Updated 2019 Loss Prevention Checklist for Business

March 14th, 2019

If it is time for your business to adopt a new loss prevention or audit program, then you may find a checklist for loss prevention extremely helpful. With shrinkage becoming a challenge for many retailers, it is important to do everything you can do to help minimize lost profits by reducing theft, fraud, and vandalism.

Loss prevention handles many aspects of the business. They have a hand in everything from physical security to the products, cash handling, and even staff. The following checklists can help keep your staff on track and help improve your loss prevention efforts. 

Checklists for Physical Security

  • Record the dates of all Loss Prevention audits
  • Maintain a key control log
  • Change the locks in the case of a missing or stolen key
  • Make sure that the alarm system and surveillance system are functioning
  • Each associate should be assigned their own codes
  • Make sure that non-associates do not enter employee only areas
  • All register keys should be securely sealed and protected
  • High-risk transactions should only be performed by higher level management
  • Passcodes and access codes should be changed regularly
  • All security cameras should be online and in working order 
  • No merchandise beyond this point signs should be posted near the restrooms

Cash Handling

  • The amount of cash should always be recorded
  • Register audits should be performed at scheduled intervals
  • Audit any discrepancies in the cash handling monthly
  • Monthly POS activity sheets should be monitored monthly for each employee
  • Cell phones should not be allowed on the floor and at the registers
  • Does the staff stay in sight of the POS system?
  • Safe checks should be done daily
  • All cameras and surveillance should be in working order in cash locations


  • All higher priced merchandise should be protected
  • All locked and secured cases should remain locked
  • Every item needs to be appropriately priced with the correct tags
  • Security tags should be used on higher priced merchandise
  • Inventory audits should be performed and recorded
  • Merchandise needs to be matched to the invoice slips
  • Damaged products need to be kept in one specified location and dealt with accordingly
  • All damaged product needs to be assessed, tracked and reviewed daily


  • A copy of the open door policy should be posted where staff can see it
  • Local non-emergency numbers should be posted at each phone location
  • Written loss prevention policies should be available for each staff member
  • Loss prevention training sessions should be conducted
  • Criminal background checks should be done on all employees
  • Written codes of conduct should be available 
  • Refund policy should be reviewed and understood
  • Item voids and transaction voids should be monitored
  • Employees should not be allowed to ring out their family or friends 
  • Each customer should be greeted when entering

For an effective loss prevention program for your business, you need to make sure that each employee has access to the training and resources they need to perform their job accurately and well. Having these checklists in place can help you stay on track and minimize shrink and maximize your profits in Laredo, TX.