Just as consumers have to be cautious of scam businesses, businesses have to be cautious of scam customers. There are customers out there that will want a business to ship a product at their expense and depend on the customer to get reimbursed after the fact. Maybe a customer wants you to do work but doesn’t want to sign a contact. Better yet, you may receive an email asking you to partake in a business venture that doesn’t make sense. These are red flags.
NEVER pay upfront for your own services when a potential customer promises to reimburse you. Always, get a contract signed by the customer and your business. This not only protects both parties but sets out the scope of work. Finally, follow your gut. If something sounds too good to be true, it probably is.