till inWe at B&J Bookkeeping & Taxes love to warn small business owners of all types of scams out there. The latest is called the pig butchering scam. Why do they call it that? Because in order to yield the most meat from a pig, you have to fatten it up. Below we will tell you all about the small business pig bothering scam.<!—more—>
What is the Pig Butchering Scam?
You most likely have heard of the Nigerian Lottery Scam, package delivery scam, frozen account scam, and many others. Unlike those, the pig butchering scam goes for the “long haul.” Rather than sending you one email or a malicious link, they actually build a relationship with you. In many cases, they come to you with amazing investment opportunities.
How This Scam Actually Works
You will be contacted by someone claiming to know your business or a fellow friend.
They may begin casually chit chatting with you regarding your business as well as what they do.
You will be approached with an amazing investment opportunity.
They will even provide realistic looking sites, documents, and even apps for your phone.
The scam often involves you buying a bunch of crypto currency and sending it along.
The scammers then liquidate the crypto, never to be seen again.
You may receive statements showing how much money you are earning.
The scam falls apart when you attempt to withdraw any money from your account.
Did you know? These types of scams raked in over $3 billion across the world for the year 2023 and are rising? Source: Merit Street Media
How to Avoid The Annual Tax Refund Scam
In most cases, scammers contact you via a chat platform like WhatsApp or through your business web pages, social media pages, or other. In other cases, they may set up a fake website that looks like a legitimate investor or firm. Still in other cases, they may claim a “wrong number” but attempt to connect with you.
The first and best step to avoiding scams is to not speak to strangers online. You can differentiate between a stranger and potential client fairly easily. The client will ask about services, goods, price, timelines, and more. The scammers may ask this, but will advise you to invest sooner rather than later. Never open an account with a non-trusted institution. Your bookkeeper, accountant, or other trusted advisor can help you invest in a responsible manner.
The Office of Inspector General has more information here: Pig Butchering Scam
To learn more about this and other scams, watch this episode on Merit Street Media.
Small Business Bookkeeping in Houston
Avoid the pig butchering and other scams with the use of an experienced bookkeeper. We have heard it all and are happy to help protect your business by avoiding scams like this. Contact our team to learn more about our bookkeeping services.
