If you're looking for flexibility or want to start your own business, you may have come across ads offering work-at-home opportunities. Or maybe someone you know has invited you to invest in a home-based business plan with big rewards. But before you make the leap, safeguard yourself against the 21st century cons who prey on everyday people.
President of the Better Business Bureau (BBB) of Minnesota and North Dakota, has advice for staying clear of scam artists and finding legitimate opportunities:
Do your homework
Even if a company checks out through the BBB, don't stop there, Jay says. "These are companies that are professionals, and they usually come into town and leave town right away," he says. "They make it a habit of making sure that the Better Business Bureau and the authorities are not aware of them."
Contact the BBB for tips and recent information on new people in town, Jay says. Ask lots of questions, talk to people who've done this work before and find out if a company is licensed to do business in your state, he says.
Many scam artists aren't prosecuted
Most scams require money up front, and it's usually less than a thousand dollars loans, which tends to be below the radar screen of most authorities, Jay says. Also, those scammed are often too embarrassed to come forward, making it difficult for authorities to build a case, he says.
Look for red flags
Scam artists usually don't have a permanent address and many use PO boxes, Jay says. High pressure tactics, promises of lucrative earnings and money up front are other clues, he says. "If there's money involved up front, we haven't seen any legitimate opportunities," he adds.
There are legitimate work-at-home opportunities
Jay recommends signing up with a temp agency or contacting your state workforce center for jobs that allow you to work from home.
