When you begin to look for easy ways to make money from self-employment and don't know what reality is, you are advertising to the world, "Hello world, my name is Sitting Duck. Shoot me, please." No one can shoot you, if you understand the truth and know the facts.
There are hundreds of fraudulent schemes that target housewives, unemployed youth and retired people. The scamsters are more intelligent than an average man. They come out with new scams every day. It is impossible to elaborate on all. I will give you a few suggestions that will keep you away from such scams. I have collected the following information from government sponsored consumer protection websites.
When you err on the safer side and keep away from such self-employment projects, sure, you may miss one or two genuine opportunities. But, that doesn't really matter because there are hundreds of real income opportunities and safe projects around you waiting for you to discover them.
(1) Never pay to work: If you go for a job interview, what would you do if the interviewer wants you to pay Rs. 2,000 to give you a job, for 'startup materials' such as work desk, stationery and fan, or to prove that you are a serious employee? An employer must earn by using your service and not by offering you job. If you follow this rule, you will never end up wasting your money. If you are asked to pay for a job or information about self-employment projects or work-from-home jobs, you must realise that it may be a scam.
(2) Verify credentials: Some businesses may require startup costs to cover materials or other items. If you know about the project and you think you should not miss it out, then verify the credentials of the company. If the company uses free web hosting services, uses free email services and does not disclose its street address and a telephone number, then think twice before you deal with it. If the company frequently changes its name and address, keep away from it.
(3) Think like an employer: Before accepting a work, think from an employer's point of view. If you were an employer, will you carry on such a business and pay the promised wages to a home-based worker for the work she or he does? This exercise will save you from loss and trouble.
(4) Check legality: Before starting anything new, check out the legality of the project or the business. Will you be able to explain in public about what you do step by step without hiding anything? If there is something that makes you uncomfortable, then something is certainly wrong with the project.
(5) Resist temptation: Scamsters know psychology better than professional psychologists. They build excellent promotional materials that tempt even experienced and intelligent persons. Consult knowledgeable people before making any financial commitment. Never respond to doubtful offers, even if the offer comes from your best friend.
(6) Research all claims: Sometimes, an incredible claim may be true. But, do not believe it without doing research about it. As internet has vast information on all subjects and is open to all, you can do research on the topic and come out with your own business concept without the intervention of other companies.
If you don't have experience in business or are not personally guided by a professional, the best and safe business opportunities are those you discover by analysing your physical, mental and emotional skills, your nature, your talents, your knowledge and the world around you. If you follow this process, you may miss a few genuine advertised opportunities. Don't worry about them. World is full of better opportunities.