How to Prevent Fraud
On B2B marketplaces, the fishing line that distinguishes buyers from sellers is often blurred. It is because all of the entities of B2B marketplaces are businesses themselves. They can market many and services available and, concurrently, also work as a buyer and hire other suppliers and service providers for things they have to buy themselves. Due to the enormous level of such business that can be done on the B2B marketplace, there is certainly obvious room for fraudulent activity that should be monitored to prevent. Even if a company itself is honest and legitimate, that isn't necessarily reassurance that the parties within that business with which team you are dealing are credible too. Though B2B e-marketplaces as a rule have strong moderators who look at the credibility of registered businesses from time to time, it really is approximately the buyers themselves to protect themselves against any fraud and thus retrieve the most great things about the marketplace.
Report Fraud
Here are some tips for buyers to avoid fraud within their online business endeavors:
Be aware of People behind the Partner Company
The easiest method to gauge the credibility of your company listing is to speak to the business. You need to know the people behind the business before you decide to think about starting rapport together. If possible, visit their official premises. However, because this is not usually possible in offshore outsourcing deals, it is important that you research about potential service providers on the internet, assess their website as well as their various presense on the internet and obtain a good idea about the reputation of the business. Ask persons who've given testimonials in regards to the company and have them questions about the company.
Fraud Prevention
Conduct a Background Check
Performing a criminal history check regarding your potential supplier or service provider is indispensable. Use independent alternative party resources to make certain the opportunity clients are registered or otherwise. If you cannot locate their registration information, they you need to keep these things provide you with a Certificate of Good Standing issued by the business registry office with the particular country. You can also ask a credit agency to follow and update you with the business good reputation for the potential company and how they fare within the records of banks along with other trade partners.
Be suspicious of Extremely Low Prices
If the price sounds too good to be true, then it might be! Even though one of the greatest objectives of B2B marketplaces is always to enable you to find the most competitive prices, don't let price be the sole consideration while choosing potential business partners. If you know your market well, it is possible to estimate the common costs from the products and services you want to buy. So, you may notice suppliers or service providers offering services or products at extremely low rates, then be skeptical of hiring them. In the end, it's easy to getwhat you spend for (i.e. reduced quality for reduced prices).
Make a record of your Agreement & Contracts
Be sure you have a proper written agreement that records all of your dealings together with your business partner. It should include all the details concerning the product or service being rendered, shipping information, delivery dates together with every one of the terms and conditions which can be liable in case of failure of delivery, damaged or inferior quality of services etc. Also, make a record of all of the emails and faxes which can be exchanged during the course of the negotiation and also the project implementation. This would be invaluable in case any disputes or unforeseen circumstances appear.
Disclaimer : Sabra Easterday is the owner and founding father of MatchB2B. Sabra is another lawyer with a special fascination with business issues and e-marketplaces. Notwithstanding that Sabra Easterday is a lawyer, nothing in the following paragraphs no services of MatchB2B or its website are legal services no attorney-client relationship exists between any reader of this article or user, customer or possible client of MatchB2B, and MatchB2B, its website or Sabra Easterday.
Report Fraud
Here are some tips for buyers to avoid fraud within their online business endeavors:
Be aware of People behind the Partner Company
The easiest method to gauge the credibility of your company listing is to speak to the business. You need to know the people behind the business before you decide to think about starting rapport together. If possible, visit their official premises. However, because this is not usually possible in offshore outsourcing deals, it is important that you research about potential service providers on the internet, assess their website as well as their various presense on the internet and obtain a good idea about the reputation of the business. Ask persons who've given testimonials in regards to the company and have them questions about the company.
Fraud Prevention
Conduct a Background Check
Performing a criminal history check regarding your potential supplier or service provider is indispensable. Use independent alternative party resources to make certain the opportunity clients are registered or otherwise. If you cannot locate their registration information, they you need to keep these things provide you with a Certificate of Good Standing issued by the business registry office with the particular country. You can also ask a credit agency to follow and update you with the business good reputation for the potential company and how they fare within the records of banks along with other trade partners.
Be suspicious of Extremely Low Prices
If the price sounds too good to be true, then it might be! Even though one of the greatest objectives of B2B marketplaces is always to enable you to find the most competitive prices, don't let price be the sole consideration while choosing potential business partners. If you know your market well, it is possible to estimate the common costs from the products and services you want to buy. So, you may notice suppliers or service providers offering services or products at extremely low rates, then be skeptical of hiring them. In the end, it's easy to getwhat you spend for (i.e. reduced quality for reduced prices).
Make a record of your Agreement & Contracts
Be sure you have a proper written agreement that records all of your dealings together with your business partner. It should include all the details concerning the product or service being rendered, shipping information, delivery dates together with every one of the terms and conditions which can be liable in case of failure of delivery, damaged or inferior quality of services etc. Also, make a record of all of the emails and faxes which can be exchanged during the course of the negotiation and also the project implementation. This would be invaluable in case any disputes or unforeseen circumstances appear.
Disclaimer : Sabra Easterday is the owner and founding father of MatchB2B. Sabra is another lawyer with a special fascination with business issues and e-marketplaces. Notwithstanding that Sabra Easterday is a lawyer, nothing in the following paragraphs no services of MatchB2B or its website are legal services no attorney-client relationship exists between any reader of this article or user, customer or possible client of MatchB2B, and MatchB2B, its website or Sabra Easterday.