MLM Directory

Why do so many people think mlm/network marketing/home businesses are not legit or pyramid schemes? ?

I just dont get it. It takes years to make a profit with anybusiness, and it takes large capital and alot of effort. But, with many mlm/home businesses, it only takes $97 to $500 to start and most of the business and website is setup for you. Why do so many uneducated idiots think they are pyramid scams? Madoff investments was a pyramid scam///mlms aren't. Why do idiots think they are??

Public Comments

1. It is because MLMers put all their focus on recruiting people instead of actually selling any product. You can look at every compensation plan in MLM and they are far more weighted to recruiting people than they are to sales, with few exceptions. This has changed the reputation of the industry and this is why the perception is so negative. If people in MLM sold enough product to make a good living and THEN recruited others to join, it would be a different story. But MLMers recruit people to make their money instead of actually marketing...which is not far from a ponzi scheme. If you exclude the products/services bought by the reps themselves, most don't even sell enough to earn enough commission to out earn someone earning minimum wage, and thus any real money is made from recruiting...which is exactly how money is made in a ponzi scheme. The fact that it takes years to make a profit in any business has nothing to do with it. Best of luck.