Business Opportunity Scam Gut Check
A common comment I receive is “I am glad I listened to my gut and did not invest my money in that scam business opportunity.”
There is a negative feeling that you get when you are being sold a scam business opportunity. It is important to listen to that feeling.
Scam business opportunity offers target individuals desperate for money. But let’s face it: When it comes to starting a business, there are no easy answers. If a business opportunity offers success with little effort and sacrifice, it’s bogus.
That doesn’t stop some marketers from trying to make a quick buck at your expense. What’s more, they often use the reputation of respected individuals or companies for cover. “It has to be legitimate,” individuals conclude. “A close friend told me about this business opportunity.” – or “Visa would never have their name linked with a scam.”
Here are some things that I have found that set off the business opportunity gut check warning.
- The Sneaky Invite. “I have the most amazing business opportunity! I can’t tell you what it is, but come with me to a presentation.” (Motto: “Keep them guessing until it is too late.”)
- The Reek of Money. The overdressed, jewelry-laden sales representative works hard to impress you with an appearance of success. These people reek of money-and you hope, quite naturally, that it will rub off on you. (Motto: “Don’t you want to be like me?”)
- The Big-Money Claim. “Earn $10,000 a month in your spare time” sounds great, doesn’t it? (Motto: “Bigger is always better.”)
- The Every Man Claim. “Make money in your spare time . . . This business can be operated on the phone while you’re at the beach . . . Two hours a week earns $10,000 a month.” ”No special skills required.” (Motto: “Why not be lazy and rich?”)
- The Limited Offer. “Act now or you’ll be shut out!” “I’m leaving town on Monday afternoon, so make your decision now.” (Motto: “No time like right now to give us your money.”)
- The Ego Insult. “Are you one of those 9-5 victims?” They make you feel that you’d be a worthless, indecisive dreamer not to take immediate action. (Motto: “We punch wimps in the face.”)
- The Lack of Information. “I have no idea how much you will make. I have no idea how many customers there are, but this is the opportunity of a lifetime!” (Motto: “Trust me, kid.”)
– Source Entrepreneur.com
Business Opportunity Fraud: An Inside Look