Time to Make More Money

Once you've established your business and built up clientele, it's time to focus on increasing your profit. The Direct Selling Education Foundation offers these tips for business owners:

Have a detailed plan, but be ready to adapt. Business plans can't anticipate every circumstance, so you need to be flexible and willing to adapt as necessary.

Be a creative problem solver.  Think outside the box to figure out what your business is lacking.

Persevere. Don't let the roadblocks keep you from success.

Have mentors. Seek out mentors who have been successful and pick their brains for ideas you may not have thought of. Most people are happy to share their success stories with others and "pay it forward". 

Stay lean with your budget.  Be careful with how you spend, be aware of every aspect of cash flow and find ways to decrease spending.

Believe in yourself.  If it's in your heart to succeed, you will always find the motivation to continue. It's a good idea to seek out people who can boost your self-esteem when you are facing doubt.

Can you offer any additional tips? 

Vanity Awards Prey on Small Businesses

Be cautious of emails from marketing companies posing as legitimate credentialing organizations. The emails say that you've won their 2013 "Best of – fill in the blank" award for your industry and congratulate you for joining "such an elite group of small businesses."

You are then offered the opportunity to purchase a plaque, a crystal award or both at a cost ranging from $79.99 to $199.98. A complimentary digital award image and personalized press release are also included in the package.

The awards can be part of a widespread scheme designed to get businesses to pay for vanity awards of little or no value. They mirror offers made in the past by U.S. Commerce Association, an organization whose phony vanity awards were the subject of several BBB complaints.

Phony vanity awards prey on small businesses who are trying to make their companies stand out in their industry. The program's website tells business owners that "a select few have been able to benefit from the strategic value of business awards" and that "a business award can be an account executive's ace-in-the-hole."

BBB offers the following tips to businesses to avoid being taken by this or similar schemes:

Most awards of value to any business will come from a local business organization such as a chamber of commerce or a known, recognized trade organization for a specific industry. Award schemes often have little or no value to the business within the community in which they do business.

Most businesses are not charged to receive honors that they are awarded. If you are being charged to receive a plaque or trophy, it is likely a money-making scheme that has little to do with business performance.

Start With Trust. Always check with the BBB before doing business with a company, even if they seem to be doing you a favor. If it sounds too good to be true, it probably is, especially if you have to pay for the honor.

Important Tips for Businesses Regarding Checks

A BBB-accredited ad agency in San Antonio, TX recently discovered that bogus checks claiming to be from their company were being used in an over payment/money wiring scam. The checks looked very professional, with the company name and actual routing and account numbers.

People who answered work-at-home want ads on Craigslist were caught up in the scheme. One woman was asked to send out fake checks on behalf of the scammers and was paid by Western Union. When she noticed the Western Union payment was in someone else’s name, she called the real ad agency and asked, “Am I working for you?” The answer was “no.”

She had already sent out 200 bogus checks.

According to the ad agency, the scammers somehow intercepted a check that was sent to a client. They knew something was wrong when someone tried to cash it in another state. Scammers “washed” the check and used it as a template for numerous fake checks in the ad agency’s name.

Which brings up some important tips for businesses regarding checks:

• Monitor your accounts payable. Stop payment on the check and send out another one if too much time goes by and the check appears to be “lost.”
• Use tamper resistant checks. Checks with security features make it harder for crooks who may intercept them to counterfeit or alter them.
• Keep track of check orders. Notify your check supplier and bank if you order checks that don’t arrive in a reasonable amount of time.
• Keep checks secured. Keep reserve supplies of checks, deposit slips and other banking documents locked up and limit the number of people who can access them. 
• Keep your eye on the ball. Don’t leave checks or other bank records unattended while you serve customers. Someone might take them while you aren’t looking.

Beware of Business Directory Scams

The smooth-talking voice on the other end of the line claims to need some information to “confirm” your existing phone book listing. Fast forward a few weeks and your mailbox is jammed with “invoices” threatening legal action if you don’t pay up. Chances are you’ve been hit by a business directory scam.

How the Scam Works:

The Call. First, con artists make cold calls to offices. They ask the person answering the phone to “confirm” the address, telephone number, and other information, claiming it’s for a listing the company has in the yellow pages or a similar business directory. The scam works because fraudsters convince the person who picks up the phone that they’re just “verifying” an arrangement the company already has with the directory.

The Bill. The con artist then sends urgent “invoices” for $500 or more — sometimes including a copy of the “directory.” They’re usually worthless and are never distributed or promoted as promised. Often, they’re just websites with listings of various businesses. 

In many cases, the person paying the bills will simply cut a check, not realizing that the company never agreed to pay the hefty fee for the directory. But if businesses resist, the scammers turn up the heat, threatening collection or legal action to get payment. They may use the name of the person who answered the phone or play a “verification tape” as “proof” that the company owes them money.

At this stage, many companies pay up just to stop the hounding. What they don’t know is that they’ll likely get more bogus invoices — either from the same scam artist or from others who have bought their contact information for a new scheme.

How can I protect my business?

• Train your staff to spot this scam. In addition to your regular receptionist, talk to everyone who may pick up the phone.
• Inspect your invoices. Make sure you are paying only legitimate expenses. Don’t pay for products or services you’re not sure you ordered.
• Verify to clarify. Many business directory scam artists are headquartered in Canada, but use post office boxes or mail drops to make it look like they are in the United States. Before paying, check them out for free at bbb.org, and read the BBB’s report on them.
• File a complaint. If a scammer is sending you bogus bills, speak up. Visit bbb.org to complain to the BBB. And let the FTC know by filing a complaint at ftc.gov or calling 877-FTC-HELP (1-877-382-4357).

Is a Smartphone Credit Card Processor Right for Your Business?

These days, no matter how large or small the business, employees don’t even need to be near their store’s credit card processor to make a credit transaction with their customer. Using smartphone credit card readers, businesses have the capability of taking their sales to the next level, but Better Business Bureau is advising business owners to make sure that such a system is right for their business.


For businesses looking to add the credit card reader capability to their sales, BBB recommends the following tips:

Do your research. Just like a landline-based credit card system, you’ll need a merchant account to process payments, a scanner device to read the card, and software (app) to make it run. Don’t skimp on research. Start with your bank or your credit card service for suggestions on recommended services and devices. Check out all vendors at www.bbb.org. Ask for references.

Choose the right combination. Your smartphone merchant account might interface with your existing landline-based account, and that will make life easier. Build from there; find the app you feel comfortable using that has the features you want. There are over a hundred apps available for different smartphones; each is usually compatible with a number of different swiping devices. The reader itself is the last step (and the easiest to replace or exchange).

Read the fine print. Using a smartphone credit card reader might be a great 
way to increase your sales while on the road. However, make sure to read the fine print for the smartphone app to make sure that you won’t be charged while you’re not using it.

Offer the customer service your shoppers expect.Some shoppers may not be familiar with this kind of payment method. Be sure to offer them the option of having a receipt emailed to them, or even offer to print the receipt there with a separate smartphone printer. This will reduce the hassle should your customer want to return the product.

Beware of scams! As with any emerging technology, scammers are figuring out how to exploit vulnerabilities. Don’t buy the devices or apps from vendors you don’t know.