Just lately, our Division of Commerce and Client Affairs reminded individuals of a news release. The discharge was directed to anybody in Hawaii that owns or has management of an entity (equivalent to a company, partnership, or LLC).
DCCA defined that there are some non-Hawaii-based firms that ship solicitations to Hawaii-based firms. They are saying, “Hey! Your online business registration goes to be due shortly, and renewing it’s required by legislation. Pay us $145 and will probably be completed.”
The primary drawback is that some individuals suppose that the letter comes from a authorities company. It doesn’t.
The second drawback is that the renewal for many entities doesn’t price anyplace close to $145. It’s $12.50 for many entities, and even much less for partnerships ($5) or nonprofit firms ($2.50). This payment may be paid on-line at DCCA’s web site in the beginning of the quarter by which the enterprise initially registered.
Now, these first two may not be actual issues as a result of companies like these may be completed by reliable companies. Attorneys, for instance, earn cash serving to individuals navigate by the legal guidelines and rules.
When responding to complaints lodged in different states like Oregon, these firms’ attorneys made that declare.
However that results in the third drawback with these firms.
Look For Pink Flags
The third drawback is that these firms (not less than those DCCA has recognized in its launch) will not be themselves registered in Hawaii.
It additionally wants to supply some primary info such because the title and handle of someone in Hawaii to whom authorized paperwork may be delivered if somebody in Hawaii desires to sue it.
As a substitute, DCCA noticed that the businesses seem to make use of a mail drop as their firm handle, which appears like they don’t need individuals to seek out out the place their bodily location is.
With this third drawback, the chances of those firms being reliable service companies drop method down. A service enterprise that’s serving to shoppers comply with the legal guidelines shouldn’t be flagrantly breaking those self same legal guidelines themselves.
To make issues worse, neither of the businesses DCCA recognized seems to have an lively normal excise tax license.
Are they attempting to fly below the radar or what?
Corporations like these additionally may be attempting to earn cash by promoting any private info you give to them. And, in case you give them monetary entry information like a bank card quantity, you severely must be careful.
Do not forget that if it appears fraudulent or questionable, it in all probability is.
They aren’t solely an issue in Hawaii.
The Better Business Bureau has famous a sample of complaints in opposition to it, working in a number of states below assumed names.
Do not forget that if it appears fraudulent or questionable, it in all probability is. Fraudsters and scammers are likely to omit sure info to keep away from being traced.
Search for these pink flags earlier than submitting any private info or funds:
- No bodily return handle — only a P.O. Field.
- No phone quantity to contact a consultant.
- A non-corporate electronic mail handle (equivalent to Gmail, Yahoo, Hotmail).
- A service payment or an upcharge for credit score/debit card funds.