There are many top MLM companies that offer additional income to people. MLM stands for multi-level marketing, which operates in a system where new recruits become downlines of existing members. New recruits pay a membership fee and sell product kits where they earn commissions. A percentage of the recruits’ sales also go to the person who recruited them. This is how MLM companies like Avon, Amway, Tupperware and Mary Kay work. Sadly, this scheme is also used by pyramid scam companies that pose as legit MLM companies. To avoid being victimized by these scammers, people should watch-out for the following signs.
A legit MLM company lasts in its line of business. Most top MLM companies have been around for a minimum of 10 years and still consistently have loyal customers. When planning to join an MLM company, try to research the background, especially how long it has been around the market. Legit ones have online records and probably have been reviewed by other people. Don’t invest your money to a company with questionable background or has a negative reputation online.
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A second red light that a company is a scam is its emphasis on growing the number of its members through aggressive recruitment techniques. Such a company does encourage members to sell products to earn commission. Inviting more people to join the company is the main task given to members. Unlike top MLM companies that profit from sales, pyramid scams earn from the membership fees of the new recruits. The people on the lowest tier of this business scheme are the ones who lose their invested money. Because of this, members avoid this position by convincing others to be their downlines.
A pyramid scam company also lacks the whole package of a legit MLM company. It usually maintains a single office to give an appearance of being a real MLM company. Trying to visit the company office before joining is a smart thing to do. Top MLM companies have offices that also serve as their stockroom for products. An MLM company with a bare office that does not display products for their members to sell is a probable sign that it is bogus.
Lastly, inquire about the company’s policies regarding promotion of members and product return policies. Top MLM companies provide their members the opportunity for promotion if they reach certain sales quota. These companies continue to grow because their members sell products that actually work. Pyramid scams only orient their members to keep on adding downlines to earn big. They also lack product return policies because they do not care about selling products. Customers usually discover that their products do not work but do not get a refund because the scammers do not have such policies. In time, these companies run out of people to sell to and members to recruit. By then, the higher offices of such companies have already amassed a lot of money. The ones who lose are the downlines who were not able to recruit new members.
Choosing the right company to invest your hard-earned money is a difficult decision to make. However, you can never go wrong if you’ll just choose among the top MLM companies. They are stable companies which have proven for years that they’re legit. They have also become top MLM companies because their products have loyal customers, ensuring a consistent cycle sales in the future.
It is easy to be convinced to join a company if the promised returns are desirable. However, bear in mind that anything that’s too-good-to-be-true usually isn’t. Money is earned through giving effort, and that’s what top MLM companies advocate. The amount of sales determines the earnings of a person, which shows that profit is relative to a seller’s actions. MLM companies build-up sellers and do not psyche their members to be recruiters. People should maintain sound judgment in determining a pyramid scam from the real MLM thing.