Cash4Businesses Scam

One of the business opportunity scams that has been running for years is the small business cash advance scam. They contact you by phone or you find a webpage on the internet that offers a home based business that will allow you to give cash advances to businesses based on their Visa/MasterCard Business and the way they pay this cash advance back is through a small percentage of their future Visa/MasterCard transactions. Also, there is a one-time flat fee for these cash advances. One version of this scam is called Cash4Businesses.

Here is how the Cash4Businesses scam worked:

Cash4Businesses offered the opportunity to earn commissions by becoming a Cash4Businesses agent and referring small businesses in need of cash advances. To become an agent they would have you pay an initial $499 payment for a website and an LLC.. Then they would convince you to spend thousands of dollars for packages that supposedly included a variety of services such as training, reputation management, a search engine optimization campaign, and a variety of advertising services. In reality, you did not receive the promised services, and did not make the income they promised you.

They used all kinds of stall tactics to delay people from disputing the charges to their credit card accounts after they failed to make any money and failed to receive even the promised $100 sign-up bonus.

These stall tactics included:

  • Stringing out various so-called training sessions;
  • making repeated excuses;
  • refusing to return telephone calls;
  • attempting to sell additional business aids;
  • and even offering to help recover the lost money.

People who purchase the Cash4Businesses business opportunity did not make money by referring businesses for cash advances. Cash4Businesses did not engage in the business of making cash advances to businesses. Cash4Businesses has victimized thousands of people and caused an estimated loss of over $7,000,000. Many victims affected by this scam were seniors with limited income and savings.

When complaints mounted, the scammers behind Cash4Businesses generally moved to a new location and started the scam over, operating under new business names.

Here are the people and companies behind this scam:

Lukeroy K. Rose, Leary Darling, Solana DePaola, Lance Himes, Cordell Bess, Cynthia Miller, Clinton Rackley, and Richard Frost, and 10 corporations: Money Now Funding LLC, Rose Marketing LLC, DePaola Marketing LLC, Affiliate Marketing Group LLC, Affinity Technologies LLC, Global Network Marketing LLC, Precise Payroll Services LLC, Strategic Media Advertising LLC, Legal Doxs LLC, and US Doc Assist LLC.

This scam has now been shutdown. Today they have been banned from selling business or work-at-home opportunities under court orders obtained by the Federal Trade Commission.