The Rise of Spoof Invoices Targeting Newly Registered Businesses

Starting a new business is an exciting time, but it also comes with risks—one of which is financial fraud. A growing trend that entrepreneurs need to be aware of is the rise of spoof invoices targeting newly registered businesses.

Fraudsters are exploiting public company registration data to send fake invoices, often disguised as official fees or necessary business expenses. Falling for these invoice scams UK can lead to unnecessary financial losses and administrative headaches.

How Do Spoof Invoice Scams Work?

Scammers monitor newly registered businesses, particularly those listed on Companies House scams in the UK. Using publicly available information, they craft convincing invoices that appear legitimate. These invoices may claim to be:

• A mandatory registration fee to a fake or misleading agency.
• A charge for business directory listings that were never requested.
• Domain name renewals or website setup fees.
• Fees for legal compliance services, such as financial fraud protection, data protection registration, or workplace certification.

These invoices often use official-sounding names, logos, and terminology to create a sense of urgency and legitimacy. Many small business scams target owners unfamiliar with standard business registration processes, causing them to mistakenly pay these fraudulent fees.

Why Are SMEs and Startups Prime Targets for Spoof Invoices?

New businesses are particularly vulnerable because:

• Entrepreneurs may not be familiar with standard registration fees and required payments.
• Many startups operate with small teams or single founders handling multiple roles, making them more susceptible to administrative oversights.
• Fraudsters take advantage of the high volume of legitimate paperwork new businesses receive, hoping their fraudulent business fees will blend in.

Real-World Examples of Spoof Invoices

A number of UK businesses have reported receiving fraudulent invoices from companies with names similar to government agencies, such as:

• Fake invoices from Companies House demanding urgent payment.
• Phony ICO (Information Commissioner’s Office) registration fees for data protection compliance.
• Phishing scams for businesses requesting payment for website addresses that do not exist.

While these invoices may look official, a quick verification can often expose them as fraudulent.

How to Protect Your Business from Spoof Invoices

Verify All Invoices – Always check the sender details and cross-reference invoices with official government websites or your actual service providers.

Know Your Official Fees – Understand the legitimate registration fees for your business. For instance, Companies House charges a set fee of £5 for company formation, and the ICO registration fee is publicly listed.

Look for Red Flags – Be wary of:

• Unsolicited invoices for services you don’t recognise.
• Payment demands with urgent or aggressive language.
• Requests for bank transfers instead of standard online payments.

Report Suspicious Invoices – If you receive a fraudulent invoice, report it to Companies House, Action Fraud, or Trading Standards.

Educate Your Team – If you have employees, make sure they are aware of these business registration scams and know how to spot them.

What to Do If You’ve Paid a Spoof Invoice

If you realise you’ve fallen victim to a spoof invoice scam:

• Contact your bank immediately to see if the payment can be stopped or reversed.
• Report the scam to Action Fraud to help prevent further victims.
• Update your business processes to ensure future invoices are thoroughly vetted before payment.

Final Thoughts

Spoof invoices are a growing problem for newly registered businesses, but awareness and vigilance can help protect you. By staying informed, verifying all invoices, and reporting fraudulent activity, business owners can avoid unnecessary financial losses and ensure their hard-earned money is spent on legitimate expenses.

If you need guidance on SME fraud prevention and protecting your business from fraud, get in touch with our team—we’re here to help safeguard your business.