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20 Best Practices for Turning Compliance Functions into Value Drivers

September 9, 2024

Excerpted from the article published by the Forbes Finance Council

For many businesses, compliance functions are frequently perceived as a cost center—an unavoidable expense that doesn’t directly correlate to revenue growth. In some organizations, compliance teams are even considered a hindrance to profit, “getting in the way” of growth opportunities. However, when well-integrated within a business’s operations and culture, compliance can drive significant, tangible value. To change the perception of compliance functions as merely a cost center, the members of Forbes Finance Council share some best practices for turning compliance into a genuine value driver in your organization.

View Compliance as a Financial Safeguard

Compliance functions may seem like a business expense, but the costs of non-compliance—such as failed deals or financing, severed partnerships and costly penalties—far exceed the investment in compliance. As a tax professional, I advise companies on the risks of non-compliance and suggest they view compliance as a safeguard and driver for improvement that can enhance efficiency and planning, streamline processes, unlock cost savings and drive growth. – Brent Lessey, CPA, MST – Partner, Co-Tax Leader of Consumer Products, Leader of MWBE