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Business scam defrauds small firms of £1,000, says FSB
6:30pm Wednesday 28th August 2013 in News
THE Federation of Small Businesses is advising firms to be vigilant of a new scam.
The Lancashire and Cumbria branch says there has been a new wave of attempts to defraud business owners through rogue ‘business directory opportunities’.
It says small businesses are being contacted via telephone demanding payment for promotional opportunities, often on a renewal basis, even when they have not previously advertised.
The FSB says in some of these cases the ‘business directory’ referred too does not even exist, and scammers are trying to exploit staff turnover or inadequate internal communications to extort payment from small businesses.
Gary Lovatt, FSB Regional Chairman for Lancashire & Cumbria, said: “We have spoken to a number of small businesses in the last week on this issue and it seems that it is on the rise again.
"Some of them have been tricked into paying over £1000. There are, of course, legitimate business directories out there and fraudsters are playing on this fact.
"The challenge for the business owner is identifying the legitimate opportunities from the scams. Business owners and their staff should double check invoices relating to these kinds of products before agreeing payment. Looking for contact details, a postal address (not just a PO Box) and a named person to speak to can all help to verify whether or not a business is at risk of being scammed.”
Business owners and managers with concerns can contact the FSB via firstname.lastname@example.org
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