It’s a business broker’s worst nightmare.
The sale is complete, documents are signed, and the closing attorney has done his/her work. But somehow the funds have gone missing! Wired funds can be stolen so easily today.
Find out how you can protect yourself and your clients from this fiasco at the Sept. 28 meeting of the Georgia Association of Business Brokers. The meeting will start at 10 a.m. The meeting, which is free and open to the public, will be held only online (see Zoom registration directions below). Regretfully, one of our speakers was exposed to COVID-19 and is unable to attend in person; we will be back to meeting in person as soon as we can do so in line with the guidelines set out by the CDC.
A closing should mean that the seller gets paid. Usually, the buyer wires in their down payment, the attorney develops and sends out a closing statement the day before the closing, and everyone agrees with his/her numbers. Unfortunately, a buyer will sometimes send over wiring instructions via email and those instructions get phished and the instructions end up in the wrong place! The buyer or the seller may lose their money; in some cases, millions of dollars.
Brian Harper, Senior Vice President and SBA Division Manager of Atlantic Capital Bank, and Ricky Robertson, Atlantic Capital Bank’s Operational Risk Manager, will speak about best practices from a security standpoint. Find out from the experts how to avoid getting scammed during an electronic transfer.
Ricky Robertson began his career in law enforcement and spent six years as a detective concentrating mostly on investigating white collar crime. During his time in law enforcement, Ricky completed computer forensic investigations and served as the commander of the crisis negotiation team. Over the past 14 years, Ricky has worked in banking in the Information & Corporate Security fields. As Atlantic Capital Bank’s Operational Risk Manager, Ricky’s main job responsibilities include Corporate Security, Information Security, and Operational Risk. He has a Bachelor’s degree in Management Information Systems and earned the Certified Protection Professional certification from ASIS International.
Mr. Harper has more than 25 years of business banking and lending experience and ample experience handling multi-million dollar transactions. He is a member of the Rotary Club of Dunwoody, Junior Achievement, Georgia Lenders Quality Circle, National Association of Government Guaranteed Lenders, the Georgia Association of Business Brokers, Our Lady of Assumption Church, is a coach for Murphey Candler Baseball and a board member of the Georgetown Recreation Center.
To join the meeting via Zoom, please register in advance for this meeting at this link. After registering, you will receive a confirmation email containing information about joining the meeting.
Claudia Wilson, Vice President, SBA Relationship Manager at SouthState Bank, is sponsoring the meeting.
The GABB is the state’s preeminent organization of professionals involved in the purchase and sale of businesses and franchises, and operates the state’s only real estate school devoted to business brokering. For more information about the GABB, contact GABB president Judy Mims at firstname.lastname@example.org or at 404-918-3666; or email email@example.com or text 770-744-3639.Read More
In the wake of emergency assistance available to help small businesses in response to the Coronavirus pandemic (COVID-19), the SBA is urging disaster loan applicants seeking federal aid to be alert to phishing campaigns and scams. These malicious actors are impersonating the SBA and its Office of Disaster Assistance to collect personally identifiable information (PII) for fraudulent purposes.
The SBA is particularly concerned about scam emails that are targeting applicants of the SBA’s Economic Injury Disaster Loan Program asking them to verify their accounts using a third-party online platform to collect personally identifiable information.
Watch Out for Phony Emails Asking for Your Information
- Any email communication from the SBA will come from email accounts ending in sba.gov, and nothing more.
- Look out for emails that use the SBA logo in their phishing emails and phony schemes.
These may be attempts to obtain PII, access personal banking accounts, or to install ransomware or malware on your computer.
The SBA will never use a third-party platform to:
- Actively seek PII
- Search a third-party platform for or by PII, or
- “Follow” public users proactively without a waiver.
Government Employees Do Not Charge for Recovery Assistance
Additionally, federal agencies that provide disaster recovery assistance will never ask for a fee or payment to apply for financial assistance, and government employees do not charge for any recovery assistance provided.
Tips to Keep an Eye On
- The presence of an SBA logo in an email or on a webpage does not guarantee the information is either accurate or endorsed by the SBA.
- Help protect your identity and privacy by never providing your full name, date of birth, social security number, address, phone numbers, email addresses, case numbers, or any other PII in public-facing comments or responses to third-party emails.
- Loan applicants who receive email correspondence asking for PII are cautioned to ensure that any application numbers referenced in the email are consistent with your actual application number.
- Do not click on any links or open any attachments, which are often used in phishing email scams.
The best way to avoid being scammed is to safeguard your information like money in the bank. Always be vigilant in protecting your personal information and data assets. If you suspect an email is associated with a fraud scam targeting the SBA, report it to the Office of Inspector General’s Hotline at 800-767-0385 or online at https://www.sba.gov/COVIDfraudalert.
You can learn more about scams and fraud schemes on the SBA’s website at
Loan applicants who have questions about SBA’s Economic Injury Disaster Loan program may call the Disaster Customer Service Center at 1-800-659-2955 (TTY: 1-800-877-8339) or send an email to firstname.lastname@example.org.
Federal officials are warning businesses who have applied for federal loans under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the largest financial assistance bill to date, to beware of scam artists.
In a statement, the U.S. Office of Inspector General said during these “unprecedented times” it is “alerting the public about potential fraud schemes related to economic stimulus programs offered by the U.S. Small Business Administration in response to the Novel Coronavirus Pandemic (COVID-19).
The CARES Act includes provisions to help small businesses. Fraudsters have already begun targeting small business owners during these economically difficult times. Be on the lookout for grant fraud, loan fraud, and phishing.
Scams and Fraud Schemes
- SBA does not initiate contact on either 7a or Disaster loans or grants. If you are proactively contacted by someone claiming to be from the SBA, suspect fraud.
- If you are contacted by someone promising to get approval of an SBA loan, but requires any payment up-front or offers a high-interest bridge loan in the interim, suspect fraud.
- SBA limits the fees a broker can charge a borrower to 3% for loans $50,000 or less and 2% for loans $50,000 to $1,000,000 with an additional ¼% on amounts over $1,000,000. Any attempt to charge more than these fees is inappropriate.
- If you have a question about getting a SBA disaster loan, call 800-659-2955 or send an email to email@example.com.
- If you have questions about other SBA lending products, call SBA’s Answer Desk at 800-827-5722 or send an email to firstname.lastname@example.org.
- If you are in the process of applying for an SBA loan and receive email correspondence asking for PII, ensure that the referenced application number is consistent with the actual application number.
- Look out for phishing attacks/scams utilizing the SBA logo. These may be attempts to obtain your personally identifiable information (PII), to obtain personal banking access, or to install ransomware/malware on your computer.
- Any email communication from SBA will come from accounts ending with sba.gov.
- The presence of an SBA logo on a webpage does not guaranty the information is accurate or endorsed by SBA. Please cross-reference any information you receive with information available at www.sba.gov.
Report any suspected fraud to OIG’s Hotline at 800-767-0385 or online at, https://www.sba.gov/about-sba/oversight-advocacy/office-inspector-general/office-inspector-general-hotline.