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Comment: On MLM's and Pyramids
On MLM's and Pyramids
I did Amway for a while, when they were testing out putting it all online and called it Quixtar. They have some great products which I still purchase even though I haven't worked it as a business in many years. I don't regret that time in the least though. When I looked into the pyramid question before joining, I read about the past legal cases against Amway and found that the courts distinguished between legal MLM's and pyramids in three primary ways:
1) Do they sell a product/service which actually EXISTS right now?
2) Is the only/primary source of income in recruiting, or can you make money selling just the products and services offered.
3) Are there mandatory purchases of product each week/month/whatever? If so, do they buy back?
Anyhow, I don't know what might have changed by now since my research is quite old, but I'm guessing the concepts are still the exact same. No single one of these was mentioned as a dead ringer, even in the court case, but if two or all three are answered the wrong way, I wouldn't do it.
Cheers!