It’s Tender Season and, as you certainly know already, with great opportunity comes great risk – especially in the form of Fake Tenderpreneurs or con artists looking to relieve you of your hard-earned money. Following a secure path from Tender Completion to Tender Won, of course, disputes most of the risks associated with Fake Tenders or Fake Purchase Orders “POs”.
In a perfect world you would win a bid fair and square . . . and then expect a fair reward for all your efforts. However, we do not live in a perfect world, and there are many shady characters who look to capitalise on your successful bid or, merely, on your interest in doing business in the big leagues.
Eyes wide shut?
A growing number of Business Owners are falling prey to Con Artists who send Fake Purchase Orders to supply certain goods on behalf of Government Departments or large Corporates. Once the order is fulfilled, of course, the “tender team” vanishes into thin air.
Just like being scammed by “The Crown Prince of Kuwait who, apparently, wants to share his wealth with you for no reason”, most Tender / Fake Purchase Order-related problems can be avoided with a little diligence and a few standard steps to verify the validity of the offer(s) that are presented.
There is no reason to become a victim if you keep your eyes open and your senses sharp.
Their Method of Operating
Con Artists alter Purchase Orders and tweak them by adding their own contact details, made to look similar to those of the departments or company you are servicing.
As the Winning Tender Bidder you are requested to pay “the supplier” who would then deliver goods or raw materials directly to the client or to your premises.
Once payment is made, both the alleged supplier and source of the “official PO” disappears without a trace.
Note that most (if not all fake POs from Fake Tenderpreneurs) are either faxed or emailed to the unsuspecting business to supply a specialised item that can only be bought from a certain supplier.
Usually the supplier (who is also part of the con team) would be in a different province from the one that the awarded business resides in, to ensure all transactions take place telephonically, or through email.
What is Purchase Order Funding?
Purchase Order Funding is a way to finance a company which has received large purchase orders from customers.
Our Purchase Order Funding is:
designed to help wholesalers and distributors who are reselling products
used by companies requiring funds to make payments
used to assist companies in growing past their financial restrictions