By Irene Dominguez (ACCION USA Consultant) 

During an economic crisis, many small business owners find themselves struggling to survive. In these times it is easier to fall victim to scams, especially if you are a small business owner.  Small business owners are more likely to be targeted by scam artists. A good rule of thumb is that if it sounds too good to be true, it probably is!

Here are some examples of common scams:

• Credit Card Processing Services - It is often very difficult for small businesses to get certain bank services (to process payments with a credit card, for example). There are some independent providers that offer this service to small businesses, but at inflated prices and extremely poor customer service. To avoid being scammed, check the business information in the Better Business Bureau website. You can learn more in this article from www.businessknowhow.com.
• Government Grant Scams -Many websites offer "free money" through government grants--you should know that the information they offer should also be free! Doubt anyone who guarantees a government grant. Click here for more information about how they work.
• Fraudulent Business Opportunities - For those looking to start a small business, it is smart to watch out for businesses opportunities, often advertised as "work at home", that promise easy and quick money. Always remember to read the fine print and check who you are doing business with. There is more information about fraudulent business offers on the Federal Trade Commission (FTC) website.

Here are some important tips to help you avoid becoming the victim of a scam:

• Doubt anything that sounds too good to be true. Be careful with claims such as "No risk!" "Guaranteed!" and "Quick and easy!"
• Be careful when a business opportunity "finds" you. When approached with a offer that sounds risky, avoid giving out sensitive information like passwords and bank accounts.
• Do your homework. It is worth investing the time to research the business you are going to work with before accepting an offer. The Better Business Bureau is a web site that offers information about the authenticity and quality of service of many businesses.
• Protect your identity and your credit. Destroy or safeguard any important documents and change your passwords often. If your identity is stolen, it could damage your credit.

For more information about general fraud you can visit the Federal Trade Commission Website