Business coaches, who are people that advise and guide business owners in the operating and growing of their businesses, can be quite helpful, particularly to entrepreneurs. However, scammers posing as business coaches have been taking advantage of trusting business owners by selling worthless services to their unwary victims.
Recently the Federal Trade Commission (FTC) settled charges against seven people and the eight companies they controlled that provided phony coaching services. Under the terms of the settlements, these people and their companies are now banned from selling business coaching services and work-at-home opportunities.
Here are links to the two complaints that name the specific defendants.
Using various deceptive sales tactics, the phony business coaches promised their victims that if they took what was alleged to be personalized training programs provided by the scammers, they would earn substantial income through Internet based work-at-home businesses, but none of the promises were true. Personal information turned over to the scammers was also passed on to other scammers who targeted the victims for more business related scams.
Before hiring the services of a business coach, you may want to find out what helpful advice you can get for free through government agencies such as the Small Business Administration. www.sba.gov/starting-managing-business
If you do decide to hire a business coach, you should find out if there are any complaints filed against him or her. An easy way to do this is to just do a search engine search in which you look up the person’s name with the words “scam” or “complaint” and see what comes up.
Also, be wary of paying up front for the services of business coaches before they provide any services.