Home Business Ideas and Opportunities

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Scams You Should Know About

I don’t mean to second guess you, but an informed consumer is a force to reckon with. That’s why I collected this information from one of Dr Oz’s’ articles to share with you.  It also helps me to bring you the most sensible, government researched data available:

You Need To Know About Home Business Scams to Avoid

In these times, it can be extremely difficult to start a business, particularly a home business. There are opportunities for people to invest in home business models which guarantee a great return on their first investment. However, one has to be careful since a lot of home-business models that are scamming people out of their hard-earned money. These scams entice people to invest their money, and gain real profits within a matter of days and even hours, but that never seems to happen.
The Federal Trade Commission has outlined some of the most home business scams that people should avoid when they receive a business proposal. Here are 10 of the leading home business scams:

ATM Operation
This scam targets people by offering them profits from ATM machines which are in operation in different parts of the city. People have to pay a substantial amount of money for the ATM machines and the returns promised are hardly what their investment merited.

Envelope Stuffing
This is one of the oldest home business scams that are still ongoing. It is based on a pyramid scheme, where people will have to invite more investors by promoting the scheme. It promises income based on the number of people you end up recruiting, but that is hardly ever the case.

Home-Based Product Assembly
One of the most common home based business scams now is product assembly, which invites people to invest their money in certain products, which they have to assemble. Once people end up buying the materials, they are usually delivered low quality products, which don’t meet the standards of assembly and then the scammers refuse to pay the money for the finished product.

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Internet Kiosks
This is a vending scam, which guarantees people a healthy return on their investment by placing internet terminals at great locations. However, people never receive the kiosks once they make their investment and end up losing all their money.
Internet Storefronts
Affiliate marketing is known as a good way to earn money from home; however, there are lots of scams in this field as well. Internet storefronts promise buyers incredible profits without actually selling a product, but after the investment, never give any returns to people on their investment.

Medical Billing
Medical billing is a very common scam now, which charges people money for the software, and purported leads to doctors who  medical billing services. However, it is far from reliable and never ends up fulfilling the generous incomes it promises.

Multi-Level Marketing
Like other home based scams, multi – level marketing is also picking up the pace, as it encourages people to invest money in marketing products and services on the internet, through inviting other people into the scheme. People will only receive dividends once they have invited an amount of investors, but that rarely happens.

Pay Phones
Even with the increasing popularity of cell phones, home business scams such as Pay Phones are still common. They promise profitable returns on investment, related to different pay phone on great sites across the city, but never deliver the profits they promise.

Rack Displays
Rack displays are a home business scam that con people out of their money by offering products which they have to sell through rack displays at some of the hottest retail spots. After the investment, the buyers usually find out that it was all a big hoax and there are no rack displays.

Vending Machines
One of the most common home business scams has to be Vending Machines. It promises great profits on investment, but never really generates the amount of money people should get on their investment.

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