ArticlesBase.com - Free Articles Directory
Free Online Articles Directory
08.10.2008 Sign In Register Hello Guest
Email:
Password:
Remember Me 
forgot your password?


How to Avoid Getting Involved in an MLM Scam

Author: Leaftech Author Ranking Gold | Posted: 16-04-2008 | Comments: 0 | Views: 14 | Rating:  (51) Article Popularity - Blue (?) Got a Question? Ask.
Sign Up Now!

Today, there is a lot of buzz about the opportunities for big money available to individuals willing to become involved with a multi level marketing business. The truth of the matter is that the opportunity to make money is definitely out there, and that because of this multi-level marketing business models are accepted and legal throughout Canada and the United States. Unfortunately, the appeal of MLM businesses means that they and the people who believe in them are ripe for the pickings when it comes to con artists who pretend to have legitimate MLM businesses. In this article, we will take a look at some ways that you can avoid getting caught in one of these scams.

First of all, know what an MLM business entails

On the surface, many people will think that MLM businesses are no different from pyramid or ponzi schemes, which are actually illegal. In fact MLM businesses are very different in structure, and if they do not follow a specific method of reimbursement for those involved in the business, then it is likely that the proposed MLM model is a scam.

The main difference between MLM and illegitimate businesses is that in MLM businesses, individuals are paid only on commission of the company’s products or services. Now, this may be a part of the sales made by someone a MLM business owner recruited, but the owner does not get paid for recruitment alone. Pay through recruiting is a good sign of an MLM scam.

Another sign of an MLM scam is a requirement to purchase more of the product of the business than an individual is likely to sell. Again, these huge inventories are a good indication that the opportunity you are looking at is not legitimate.

In addition, it is entirely possible for individuals to engage in their own research when it comes to companies who state you can have success with their MLM model. A good place to start is with the Better Business Bureau. All legitimate MLM companies are registered with the BBB, and you can take a look at their records to see what complaints have been registered against them, if any. In addition, you can check out the company’s reputation online through sites like mlmwatchdog.com, or do your own search on the company name at Google.

And of course, there are always the opinions of your friends and family. Before you sign up, present the business to those you trust to see if they think it sounds like a legitimate opportunity to make money. Remember, most MLM propositions are not scams, but it never hurts to be cautious!

Rate this Article: Current: 0 / 5 stars - 0 vote(s).

Article Tags: Mlm Business Leads

Article Source: http://www.articlesbase.com/marketing-articles/how-to-avoid-getting-involved-in-an-mlm-scam-388564.html

Print this Article Print article   Email to a Friend Send to friend   Publish this Article on your Website Publish this Article   Send Author Feedback Author feedback  
About the Author:

A great way for an MLM business to connect with new prospects is by inviting local network marketing leads to a business presentation.

Submitting articles has become one of the most popular means of generating quality backlinks and targeted traffic to your website. Join us today - It's Free!

Article Comments

Comment on this article Comment on this article
Your Name
Your Email:
Comment Body
Enter Validation Code: Captcha


Related Articles

How To Get Good Leads
By: Heidi Brandt | 10/11/2006 | Business
Business Articles, learn about busines - An organization created with the objective of making a profit from the sale of goods or services.

How to Generate Leads for your MLM Business
By: Leaftech | 25/07/2007 | MLM

MLM - What it Is, and Can it Work for your Business?
By: Leaftech | 05/01/2008 | Marketing

The Power of Email Marketing for Generating Leads
By: Leaftech | 10/01/2008 | Marketing

Get the Best Quality Network Marketing Business Leads
By: Helen Taylor | 06/04/2008 | MLM

Do "gender MLM Leads" Really Make a Difference When Marketing Your Product?
By: Leaftech | 28/04/2008 | Marketing

Got a Question? Ask.

Ask the community a question about this article:

Q&A Powered by:
Powered by Yedda 

Latest Marketing Articles

Making Your Site User Friendly
By: Anil Vij | 07/10/2008
Today content is king, and in order to achieve high search engine rankings on the major search engines, your site must have relevant and useful content that is designed for human readers.

Joint Venture Marketing: First Steps to Creating Your Plan
By: Christian Fea | 07/10/2008
When deciding to embark on a joint venture marketing partnership, the process is similar to developing an initial business idea. Your new partnership can range from being a simple informal agreement to a rigid contract that is bound by a legal document, agreed upon and signed by all participating parties.

Passive Versus Active Digital Signage
By: Ryan J Bell | 06/10/2008
Digital signage has come a long way over the past few years. The technology that drives the network has grown by huge leaps (and continues to do so). When new customers express an interest in developing a signage network, they often think of the flashiest uses possible. They want to...

How Digital Signage Affects Customer Behavior
By: Ryan J Bell | 06/10/2008
A digital signage network can be used to greater effect that merely driving sales. While promoting brands and advertising products to a target audience is a powerful strategy for your network, it is only one of many applications. Your network can be used to change the way your customers behave....

Increase Traffic and Make More Sales by Getting People to Like You in 6 Ways
By: Erik Jacobson | 06/10/2008
Would you like to make more sales? Would you like to have people flocking to you and your business? Like a heard of pigs to the feeding trough? Would you like to sell like a professional? The Key to making money online or in any business is to get...

Network Marketing Advertising - Quick Crash Course In What Must Be Done To Bring In Massive Traffic
By: Jesus Leon | 06/10/2008
Network marketing advertising is very much essential when it comes to getting quality leads available for your multi-level marketing campaign, or otherwise termed as MLM campaign. Just simply selling the products would not do. You have to be active in the selling process to extend your market. Enlighten your potential...

Learn The Importance Of A Lead Capture Page - The Money Begins With The Lead Capture Page
By: Jesus Leon | 06/10/2008
There are a lot of websites circulating the net today. Some are interesting and some are not. Those sites that have very interesting and catchy front pages are getting more readers. This is because they have a lead capture page. Many people online have been talking about lead capture pages, and...

Have Oprah Advertise Your Business For Free
By: Erik Jacobson | 06/10/2008
Oprah Winfrey has universal marketing power. Her power over the products she recommends and endorses is priceless. If there is a way that you could use the power of Oprah's show and tremendous mass market exposure, to build a business from home would you be interested? Oprah is known by...

More from Leaftech

Malaysian Rubber Wood, and Why is it a Good Choice for Bathrooms
By: Leaftech | 01/07/2008 | Home Brewing
Bathrooms come 2nd after kitchens in what we look at when buying a new home, so make sure you renovate your's with the best materials.

Benefits of Leather Versus Cloth Laptop Cases
By: Leaftech | 30/06/2008 | Computer Games
When it comes to protecting your laptop do you kmow what type of laptop bag will suit you best.

Why it is Important to Check if a Contractor Has Liability Insurance
By: Leaftech | 30/06/2008 | Home Brewing
When it comes to getting your home improvements completed, make sure your contractor has liability insurance

Hang Up and Drive!
By: Leaftech | 27/06/2008 | Cars
stop risking your neck and everyone elses when you drive today, hang up those devices and go hands free.

2009 Corvette Zr1 to Incorporate Carbon Fiber Components
By: Leaftech | 25/06/2008 | Cars
The new 2009 Corvette will incorporate the latest in carbon fiber technology.

Burglary 101 - How to Protect Your Home and Belongings
By: Leaftech | 25/06/2008 | Home Brewing
By taking a fw simple precautions you can better protect your home and belongings

Volvo Embraces Holistic Approach to Environmentally Sound Cars
By: Leaftech | 12/06/2008 | Cars
Volvo is now one of the most environmentlaly friendly vehicles when it comes to their build.

What is Interpersonal Psychotherapy (ipt) and Can it Help With My Depression?
By: Leaftech | 27/05/2008 | Men's Health
An expalnation on what Interpersonal Psychotherapy (IPT) is and how it may be of help to you.

Article Categories






Give Feedback

Sign up for our email newsletter

Receive updates, enter your email below