Showing posts with label Company verification. Show all posts
Showing posts with label Company verification. Show all posts
Monday, September 30, 2013
How Private Investigators Can Help Reduce Business Risk
















There is a trendy topic in today's business world that is considered one of new and best management practices, and that business owners and executives not always understand very well. It is risk management. Risk management is certainly nothing new, but it's emphasis in the business climate has never been stronger. These days, no corporation or medium sized business can live without it for long. It is the process in which companies identify their risks, assess them, take action to minimize and monitor and control the chances of having an unfortunate event occurring. It may seem simple, but the reality is that it is quite complicated because all the process depends on accurate and quality information. Obtaining the right information is not so easy.

Considering that countries like Russia, China, Malaysia, Ghana, Nigeria and Philippines have been listed as high fraud risk countries, some extra precaution won´t hurt. Professional private investigators do not limit their jobs to following unfaithful spouses. These days, an international investigation company can help business clients obtain the information and evidence they need to make an informed decision, and uncover pertinent information that will point out if there is any unknown risk in your operations, partner or investment that you're considering.

Consider the following situations where investigators can add significant value:

1. Hiring. Recruiting new people is always a risk regardless of the level. Discreet investigations can minimize the risk of a negligent-hiring lawsuit when hiring internationally. A pre-employment screening will help your business minimize the risk of hiring someone that is unqualified, unethical or not who they claim to be. Making sure you have an honest candidate is the first step and one of the most important in risk management.

2. Assessing your value chain. Providers have a great weight when it comes to your business sustainability because they are part of your reputation. Your company is at risk when your providers decide to ignore anti-corruption and trade control laws, or international treaties on fair commerce. In a globalized world, where emerging economies like the Philippines, China and India are providing a great portion of manufactured goods and services to developed countries and clients, verifying your foreign business contacts is essential.

3. Investment opportunities. Reducing risk when investing overseas starts by obtaining reliable, accurate and hard to obtain information. In most cases, getting the facts you need and verifying a reputation of a person or company in a foreign country, or checking to see if a factory or office really exists, requires the support of a private investigator in that country with access to local information, who speaks the language and can verify the facts.

4. Company verifications. A company verification will provide information on stock ownership, legal registration, operations, reputation, verification of the management, court and litigation history, assets, and screening the case for fraud. If you're planning to put your money in South East Asia, Africa, China, Latin America or India, or even Eastern Europe, you had better be sure the company and contact you are dealing with are legitimate.

5. Mergers and acquisitions. These might be the only situations in which companies are really aware of financial risk and really do their homework, but due diligence is often done in house and does not adequately identify risk and verify foreign contacts at the same level that experienced private investigators do. Think of an investigator on the ground where you need him as your eyes and ears, and a wise form of insurance to have. They can obtain independent references, photographs offices and facilities, conduct asset searches, and verify all business and legal filings, and properly screen the case for fraud.

Risk management starts with being able to obtain useful and precise information at the right time. Be safe. When considering a new investment or new partnership, contact a professional.

A. Hathaway
© 2013 A. Hathaway

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Tuesday, February 12, 2013
UK Due Diligence a Growing Business













Business fraud has increased in recent years as the U.K. economy continues to struggle to get back on its feet.  With business fraud and investment scams rising, small firms and corporations find themselves targeted by false offers, and criminals seeking a quick financial gain.  Everything from fictitious companies and investments, to complex stock offers and other fraud types are a growing problem in the U.K.  An industry that is benefiting from the rise is UK private investigators and UK due diligence services designed to verify business deals and minimize risk.

According to the Price Waterhouse Coopers, the amount of businesses suffering from economic crimes has been rising since 2009, targeting top executives in at least 54 countries.  Out of 3,000 surveys, 84% of them are located in the U.S. or the U.K.  Some even been scammed by their own employees and people of trust inside their own operations. These U.K. businesses who engage in business relationships in Eastern Europe are at an even higher risk for fraud.

Small businesses, not only in the U.K., do not verify their employment candidates and business partners as well as they should, according to a recent report by the National Fraud Authority in London.  Many companies mistakenly consider verification services a waste of money.  Reputable private investigation firms say due diligence and background check services are a wise insurance to have in today’s world and markets. Company verification, asset searches, background checks and international due diligence is key to minimizing risk for small and large companies.

If companies and business leaders could foresee the potential damage that one scammer or criminal can make, more CEO’s and directors of risk management departments, would consider the services well worth paying for.  Internet criminals, fraudulent and false companies, and scammers offering false investments can not only be expensive, but they can bring a company down.  It’s not uncommon to suffer from serous losses after getting involved in a fraudulent deal, or even battle the case out for years legally in court and public.  The consequences are best to avoid.

The times we are living in where the internet has broken borders, has lead to increased international relationships.  More people are interested to look far beyond their domestic markets to become wealthier or increase profitability, or to find new and existing markets.  Such international deals are inherently risky, and new contacts and providers and suppliers should be vetted.  HR and other in house personnel lack the training and experience to properly verify, so many companies in London are now relying on experienced and highly trained international investigators. 
 
Best of luck,

A Hathaway
© 2013 A Hathaway

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Tuesday, September 25, 2012
Company Verification Used to Prevent Internet Fraud















Internet fraud is a growing problem and a growing portion of that fraud is taking place with false or fictitious companies using professional looking websites.  Scam victims believe that the website is a real company, and proceed to submit their credit card information to the website or company, or even initiate a business relationship with the company, and even send funds to their new partner’s bank.  False websites can assume the identity of a real company, or simply be false.

Fraud experts say it’s important to use websites with Trust seals like Trust, the Better Business Bureau and McAfee, so you know you’re dealing with a real company and that the website or company has at least been verified at a basic level.  You won’t find a false website with any of these logos with an active link to the verification page.  Also, investigators say to search the internet to see what others are saying about the company, and be very skeptical if you find no or too little information.  Any real company should have a good amount of information online.

Companies in India, China, Latin America and Africa, as well as Southeast Asia can offer attractive investment opportunities to foreign investors.  The question remains, how do you know you are dealing with a real company or a legitimate investment opportunity?  International business deals run a high risk for fraud and scams, especially if the contact is made via the internet.

Company verification and international due diligence services are more important than ever.  International investigators with offices or agents on the ground can verify business registration, offices and facilities, reputations, ownership and more.  Screening the company or website for fraud is becoming more and more important, as the losses from internet fraud and identity theft can be staggering.  It’s important to verify first, before agreeing to any terms or business deal.

Millions of dollars are lost each year in the U.S. and even companies are trying to find better ways to keep their businesses and employees safe.  International opportunities and reaching out to new suppliers and businesses overseas can be profitable and lucrative, as long as the company or representative is legit, and who they claim to be.  That is where due diligence comes in.

International investigators advise caution when dealing with a new company, and to verify unknown businesses and contacts with foreign companies prior to sending detailed information about your business or financial situation.  If such sensitive information lands in the wrong hands, you could be a victim of internet fraud, identity theft and other financial losses and headache.

Best of luck,

A Hathaway
© 2012 A Hathaway


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