Scams to Watch Out for When Outsourcing
Unfortunately, there are scams that occur in every type of business. There is no way to get around it, no matter how diligent you are or how hard you try to avoid it. Even more disturbing is the fact that the problem seems to getting worse instead of better.
The good news is; there is hope. When searching for a third-party vendor to take up some of the slack, in regard to your workload or non-core business activities, donít hire anyone that you havenít thoroughly screened. RESEARCH each vendor you are considering. This will go a long way in helping you avoid outsourcing-related scams.
Several foreign call centers have been investigated, at one time or another, for the illegal sale of credit card numbers and other banking information obtained from those who had called in to order products. Although this is no longer occurring at the same frequency it once was, it is still extremely important to verify references when working with any individual or company who will have access to any type of financial data.
Another common outsourcing scam involves false representation. Countless scammers are using the Internet to make a tremendous profit, stealing from unsuspecting clients. It is very easy for them to put up a state-of-the-art website, complete with glowing testimonials from satisfied customers.
The problem with this is the fact that these happy customers never existed and the testimonials have been written by the scammers, themselves. ALWAYS ask for multiple samples or access to a vendorís portfolio. If you are in need of writing services, ask for writing samples. If you are outsourcing graphic design work, ask for samples specific to that category.
Some outsourcing scams involve obtaining upfront payment, with zero intent in regard to ever producing a product or performing a service. Most legitimate outsourcing vendors will be open to other payment options. Consider a staggered payment schedule, perhaps 25% to start, 25% when the project is half over and the remaining 50% after the project has been completed and you're satisfied with the results.