each check in order for the payee’s bank to properly process the payment.
Advanced Security Features
Finally, consider the top advanced security features for your 3 part checks. Many business owners use holograms and fluorescent fibers to guarantee financial security. You can also add watermarks and heat sensitive ink on your checks. With these features, you increase your monetary security. You can also boost security measures by opting for highly secure mobile payment processing plans. Business owners who enhance their checks in these ways have less fraudulent activity on their business checking accounts than those who do not take these safety measures to heart. Such fraudulent activity includes forgery, copying and check washing. Keep your company safe and prosperous by getting advanced security features for your 3 part checks.
Regardless of the industry you operate a business in, you could use 3 part checks. In order to legally pay employees with 3 part checks, you need to open a business checking account. Once you have a business-specific account open, write checks that include the payee’s name spelled correctly. Avoid fraud by writing “Non-Negotiable” on the pay stubs. Include your company name on each check through your software system or companies that create customized checks. Additionally, implement advanced security features to protect against forgery and other threats. Use these business 3 part checks requirements to maintain a secure financial situation.