MLM's have been always been a topic of controversy. Many people may know them by another name, pyramid scheme. However, they are different. One key difference between a legal MLM and an illegal pyramid scheme is that an MLM will sell an actual product and earn income outside of solely recruiting people. Newcomers almost always join by paying a fee which keeps the machine running. The FTC has this to say as a warning about pyramid schemes, "The promoters of a pyramid scheme may try to recruit you with pitches about what you’ll earn. They may say you can change your life – quit your job and even get rich – by selling the company’s products. That’s a lie. Your income would be based mostly on how many people you recruit, not how much product you sell."
MLM's are different. Your investment could pay off if you work hard in a legit and legal MLM. There are some questions you want to ask yourself before signing up:
1) Do you have a solid plan and product?
2) What income goals do you have?
3) Can you afford the risk if it doesn't work out?
Do your research and see if an MLM is right for you. This list shows the top 25 MLM's by revenue in the world. Amway tops the list with 8.8 billion in revenue since it's conception in 1959. The 25th spot with $926.6 million in revenue is taken by World Ventures, a travel incentive MLM which includes a $99 dollar startup fee and a 10.99 monthly fee. Depending on your income this could be a great deal or a hefty price to pay.
Infographic by: www.titlemax.com
