If you get an MLMer to admit that they’re having to pay a lot of money to be a part of an MLM company, they’ll all often say something like, “Well, this is just like buying a McDonalds’s franchise. When you buy a McDonald’s franchise you have to pay the company a large franchise fee to start and then buy the product (fries, burger patties, Flurry mix) from McDonald’s.”
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Fast forward to 2017. LuLaRoe is the biggest MLM for women. “More than 80,000 women have paid around $5,000 for several boxes of low-cost clothing and worked as much as 80-hour weeks to outfit hundreds of thousands of suburban women in multicolored polyester. But according to a report that studied the business models of 350 MLMs, published on the Federal Trade Commission’s website, 99% of people who join multilevel-marketing companies lose money. Depending on how you look at it, it’s either a brilliant business model or a predatory practice — or a little bit of both.” (FTC)
Consultants make up the vast majority of MLM jobs. However, The Direct Selling Association (DSA) reports that the average annual income for consultants is about $2,400; in addition, roughly 90 percent of all consultants earn less than $5,000 annually. Not exactly the stuff through which marketing careers are made—although it could prove to be valuable entry-level experience.
I appreciate your efforts in writing this article & don’t mean to disparage you, but there’s so much information that goes into this discussion & people need to be prepared ahead of time. One very important note is to make sure that nothing in the CBD will be contraindicated with many prescription medications, especially for diabetes, hypertension, blood thinners & anti-platelets for example. If a company’s website says their formula is a “proprietary blend”, call before you buy, please!
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Extensive use of deceit: denying that they are an MLM when asked, use of front groups, making dubious or false claims about their product, claims of great potential wealth and success from joining, claims of utter failure if you don't join or if you leave, going to great lengths to hide or de-emphasize their compensation structure (if they reveal it at all)