Scam library · Small business · Email & phishing · Phone calls
Small business funding offer scam
'Congratulations, your business is pre-approved for up to $250,000 in working capital. No credit check. Funds in 24 hours.' The email or call arrives when cash flow is tight, which is exactly the point.
The scammer asks for an upfront 'processing', 'insurance' or 'first payment' fee, or for your online banking login to 'verify revenue'. Then the loan never arrives.
What the message looks like
From: Capital Funding Desk <approvals@bizcapital-fastfund[.]com>
Subject: Pre-approval: $250,000 for your business
Based on your business profile, you're pre-approved for up to $250,000. No credit check required.
To release funds, a refundable underwriting deposit of $1,250 is required. Please also provide your online banking login so we can confirm revenue.
How this scam works
Some offers impersonate the Small Business Administration or claim to be government relief programs. Others pretend to be online lenders and send convincing loan agreements. A few collect your EIN, bank statements and personal details, then use them to apply for real loans in your business's name.
Real lenders may charge fees, but they're disclosed in the loan documents and taken out of the loan, not paid upfront by gift card, wire or crypto. They also don't need your bank password.
Small business owners are busy and often handle finances alone, so scammers count on quick decisions. A five-minute check of who's really offering the money changes everything.
Red flags
- Pre-approval for a loan you never applied for.
- An upfront fee, 'insurance' or 'deposit' before funds are released.
- Requests for your online banking username and password.
- Claims of government backing on a non-.gov site.
- Pressure to sign today to lock in the offer.
How to tell it’s fake
- Look the lender up on your own: check its state licensing and reviews.
- SBA loans go through SBA-approved lenders. Check sba.gov for how to find one.
- Read the loan terms. Legit fees are disclosed and deducted from the loan.
What to do if you clicked, paid or shared info
Don’t panic, and don’t blame yourself. These scams are built by professionals. Act quickly, one step at a time.
If you clicked a link or called back
- Stop responding. Report the email to ReportFraud.ftc.gov.
If you paid
- Call your bank right away to stop or recall the payment.
If you shared personal info, a password or a code
- If you shared banking logins, change your password, turn on multi-factor authentication and ask your bank to watch for unusual activity. If you sent your EIN and ID documents, watch for loans or accounts opened in your business's name.
Where to report and get help (U.S.)
If a message seems legit and you’re still not sure, get a second opinion before you act. Reporting helps stop scammers, even if money can’t be recovered. If you are in danger, call 911.
- Your bank or card issuer
Call the number on the back of your card or on your statement, not one from the message. Ask them to stop or reverse the payment and to watch the account. - Federal Trade Commission (FTC) · ReportFraud.ftc.gov
Report the scam and get a step-by-step recovery plan. - FBI Internet Crime Complaint Center (IC3) · ic3.gov
Report scams that happened online, especially if money was lost. Include phone numbers, websites and payment details. - AARP Fraud Watch Network Helpline · aarp.org helpline
Free, for anyone of any age: trained volunteers help you sort out next steps. 877-908-3360, Monday to Friday, 8 a.m. to 8 p.m. Eastern. - IdentityTheft.gov · IdentityTheft.gov
If you shared your Social Security number or someone opened accounts in your name.
How Gmork Scam Guard would warn you
Scam Guard runs in Chrome and Edge on your computer, where most business email and banking happens. It checks funding offers you have open in Gmail or Outlook on the web, notices lookalike lender and 'SBA' sites, and warns about upfront fees and requests for banking logins. If an offer seems legit, get a scam expert's opinion before you sign or pay.
Scam Guard can miss things, so the checks above still matter. See what it warns about and what it keeps private.
Questions people ask
- Do real lenders charge upfront fees?
- Some loans have fees, but they're disclosed in writing and usually deducted from the loan. A fee paid by wire, gift card or crypto before funding is a scam.
- Is a 'no credit check' loan legit?
- It's a big red flag, especially for large amounts.
- They claimed to be from the SBA. How do I check?
- The SBA works through approved lenders. Go to sba.gov yourself and call the SBA if you're unsure.