Scams in the Computer Business – How to Avoid Where Possible

There’s often no easier target than a new business. Full of the joys of being the newly appointed senior executive managing director, with a few K behind you from one of your grandparents and maybe some of the business you’ve been doing for friends and family, there’s a great temptation to fall prey to the unscrupulous methods of wily sales teams.

Our commenter last week (in response to our Stock story), Bay Geeks Computer Repair shared these words of wisdom:

“One thing to keep in mind when it comes to stock is to know who your customer is! I remember getting my first purchase order over 5 digits. I was so excited, only to find out they were using a fraudulent credit card. They tried real hard to get me to ship the products to them before the $ cleared. Not a chance (thank god)!”

And that’s spot on. When you’re new to the game, it also doesn’t just apply to customers who are buying things, you’re also setting yourself up to be conned ““ with a capital C, if you don’t pay attention to what’s going on. Everything from charities to insurances are clamouring for your time (or your dime), it’s all likely to be presented as “˜Free’ but yet, when you come down to it, you may well have signed yourself up for a monthly direct debit of a squillion dollars, and not be able to get out of it.
Everyone from parts sellers to your own bank will rip you off in some way shape or form if you aren’t savvy and you let having your own business appeal to your vanity. Some of the easiest traps to fall into are listed for you here ““ but remember, the list is endless.

1. Poor stock ““ companies will sell you seconds or parts which have been RMA’d and then make it hard for you to send stuff back.

2. Poor accounting ““ cashing your cheque and than making another demand for payment

3. Poor stock recording ““ sending you less than is on a delivery note is a common one

4. Telesales ““advertising – they are often very well trained, and able to appeal to your vain side ““ do you really need to be paying yellow pages/Google adwords a monthly $50 to advertise your wares if you aren’t going to be getting any business that way?

5. Telesales ““ anything at all, if you’re a new business, is a risk. Make sure you keep track of the conversation, don’t give away information (don’t talk if you can help it!) and bear in mind, if you really wanted to be included on this years’ calendar/Xmas card/mouse mat, you’d be doing it already. If it is something that sounds like a good idea, make a note of it and go and find out what the best price is.

6. Emails giving you special offers. At best they are a sales tool. At worst a scam. How many genuine Kings of Siam are there do you think? And why would they be emailing you?

7. Any announcements to do with your Paypal/ebay/bank account.

8. Try and think ““ if this was your own personal money (which it is) would you be parting with it?
As always, if you have some info or have been caught out, share it with us ““ email us with your info if it’s a long story, or “˜Discuss’ below, and we’ll include as many of your comments, thoughts and words of guidance as we can!