Using sales scripts, scam artists create the impression that only a few shares of stock or partnership units are left. They try to convince you that you'll miss out on a big opportunity if you don't send them thousands of dollars by overnight courier or wire transfer. Once you give your money to a scam artist, it may be too late to get it back. Unfortunately, success stories of other companies in the field are irrelevant for your purposes. Get the track record of the company you're considering investing in and the background of the people promoting it.
Legitimate companies account for investors' money at all times.
Ask for written proof of how much of your money is going to the actual purchase or development of the opportunity and how much is going to commissions, promoters' profits and marketing costs. If most of your financial investment is slated to cover expenses and costs, much less will be available to earn a return. Get an independent appraisal of the specific asset, business or venture you're considering. An appraisal offered by the party selling the investment opportunity can be fake. Talk to the previous owners of an asset or a business you're acquiring for its value history.