At least two Grand Rapids-area small businesses recently were targeted by a bogus awards company, but instead of falling for it, they called the Better Business Bureau.
“This is a pretty common scam we’ve seen around the country,” said Katie Grevious, a communications specialist at the Better Business Bureau (BBB) Serving Western Michigan.
The scheme goes something like this: a company is notified it’s been selected as a winner for “The Bureau Group’s 2022 Grand Rapids Awards,” and given a code to enter on a website. From there the company is prompted to purchase an award up to $300.
“Most legitimate awards do not come with costs to the winner,” said Lisa Frohnapfel, president and CEO of the BBB Serving Western Michigan. “The goal of these award schemes is to take advantage of a company’s excitement and sell them an award at an inflated price.”
The phony awards website has enough information on it to appear legitimate at a glance, but some of the hyperlinks are circular, leading the user back to the front page where a couple of paragraphs describe the award as if it’s a longstanding Grand Rapids institution:
“The Grand Rapids Award Program is an annual awards program honoring the achievements and accomplishments of local businesses throughout the Grand Rapids area. Recognition is given to those companies that have shown the ability to use their best practices and implemented programs to generate competitive advantages and long-term value,” the website reads.
“The Grand Rapids Award Program was established to recognize the best of local businesses in our community. Our organization works exclusively with local business owners, trade groups, professional associations and other business advertising and marketing groups. Our mission is to recognize the small business community’s contributions to the U.S. economy.”
But it’s all just an internet scam.
“The website doesn’t have anything to do with Grand Rapids except the title at the top,” Grievous said. The website also brandishes several well-recognized logos, claiming previous winners are nationally recognized brands like Merrill Lynch, Best Buy and Dollar Car Rental, which should be a clue to targeted individuals that it’s a ruse, since none of the previous winners are companies that are actually based in Grand Rapids.
“There’s a U.S. Chamber of Commerce logo on the landing page as well, but that organization told the BBB that use of its logo is unauthorized. The website even has a section with tips on how to start and manage a business, with photos of individuals appearing in small business settings, all to convince unsuspecting business owners that the trick is legitimate.”
Anyone targeted by the scam is encouraged to come forward and report it to bbb.org/scamtracker.
BBB recommends anyone contacted about winning awards they did not apply for should learn all they can about the award, how long the award has been in existence, how their business was nominated or selected and to check out the award company’s BBB profile at BBB.org. If it seems like a bona fide award, and there is a nominal cost involved to obtain a plaque or certificate, recipients should pay by credit card in the event the charge needs to be disputed.
