Checking if a company is legitimate and real can be difficult, especially when it has not been around for very long. This has led to a lack of transparency, which has, in turn, led to an increase in fraudulent companies. For a more detailed assessment, you need to dig deeper to determine if a company is legitimate or just a scam; it takes time and effort, but it all pays off in the end. There are times when you will come across companies that might not be listed in databases or directories, so you can’t find any information about them on the internet. However, you can confidently say whether a company is real or a scam by utilizing certain tools and techniques. Here are ways to check whether a company is legitimate or a scam.
1. Research the Industry and Check for Regulatory Bodies
One of the best things you can do is check on the company’s industry and ensure that there are no regulatory bodies. For example, industries like qnet aim to be as transparent as possible and put qnet scam rumors to rest. This can all be found by doing your research on a company. You also want to ensure that an official body regulates a company; only then can you confidently say it is legitimate. Not being regulated by an official body means that anything can happen, and you will have no way of getting your money back once a company runs away with it or disappears.
To find out whether a company is regulated or not, you have to search on the internet; it shouldn’t be difficult as many directories can help you. Make sure your research is thorough and that you consult all the relevant information before making your final decision.
2. Know About the Local Chamber of Commerce
Knowing whether a business is registered with the local chamber of commerce is important. A company registered with the chamber of commerce has passed the verification process; therefore, it is verified to be real. On the other hand, if a company is not registered with this kind of body, you are better off staying away. If you confirm that any such body has not verified a company, then something fishy is going on, and your best bet would be to walk away without having anything to do with them. This is essential because if you put your money into a company that is not registered and runs away, you will lose it.
Most of the time, companies do not want to be registered with chambers of commerce because it’s not good for their business, so they don’t bother. However, this is a good enough indicator that you should be wary of such companies as they are probably not real.
3. Look for the Physical Address of a Company
This is extremely important, particularly if you plan to do a transaction online. Find out if a company has a physical address; this can be done by searching on the yellow pages or reaching out to people and asking them as they might have some information on companies that operate in your locality.
5. Check the WHOIS Database
This is a database where you can find out who owns or runs a particular company. This database is permanent and can be accessed online with the right information, you have to type in the name of the company, and it will display details about the owner or operator. Ensure that the owner of a company is not anonymous and that there are no hidden details; only then can you put your trust in an organization.
You don’t want to become a victim of a company that targets innocent people and steals money from them. It is important that you check out whether or not the owner or operator of a particular organization has any criminal records or criminal charges against them. This will give you an indication of what to expect as far as service delivery is concerned.
A legitimate and real company will never be difficult to check; it just requires a little effort. It is important to research the industry to make sure that you are doing leg work for next time. Remember to check on any regulatory bodies as they are very important in determining the legitimacy of a company. A company’s reputation also needs to be factored in; this can be made very clear by checking out directories. And lastly, you have to check the WHOIS database or, at the very least, the domain registration information.