Multiple scams target small business owners because these independent workers are often seen as lucrative marks.
Many owners are working long hours and performing multiple jobs. They don’t have the time to verify every piece of information that comes their way.
When you know how to recognize these common issues, your business can avoid the costs that develop when scammers get their hooks into your account. Before reading ahead, make sure all of your books are in order, so you can quickly and easily verify information, payments, and whether people trying to contact you can verify the information you have on file.
Scammers convince small business owners to pay them for listing contact information in popular listings. Instead of putting this data where it should go, they run off with the money instead. Verifying the offer through third-party services or using an option like Google My Business can help you avoid this issue.
Scammers send a check for more than the amount charged for goods or services. They request an immediate refund, placing pressure on the small business to rectify the books before the check clears. The payment bounces, leaving the company short on funds and inventory. Don’t issue a refund until you receive confirmation that funds are available.
Anyone trying to touch on the greed of a small business owner is almost always perpetrating a scam. There are no shortcuts available to help you get rich or boost profits overnight. Anything that sounds too good to be true should be avoided. It helps to work with an investment advisor to find legitimate investment opportunities to pursue.
Anyone can pretend to be anything on the Internet today. When scammers have enough information about a small business owner, they can pretend to be that person online. After assuming an identity, access to passwords, credit cards, and bank accounts can cause a massive headache. Always delete emails that request personal information.
Small business owners try to give back to their community each day. Giving to charitable causes is a practical way to accomplish this goal. You’ll need to verify the history of a non-profit before sending over some cash to ensure a scammer isn’t running off with the money.
Always report scammers to local authorities. If you continue to have problems in this area, considering limiting the number of people who can make payments, receive invoices, or submit orders.