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The 5 questions to ask your controller 4 Have you reviewed compliance with local jurisdictions? As one of the few people with a direct role in virtually every transaction that flows through the corporate accounting structure, the controller can—and should—play a central role in identifying and minimizing the company's risk exposure� This is especially critical for growing companies, whose regulatory compliance risks steadily increase in magnitude and quantity over time� The following best practices can help your controller steer your company clear of unnecessary risks� • Create a risk framework: Assemble a team to identify the most likely sources of risk, including regulatory compliance, and develop plans and processes to limit your company's exposure and mitigate the effects of a failure. Give the controller a leadership role, and review this plan together o en. • Conduct regular risk reviews: Create a series of checkpoints, duties, and regular meetings to stay apprised of the above efforts and to review new and evolving compliance requirements and related financial controls. For instance, you can review everything from insurance policies to contract sizes in a regular meeting� Every person in the company has some role to play in safeguarding the company against risk. Operate under the principle of "trust but verify." • Ensure local jurisdiction compliance: As your organization expands to multiple jurisdictions, the complexities multiply. The primary challenges involve taxation—including corporate taxes and payroll. An international presence adds still more complexity� You and your controller must give careful thought to how local entities are created and operated so you can minimize tax impacts and ensure proper compliance� Key takeaway: Create a central review process to ensure the right controls are in place. Q2

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