View Single Post
Old 10-22-2008, 07:07 PM  
RogerV
Banned!
 
Join Date: Jul 2002
Posts: 12,591
Quote:
Originally Posted by RevengeBucks_Monica View Post
A true pyramid scheme, which is illegal, only benefits the person at the very top. They get a percentage of everything, the person below them gets a percentage of only what's below them, and so on.

In MLM, you are getting paid based on a grid of people below you, but only so many levels deep, and only so wide. Anyone at any level has the same opportunity as the guy at the "top" to earn money.

It's like an affiliate program. You are getting paid for everyone that signs up below you, and that's not a scam right? So why is it a scam if you get paid for everyone that your signups signup?

And I"m perfectly happy to talk about it right here in public. It does not have to be private.
from what you just said its totally illegal.

In the most legitimate MLM companies, commissions are earned only on sales of the company's products or services. No money may be earned from recruiting alone ("sign-up fees"), though money earned from the sales of members recruited is one attraction of MLM arrangements. If participants are paid primarily from money received from new recruits, or if they are required to buy more product than they are likely to sell, then the company may be a pyramid or Ponzi scheme, which is illegal in most countries.
RogerV is offline   Share thread on Digg Share thread on Twitter Share thread on Reddit Share thread on Facebook Reply With Quote