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Competition Bureau of Canada

Competition Bureau

Work-At-Home Business Opportunities: Do Your Homework Before Working From Home

Earn $500 a Week Working From Home
Set Your Own Hours and Schedule
Be Your Own Boss
Is It Too Good to be True?

For many Canadians, the possibility of making easy money from the comfort of their own home is a tough one to pass up. Whether the job involves assembling jewellery, clipping newspaper advertisements, stuffing envelopes or processing worksheets, if you are looking for work or a chance to make some extra cash, work-at-home opportunities can seem like an ideal solution.

But beware! These jobs are not always everything they're made out to be. In fact, while many work-at-home opportunities are legitimate, some can end up costing you much more than you bargained for.

The fact is, there are some work-at-home opportunities in the marketplace that are designed simply to make profits by luring potential workers. These fraudulent schemes often require you to invest money before you even begin to work. Some sell you useless starter kits and sales guides, while others make you buy products and supplies up front. What's more, these work-at-home opportunities can require much more of your time than you ever imagined. In the end, often what once seemed too good to be true turns out to be just that.

Recognize the warning signs! If you do your homework, you stand a much better chance at spotting a questionable or fraudulent work-at-home opportunity. Keep a lookout for the following red flags:

  • advertisements that include exaggerated claims about the amount of money you can earn;
  • requirements for you to invest money up front;
  • claims that "no experience" is necessary; and
  • difficulties contacting the company behind the opportunity.

Be vigilant! Do your homework before working from home. Take the following precautions to be sure that what you're getting into won't cost you more than you bargained for:

  • contact the company to find out all the details about the job's requirements;
  • check whether your earnings will be based on salary or commission;
  • ask the company who will pay you;
  • determine all costs involved, such as supplies, marketing, long-distance bills, membership fees, etc.; and
  • search the Internet and contact various agencies such as the Better Business Bureau or PhoneBusters for background information about the company.

Report fraudulent work-at-home schemes! The Competition Bureau examines complaints of suspected misleading representations in the marketplace. Businesses and consumers who believe they have been misled should contact the Bureau toll free at 1-800-348-5358 or visit the Bureau's Web site at www.cb-bc.gc.ca.

Consumers can also learn about how to recognize fraud and protect themselves by visiting www.phonebusters.com. There, they can read about the "Recognize It. Report It. Stop It." anti-fraud public awareness campaign, launched by the Competition Bureau in March 2004. The goal of this campaign is to decrease the number of Canadian fraud victims and send a signal to criminals that the Bureau takes enforcement of crime seriously.

The Competition Bureau is an independent law enforcement agency that promotes and maintains fair competition so that all Canadians can benefit from competitive prices, product choice and quality service. It oversees the application of the Competition Act, the Consumer Packaging and Labelling Act, the Textile Labelling Act and the Precious Metals Marking Act.

For media enquiries, please contact:
Maureen McGrath
Senior Communications Advisor
Communications Branch
(819) 953-8982, or (613) 296-2187 (cell)

For general enquiries, please contact:
Information Centre
Competition Bureau
(819) 997-4282
1-800-348-5358


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