Print
This List
Email to
a Friend
Steps to Take Before You Invest in a Business – Don’t Get Scammed!
INTERESTING 
Tags: business, investment, venture, scam, steps
Before You Invest In Any Business Venture, Take the Following Steps:
| | Check out the company with the state securities agency or attorney general's office not only in the state where you live, but also in the state where the company is headquartered. These organizations can tell you if the company is registered, if necessary, and if they have any consumer complaints about the company on file. |
| | Ask current owners or employees about their experiences with the company. Don't accept a list of references selected by the company as a substitute for a complete list of franchise or business opportunity owners. |
| | Get all promises in writing. Any promises you hear should be written into the contract you sign. |
| | Ask for the details of the company's refund policy before you buy. Get that in writing, too. |
| | Investigate all earnings claims. Talk to others who have purchased the opportunity to see if their experience verifies the claims. Demand to see the company's basis for its claims in writing. Be skeptical in judging whether the claims are backed up. |
| | Listen carefully to sales presentations. Be wary of any opportunity that sounds too easy. The thought of "easy money" may be appealing, but success generally requires hard work. |
| | Be wary of buying if company representatives either try to evade your questions -- or ignore them altogether. |
| | Ask for the disclosure document if you're investing in a franchise. This document, required by law, should provide detailed information to help you compare one business to another. If the company has no disclosure document -- beware! |
| | Ask a lawyer, accountant, or business advisor to read any disclosure documents and proposed contracts. Entering into any business opportunity generally requires a substantial investment. |
| | Resist high pressure sales tactics. Buying a business opportunity is a big, expensive decision. Take time to think it over. |
Lister:
ListAfterList Wiki Contributors
Source:
LAL Editor
Other lists of interest:
This list not rated yet – be the first to rate it