By Officer Larry Jacobs
Small businesses are no more immune to scams than you or I.
Most of these are small businesses that don’t have the resources to protect themselves. Some threats — such as employee theft — can be internal, but most are external and done by full-time scammers.
Here are seven threats to small businesses that often are done by scammers.
1. Directory Scams – A problem that has plagued businesses for decades involves deceptive sales for directories. Typically, the scammer will claim he or she just wants to update a business’ listing. The business later is billed hundreds of dollars for listing services they didn’t agree to, or for ads they thought would be in the Yellow Pages.
2. Office Supply Scams – Some scammers prey on business owners hoping that they won’t notice a bill for office supplies, such as toner or paper, the company never ordered.
3. Overpayment Scams – Be extremely cautious if a customer overpays using a check or credit card and then asks you to wire the extra money back or to a third party.
4. Data Breaches – No matter how vigilant your company is, a data breach can still happen. Whether it’s the result of hackers, negligence or a disgruntled employee, a data breach can severely damage the level of trust your customers have in your business.
5. Vanity Awards – While it’s flattering to be recognized for your hard work, some awards are just money-making schemes and have no actual merit. If you are approached about receiving a business or leadership award, research the opportunity carefully and be wary if you’re asked to pay money.
6. Stolen Identity – Scammers will often pretend to represent legitimate companies for the purposes of ripping off consumers. When its identity is appropriated, a company doesn’t necessarily lose money, but its reputation may be tarnished as angry customers who were ripped off by the scammers think the real company is responsible.
7. Phishing E-mails – Some phishing e-mails specifically target business owners with the goal of hacking into their computers or networks. Common examples include emails pretending to be from the IRS that a company is being audited or phony emails from the Better Business Bureau a complaint has been filed against the company. If you receive a suspicious email from a government agency or the Better Business Bureau, don’t click on any links or open any attachments. Contact the agency or the bureau directly to confirm the legitimacy of the email.
Officer Larry Jacobs is a crime prevention specialist with Crime Prevention Unit of the Sandy Springs Police Department. He can be reached at ljacobs@sandyspringsga.gov.