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Thursday, 7 August 2014

PYRAMIDS – What to avoid

Multi-level companies follow a SIMILAR concept to a pyramid scheme and that's why many people get confused. Pyramids are programmes similar to chain letters, based on a promise, that other people will put their money in. It is strictly a money game.

6 ways to distinguish a pyramid scheme:


1.       A pyramid scheme is a non-sustainable business that involves an exchange of money, and usually has NO PRODUCT.

2.       Pyramid schemes are illegal.

3.       Vague descriptions about the company.

4.       At any level of MLM you can make money without signing new members.

5.       Members of any level in a MLM can earn more than the people who signed them up. 

6.       Be prepared to work for income. (Your income depends on your ability to sell products or services. Any company that promises you money for doing nothing is not being honest with you.)

NOTE: 
Pyramids are illegal and are based on taking advantage of people. For a person to actually make money in a pyramid scheme, someone else has to lose money. But in network marketing, each person can multiply his/her efforts and skills by helping others become successful. Network marketing has proved itself part of the new economy and preferred way to do business. 

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