What Is The Difference Between Multi Level Marketing And a Pyramid Scheme – shonette

What Is The Difference Between Multi Level Marketing And a Pyramid Scheme

Believe it or not there is a difference between multi- level marketing and a pyramid scheme. Sometimes people confuse the two they think that multi- level marketing is a pyramid scheme.

They think that there both the same thing and for that reason their are some people who wouldn't join a network marketing company. I'll admit there's so many different scams out there disguised as multi-level marketing, which gives multi-level marketing a bad name.

People do often listen to there friends and family members who have had bad experiences with multi-level marketing or they just didn't really have the right mind set to run an MLM business so the quit.

People will go out of there way to talk about how mult-level marketing is a pyramid scheme but don't realize their regular 9-5 job is more so structured like a pyramid scheme.

MLM companies supply you with a lot of material such as brousheres,dvds, audios and books in order for you to be successful. With any business you need all of the right tools to successful.

More and more people are signing up to be in a multi-level marketing business. People are looking for ways to ad on an extra income order to pay their bills.

People do have to be careful making the decision to join and MLM company I know the though of being your own boss can be very attractive and also having time freedom is something that a lot of people want.

There is a way to distinguish between a multi-level marketing and pyramid schemes. Here some of the differences...

What is multi-level marketing?

Multi-level marketing is a system in place where people sell products and services to customers directly. Also with multi-level marketing you get the chance build your own sales team called your down-line and you do that by recruiting people.

When you have people working within your organization you not only make money off your own sales but you can make a percentage of the income that your team makes.

There are so many other things that come with be in a multi-level marketing business that you don't get with a pyramid scheme. When you do well in this business you can earn bonuses like trips,bonuses,cars and cash prizes depending on how many people you sign up or how much products you sell.

Multi-level marketing also provides a sense of community for their distributors, which can make a difference in their success. This environment motivates you to recruit more and to sell more.

You also get lots of training and the products are usually sold at home parties and also one on one.

Also The most important thing about multi-level marketing is that there's some type of product or service involve to go with it. Those products are usually heath and wellness products,cosmetics,personal care or education tools.

You do get something of value when your in this business and you learn a lot about leadership, self development and working as a team.

Pyramid Scheme

A pyramid scheme can easily be disguised as multi-level marketing business but its not one. Pyramid schemes are illegal,and lead you down a path you don't want to go.

The thing with pyramid scheme is that there's usually no product or any real substance involve. It's all about the money and you are expected to bring people into pyramid.

Pyramids rob you and the people you bring of money. A lot of the times money just goes to a handful of people and it's not equal or evenly distributed.

Watch out for them because there quiet a few businesses that look like legitimate businesses but there actually pyramid schemes ready to take your money.

How To Know If Your In a Pyramid Scheme?

Are you currently in something and you worry that it might be a pyramid scheme and your just being used for your money?

Shady business practices are very common across the board, in any industry where there is a lot of money to be made people are going to take advantage. It is up to you to really educate yourself.

Gather all of the information you can and check the people who your are invest with back grounds. Are they trust worthy people or do they have a history of doing bad business and being sneaky.

What ever it is that your signing up for does it have products and services with a market place, is there consumer demand?

Is the main focus just about recruiting people and trying to get money off of them? People get dragged to all kinds of things and before you know it your money is gone.

When your in a pyramid it's about fast money.

Multi-Level Marketing Research

You should really do your research whenever any opportunity is presented to you. Sometimes that opportunity may or may not be right for you in the long-term.

Also is there a real marketing plan with this business to provides value to peoples lives or not. There's a lot of people want to be able to run a successful business and scams steer them far away from accomplishing there dreams.

It's all about what matters to you,is it your credibility or is it just recruit just to make money off of people?


Have real expectations and set some realistic goals for yourself if an when you do decide to join a legitimate multi-level marketing business. People come into this business with all types of expectations and dreams.

When those dreams don't come threw and you none of your expectations have been met that can leave a source taste in a lot of peoples mouth at the end of the day.

Don't expect to join a network marketing business and become a millionaire over night. For a lot of people when they start out it can be very difficult to recruit prospects and customers for your business.

Some people don't make no money at all and because the come into this thinking it's a lottery ticket and it's not. Multi-level marketing takes hard work and dedication.

If your not ready to do the work you might want to think twice about joining a multi-level marketing business. If you are up for the challenge and you want to benefit from a multi-level marketing business you should do so.

Multi-level marketing can be rewarding once it's done right and you know what you are doing.



Finally, An Easy Way To Recruit Into Your Network Marketing Business – Rejection FREE – Without Wasting Your Time & Money Chasing Dead Beat Prospects & Leads...

Claim Your FREE Internet Recruiting Bootcamp...


Helping network marketers succeed in their business.

Click Here to Leave a Comment Below

Leave a Comment: