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How to use scams to your advantage
Hey there,
Yes, you read it right, today I’ll teach you how to use scams in your favor.
I've been in business long enough to know that, at some point, most founders are likely to encounter a scam. Most times, a big one.
And when it happens, it shakes you to your core.
The first thing that comes to mind is, “How did I not see this coming? I’ve been running companies for years. I trusted this person. What does this say about my judgment?”
And I get it. When someone you trust—be it a co-founder, a key employee, or a longtime business partner—steals from you, it’s not just about the money…
It’s a hit to your confidence. It makes you question everything.
But here’s the twist: this is one of the most valuable lessons you’ll ever get.
The Hardest Lessons Create the Sharpest Instincts
I work with founders running multi-million-dollar companies, and I see the same pattern over and over. The ones who navigate challenges with the most precision aren’t the ones who are just smart. They’re the ones with the most battle scars.
One of my closest friends—a decorated Navy SEAL—once told me that medals are usually awarded when things go wrong.
When a mission doesn’t go as planned, people die, and a soldier has to do something heroic to salvage the situation. From the outside, those medals look like achievements. But inside the SEAL community, they mean, “You’ve been through hell.”
In business, it is a bit similar. You don’t develop strong instincts just by reading books or analyzing reports. You develop them by going through hell and coming out the other side.
They don’t give medals in entrepreneurship for surviving.
Bad experience just becomes “experience”, and every scar prepares you to face your next battle.
When you get scammed, your sensors upgrade.
You start detecting red flags you never noticed before.
You read between the lines.
You catch subtle shifts in behavior that scream, “Something isn’t right.”
This is how experience works. Not by avoiding failure, but by learning from it.
How to Turn Being Scammed Into an Asset
If you’ve been burned in business, it doesn’t mean that it won’t happen to you again. It just means that you’ll have more resources to identify similar situations. Here are some learnings from my own experience.
1. Understand that this does not happen ONLY to you!
Some of the smartest, most experienced founders I work with—people running eight- and nine-figure companies—have been scammed, stolen from, or betrayed.
You are not alone, and it’s not a reflection of your intelligence. The bigger the company, the more complex the problems—and the more sophisticated the scams.
2. Upgrade your filters
Think of it like a call-center scam.
The first time a fake caller claims to have kidnapped a loved one, panic might take over. But once you’ve seen that trick, you know better. The next scammer will have to work much harder to fool you.
In business, the same applies. Experience sharpens your instincts, but even the best filters aren’t foolproof. If something feels off, trust your gut—then verify. A quick check can confirm that everything is fine or help you catch a problem before it escalates. Either way, you stay in control.
3. Reframe the experience
After a betrayal, it’s natural to feel like you can’t trust anyone anymore. That feeling is valid—but it doesn’t have to be the final takeaway.
With time, you’ll see that what you’ve really gained is a sharper radar. Every difficult experience gives you more tools to filter relationships and spot misalignment before it turns into a crisis.
Would you rather learn this lesson over $10,000 now or $1,000,000 later? The earlier you refine your instincts, the better.
4. Find help from an outsider
When you’re too close to a situation, it’s hard to see clearly. That’s why one of the smartest moves you can make after being burned is to bring in a trusted outsider.
Someone with no emotional ties to your business can spot patterns, ask the right questions, and give you the kind of insights or coaching that are nearly impossible to uncover from the inside.
Fresh eyes bring fresh perspective—and that can be the key to real change.
5. Apply the lesson before it’s needed
The worst thing you can do is learn the lesson too late. Start implementing stronger financial oversight, better hiring filters, and clearer accountability structures now, before the stakes get higher.
Bad Experiences mean Experience
At the end of the day, experience isn’t just about intelligence, it’s about surviving enough battles to upgrade your sensors and see what’s coming next. Every great founder I know has their share of scars.
But those scars? They’re what makes them unshakable.
If you’re ready to build a company that scales without repeating costly mistakes, let's talk.
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