Multi-level marketing has always been a profitable online business opportunity – perfect for beginners that don’t have the money or resources to develop products of their own. Unfortunately, this “newbie friendly” platform has created a new breed of predatory scam artists notorious for creating systems that mimic the legendary MLM model. Knowing how to tell the difference can save your money and reputation as a marketer.
What Does a Scam MLM Look Like?
Since multi-level marketing is geared towards those who are serious in their desire to earn money online, the biggest scams are often offers that sound just too good to be true. Any time you see an opportunity for “instant riches” or “easy money” you’re most likely looking at a rip-off. MLM takes hard work and dedication. There are no exceptions.
A legitimate multi-level marketing online business is built around a real, valuable product – if you wouldn’t buy it for yourself, then you probably shouldn’t be marketing it to others. Be especially careful with MLM opportunities that don’t get specific about the product – a “secret moneymaking technique” isn’t technically a product regardless of what con artists want you to believe.
The most common scams are those that are “self contained” – for example, eBooks that tell people how to make money by selling the same eBook to other opportunity seekers. Similar models work, but only when the eBook itself is actually worth reading and buying. Remember that real MLMs are focused on selling a product, with recruiting being a secondary concern. If you can make more money recruiting a few members than you can by selling a whole month’s worth of product, then you’re probably involved in a pyramid-like scheme.
The perfect MLM online business opportunity is out there waiting for you – you just have to seek it out with a careful eye!