
Beware traps that people set for you. There are many traps that individuals and businesses can fall into quite easily if they are not aware of them.
Recently, I was in a household warehouse store when I called the attention of a young cashier and quietly said, “Psst.” The woman next to me became angry and said that was no way to speak to somebody. She said I was whistling and that you don’t whistle at people, you only whistle at a dog.
She had got the wrong end of the stick because I had simply said “psst”. The result was that I blew my top and gave her a piece of my mind, which was unpleasant for me. I know I could have handled it far better. Afterwards, I thought all I needed to do was keep quiet and say nothing. But then there is the counter-argument: why should you keep quiet?
There are, however, far more serious traps that people can set for you.
I know of two instances where managers set traps for business owners and ended up claiming ownership of the businesses. One has never been resolved. The other is still going through a legal process, with both cases resulting in substantial legal costs.
In one case, the owner had been living in another province and had left a manager in charge of a small manufacturing business. When he returned, the manager claimed that he owned the business.
In the other, the owner had given a manager partial ownership. After a year or two, the manager told the original owner: “You no longer own this business. I own the business.”
Legally, such claims do not simply become valid because someone has been running a business or because an owner has been absent. But unscrupulous people can exploit weak governance, informal agreements and poor documentation, leaving owners with expensive legal battles.
This raises a broader question: what other traps should individuals and small business owners watch out for, and how can they avoid them?
That small incident in the store was a trap of a different kind. It was not a legal trap or financial scam. It was a social and emotional trap. I reacted before I thought. The woman misunderstood me, I felt accused, and I lost my temper.
The trap was not necessarily deliberately set by her. It was created by miscommunication and my own reaction.
That is worth remembering: not every trap is carefully planned by a villain. Some result from emotion, pride and failing to pause.
But there are more dangerous traps, aimed at individuals and business owners alike.
Personal traps
When we are not wearing our business-owner hat, we are still targets. Many personal traps exploit trust, loneliness, fear, affection or simple everyday habits.
Emotional manipulation
Someone may use guilt, fear, obligation or affection to influence your behaviour. Relationship experts sometimes refer to this combination as FOG: fear, obligation and guilt.
It can sound like:
• “After everything I’ve done for you, you owe me this.”
• “If you really loved me, you would do this.”
• “You’re the only person who can help me.”
The defence is simple but not always easy: boundaries. You are allowed to say no. You are allowed to take time to think. Pressure to make an immediate decision is a warning sign.
Romance and friendship scams
Online scammers can spend weeks or months building a relationship before asking for money. They may invent a medical emergency, customs bill or investment opportunity.
One sophisticated version is known as “pig butchering”. The scammer builds trust before encouraging the victim to invest through a fraudulent platform. Small apparent returns or withdrawals may initially be allowed to build confidence. When larger amounts are invested, the money disappears.
The rule is straightforward: never send money or investment funds to someone you have only met online. Do not share banking credentials, and discuss significant financial decisions with someone you trust.
Imposter scams
Criminals impersonate banks, government departments, police, technology companies or relatives. Phishing emails, fraudulent phone calls, SMS messages and SIM swaps can be used to obtain passwords, banking details and one-time PINs.
The tactic is usually urgency: “Your account has been compromised” or “A warrant has been issued.”
Pause and verify independently. Do not use the telephone number or link supplied by the caller or message. Contact the organisation through an official channel.
Your bank will not ask for your password or OTP.
Employment scams
Fake job advertisements promise attractive salaries, overseas placements or remote work, but require applicants to pay for training, visas or equipment.
Legitimate employers do not charge people to obtain employment. Verify the company and its registration, and be particularly cautious about offers made without proper interviews.
Consumer and subscription traps
“Dark patterns” are design tricks that encourage consumers to make decisions they might otherwise avoid. Examples include free trials that automatically become paid subscriptions, hidden charges at checkout and deliberately confusing cancellation processes.
Slow down, read the terms and keep records of subscriptions and cancellation dates.
Identity theft
Stolen identity documents, ID numbers and banking information can be used to open accounts or obtain credit in your name.
Protect personal documents, share information only with verified organisations and check your credit profile regularly. Report suspected identity theft promptly to the South African Fraud Prevention Service and the police.
The social trap
My “psst” incident illustrates another kind of trap: allowing someone else’s reaction to control your own.
Walking away or responding calmly is not necessarily accepting unfair treatment. Sometimes it is simply refusing to let a misunderstanding turn into an argument.
Business traps
For business owners, the consequences can be much greater. Many problems arise because informal trust replaces proper governance and written agreements.
The manager-ownership trap
A manager who runs a business for years can become its de facto operator. That does not, by itself, make the manager an owner.
Problems arise when an absent owner fails to maintain proper records, banking mandates and oversight. In extreme cases, an unscrupulous manager may attempt to alter company records, redirect funds or establish a competing entity.
Ownership should be protected through clear shareholder agreements, current CIPC records, proper banking mandates and regular financial oversight.
The quasi-partnership trap
Small companies sometimes operate informally as partnerships, with everything based on personal trust.
That arrangement can collapse when relationships deteriorate. A shareholder may be locked out of accounts, remuneration may be disputed or company assets may be put at risk.
A properly drafted Shareholders’ Agreement should cover voting rights, remuneration, dividends, disputes, deadlocks and exit arrangements.
Section 163 of the Companies Act 71 of 2008 provides a remedy in certain cases involving oppressive or unfairly prejudicial conduct, but going to court can be costly and time-consuming.
Internal fraud
Employee fraud can involve fictitious suppliers, payroll manipulation, stock theft or diverted revenue.
The most effective protection is not suspicion but controls. Separate payment authorisation, payment processing and reconciliation. Conduct regular financial and stock checks, and require employees with significant financial responsibilities to take their annual leave.
External business scams
Businesses are also targeted by fake invoices, fraudulent supplier details, bogus awards and business-email-compromise scams.
Never accept a change of banking details simply because an email appears to come from a supplier. Verify the change using an established telephone number or another independent channel.
Partnership and succession traps
Business partners also need to plan for death, disability or retirement. Without an agreement, the remaining owners can find themselves dealing with heirs or a departing partner who wants to sell.
A properly structured Buy-and-Sell Agreement, supported by appropriate life and disability insurance, can provide the funds needed to transfer ownership without putting the business under financial strain.
Avoiding the traps
For individuals:
• Pause before responding to pressure.
• Verify requests independently.
• Never disclose passwords or OTPs.
• Protect identity documents and personal information.
• Check your credit profile regularly.
• Seek a second opinion before making significant financial commitments.
• Walk away from unnecessary confrontations.
For business owners:
• Put ownership arrangements in writing.
• Keep CIPC records, share registers and bank mandates current.
• Have a properly drafted Shareholders’ Agreement and Memorandum of Incorporation.
• Separate financial duties.
• Review accounts and bank reconciliations regularly.
• Consider appropriate insurance against fraud and other business risks.
• Get professional legal advice when ownership or governance is challenged.
The real defence
Traps take many forms, from an innocent misunderstanding to sophisticated financial fraud or a bitter business dispute.
The common thread is vulnerability created by haste, misplaced trust, emotional reactions or inadequate documentation.
You do not have to live in constant suspicion. But it pays to pause, verify, keep proper records and think before reacting.
Sometimes the best way to avoid a trap is simply to stop for a moment and ask: What is really happening here?
This article is intended for general informational purposes only and does not constitute legal, financial or professional advice. Readers facing legal disputes or financial fraud should consult an appropriately qualified professional.
Editorial Disclosure & Disclaimer
Financial News Daily is an independent business news syndicate and a wholly owned subsidiary of Idea Accelerator. We publish financial, environmental and corporate commentary for digital platforms, media outlets and organisations. Nothing published here constitutes investment, legal or financial advice. All opinions are editorial commentary on matters of public and economic interest.









