Amway stresses that the main difference between a legitimate MLM business model and a pyramid scheme is that a legitimate MLM is focused on selling products, not recruiting more salespeople. In a legitimate MLM, it should be possible to make money by simply selling products directly to customers. With that main criterion in mind, here are some other ways to identify product-based pyramid schemes:
The above title is meant to be absurd. Most people, no matter how jaded, would not foist such a con on their own mothers. Even if people don't know the specifics of what is wrong with MLMs, intuition often warns us: "Don't tamper with that relationship." The first marks for recruitment are the gullible, or the "expendable" friends. But successive moral compromise, experience, and desperation... may yet lead to "good old Mom."

After seasonal harvests of specific cultivars, these high-CBD hemp crops are put through a specialized solvent-free extraction process to yield a hemp oil that is naturally high in cannabidiol. This pure hemp extract is then tested for safety, quality, and cannabinoid content before being exported to our processing facilities in the United States. Importing any cannabis or hemp product into the United States is a complicated and serious task, so we leave nothing to chance before our high-CBD hemp oil makes its journey across the Atlantic Ocean.
I have read that taking CBD oil may help in the reduction of the size of tumors (specifically brain tumors). I’ve been taking Hemp oil instead, as that’s what came up when I did a search for CBD oil on a popular website. (My first bottle was not flavored and tasted absolutely horrible. Next one was mint-flavored and tastes far better.) Wanted to know if Hemp oild would give me similar results as CBD.
Multi-level marketing (simplified Chinese: 传销; traditional Chinese: 傳銷; pinyin: chuán xiāo) was first introduced to China by American, Taiwanese, and Japanese companies following the Chinese economic reform of 1978. This rise in multi-level marketing's popularity coincided with economic uncertainty and a new shift towards individual consumerism. Multi-level marketing was banned on the mainland by the government in 1998, citing social, economic, and taxation issues.[62] Further regulation "Prohibition of Chuanxiao" (where MLM is a type of Chuanxiao was enacted in 2005, clause 3 of Chapter 2 of the regulation states having downlines is illegal.[11] O'Regan wrote 'With this regulation China makes clear that while Direct Sales is permitted in the mainland, Multi-Level Marketing is not'.[10]
But for most MLMs, the real money isn’t in selling wares: It’s in signing up consultants. Up until July 2017, LuLaRoe’s sellers who signed up new retailers got a 3-5% commission on the inventory their downline bought. But they only garnered that commission if they and everyone underneath them each bought 175 pieces a month, a rule that incentivized inventory buying.
When you look at our hypothetical MLM, it’s hard not to notice that it pretty much works like a pyramid scheme: you make money by recruiting people below you. Instead of the people below you giving you and the people above you money in order to be part of the MLM — as in a traditional pyramid scheme — you (and the people above you) get a commission off the product purchases the recruits below you are required to make from the MLM. Distributors make little to no money selling product to people outside the company.
Network marketing plans are started by a company selling some product — fruit juice, soap, vitamin pills, water filters; anything, it doesn't matter — through a network of independent distributors who are promised exponential commissions by recruiting multiple levels of other distributors beneath them. The company is guaranteed sales because the distributors are required to make minimum purchases, on which commissions trickle upward. There's little need to actually go out and try to sell the product to anyone; money is made by building your network of distributors beneath you, and their distributors beneath them. Soon the commissions trickling up from all those monthly purchases combine into a raging torrent of cash. And if you just buy a few more shovels, you're sure to strike gold.
She reiterated a common theme I heard throughout the interviews.  “If you treat it like a hobby it won’t pay you like a business.”  She also acknowledged that, in spite of her success, she doesn’t sit around eating bonbons every day waiting for residual checks to hit the mailbox.  “That’s a common misconception,” she said.  “I work hard at my business every day, although it doesn't always feel like work.  Similar to other entrepreneurs who profit from their passion, she says “It’s rewarding because I found a product that has made in difference in how I look and feel… and I love selling it and helping other people start a business.”
Multi-level marketing (MLM) of netwerkmarketing is een bedrijfsmodel waar een piramide van zelfstandige verkopers inkomsten verwerft door directe verkoop van producten en door werven van nieuwe verkopers. MLM maakt gebruik van persoonlijke relaties tussen verkoper en klant. MLM wordt vaak bekritiseerd onder andere door vergelijking met een piramidespel. Het is, mits aan voorwaarden wordt voldaan, legaal in Nederland, België en de Verenigde Staten.
The U.S. Federal Trade Commission (FTC) states: "Steer clear of multilevel marketing plans that pay commissions for recruiting new distributors. They're actually illegal pyramid schemes. Why is pyramiding dangerous? Because plans that pay commissions for recruiting new distributors inevitably collapse when no new distributors can be recruited. And when a plan collapses, most people—except perhaps those at the very top of the pyramid—end up empty-handed."[45]
It is first important to understand what CBD is. It is one out of at least 100 cannabinoids found naturally in the cannabis plant. For the past few years, there have been countless reports released about the medicinal power of this marijuana component. It really began gaining traction once people began to see how CBD could reduce seizure frequency in epileptic children without getting them stoned.
Multi-level market (MLM) or network marketing is an American institution. Companies like Amway, Tupperware, Herbalife, Avon, Mary Kay and The Pampered Chef support huge networks of distributors and recruits who sell every type of product from dietary supplements to kitchenware to beauty products. Salespeople are called independent business owners (IBO) and generally work from their homes.
I wanted to tell people here that CBD has been very effective for my anxiety, and helps with insomnia. For me, it was a cumulative effect, after a week of one dropper of oil, I can sleep very well at night. I feel like I am not polluting my body with commercial pharmaceuticals. I wish everyone here the best, and hope it works for you as well as it has for me.
In Europa ontstond in 1991 de FEDSA (Federation of European Direct Selling Associations). Zij behartigde de belangen van netwerkmarketingorganisaties. In 2011 veranderde de organisatie haar naam naar SELDIA (The European Direct Selling Association). In 2015 worden 28 landelijke DSA's (Direct Seller Associations) en 16 zakelijke ondernemingen zoals Amway vertegenwoordigd.[3]
So Herrera, who's experienced her own share of pain due to a shoulder injury followed by a bout of Lyme disease, went to a local herb shop and bought a vial of the oil, which, by some definitions, is legal in all states if it doesn't contain more than 0.3 percent THC – the psychoactive component of cannabis. She began putting seven to nine drops under her tongue first thing most mornings – and was startled by the results. "It's changed my pain level, my anxiety level and my stress level," says Herrera, who already practiced yoga, meditated regularly, ate a healthy diet and tried conventional medical treatments for pain and mobility. "It was shocking," she says, because she thought her patients' reports were due to the placebo effect. "Right now," she adds, "I feel pretty amazing."

This oil has changed my life! I suffered for 10 years of an unknown chronic pain in my upper neck and back that I'm almost sure was brought on by excessive amounts of stress. My muscles seemed to forget how to relax. I formed endless trigger points by the dozens. Exercise made it worse. Yoga helped manage pain, but the it always returned. Occasionally, I might get a weeks worth relief but the pain always returned. I have been taking the hemp oil now for 3 weeks. I started with a teaspoon twice each day and gradually built up to a tablespoon twice each day. After day 4, my pain was gone! I thought I was having one of my occasional breaks, but to this day I still feel amazing. I did try to lower my dose back to a teaspoon twice per day, but the pain returned. As soon as I went back to the tablespoon twice per day dosage, the pain has subsided again. I take a 3rd teaspoon on days of more extreme stress. I have spent thousands of dollars with many different types of doctors and no one could really help me. This Hemp Oil has returned so much gratitude and joy back to my every day life. Do not think twice! If you have any type of chronic muscle pain (among many other pain issues), buy it NOW! Take this advice, from someone who understands living life in pain.

Hemp oil is an abundant source of alpha-linolenic acid. Alpha-linolenic acid is an omega-3 fatty acid that is essential to proper organ function. It is similar to the omega-3 fatty acids found in fish oil, and can help prevent heart disease, arthritis and depression, according to the University of Maryland Medical Center. It can also help reduce low density lipoprotein cholesterol, the "bad" cholesterol that clogs arteries.
MLMs only sell through a network of consultants, not in online stores or in brick-and-mortar shops. Sellers buy inventory from a parent company and sell it to their friends and family, keeping the profit for themselves like a franchise would. But the real potential to earn money generally isn’t in peddling wares: It’s in building up a team of sellers below you and getting a cut of their commissions. Once a seller has recruited new consultants, she has to push them to buy more inventory each month or to hit consumer-sales targets in order to earn her bonus check and keep the money flowing upstream. This means the further down the recruitment ladder you are, the less opportunity there is to make real money.
Robert Fitzpatrick is the foremost expert in the analysis of MLM’s, both from an economic perspective and from a moral perspective and this slim work is a perfect distillation of his years of research in the industry. I spent a quarter of a century working at the corporate headquarters of a nearly 50 year old MLM and I can attest that Mr. Fitzpatrick’s take on the business model is spot on. MLM, direct sales, whatever you want to call it, it’s all a recruitment-based pyramid scheme where less than 1% even make a profit, let alone a living. And all the arguments that most people only sign up to do it part-time or to get discounts on products is in direct contradiction to how MLM’s market to prospective recruits. They promote a life-changing opportunity, a chance to win a car, buy a new dream house on an island somewhere, to build an organization of salespeople below you so that you can sit back and live off “passive income” while the people below you do all the work. I think that on some level, we all feel that there is something inherently wrong with MLM, this book puts words to those feelings. For anyone interested in being in a MLM, or who is already in one, ask them to send you an income disclosure showing what the typical salesperson earns in that business. If they stonewall your attempts to get the information, that is a dead giveaway and you need to get out. On the other hand, if they give you the info but ask you, “but you don’t want to just be average, do you? You want to do better than that, right?” be aware of this because you are dealing with someone who wants you to deny simple math. What they are asking you to do is to ignore the day-to-day reality that 99% of the industry fails and the only reason to ignore it is because they want to make sure that you give them your money in order to pad their commission check. Before you take part in any direct sales opportunity, look into Mr. Fitzpatrick work, this book and on his website. False Profits should be required reading for anyone interested in signing up in a MLM because it will arm you with the knowledge you need to be able to make an informed decision.
Dry mouth: As is the case with many other hemp- and marijuana-based products, CBD oil often leads to a condition known as dry mouth (or cottonmouth). This is likely due to cannabinoids altering receptors in the lower jaw that trigger salivation. In most cases, mild discomfort and stronger-than-average thirst are the only issues associated with dry mouth.

The gist of the matter is that the courts have found that as long as an MLM can show that its primary purpose is to sell product (even to people within the MLM) and not recruitment of distributors, the company is considered a legitimate business and not a pyramid scheme. But this line is really fuzzy, and little to no effort is made by law enforcement agencies to make companies prove that they emphasize retail over recruitment.


No. Many people are under the impression that the only way to acquire hemp extracts and CBD for themselves or a loved one is to move to Colorado or another cannabis-friendly state. Many major news outlets are misinformed and are unfortunately spreading the idea that you can only get CBD oil in the states where medical marijuana has been legalized. This is simply not the case though. Because our extracts come from hemp instead of marijuana, we can and do ship nationwide, and no medical marijuana card is needed. There are some exceptions, like with South Dakota, where we can’t sell our products due to state legislation.
I have read that taking CBD oil may help in the reduction of the size of tumors (specifically brain tumors). I’ve been taking Hemp oil instead, as that’s what came up when I did a search for CBD oil on a popular website. (My first bottle was not flavored and tasted absolutely horrible. Next one was mint-flavored and tastes far better.) Wanted to know if Hemp oild would give me similar results as CBD.
Network Marketing is a business model that relies on a distribution network to build the business. Network Marketing business structures are Multilevel Marketing in nature, as the payouts occur on many different levels. You might hear the terms Person-To-Person Marketing or One-on-One marketing, which are just other ways of describing Network Marketing. Basically, network marketing involves the direct selling of merchandise or services. Some popular Network Marketing businesses you most likely have heard of include; Avon, Mary Kay Cosmetics, Amway and Herbalife Ltd.
Research has shown that our brains release more of the pleasure chemical dopamine when we unexpectedly get a reward at a random time. Gambling addicts will run up credit cards and bankrupt themselves chasing that high, continually putting coins into the slot even though it’s become clear that, overall, they are losing. Likewise, LuLaRoe customers will stay glued to Facebook groups and consultants will keep buying inventory they can’t afford in the hope they will stumble across the rarest, most elusive styles.
Een van de grotere MLM-organisaties geeft op haar website een indruk van de inkomenspiramide: 82,7% van de leden in Nederland had in 2013 vrijwel geen inkomen uit verkoop behalve goedkopere producten voor eigen gebruik en een kleine winst uit verkoop. De overige leden die werk maakten van een actief klantbestand en opleiden van nieuwe eigen verkopers haalde het grootste deel een bonus van maximaal 100 euro per maand. Enkele tientallen zouden ervan kunnen leven. Van de genoemde bonussen moeten overigens ook nog bedrijfskosten, sociale lasten en dergelijke worden betaald.[18] Winst uit verkoop naast de bonus was voor al deze leden samen in 2012 gemiddeld 120 euro. Voor de niet actieve leden valt de winst dus veel lager uit, voor actieve leden hoger.[17]

It’s important to get a complete picture of how the plan works: not just how much money distributors make, but also how much time and money they spend on the plan, how long it takes before they're earning money, and how big a downline is needed to make money. One sign of a pyramid scheme is if distributors sell more product to other distributors than to the public — or if they make more money from recruiting than they do from selling.

Our Hemp Classic CBD Oil extract contains 250+ mg cannabinoids per fluid ounce extracted from industrial hemp. It contains an abundance of naturally-occurring, beneficial components, including cannabinoids, terpenes, amino acids, trace minerals (such as iron, zinc, calcium, magnesium, potassium), omega fatty acids (including omega 3 & 6), carbohydrates, flavonoids, beta-carotene, chlorophyll, glycosides, nitrogenous compounds, alkanes, and vitamins (including B1, B2, B6, D). The cannabis oil is emulsified in organic hemp seed oil.
Regardless of all the vehement denials, MLMs are all to some extent pyramid schemes, and pyramid schemes are illegal. Sure, some are "getting away with it," but so did the Mafia for decades. It is hard to stop a juggernaut, especially one that has taken such pains to look legitimate and misunderstood, that is highly organized, and that has so much money from its victims to propagandize, lobby, and defend itself. And so the exploitation goes on.
No. Many people are under the impression that the only way to acquire hemp extracts and CBD for themselves or a loved one is to move to Colorado or another cannabis-friendly state. Many major news outlets are misinformed and are unfortunately spreading the idea that you can only get CBD oil in the states where medical marijuana has been legalized. This is simply not the case though. Because our extracts come from hemp instead of marijuana, we can and do ship nationwide, and no medical marijuana card is needed. There are some exceptions, like with South Dakota, where we can’t sell our products due to state legislation.

Amway stresses that the main difference between a legitimate MLM business model and a pyramid scheme is that a legitimate MLM is focused on selling products, not recruiting more salespeople. In a legitimate MLM, it should be possible to make money by simply selling products directly to customers. With that main criterion in mind, here are some other ways to identify product-based pyramid schemes:

Royal Queen Seeds CBD Oil offers a convenient, discreet and quick way to dose yourself with a bit of CBD, no matter your situation or where you are. All of our CBD oil is created using organically grown hemp sourced from right here in Europe, extracted using the latest CO² techniques. It means our oil is 100% natural, offering pure and strong CBD. All you need to do as drop you dose under your tongue or in your food, and away you go!


Hemp is a controversial crop in some regions of the world, due to concerns about psychoactive plants in the Cannabis genus. In some regions, cultivation of hemp is banned, although products made from hemp such as oil, hemp garments, and hemp paper may be legal. In other areas, hemp is permitted, but only industrial hemp, and some nations freely permit cultivation of all plants in this genus, assuming that regulation is a more efficient technique for control than outright bans. Wild hemp is also not uncommon in some regions of the world, making it difficult to enforce bans on hemp crops.

Shortly after, Stern began to pull in anywhere from $18,000 to $24,000 a month in sales. She was working 80-hour weeks with seven women selling underneath her. “The moment I woke up, I was taking pictures and answering questions,” she says. “My husband had to do the food shopping. My daughter has dance one day a week. While she was dancing, all the other moms would talk, but my face was always in my phone. I was uploading albums, or I was part of a multi-consultant sale.”
Medterra 500 mg CBD Tincture Isolate (tasteless) micro dosing is working for me! I was drawn to this company because its grown in Kentucky, close to home. After this 60 yr old lady was diagnosed with Fibromyalgia some 20+ yrs ago Im having less muscle pain, increased energy, breathing better, & more restful sleep. Wish I had known about this product years ago! Getting ready to place my 2nd order.
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