Did you get an offer from a buyer that is too good to believe? Well then, you must be a victim of one of the many scams in the world today and being a businessman this is the last thing you would ever want to happen. While companies critically examine supposed business proposals coming from countries like Nigeria and a couple of other African countries, there are other nations from where scam mails have started coming and have already duped many Indian businesses. Of late, a couple of alleged fraud companies from China have raised their ugly heads and there are reports too where unexpected companies have been victims.
An interesting but equally dangerous case was unearthed by us, when an exporter client of ours was asked to take along gifts for its staff if he wanted to get the order. While it is not always true that small startup companies invariably are fraudsters, fraud remains a danger even among apparently reputable companies - not to forget the Satyam Computer Services Ltd. case.
It is thus extremely essential to exercise diligence, both before signing a deal and on an ongoing basis, to ensure that the buyer continues to adhere to the agreed terms. Exporters/ suppliers must draft contracts for maximum enforceability that can help in getting judgment against a foreign party that has no assets outside its country.
It is also very important to go for verified companies...difficult? Not really. Today B2B portals have come up with some tools like the ones we have - Trust Stamp, wherein companies are verified and doing business with an unknown company becomes a smooth affair and does away with a lot of unnecessary hassle.
In addition, it's not advisable to fall prey to goodies usually offered by fraud companies. Safe business is more important than earning more profits. Usually exporters fall for emails that promise inflated profits and they thus end up getting cheated – tradeindia.com – 01 June 2010.