15 Common Business Scam Tactics and How to Avoid Them

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Scams that are aimed at businesses and other business-like organizations often work because the perpetrators come off as real, legitimate, and professional businesses. Their tactics often seem credible and uses practices that are typical of normal reputable businesses; so knowing if you?re possibly dealing with a scammer or a real business can be very tricky.

Here are some techniques often used by business fraudsters:


This modus works by persuading you to avail of the scammer?s offer by making you feel very important or by giving you a highly respected social role. Often the scammer will say things such as: ?as the obvious primary decision maker of your organization?? or ?approving this offer should not be a problem for someone as critical to the organization as you.?


The scammer borrows credibility from an outside source to convince you. They say highly persuasive and disarming spiels like ?the law requires you to get this?? or ?our board is composed of MBA graduates with decades of industry experience.?

Creative Use of Name

The scammer uses a company name that seems like a legitimate large-scale enterprise. They?d go as far as giving you a full name when calling but it is most likely a fraudulent name as well.


Be wary of ploys that uses psychological tactics such as giving you access to privileged communication or that gives you special treatment. It?s just plain flattery.


Con artists often hype up their ?product? to get you excited about it, saying something along the lines of ?if I can afford this for myself I?d sign-up as well, you can?t beat this deal!?


Complimenting you is just a scam artist?s tactic to disarm and charm you. They?d say anything that makes you feel special such as the offer is only made to a special set of businesses or that your business history is amazing and they can?t pass up the opportunity to partner with you.

Foot in the Door

This is plain trickery wherein the scammer will get you to agree to something small such as agreeing to receive some free samples and then after you?ve signed up, you find out that it?s an agreement for a 2 year supply of something you don?t need and now have to pay for.

Give Fake Bad News to Gain Your Trust

The scammer can tell you some negative details about what they are peddling but not enough to outshine what you?ll be getting if you agree to their offer; thereby tricking you into thinking they?re simply being honest about pros and cons.

Initial Agreement Pressure

You?d be asked to agree to something basic such as wanting to save money at the beginning of their spiel and then later on you?d be reminded that you agreed this is a good thing, so why aren?t you signing up?

Paperwork and Professionalism

You?d be called unprofessional when you try to back out of a deceitful agreement, saying that it has already been entered to their records and that you?re not keeping your word.

Peer Pressure

The scammer would make you want to avail of their offer in order to not be left out compared to your competitors. Namedropping of your competitor?s business is part of this.

Pitch a Better Deal

The scammer would pitch an outrageous deal and then mention a much more affordable one when you show signs of balking so you end up still getting yourself entangled with them.


The fraudster will offer prizes or a special discount if you sign a deal with them.


The scammer will say something like that there is just one slot left for their offer and that someone else may get it if you don?t act fast.


Same as above, you?re pressured to agree because you don?t want to miss out on a great deal.

Please note that legitimate businesses may also do some of the business scam tactics described above. In writing this, we aim to at least give you an idea of what could be considered as business red flags. If you?re unsure whether the company or business you are dealing with is the real deal, then simply contact us ? your very own Private Investigator in Toronto for a free initial consultation! Remember, an ounce of prevention is indeed better than a pound of cure!


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