Following some high-profile data breaches, consumers are being urged to monitor and lock or freeze their credit or place fraud alerts on their credit profile. For small business owners, there is currently no mechanism for freezing a business credit file, but there are options, like monitoring the business credit report or placing a fraud alert on the business credit profile. With concerns about criminal hacking or identity theft, small business owners need to know how to protect themselves and their businesses. For consumers, credit freezes are sometimes used in the case of identity theft to help prevent the thief from obtaining credit in the individual’s name. For businesses, protecting credit is different and a little more complicated. So, let’s define personal vs. business credit before we get our freeze on. Personal Credit vs. Business Credit Personal credit can be defined as using credit cards, retail store cards or using a personal guarantee for loans such as car loans or home mortgages. Business credit is used to finance equipment, or pay for goods and services in the name of the business. You might, for example, pay for business events using a company credit card. Many business owners may use personal credit when they are starting their business. They might use personal loans from friends and family, or deposit income from the business to a personal checking account. As the business matures, the business starts to establish a business credit history through accounts opened in the business name. Over time, more transactions start to grow the business credit profile and score. Keeping business and personal credit separate offers some important advantages: Tax time can be simpler because the business expenses and deductions are already separated from personal finances. Good business credit means your business can borrow money at lower interest rates. Good business credit also allows you to obtain company credit cards and control the spending limits for employees. If your business fails or experiences losses, your personal credit is protected. What’s The Difference Between a Credit Freeze , Locking My Credit and a Fraud Alert? Freezing and locking are different, but similar. Freezing your personal credit is the  standard  process of notifying Experian that you want to freeze your file, providing the necessary documentation and fees (if you are not a fraud victim) and being issued a PIN that you must provide each time you want to “thaw” your credit file. It’s the state-mandated regulatory process and is done online, by telephone or mail. Locking your credit file is an instant mobile service provided as part of a consumer’s premium membership in IdentityWorks, Experian’s personal credit monitoring service. It allows a person with a membership to instantly “lock” or “unlock” their credit file using their mobile device. When “freezing” credit, no one, including you, a lender, a card issuer or a thief, can open any new credit accounts in your personal name. Credit freezes may involve fees and last until removal is requested by the personal credit owner. It could also be expensive to lift the freeze at all 3 credit bureaus to open an account. Credit fraud alerts allow the consumer or business to place a statement on their report to prompt the creditor to take verification actions before extending credit. There are two levels of fraud alert. An “initial security alert” lasts 90 days on the consumer’s report and asks lenders to verify the person’s identity before granting credit. An “extended fraud victim statement” remains for seven years on the consumer report or until the consumer asks that it be removed. There is only one level of fraud alert on a business credit report and it remains indefinitely or until the owner requests it be removed. Fraud alerts are free. Can I Freeze My Business Credit? The bottom line is that business credit cannot be “frozen” like consumer credit. Different laws regulate business credit versus consumer credit.  As a best practice, business owners should separate personal from business credit as soon as they can, and build a business credit profile. To product the business credit profile, owners can request a fraud alert statement be placed on it as well as monitor their business credit report for changes that look suspicious. Should I Monitor My Business Credit Report? Just as a consumer should request their free annual credit report and monitor any activity on their reports, the same reasoning applies to business credit reporting: The business credit report is used to determine the financial health and credit-worthiness of your company. Be aware of what is on the report and if it is accurately representing your business finances. If it is not, you can request corrections. Fraudulent activity is on the rise and businesses need to know if their credit has been affected. Fraud can affect cash flow, credit problems, and even your business’ reputation. Again, look for unusual activity on the credit report. Managing your business credit wisely will help improve your business credit score. Monitoring your business credit report will inform you of key factors that help build your score. If you believe or have proof that your business has become victim to business fraud and/or identity theft, you should monitor your business credit report. Experian will notify you of changes as well as search the dark web for compromised business data. You can also place a fraud alert on your business credit report. To do so, send Experian Commercial Relations a signed letter on your company letterhead requesting that a fraud alert be placed on your business credit report and include a brief explanation why. You will need to include the signature of the company's business owner, along with that person's contact information. Experian will add a message alert to the company's business credit report asking that the company be notified prior to any lender extending business credit. Related articles: Basic facts about establishing business credit   om-ey4beedrwbgdpphfv9rg-holder

In June of 2016 Small Business Trends reported a rapid rise in the number of small businesses being targeted by cyber criminals.   Today cyber criminals appear to be discerning their targets and setting their sights on larger prey, focusing on businesses where the average transaction amount is in the thousands, sometimes millions of dollars. As originally reported in October by The Art Newspaper, art galleries in the U.K and the U.S. are the latest business segment to fall victim to cyber criminals employing the Business Email Compromise (BEC) scam, also referred to as "man-in-the-middle." How the man-in-the-middle scam works Cyber criminals will hack into a business's email account, and monitor for messages containing a PDF, usually an invoice being sent to a customer following a sale. The scammer then makes up a fake invoice with different bank details and sends an additional message telling them to ignore the previous invoice and pay against the revised invoice. The funds are then diverted to the account of the scammer instead of the gallery. The scammer withdraws the funds and quickly disappears. The technique is also used to intercept payments made by the gallery to the artists who supply their work. The scam is easy to fall victim to because the emails appear to come from a known source.  Galleries are an ideal target due to the high ticket price on many of the products they sell. The scam has so far netted millions of dollars. “We know a number of galleries that have been affected,” said Adam Prideaux, Hallett Independent art insurance broker, in an interview with the publication. “The sums lost by them or their clients range from £10,000 [$13,000] to £1 million [$1.3 million]. I suspect the problem is a lot worse than we imagine.” One London-based art dealer, Laura Bartlett, told reporters she was hit by the scheme earlier this year after making “quite a high-value sale” to a U.S.-based art collector. “Somebody sent out another email saying, ‘Ignore my previous invoice. I sent you old bank details; please use this invoice instead,’” Bartlett recalled. “I kept checking my account to see if the money had arrived and sending more and more emails to my client to ask where the funds were.” BEC Email Subjectlines Infogram The Art Dealers Association of America issued a warning on cyber risks in February of this year, outlining different kinds of online fraud schemes, including man-in-the-middle attacks, advising galleries and art dealers to take precautions such as encrypting invoices and confirming bank details by phone with clients, artists and service providers before money is transferred. 1 – Regularly change all passwords for email, software and wifi 2 – Ensure all anti-virus software is up to date 3 – Only send invoices by email if they have been encrypted (password-protected) 4 – After sending or receiving an invoice by email, call and/or send a text message to the recipient to double-check the sort code and account number 5 – Urge all staff to be extremely vigilant when opening emails and do not download any attachments or click on web links from an untrusted source. Always confirm legitimacy over the telephone with the sender if in doubt Cyber insurance is catching on but may not cover high losses With a rapid increase in small business cyber crime, many small and medium sized businesses are taking out cyber insurance policies. This kind of insurance offers some protections, but it's not a catch all. Cyber policies will only protect the policy holder, so if the victim is a gallery customer, they are likely to have no way to get reimbursed. Small businesses, particularly those in the art world should be vigilant and take extra precautions in guarding access to your business email account. Also, stay informed by familiarizing yourself with the techniques scammers are employing, the Symantec Internet Security Threat report is an excellent resource as well as the following articles from Experian: E-commerce fraud continues to be an area of concern — just look to the West and the South Tales from the dark web Is small business fraud overlooked? Another Breach, Another Instance of Weak Passwords Causing in Account Takeover  

Building and maintaining a strong business credit report takes time, and good fiscal discipline, but many business owners don’t know where to start on their road to establishing business credit. Business credit reports less regulated than consumer credit Business scoring is much less regulated than consumer credit scoring. The process of scoring your business is much more complicated and less clear than the consumer scoring process. For example, additional factors that can impact business risk models include the number of years a business has been operating and its industry type. Don't assume you have a business credit score Just because you have a business, don't assume you have a business credit score. Credit bureaus require a minimum amount of information before they can generate a report and score for your business. To establish your business credit history, encourage your vendors to report your payment history to the business credit bureaus. Many credit bureaus can provide you with information on suppliers who report to them. Keep business credit and personal credit separate Next – let’s talk for a moment about separating your personal and business credit. To build strong business credit, don't rely on your personal credit rating to finance your business. If your business becomes at risk, so will your personal credit score. Keep in mind that many creditors are now looking at scoring tools that consider both personal and business credit to predict small business risk. Business credit reports available to the public It is not widely known that access to business credit scores and reports is not as restricted as personal credit reports. Business credit reports are available to the public, and anyone – including potential lenders and suppliers – can view your business credit report. This makes it imperative to monitor your business credit score and report in an ongoing manner. Also – You can proactively manage your business credit score. Ensure your vendors are reporting your business payment history, and monitor your business' credit on a regular basis. For more information on business credit resources, plus articles and tips on this subject, go to BusinessCreditFacts.com. Learn more about establishing business credit by viewing our series of Business Credit Facts videos.  Remember to subscribe to our channel for ongoing updates.

In the aftermath of Hurricanes Harvey and Irma, news outlets reported the FEMA statistic that 40% of small businesses never recover after a disaster. With 74% of small businesses closed after Hurricane Sandy, a 2015 Nationwide Insurance survey stated that 75% of small businesses still don't have a disaster plan in place. For overwhelmed small business owners, the possibility of a natural disaster may be a low priority compared to keeping customers happy and the bills paid. When an unfortunate and unplanned disaster strikes, they have to be creative when putting their lives and their businesses back in order. Savvy business owners who prepare in advance can usually mitigate potential damage to their business by being prepared and activating their business continuity plan. Small Business Disaster Planning With natural disasters, from hurricanes, flooding, tornadoes, earthquakes, or wildfires, there is a potential loss of: Office premises including equipment, supplies, furniture, and more. Records, paper or digital, that are necessary to keep the business running. Any goods or supplies needed to sell goods or services to customers. Employees' homes and the likelihood of their return to work. Suppliers or distributors who are unable to reach your place of business. Customers who may do business elsewhere if they are unable to reach your business. Office equipment and the like can be replaced eventually, but company and accounting records cannot. The U.S. Small Business Administration has created a Record Keeping for Small Business Guide to assist with the necessary records, such as contracts, licenses, leases, personnel information, and accounting records, for rebuilding your business. FEMA (Federal Emergency Management Agency) also has a Small Business Preparedness website for disaster planning. Helpful tips include storing records in the cloud, creating a threat analysis, purchasing business insurance, and the development of a continuity plan to include communication with employees, vendors and suppliers. The goal is to get back online as soon as possible so the loss of customers is minimal. Filling the gap Many business owners are finding out that their business insurance will only cover so much, and there is a significant gap between what is paid out in claims and what is needed.   So many are forced to think up creative solutions to getting their businesses back online by borrowing from friends, family and investors.  Entrepreneurs familiar with innovative financing options of startup capital are beginning to turn to relying on crowdfunding when disasters occur. Crowdfunding for Small Business Recovery Crowdfunding is a familiar source of capital to entrepreneurs with new or growing businesses. Many entrepreneurs relied on sites such as Kickstarter or Indiegogo to raise funds and a potential audience for their service or product. The 2017 University of Chicago Alternative Finance Benchmarking Report found that while equity-based crowdfunding decreased 7% last year, "Donation-based Crowdfunding grew by 60%, generating $224 million in 2016." The same report noted that over the past 3 years, donation-based crowdfunding has increased by 40%. This is good news to entrepreneurs who are also using crowdfunding to help raise funds after an unexpected natural disaster. Ashley Freeman, with Handy Ma'am home improvement services in Houston, TX, relied on Go Fund Me to help with her recovery in the aftermath of Hurricane Harvey. Ashley ran a campaign to replace tools and supplies that were damaged in the storm. Her goal was met but she's still recovering, "Go Fund Me was a great head start to getting back to where I need to be," says Ashley. "I'm so thankful for knowing so many people care as much as I do when other people are in need." Kiva, a non-profit organization dedicated to raising funds for entrepreneurs in 80 countries, is another crowdfunding platform being used by those affected by the September 2017 hurricanes. Jonny Price, a senior director with Kiva U.S., is proud of the work they're doing to support small businesses. "At Kiva, our aspiration is to leverage the generosity of our 1.6 million global lenders to expand financial access for entrepreneurs deemed too risky or expensive to serve by conventional lenders. Supporting small businesses hit by natural disasters like Hurricanes Harvey, Irma and Maria is one powerful and relevant example of how we hope to meet that aspiration. This loan to Matilsha in Puerto Rico was funded recently by 358 Kiva lenders. We hope that, through long-term reconstruction efforts, Kiva's sustainable lending model can complement the heroic work of more donation-based first responders like the Red Cross." Recovery Doesn't Have to be a Disaster 2017's hurricanes and wildfires have unfortunately put business owners on task to prepare for a worst-case scenario. FEMA and the U.S. Small Business Administration have created online guides for helping small businesses recover, and will also help financially through low interest loans. While businesses and residents await their turn in securing financing for rebuilding, more entrepreneurs and business owners are turning to alternative sources of financing to get back to the business of serving customers.

As business owners you will find yourself in situations where you need funds to expand your business. Whether this involves acquiring more inventory, opening new stores, or adding more employees to your team. Many lenders look at business credit scores among other things, to determine your businesses credit risk. This information helps lenders gauge how healthy your business is in terms of meeting debt obligation, and its bankruptcy and delinquency rates. Unhealthy credit scores can make it harder for business owners to secure funds that are critical to operate. Learning how to manage your business credit score should, therefore, be a top priority for business owners, particularly new business owners. The differences between consumer and business credit scores So what exactly are business credit scores? Business credit scores are different from consumer credit scores in that, they assess a company’s credit risk by taking into consideration the business’ credit history as opposed to personal credit history. The scores range from 1 to 100 with one being the lowest score. Business credit scores are affected by a multiple of factors including but not limited to business size, establishment and industry size. Consumer credit scores on the other hand, which range from 300 on the low end up to 850 on the excellent credit scale, enables individuals to borrow money for personal use or defer the repayment of the debt to future debt. High consumer credit scores usually mean that the consumer has a history of making timely repayments on borrowed money without incurring penalties or defaulting on payments. Lenders can, therefore, trust them to borrow more money. Bad consumer credit scores, on the other hand, show that a consumer has had difficulty making timely payments. With a low consumer credit score record, it is difficult for such an individual to buy a house, car or even obtain a credit card because lenders such as banks and other financial institutions find the consumer to be high risk. Many small business owners use personal credit to finance their business, however, this does not guarantee them funding for their business. Lenders evaluate personal and business credit scores independently. Therefore even if a business owner has a great personal credit score but low business credit score or no existing credit history for their business, it will be difficult to secure funds for the business. Therefore business owners should establish and manage their personal and business credit line separately, and make every effort to establish and build strong business credit. Business Score Planner helps you be proactive about your business credit score Knowing how to manage and improve your business credit score can save you time and lower your cost of securing funds critical to growing your business. To help business owners educate themselves on business credit scores, Experian has developed an easy to use Business Score Planner tool that can simulate different credit history scenarios and calculate a hypothetical business credit score. With the Business Score Planner you can enter a few variables and calculate your hypothetical business credit score based on your current behavior in relation to your business credit habits, and get recommendations on how to improve your score. While the calculator does not reflect your actual score, it can help you learn about habits which affect your business credit score and the necessary steps you may need to take to improve the score. You can use Experian’s calculator to test out theories and how different scenarios might affect your outcome. This will not only help you as a business owner to understand the world of business credit scores, but it will help you formulate a game plan that you can commit to, making it easier for your business to get funded. You can learn more about the Business Score Planner by watching our short demonstration video or by visiting: http://sbcr.experian.com/scoreplanner

When a small business is damaged by a natural disaster — be it a hurricane, flood, earthquake or tornado — recovery presents its own set of hazards. There is, of course, the immediate cost of lost business. There are both short- and long-term physical dangers posed by weakened walls and ceilings, exposed power cables and mold. And then there are the threats posed by skilled disaster recovery scam artists who see small business owners as easy prey. Kenneth Citarella, CFE, knows all about these post-disaster scams. A former New York state prosecutor, Citarella now works for Guidepost Solutions LLC, which provides investigations, compliance, monitoring, and security and technology consulting solutions for clients in a wide range of industries. In the wake of Super Storm Sandy, which devastated large sections of coastal New Jersey, Brooklyn and Staten Island in 2012, Citarella served as a Guidepost Solutions “Integrity Monitor,” making sure contractors were in fact performing the work for which they were being paid. “The days and weeks following a natural disaster are times of great stress and confusion,” Citarella said. “This is the perfect breeding ground for scams of all kinds. Small business owners need to be aware of how they may be targeted and how to avoid being a victim.” How Fraudsters Find Their Marks While natural disasters are horrific events, they’re great for contractors and restoration companies for whom such events are their bread and butter. As soon as a disaster occurs, it’s not unusual for construction companies to descend on the affected site, blanketing the area with pamphlets and brochures, and stuffing mailboxes with business cards. While many contractors are legitimate, there can be a good number of storm chasers who are just out to make a fast buck. At a time when construction labor is at historic lows, small business owners may find themselves working with a firm with less than stellar credentials “The more enterprising scam artists will take the time to go door-to-door, offering low-ball prices or even offering to cut the business owner in on the fraud,” Citarella said. “For example, they’ll offer to do the $75,000 worth of restoration work that is actually required, bill the business owner’s insurance company for $100,000, and then split the difference. This is an obvious solicitation of fraud and should be reported immediately to the local police.” Common Types of Post-Recovery Fraud In addition to the insurance scam described above, Citarella discussed other forms of fraud a small business owner might encounter following a major disaster. “The most common type of recovery fraud involves a contractor who shows up to do the first two or three days’ worth of work, and then just disappears. Another type involves the use of lower-grade or otherwise substandard materials,” Citarella said. Citarella also noted that otherwise well-meaning contractors may buckle under the pressure a natural disaster creates, leaving the business owner out thousands of dollars and still unable to operate. “A small contractor can easily get in over his head,” Citarella stated. “He may not be able to get enough workers, have problems with his supply line, or be managing too many projects at once. There may be no criminal intent here, but the outcome is the same.” How to Avoid Contractor Fraud Find reliable, licensed contractors and validate their businesses before hiring them to help you rebuild. Experian’s ContractorCheck.com/Hurricane is being offered as a free resource to those affected during this time of recovery. This website enables you to find contractors and easily check the critical components of a contractor’s business background, including license, bond and insurance data (if an when available from state licensing boards). Click here to see a sample report. Also, the Better Business Bureau (BBB) offers a list of recommendations to business owners and anyone else looking to hire a construction contractor, among their recommendations: 1. Ask for Recommendations. Ask friends, relatives and fellow business owners to recommend contractors they have previously hired. 2. Check Their Track Record. Use bbb.org or other business review websites to get customer reviews, complaints and any notices of criminal violations. 3. Verify the Business License. Make sure the contractor under review has a valid license to do business in your state. 4. Get Multiple Quotes. Always get at least three quotes for any particular job. Any quote that is unusually low is probably one to avoid. Remember the old adage, “If something seems too good to be true, it probably is.” 5. Look for Signs of “Professionalism.” A reputable contractor will arrive in a vehicle that is clearly marked and branded, and may wear a uniform bearing his/her company name. 6. Request References. Ask the contractor for a list of previous customers you can contact and discuss their satisfaction with the contractor’s service. 7. Check Professional Affiliations. Ask if the contractor belongs to any trade organizations. Such companies are usually bound to operate according to a strict code of ethics. 8. Avoid Large Up-Front Payments. Pay by check or credit card for added protection. Avoid paying in cash. 9. Get Everything in Writing. Demand a written contract, and make sure to read it carefully, especially the fine print. Make sure the contract includes the contractor’s name, street address, telephone number, email address and state license number. Fill in any blank spaces. Don’t sign anything you don’t understand. “Document every step of the reconstruction progress,” Citarella added. “Take pictures every day to record the contractor’s progress. Smartphone pictures can be invaluable in the event of contractor misbehavior or if there is a challenge by your insurance carrier.” Citarella described four “gears” that run any reconstruction machine. “There’s the business owner, the adjuster, the carrier and the contractor. All four need to work together to get a job done right. However, the only one who has a stake in effective cooperation is the business owner. So if you have a business that needs post-disaster repair, take the time to make sure it’s done right.” If you are in the process of rebuilding following Hurricane Harvey or Irma and need to check the contractor you are working with, go to www.contractorcheck.com/hurricane to receive up to 15 free reports. Also, Sam Fenerstock of Credit Manager’s Association published an excellent article titled “How To Assist Your Customers To Stay In Business After Natural Disaster“, it contains lots of great information about disaster preparedness and working with your customers if they are impacted by a natural disaster.  

The United States military is the one organization that has produced more business owners than any other institution. After World War II, a stunning 49 percent of veterans went on to start their own business. Veterans are a diverse, multi-talented, innovative group of leaders who deserve our respect and gratitude.

Business credit scores are vitally important to small businesses. In today’s competitive market, a faulty credit score can dramatically affect the bottom line of any business and can lead to higher interest rates, difficulty in securing loans, and potential problems with suppliers. Conversely, favorable credit history can serve as the linchpin to success. It not only can save a small-business owner a considerable amount of money, but it also can provide access to capital with which to grow the business. So, let’s do a quick review of some common business credit misconceptions. If I have a small business, I automatically have a small-business credit score. FALSE. If a business doesn’t have at least one tradeline and/or one demographic element (such as length of time the business has been credit active, how many employees, etc.), then a credit report and score are not generated. To establish a business credit score, you should ensure that your business vendors are reporting your payment history to the major credit reporting companies. This will help to build your commercial credit profile. There are no drawbacks to using my personal credit score, rather than a business credit score, when attempting to secure funding. FALSE. It’s true that many small-business owners fail to separate their business expenses from their personal expenses. However, the weakness of relying solely on personal credit is clear. If your business ever becomes at risk, your personal credit score becomes at risk as well. Anyone can request and view my business credit score. This is TRUE. Unlike personal credit reports, which are regulated and can be viewed only with the permission of the report holder, business credit reports are available to the public. This means that anyone — including potential lenders and suppliers — can openly view your business credit report. Given the public availability of business credit reports, it’s imperative to monitor your business credit score. There are things I can do to improve my business credit score. TRUE. It’s vitally important to be aware of possible inaccuracies or negative credit data on your credit file, should they exist. As the business owner, you may request that the credit reporting companies correct any mistakes to ensure that your credit file is accurate. By simply increasing your awareness of the factors that drive your current company credit score, you can begin to effectively manage your credit behavior. As always, the best thing that you can do is pay all financial obligations on time.  

Debt Collection Scams Substantial debt can be a crippling burden to a small business, which is why they are often targeted by con artists who purport they can vastly reduce or even eliminate this debt — for a fee. This type of scam has a long and checkered history — and is showing no sign of abating. In late October of 2016, Ukrainian-born Sergiy Bezrukov — aka John Butler aka Thomas Paris aka Christopher Riley — was arrested by the FBI in upstate New York and charged with mail fraud for having allegedly duped more than 100 small business owners out of more than $500,000. His alleged scheme was simple: mass-mail an offer to reduce small business debt by up to 75 percent in just six to 12 hours. The fee for his services — required upfront — was $1,250, to be sent via wire transfer to his company, Corporate Restructure, Inc. Of course, no actual services were performed. Victims were not only out their initial $1,250, but many had their credit ratings seriously damaged — or further damaged — as a result. “Bogus credit relief schemes are not all that common, but when they do pop up, they give legitimate organizations a bad name,” said Robert Tharnish, senior vice president of ABC-Amega, Inc., a debt collection agency headquartered in Buffalo, N.Y. “There are many ways to deal with commercial debt. Owners just have to do their due diligence.” Robert Ingold, CEO of Commercial Collection Corp. in Tonawanda, N.Y., agrees. “For anyone who receives a solicitation to reduce their debt — be it commercial or consumer — be skeptical. Know who you’re dealing with.” Both Tharnish and Ingold serve on the board of the International Association of Commercial Collectors, the world’s largest international trade association for commercial debt collection professionals. Ingold noted that most companies have accountants and attorneys who should immediately raise a red flag when such sketchy offers come their way. Even so, enough small business owners either don’t have outside help or ignore their paid experts’ advice, allowing scammers like Berzukov to rake in hundreds of thousands of dollars in just a few months’ time. Dealing with a bogus agency can damage already fragile credit ratings, Ingold noted. “In most cases, a company targeted by a debt reduction scammer has debt and delinquencies that have already been noted by reporting agencies like Experian. Bezrukov’s victims weren’t just out their $1,250, but they probably fell further behind in their debt payments expecting relief, and this just decreased their business credit scores even further.” “This is an industry where all you need is a phone and list,” Ingold continued. “We see the same problem on the flip side with fraudulent collection agencies. Fly-by-night collection agencies approach lenders with wild claims of collection prowess, or buy existing paper for pennies on the dollar, then start harassing debtors in violation of all established laws and ethics.” “ Both Ingold and Tharnish noted that the legal system has numerous avenues available for businesses that find themselves over their head in debt. These include: Restructuring the debt with the existing creditors. This often includes devising a monthly payment plan that leaves the business with enough capital to keep growing. Getting an SBA or private business loan. Declaring Chapter 11 or Chapter 13 bankruptcy, which allow businesses to discharge many of their obligations and still keep their doors open. Both experts also emphasized the need for business owners to perform due diligence before hiring any debt reduction or collection agency to work on their behalf. “Ask to see their license. Their certification. Check with the Better Business Bureau,” Tharnish advised. “Also demand references. Ask, ‘Have you done business with anyone I know?’ If an agency can’t provide references, just walk away.” “When confronted with an amazing business solicitation, just remember the old saying,” Tharnish concluded. “If it sounds too good to be true, it probably is.”