The UK reselling scene has a scammer problem.
It's not talked about enough, but it should be. Every week, resellers in our community report losing money — sometimes hundreds, sometimes thousands — to suppliers that looked completely legitimate right up until the moment they disappeared with the cash.
This isn't about being naive. These operations are professional. They have websites, social media accounts, even fake reviews. The warning signs are there if you know what to look for. Here's what to check before you send a single penny.
1. They're not on Companies House
Every legitimate UK business selling wholesale stock should be registered. Go to companieshouse.gov.uk and search their exact company name. If they're not there, walk away — full stop.
If they are registered, check:
- How long they've been trading. Under 12 months is a red flag for a wholesaler.
- Their registered address. Does it match what they claim? A residential address for a 'warehouse operation' is worth questioning.
- Their filing history. Are they up to date with accounts? Gaps or overdue filings suggest a business in trouble — or one that isn't real.
2. They only accept bank transfer
This is the single biggest warning sign. Bank transfers offer zero buyer protection. Once the money is gone, it's gone.
Legitimate wholesalers accept card payments, PayPal Goods & Services, or invoice with terms. If someone insists on bank transfer — especially for a first order — treat it as a scam until proven otherwise.
3. The prices are too good
If someone is advertising brand-new designer goods, electronics, or high-value items at 10–20% of retail — that's not a deal. That's either counterfeit stock or a scam. Real wholesale margins on quality goods are slimmer than people expect.
4. No physical address you can verify
PO boxes, virtual offices, and vague references to 'our warehouse' are all red flags. A real wholesale business has real premises. Ask for their full address and check it on Google Maps Street View.
5. Reviews that feel off
Scammers have learned to fake reviews. Look for: lots of short generic 5-star reviews, a burst posted in a short window, reviewers with no history, and nothing negative ever. Also search their name + 'scam', 'complaints', 'experiences' on Google.
6. They pressure you to act fast
'This pallet is going fast.' 'Offer expires tonight.' Urgency is a manipulation tactic. Legitimate suppliers don't need to pressure you. Walk away from anyone who won't give you time to do your due diligence.
7. The communication feels wrong
Poor spelling and grammar, responses that don't answer what you asked, communication only over WhatsApp with no paper trail — trust your gut. Scam operations are often running multiple fake businesses simultaneously and inconsistencies slip through.
Before your first order with any new supplier
- Check Companies House
- Google their name + 'scam' / 'reviews' / 'complaints'
- Call them on the phone
- Ask for a company invoice before paying
- Pay by card or PayPal Goods & Services — never bank transfer on a first order
- Start small. A £50–100 test order before committing to volume
At ResellerVault, every supplier in our directory has been checked against Companies House, reviewed for reputation, and verified as a real UK trading business.