Saturday, March 19, 2011

Big MLM Tip of the Day: The Easy Way to Spot a Scam


For starters, there are no illegal network marketing companies. There are, however, many illegal programs out there trying to act like legitimate network marketing companies. 

So, how do you quickly tell the difference? There are two quick tests you can do to find out. 

#1. Ask yourself, "Is there a tangible product or service being offered?" Is the product something you can actually hold in your hand? If it's a service, is it actually something you can use? Is it a recurring billing or a one time fee? If it passes this test, go to #2. If not, head for the nearest exit before the men in the black coats come to shut it down. 

#2. Ask yourself, "When the recruiting stops, what happens to the income?" If it is some sort of front end loaded program, say purchasing a big ticket item one time, there is likely a problem. With this type of business, the only way to keep income rolling in is from recruiting new members. This is also illegal, and sooner or later, it WILL get shut down.Worse yet, the authorities are now starting to go after the top income earners as well as the parent company. 


I hope this helps some of you. If you would like more info o this or any other topic, feel free to email me at the address on the About Me page.  

Tomorrow will be the beginning of a new series of posts on "Overcoming Objections". You won't want to miss the next few days.
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