The Federal Trade Commission issued a decision, In re Amway Corp., in 1979 in which it indicated that multi-level marketing was not illegal per se in the United States. However, Amway was found guilty of price fixing (by effectively requiring "independent" distributors to sell at the same fixed price) and making exaggerated income claims.[47][48] The FTC advises that multi-level marketing organizations with greater incentives for recruitment than product sales are to be viewed skeptically. The FTC also warns that the practice of getting commissions from recruiting new members is outlawed in most states as "pyramiding".[49]
This eco-friendly MLM is seriously committed: their headquarters are operated with wind power. They’re pretty future-facing in general, having implemented an innovative social marketing strategy amongst their reps. No one likes to be harassed on Facebook, but Modere’s social media plan is still 10 times more effective than holding home parties (kill me).
As noted, many MLM companies do generate billions of dollars in annual revenue and hundreds of millions of dollars in annual profit. However, the profits of the MLM company are derived to the detriment of the overwhelming majority of the company's non-salaried workforce (the MLM participants). Only some of the profit is then significantly shared with none but a few individual participants at the top of the MLM participant pyramid. The earnings of those top few participants then allows the creation of an illusion of how one can potentially become financially successful if one becomes a participant in the MLM. This is then emphasized and advertised by the MLM company to recruit more participants to participate in the MLM with a false anticipation of earning margins which are in reality merely theoretical and statistically improbable.[14]
They’re sliding, though. Revenue is falling in North America and their sales force is shrinking. Revenue slid 19% in 2013 and 7% in Mexico. Skip ahead to July 2015 and revenue is still spiraling downward, with a 17% drop (5). Analysts blame Avon’s failure to maintain a strong identity for its products as well as the strong dollar. Lesson: Always re-create yourself.
Ben Thataway, a CEO benefits forever off of his employees and the employees can spend a lifetime and never make the kind of money they can make in network marketing. I know someone personally that beat out 80,000 representatives, did not join the company untli 3 years after it launched and became the top income earner. What you’ve heard, or what you think you know about network marketing is false.
Odds are, somebody in your life works or has worked for a multi-level marking company, called MLM companies for short. If you’ve ever had a friend on social media invite you to join their sales team or attend an online shopping party, it probably had connections to an MLM company. Some people think of MLM companies as some opportunistic scam, but that actually couldn’t be further from the truth. Learning a little bit about how these companies can help you understand why they provide a wealth of opportunity for income and professional growth. In fact, you’re probably very familiar with many of the best MLM companies in the business without even knowing it.

Network marketing is making more millionaires every day. The challenge for many is how to find the right network marketing company that offers reseller programs so as to avoid falling for the numerous pyramid schemes flying around. There are 10 legitimate options for you to choose from in this article. These companies are ready to work with you irrespective of your location; so get in touch.
It’s also important to note that while I expect there to be significant growth in the ranks of many MLM companies, there will also be substantial growth in businesses that adopt this model and its many benefits.  In fact, it’s one reason I developed the Certified Professional Retirement Coach certification in conjunction with the Retirement Coaches Association.
Talk about heavyweights in the industry! Tecademics is what we call a digital company, and quite befitting because they have one the most extensive digital marketing training programs around to offer.  The founder, Chris Record, who used to be at Empower Network and was highly acclaimed there, launched Tecademics after he left that company.  This digital training arrives with a bigger price mark, but it’s not even close to what you’d have to pay for a university degree.
MLM has stretched its sticky fingers out into just about every product market out there, so it’s kinda hard to do something new nowadays. But Jamberry Nails did it. Their adhesive, custom nail designs BLEW UP when they hit the direct sales floor. They built up an army of over 100,000 consultants in the time it takes most people to get a mediocre pay raise at their 9-5.
MaryAnne, I would recommend finding a product that you LOVE, a product that you feel can benefit the people around you and who you feel integrity with. You want to find their products useful so that you will feel good about buying them every month and want to share them with other. It is a business, but you also want to be able to have fun with it too
What makes this business model a highly popular choice by many is that it offers a virtually limitless potential that cannot be seen in any other traditional business. Independent distributors enjoy numerous benefits by operating their own “franchise.” Not only do they get to retail the products and services to consumers, they also get to expand their businesses by encouraging others to do the same.
On a side note, I started using doTERRA about five years ago and love the oils! I didn’t join them to sell, or make money. I just wanted to raise awareness in what they could do and help with for individuals and families, as they did me and mine. In fact, many of my friends are now distributors (not under me). Lost opportunities? Not at all, in my book. More power to them! Back to R + F, and a little more insight from you would certainly scratch an itch.
The intelligent companies obsess over ways to get their salespeople profitable FAST. When distributors are profitable, they’re less inclined to quit and less inclined to complain to regulators. Profitability is defined by earning more than you spend. Profitability can be enhanced through customer acquisition models like 3 and free programs, sample products, trainings on how to move inventory, etc. It can also be enhanced by avoiding taxing the distributors with overly expensive (and oftentimes ineffective) training materials.
Looking compliant is easy. Building a CULTURE around compliance is hard. Building a culture requires doing more than paying lip service to compliance. It requires full buy-in at the corporate level to teach and enforce the important policies. It requires field leaders committed to responsible growth, and corporate leaders that avoid saying things like “the lawyers make us do this.” And finally, it requires constant investment.

They may have professional athletes like Drew Brees promoting their products, but that doesn’t mean you should believe all of AdvoCare’s claims. This MLM company sells shakes, supplements, and pills. In order to succeed with AdvoCare, as with others, you need to recruit more people to sell the same products. Constantly hitting up your family and friends to buy stuff from you can cause some tense relationships.
Hi JP, Your assessment of Melaleuca stating… “When you hit over a billy in annual sales, that’s reason enough to be on the shortlist. On top of that, they’ve been in the MLM game for over two decades, and they’re now the “largest online wellness shopping club” (basically just sounds like a fancy way of saying they sell a lot of miracle diet pills).” is VERY misleading and inaccurate. They offer “far more” products and services than weight control supplements. I have been a “customer” only of Melaleuca for over 20 years and can attest to the superb quality of their products. Please get your facts correct before posting inaccurate information. 🙂
WHEN NANCY CRAMER WAS A young mother, she wanted to stay at home with her kids. It wasn't long, she says, before the multilevel marketing community found her and got her on board to start selling a line of vitamins and skincare products. She was intrigued by the sales pitch: She could be at home with her kids, make extra income on the side, and all she had to do was call 10 people per day.
Internet and Social Media changes the landscape a lot, because what originally had to be a door-to-door process is turning into more of a net-based thing. However, Network Marketing is always about direct social interactions, belonging to something, helping others etc. It seems that Network Marketing and Direct Selling was the precursor of internet based customised door-to-door deliver that happens just now everywhere.
Nevertheless, misconceptions and myths persist. Don’t let these false beliefs stop you from considering a network marketing business. You can achieve success in a network marketing venture if avoid common MLM mistakes, gain a solid understanding of the industry, choose a company carefully, find a quality sponsor, and commit time and effort to your business. 

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If you are in any type of networking marketing this book is the ultimate guide to success. So well written, relateable and a ton of info in a small amount of reading. I purchased this as part of a network marketing class that I was taking with weekly meetings. This was are reading "requirement" I'm so glad I purchased.. My only regret is that I bought the kindle version. I WISH I would have bought myself a hard copy!! I may still do that!!! LOVE!
Inspirational teacher, speaker, coach, and author of the international best-selling book Your Inner GPS, Zen Cryar DeBrücke helps people transform the stress in their lives into powerful guidance that leads them to living in greater states of happiness. Her groundbreaking work in using ones Internal Guidance System creates guaranteed and sustained positive changes for people in their business and personal lives. She is a master at helping people replace exhaustion, anxiety, fear, and dread with ease, joy, and flow.
Although there are no specific educational requirements for direct sellers, individuals interested in network marketing may find it beneficial to take advantage of one of the selling and sales management degree programs available in the United States. Some general course topics include professional selling, marketing, prospecting, sales motivation, consumer behavior, customer relations, and sales management.
I enjoyed this post and spent too many hours reading all your other posts and watching your videos. You have some excellent real life experiences to share and glad I found this blog. My wife and I are with It Works Global (She started it and I came on board later). I was curious why they didn’t make your list? Do you think blogging would work with this type MLM? I have only had success using Instagram and Facebook. The MLM model is not something I like but it is what is I guess. My wife joined to get a discount on wraps and now this insane looking chart pays the bills. I want to take it further just keep searching for a good way to do so. Maybe blogging is the answer? Thank you. for your time. Mike
Hi! I just saw your post today! Are you still open to discovering and examing an MLM COMPANY which is dedicated to allowing you to unleash your maximum potential? Voted best in the Industry with # 1 compensation plan and highest quality clinical studied and certified standard products in health and wellness! If so, let me know and I promise to supply you with all the information you need to help you make the best choice for your future.
With such a unique name, this semi-new company that falls into the MLM niche of cosmetics, and it does so stunningly and “Younique-ly”.  Their social media game is also innovative and strong, and not as annoying as some others.  They use real customers as their models and who wouldn’t want the chance at 15 minutes of fame?? This company has become one of those company’s people are buzzing about and they credited as one of the most buzz-worthy MLMs of our time.
A good MLM will have more than a few products to sell. They will have more than market sector covered (not just nutritional supplements, water filters or essential oils). They will also have other major retailers that they market for. The money those major corporations spend on the annual marketing, will be paid out to the MLM and their distributors for their sales & marketing efforts and results. That is where those companies will get
You’ll definitely want to look into this product and business opportunity! Has everything that you said you were looking for in a busineas and more. Have you heard of O2 Worldwide and those O2 Drops? This product is helping so many people and the business opportunity is literally one of a kind. Contact me for detailed information. I look forward to sharing and helping you reach your networking business goals!
The short answer to the above question is “ABSOLUTELY!” However, many people have attempted to get into Network Marketing and haven’t been willing to do the work necessary to see dividends on their investment. They go into it thinking it will be easy, that they can just sit back and start raking in the cash. When they discover it takes work and diligence to make it work, they often are taken aback and simply give up.
Keeping with the trend I have here, yes this is another MLM company operating under the nutritional niche; and it comes to us from Utah.  They have a specific product that’s help made them well-known: seed nutrition and the “black cumin seed,” which evidently is very potent for helping fight cancer cells and encourages anti-oxidant benefits, among other things.
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Unfortunately, many pyramid schemes attempt to present themselves as legitimate MLM businesses and, often, it can take many years for the FTC to finally step in and close down these fraudulent companies… so BEWARE! Do your due diligence and avoid any opportunity that emphasizes recruiting members and getting paid, rather earning commissions for the sale of products and services.
Because of its relational aspect, the products usually involved, and the gender of the consultants themselves, women are the predominant target for MLM strategies. However, the gender proportion shifts significantly in the case of financial and/or insurance companies. When it’s time to develop a financial portfolio or consider a term life-insurance policy, it’s usually a joint decision made by husband and wife, or by the head of the household regardless of gender.

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Let’s put it this way, the early version of “Scentsy”’ is not as virtually hot or trendy, but they are however staying significant.  If you like to have parities or play host to others, you’re better equipped to handle this business “opportunity” than others, because that’s what this game is all about.  While you throw these parties, you also have to encourage your guests to whip out their cash and credit cards to buy, buy, buy. Buy what? Candles…Luckily, there are better opportunities to make extra cash these days.
But the FTC’s newfound toughness may come to naught in the Trump era. There’s little hope, according to both critics and cheerleaders of the MLM industry, that the Trump administration will assume such a strict posture toward Herbalife’s peers. “The more likely scenario is that they just won’t bring a pyramid scheme case,” said Bonnie Patten, executive director of Truth in Advertising, a consumer advocacy group that helped the FTC in its prosecution of Vemma, a nutritional-product MLM that the FTC alleged was a pyramid scheme in August 2015. The case was settled in December on terms similar to the Herbalife one. (Neither Vemma nor Herbalife admitted guilt in their settlements.)
The key factor that has made network marketing so attractive is that independent business owners not only have the ability to sell products and services to retail customers they are also able to expand their business by setting up others in their own businesses as well. This is commonly known as “sponsoring” in the MLM industry. Sponsoring others allow a business owner to not only profit from what he directly sells, but also allows him to profit from the sales production of those he has sponsored.
A quiet giant in our Profession, Donna Johnson has been involved in Network Marketing for nearly 40 years - 30 of those with her current company.  During that time, she's built one of the largest sustainable organizations in the world based on culture and ethics.  She has hundreds of leaders earning six and seven figures each yearend her business is thriving and growing globally.
The prospect of working from home is becoming increasingly popular. According to The New York Times, a recent Gallup poll reports 43 percent of employees work remotely some of the time. Of those, the number working from home four to five days per week has jumped to 31 percent. Modern workers seem to be embracing the flexibility of working remotely, so it’s not surprising that multi-level marketing companies (MLMs) are “poised for explosive growth,” Forbes predicts.
They have the stay-at-home-mother meets women entrepreneur mixture working for them. What does that even mean? Means they have the practicality side of the company that is off the product and they have the sales, entrepreneur people them promoting it, too. Anyone who follows MLM knows its usually too “product practical” (see: Tupperware, Cutco) or too “opportunity-centric” (see: Herbalife).

WHEN NANCY CRAMER WAS A young mother, she wanted to stay at home with her kids. It wasn't long, she says, before the multilevel marketing community found her and got her on board to start selling a line of vitamins and skincare products. She was intrigued by the sales pitch: She could be at home with her kids, make extra income on the side, and all she had to do was call 10 people per day.
In this industry, it takes more than an idea to be successful. It takes execution, and execution requires deep vertical knowledge. Vertical knowledge refers to a broad understanding of the nuances in this industry, only obtained through years of experience. Experienced leaders know how to avoid distraction, conserve resources, be encouraging yet firm with the field and, if necessary, know when and how to fight.
But please do a little research before you blanket insult an entire industry or business model. I am a single mother with a 6 figure income because of MLM, nearly twice that when I’m actively working my business with both of the companies I represent, and while not everyone has the skill set to succeed in this business, the potential is certainly there, for those that do.

Meet Kim Kiyosaki Entrepreneur, investor, and speaker Kim Kiyosaki is the author of Rich Woman: A Book on Investing for Women – Because I Hate Being Told What to Do. She is a champion of women and female-preneurs and, along with her husband Robert Kiyosaki, helps people take control of their finances, escape from the rate race, and move towards ...…
Meet Harvey Mackay Businessman, master networker, and one of the top five speakers in the world, Harvey Mackay is the author of the #1 New York Times bestsellers Swim with the Sharks Without Being Eaten Alive and Beware the Naked Man Who Offers You His Shirt – both of which are among the top 15 inspirational business books of all time according ...…

Take Rodan+Fields, a skincare line developed by the dermatologists who created Proactive. It’s supposed be top-notch stuff. When they initially launched the product, they went the traditional retail route. Estee Lauder then bought the company for an undisclosed amount and continued to sell it through traditional retail. Sales of Rodan+Fields were surprisingly lackluster, however, so its former owners bought the company back and implemented the MLM model. Sales of the product skyrocketed to over a billion dollars. They’d claim it was thanks to the word-of-mouth marketing MLMs facilitate. I’d venture to guess it had more to do with the fact they have a captive customer base amongst the hundreds of thousands of distributors who are required to make minimum purchase amounts each month and recruit other distributors who will have to make minimum purchase amounts each month too.

Hi Jeremy great article. Here’s my take for what it is worth,after working 50 years for the bank making not so much money,having to accommodate there time schedule ,negotiated vacations and seeing very few people advance to 6 figure incomes,I’m somewhat intrigued by the idea of using my retirement years looking at mlm as a part time endeavour . Obviously I put a lot of blood sweat and tears into my previous job,so I’m not expecting to make my millions in a couple years in mlm, but I like the (do it in your own time) idea. If I find a product I like and would use anyway why not? I also like the idea that the potential is there biased on your own efforts. Am I wrong What do you think?
MLMs are designed to make profit for the owners/shareholders of the company, and a few individual participants at the top levels of the MLM pyramid of participants. According to the U.S. Federal Trade Commission (FTC), some MLM companies already constitute illegal pyramid schemes even by the narrower existing legislation, exploiting members of the organization.[21] There have been calls in various countries to broaden existing anti-pyramid scheme legislation to include MLMs, or to enact specific anti-MLM legislation to make all MLMs illegal in parallel to pyramid schemes, as has already been done in some jurisdictions.[citation needed]
Ben Thataway, a CEO benefits forever off of his employees and the employees can spend a lifetime and never make the kind of money they can make in network marketing. I know someone personally that beat out 80,000 representatives, did not join the company untli 3 years after it launched and became the top income earner. What you’ve heard, or what you think you know about network marketing is false.
Consider you open a restaurant under the name of My Yummy Foods. It has great taste, ambience and suddenly it is becoming very famous restaurant of the town. In order to get more money you give it a franchisee. Now you choose an investor who will be trained on the food items, apparatus, ambience etc so that your name and taste will be carried forward by him.
Hi Jeimy. Fuxion is an excellent company. Fuxion is a Peruvian company that is spread in 12 countries, including the US. Randy Gage has decided to join Fuxion as a networker 2 weeks ago! Robert Kiyosaki and John Maxwell are current Fuxion’s advisors. Fuxion’s nutraceutical products are made of fruits and vegetables from the Amazon region, Andean region, Central America and Asia. The company is in its best moment. So I recommend you to join us!
WHEN NANCY CRAMER WAS A young mother, she wanted to stay at home with her kids. It wasn't long, she says, before the multilevel marketing community found her and got her on board to start selling a line of vitamins and skincare products. She was intrigued by the sales pitch: She could be at home with her kids, make extra income on the side, and all she had to do was call 10 people per day.
Next comes Trump’s special adviser on federal regulations, investor Carl Icahn, who has an estimated net worth of $17 billion. Icahn is something of an accidental beneficiary of MLM wealth, having invested in Herbalife to get back at his nemesis, fellow shareholder activist Bill Ackman, after Ackman launched a public short on Herbalife in 2012 and called it a pyramid scheme. Icahn has ended up virtually running Herbalife, owning 24 percent of its shares and holding five board seats. But despite Icahn’s clout, Ackman’s lobbying effort to bring down Herbalife led to the FTC crackdown, which could pummel Herbalife’s earnings. (The company has other problems, as it recently disclosed that it is subject to an anti-corruption probe by both the Securities and Exchange Commission and the Department of Justice over its burgeoning China business.)

Mentor your recruits effectively. If recruits are successful, you make more money, so you should be prepared to train them well. This may be a substantial time commitment, even up to several weeks. But you should understand that you're building a team and it is in your best interest to spend enough time making sure your recruits are competent enough to go off on their own.[8][9]


OK here is the difference Steve. If you quit any of these MLM companies for a whole year, Continue buying product but help no one set up a shopping account, even 2 years, will you continue to get paid by the company? So Steve, as a Director with Melaleuca you helped 8 people total set up a shopping account. There is no Direct or multilevel sales in that, and if they shop you earn commission on their shopping. You will not know what they shop for and thats ok cause its private. Melaleuca is a Consumer direct Manufacturer that sells to the public the products that THEY THEMSELVES make. So by your standards then …Proctor and Gamble is an MLM also. Oh and yes, I took over a year off of inviting people to see what Melaleuca was, and still received my residual check every single month. It is against company policy to sell Melaleuca products.
The content here is for information purposes only. By delivering the information contained herein is does not mean preventing, diagnosing, mitigating, treating or curing any type of medical condition or disease. When beginning any natural supplementation regiment or integrative treatment, the advice of professionally licensed healthcare providers is advisable to seek.
Yet there must be something to the business model, since I see some big business icons like Donald Trump are joining in the MLM parade. I've written about these before, and I'm still looking for one that feels entrepreneurial. Who has a convincing story that will make me feel good and pure as I recommend their MLM to my best startup clients? Do you love them or hate them?
Agree with most of your comments. Born and raised in the corporate community, we never even considered a MLM until came across one after retirement. Looking back we would have looked seriously at the industry much earlier. In any event, we had one good run until management made a few very bad decisions…killing 40 % of our business. But now we’ve found a new home with WGN. Among the many differences is they’re a technolgy company operating as a MLM…go figure.

These are only a couple of examples of people who went from struggling with their finances to being financially secure, and continuing to make a fortune. There are hundreds of more examples of people who have literally gone from rags to riches through Network Marketing. However, it should be emphasized that these people did not just sit back and collect money, they had to put in the hard work and dedication necessary to grow their network of sales, as well as doing the work required to get the word out and represent their companies.


Thanks for this post. Very helpful. I do like direct sales; one reason for this is that it helps keep alive that age-old tradition of people interacting face-to-face (rather than mainly through texting and social media). For that reason, I think MLMs should target the lonely Millennials. Anyway, I was a member/distributor of Advocare for over 10 years and still miss the products and the activities in the company, now that I am temporarily out. I still plan to sign up again when I can afford it (long story–I’ll spare you). I am now involved in Melaleuca, and I must say in their defense that Melaleuca’s products are actually not overpriced. Because Preferred Customers are not only not expected, but also NOT ALLOWED to turn around and sell the products at the retail price, everyone pays the same low prices. (Granted, one can indeed go to the website and buy directly from the company if they do not want to become a Preferred Customer. Why would someone do that when the annual membership is only $19? Only if they do not want to commit to the minimum monthly requirement for Preferred Customers.) Public, keep this in mind! Don’t be fooled by the rebels who are selling old Melaleuca products on Amazon for way above the retail price!! You’re much better off buying fresh products directly from the factory, even if you pay retail price. Just sayin. My big question: What about Tupperware? I have been a Tupperware consultant for about 6 months, and I have found it to be extremely difficult to keep business going. The directors training me have said that Tupperware is the second most widely recognized brand name in the world, second only to Coca-Cola. If that is the case, why is it so hard to find people willing to host Tupperware parties? Why does it seem so hard to sell? Also, is it just me…Or, does Tupperware’s compensation plan stink?

I enjoyed this post and spent too many hours reading all your other posts and watching your videos. You have some excellent real life experiences to share and glad I found this blog. My wife and I are with It Works Global (She started it and I came on board later). I was curious why they didn’t make your list? Do you think blogging would work with this type MLM? I have only had success using Instagram and Facebook. The MLM model is not something I like but it is what is I guess. My wife joined to get a discount on wraps and now this insane looking chart pays the bills. I want to take it further just keep searching for a good way to do so. Maybe blogging is the answer? Thank you. for your time. Mike
You've probably heard horror stories about people ending up with a garage full of expensive water filters or other items. This happens because only other distributors will purchase the product at that price. Your product or service must fill a real need at a fair price, and there should be a large untapped market for it. In other words, it must provide tremendous value so that the customer is the biggest winner.
The world has literally transformed into the Network Marketing business model. And it continues to do so as technology evolves and the internet brings us closer together. Individuals are connected to three times as many people today compared to before the advent of the internet and social media. The world has moved to Network Marketers, and for those of us in this industry with the right company, the future is incredibly bright.
As already covered, people are living a lot longer today, and in the future even longer still. Being involved, active, and engaged in something is one of the most important aspects of continuing a life worth living. There is a social connection and sense of belonging when you are a part of a movement that is filled with elements such as positivity, empowerment, personal improvement, and helping other people. 
WHEN NANCY CRAMER WAS A young mother, she wanted to stay at home with her kids. It wasn't long, she says, before the multilevel marketing community found her and got her on board to start selling a line of vitamins and skincare products. She was intrigued by the sales pitch: She could be at home with her kids, make extra income on the side, and all she had to do was call 10 people per day.
FLP may not be the wealthiest MLM on this list, but they deserve a spot because of their long-term dedication to the aloe vera plant and products made from it. Few MLMs display such product dedication and integrity as FLP. And few MLM’s have such a concentrated niche. That screams longevity over the other hundreds of other “full service wellness” companies.
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