The question that needs to be asked here to begin with is why does the company that makes the product or provides the service desire to go the MLM route to begin with? Why have a downline? Why is an MLM structure even being considered? There must be a reason.

I believe there are companies that would not exist today were it not for the MLM structure. Contrary to whaat most MLM's will tell you, it's not because they want you to experience "financial freedom" or have more "quality family time." No, the parent company wants a volunteer salesforce - one that files 1099's rather than W-2's. Yes, with an MLM you can be in business "for yourself but not by yourself." In addition, the MLM company will provide you with all kinds of training and marketing supplies. They will even encourage you to attend conventions. Of course, all this costs money that comes out of your pocket and goes into the coffers of the parent company.

One of the hallmarks of MLM's is recruitment. Some MLM's place more emphasis on recruitment than the actual product or service being sold. The idea here is the larger your organization the more money you will make. I have heard many times that "It is all about providing what nobody has but everybody needs..." Well, I think a great many MLM's are "all about greed." Some MLM's actually pay certain people to do nothing but travel the country giving their personal testimony at "business opportunity" meeting sharing personal testimony regarding the merits of a product or service. These people never really get involved in the actual business like the average sales associate being recruited.

When you work for a regular corporation you get company benefits such as medical and dental coverage, 401-k, life insurance, etc. You get these benefits just for going to work for the company. Not so with most MLM's. Why? Because they do not see you as their obligation. After all, you are NOT their employee. You are an independent contractor. If the business relationship works for you, that is wonderful. If it does not - due to something like those nasty little chargebacks for cancelled services or returned products - the parent company will not mind. You simply leave. Simple. You may have lost money on the business opportunity. You may even have had to file for bankruptcy. So what? It's not the MLM parent company's problem. It was your choice to go into business with them. You chose to purchase the marketing materials they sold you that did not work as you expected. It's all your fault. Remember, you're an independent contractor. But, if you made any money at all during the time you spent associated with the MLM parent company that company probably profited from the relationship quite nicely.

An MLM stucture is designed to entice a volunteer salesforce to both recruit salespeople and sell products or services. But, I personally believe the reason it is promoted is NOT to benefit the individual salesman. Instead, I believe its basic reason for being is to cut costs and maximize profits for the parent company at the expense of innocent, hard-working people who are pursuing dreams of a better life for themselves and their family. I don't think MLM's should be allowed to take unfair advantage of people. What do you think?

Private Reply to Lamar Morgan 954-603-7901 (new win)