Be your own boss, work from anywhere in the world, choose your own hours and watch the money come rolling in. I mean, why wouldn't you?
On the surface, it might seem like a dream but you probably aren't being sold the full and true picture. Call them multi-level marketing (MLM), network marketing, or direct marketing businesses, at their core they involve selling products to family and friends, and recruiting other people to do the same.
The U.S. Federal Trade Commission (FTC) warns that some MLMs are actually illegal pyramid schemes.
#5 Oh My Goodness. Someone Is Actually Recruiting Mlms For A Party With Their Friends. Yikes!
The FTC's site explains that MLM companies sell their products or services through person-to-person sales. So if or when you join one, you'll be selling something directly to other people, either from your home, at customer’s home, or online. Hence the "work from anywhere."
Your new title, apart from Boss Babe, would typically be independent “distributor,” “participant,” or “contractor.” According the the FTC, most MLMs say you can make money two ways: By selling the MLM’s products yourself to “retail” customers who are not involved in the MLM; or by recruiting new distributors and earning commissions based on what they buy and their sales to retail customers.
#8 They're Already Self Diagnosing, And Medicating, So Its Only ‘Natural’ That They've Moved Onto Their “Littles.” “Treating The Body By God’s Design.”
"If the MLM is not a pyramid scheme, it will pay you based on your sales to retail customers, without having to recruit new distributors," notes the FTC.
However, the commission warns that it's often not as lucrative as many people have been led to believe. "Most people who join legitimate MLMs make little or no money. Some of them lose money," it warns. "In some cases, people believe they’ve joined a legitimate MLM, but it turns out to be an illegal pyramid scheme that steals everything they invest and leaves them deeply in debt."
#10 Your End Of The Month Reminder That When You Fail At Mlm, It's All Your Fault
#11 Always Saying The Quiet Parts Out Loud…. Also She’s The One Who Was Recorded Telling Down Lines To Change One Number In The Social Security Number To Create New Accounts And To Give Downlines Money To Buy Product To Keep Rank…
The FTC bluntly calls pyramid schemes flat-out scams, and warns that they can look remarkably like legitimate MLM business opportunities, selling actual products. Perhaps ones you've heard of, or something more strange, like "magic water."
However, that catch is that if you become a boss babe distributor for a pyramid scheme, it can cost you and your recruits (these are often your family and friends) a lot of time and money that you will never get back.
We've seen the posts and pitches online. "Change your life. Quit your job. Get rich quick." It's a blatant lie, and that's because your income is based on how many people you recruit, not how much product you sell.
"Pyramid schemes are set up to encourage everyone to keep recruiting people to keep a constant stream of new distributors — and their money — flowing into the business," say the FTC's experts.
It's also not unusual for you to have to spend money to make money. In other words, some pyramid schemes will encourage or require you to buy stock at regular intervals, even if you already have inventory than you can use or sell.
But wait, there's more...
"You may even have to buy products before you’re eligible to be paid or get certain bonuses. You also may have to pay repeated fees for other items, like training sessions or expensive marketing materials," warns the FTC. "In addition, the company may say you can earn lavish rewards, like prizes, bonuses, exotic vacations, and luxury cars."
If you read the fine print, you'll probably first have to meet certain product purchase, recruitment, training, or other goals to qualify for the rewards. And they don't make it easy to achieve.
