Determine if the company is handling advertising and publicity on its own to help create demand for the product. Find out what restrictions are there on where and how you can promote it, such as advertising and websites. There's not a right or wrong answer to that question. A wide-open policy is more flexible for you, and for everyone else, too. If you're prepared to be highly competitive, that's fine, but if not, you may prefer to work with a company whose policy is more restrictive.
Great listing and especially the honest look at what being in an MLM means. Direct sales is a hard business, especially if you’re not passionately using the product daily. You see too many people who join thinking it will be a get rich quick scheme and don’t actually care about the product or their customers. Genuine lasts and is successful, companies like Avon and Mary Kay have been around for generations because people love their products. 

Owner Two develops a business that also sells $100 USD worth of goods each month. Like Owner One, Owner Two receives a bonus for his sales volume on top of any retail profit he has made. By sponsoring Owner Two, Owner One who has generated $100 USD of sales, is also credited for the $100 USD produced by Owner Two. Therefore Owner One’s total business sales volume is considered to be $200 USD.
The multi-level marketing company’s ultimate goal is to procure outstanding sales and gain a loyal customer base. Instead of using the traditional method and spending on costly advertising, they promote the business through word-of-mouth referrals. They bypass the middlemen and sell the products directly to consumers. This direct method, in turn, helps customers save more money by eliminating mark-ups on the products.
Meet Jack Canfield Global thought leader, motivational speaker, corporate trainer, and entrepreneur, Jack Canfield is the originator of the Chicken Soup for the Soulseries and is the co-author of The Success Principles: How to Get From Where You Are to Where You Want to Be. Affectionately known as “America’s #1 Success Coach,” Jack has studied ...…
One of the most common complaints about MLM companies is that new consultants have to fork over a lot of money to pay for initial inventory. One of the worst of these is the direct sales company LuLaRoe, which forces new recruits to buy $6,000 worth of inventory just to get started. The apparel retailer is known for their wacky prints and patterns, but consultants can’t choose what they like — they get whatever version the company feels like sending and are then expected to sell it.

Network marketing isn't a get-rich-quick scheme. Of course some people do make large amounts of money very quickly. Many would say those people are lucky. But success in networking isn't based on luck. (Unfortunately, money won't sprout wings and fly into your bank account no matter what someone has promised you.) Success in network marketing is based on following some very basic yet dynamic principles.
Advocare has the best science, the best products and amazing credibility with top athletes in the world of sports. In addition to generous discounts on products and potential to make an unlimited stream of residual income. If you genuinely want to help people this is the best company to be a part of! Id love to talk to you more about the endless benefits Advocare offers!
Staci Cahill runs her Washington MLM company in a way many people can appreciate.  She keeps her personal life separate from her business life by avoiding home parties, offering instead workshops that educate prospects on the products she offers.  “I didn’t want to be that person others hid from because they thought I was going to ask them to host a party.  I like to keep my business life and personal life separate.”
Network marketing can be lucrative, but only a small percentage of people make serious money. Often referred to as multilevel marketing (MLM) or direct marketing, the idea of making money without any special skills or major investment with immediacy is appealing. And the promise of residual income fuels the desire to never wind up in your current financial position again if you've found yourself in a somewhat tough spot.

She reiterated a common theme I heard throughout the interviews.  “If you treat it like a hobby it won’t pay you like a business.”  She also acknowledged that, in spite of her success, she doesn’t sit around eating bonbons every day waiting for residual checks to hit the mailbox.  “That’s a common misconception,” she said.  “I work hard at my business every day, although it doesn't always feel like work.  Similar to other entrepreneurs who profit from their passion, she says “It’s rewarding because I found a product that has made in difference in how I look and feel… and I love selling it and helping other people start a business.”
MLM salespeople are, therefore, expected to sell products directly to end-user retail consumers by means of relationship referrals and word of mouth marketing, but most importantly they are incentivized to recruit others to join the company as fellow salespeople so that these can become their down line distributors.[3][6][7] According to a report that studied the business models of 350 MLMs, published on the Federal Trade Commission’s website, at least 99% of people who join MLM companies lose money.[8][9] Nonetheless, MLMs function because downline participants are encouraged to hold onto the belief that they can achieve large returns, while the statistical improbability of this is de-emphasised. MLMs have been made illegal in some jurisdictions as a mere variation of the traditional pyramid scheme, including in mainland China.[10][11]
That is really the magical element behind the multi-billion dollar market that is the direct sales and network marketing industries. And a large part of those are MLM-fashioned businesses that offer primarily are styled as health and wellness supplements in the name of weight loss, cognitive enhancement, skin care, hair care, beauty, anti-aging, dieting and anything else nutritionally-related or health-focused.
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. 
This article was really informative and honest! I’m not presently involved in an MLM and I don’t ever plan to be especially after reading this article and the comments below. Why? Well because of EXACTLY the kind of “networking” and “recruiting” that these companies and many of the people commenting on here are advocating. I have been bombarded on my facebook, and other social media from people I haven’t spoken to or seen in years. Its becoming constant, and I am not on social media to make money. Roden and Fields, shakeology, some girl I went to high school with is now trying to get me to buy leggins from her. I have a cousin that I actively avoid now because he is constantly steering every single conversation to Herbellife and why I NEED it to be healthy. Jesus. Its just enough already. I’m all for empowering people, and I love the idea of earning an additional income to take care of your family or yourself. But I could not imagine alienating or even just annoying friends and family in order to make an extra dollar. What I dislike most is that many of those that are recruiting make it seem as if they recruiting you simply because they want to “help” you or provide you with an opportunity. They make it seem as if they are doing this out of the goodness of their hearts, when really the actual motivation is line their own pockets with more money, because the more people you recruit for your team, the more money you make. That feels dishonest and slimy to me. Unless I’m asking for “help” or an “opportunity” I wish people would assume that I don’t need and am not interested in one!
Eric Worre is one of the leading authorities on Network Marketing. As a highly sought after keynote speaker, trainer and consultant, he is dedicated to helping people understand that Network Marketing is a better way and why it’s best to make the decision to become a Professional. Eric is National best-selling author and one of the most experienced and trusted generic leaders in the Network Marketing Profession. In 2009, Eric founded NetworkMarketingPro.com, the most-watched training site in the Profession. Since its inception, Network Marketing Pro has provided almost 900 free training videos (with over 11 million video views) encompassing every conceivable topic and dozens of interviews with the most successful Distributors in the world. Today, Eric is permanently retired from building as a Distributor and is devoting all of his time in working to take the Network Marketing Profession to a new and higher level.
Le-Vel THRIVE is #1 in Health and Wellness with innovative products that work. Le-Vel is a completely Cloud Based, work from anywhere company. Besides the Core 3-Steps of THRIVE (which help with energy, sleep, digestion, joint support, aches and pains, weight management), Le-Vel has a plus-line product called MOVE that is wonderful for joints. Thrive is not a weight loss system, but a lifestyle change of vitamins, minerals, antioxidants, amino acids, enzymes, probiotics and is designed to fill nutritional gaps, making you feel amazing. Thrive is easy to promote by just sharing your experience and it’s completely Free to join as a promoter, no startup costs, no monthly fees, absolutely no strings attached! I’ve been a Promoter for over 2 years now and Le-Vel and Thrive has completely changed my family’s life!

* Go Pro Recruiting Mastery – the world’s #1 generic training event for the Network Marketing Profession. Join us December 4-6, at the MGM Grand Garden Arena in Las Vegas, Nevada. You will hear from top international thought leaders including Magic Johnson, John Maxwell, and dozes of Million-Dollar Earners. It’s an extraordinary event that you and your team can’t afford to miss. To learn more, go to GoProRecruiting.com.

But, some of the companies here are much better than others in my opinion. There are two different ones that are worth considering. The first is Thirty-One Gifts. This storage company has appealing products that do sell to the right audience. In fact, many customers go back for extra products time and time again. The commission plan isn’t amazing but it’s decent enough and has no serious issues.
First of all, Avon “has” been. Second, Avon really needs to work on their appeal to a younger generation. Third, Avon makes it difficult for representatives to make any money unless you are purchasing a ton of catalogs and knocking on doors. The company really needs to allow representatives to advertise online, and I don’t mean spamming friends on a Facebook or Twitter feed.
The real key is this: Network marketing is all about leverage. You can leverage your time and increase the number of hours of work effort on which you can be paid by sponsoring other people and earning a small income on their efforts. J. Paul Getty, who created one of the world's greatest fortunes, said "I would rather make 1 percent on the efforts of 100 people than 100 percent on my own efforts." This very basic concept is the cornerstone of network marketing.
Pyramids are illegal and are based on taking advantage of people. For a person to actually make money in a pyramid scheme, someone else has to lose money. But in network marketing, each person can multiply his or her efforts, skills and talents by helping others be successful. Network marketing has proved itself as part of the new economy and a preferred way to do business here and around the world.
As you read these disclosure statements, you need to keep in mind that the companies do what they can to paint a bright picture of your income capability. Instead of giving you straight figures, they’ll share percentages and percentages of percentages. There’s a whole lot of intentional obfuscation going on. You’ve got to bust your mathematical chops to really understand what the numbers mean. We spent hours carefully reading through the above disclosure statements and crunching the numbers ourselves in order to verify Taylor’s conclusion that 90-99% of distributors in each respective MLM were only receiving at most a few hundred dollars a year in commissions. And it’s absolutely true.

Network marketers may also find a degree in marketing or business administration very useful. A degree program in marketing helps students understand the consumer market and the factors that influence consumer-purchasing decisions. A degree in business administration prepares students to plan and direct the everyday operations of small businesses and large corporations.
I’m truly sympathetic to this desire. A lot of folks are struggling financially out there; Dad’s salary alone isn’t enough to support the family (or he’s out of work altogether), and Mom getting a job may not be a big help once the cost of childcare is factored in. Plus, a lot of moms simply don’t want to send their kids to childcare and want to be able to stay home with their children.

I disagree with that jeremy i would recommend MLM over working a Corporate 9 t0 5 $300 weekly paycheck job anyday. I quit my job for mlm i mean why not recommend MLM when you can make 10X the more money than you can at any stupid corporate america job..Working for people are for losers and i will defend mlm for the rest of my life bro you need to get your facts straight and look on youtube to see people buying new mercedez benzs and rolls royce working with mlm


In an October 15, 2010 article, it was stated that documents of a MLM called Fortune Hi-Tech Marketing reveal that 30 percent of its representatives make no money and that 54 percent of the remaining 70 percent only make $93 a month, before costs. Fortune was under investigation by the Attorneys General of Texas, Kentucky, North Dakota, and North Carolina with Missouri, South Carolina, Illinois, and Florida following up complaints against the company.[39] The FTC eventually stated that Fortune Hi-Tech Marketing was a pyramid scheme and that checks totaling more than $3.7 million were being mailed to the victims.[40]
The structure of MLMs is very similar to a pyramid scheme. This doesn’t mean that all MLMs are pyramid schemes, but some certainly are. Those interested in pursuing a career in multi-level marketing should do research before joining a particular MLM. Generally speaking, if the bulk of the money you stand to earn comes from recruitment rather than direct sales, it’s wise to be very cautious.

Over 30 years ago, Jeff Roberti was a broke waiter looking for a chance to prove himself. Through hard work and determination, Jeff built his business into a success story that is now legendary - not only within his company, but also in the Network Marketing Profession. Though his accomplishments are impressive, his focus is one of gratitude and love for a company that has provided a stable, lasting environment in which to grow and serve.
When you join an MLM, you’ll be pressured to utilize your social network by pitching the product to friends and family, and encouraging them to become distributors themselves. First, your MLM recruiter will tell you to hit up your “warm leads” — your family members and close friends. After you’ve tapped that out, they’ll tell you to reach out to co-workers and even old high school pals. When you’ve drained that vein, they tell you to start pitching to random strangers in public or on the internet. That’s why it’s called network marketing.

Nutritional supplements are not classified as either “foods” or “drugs”. They’re not foods because you don’t eat them for sustenance (you eat them to “supplement” your existing diet). And they’re not drugs because they’re not intended to treat any condition. The FDA largely ignores the industry, which means MLMs don’t face the same harsh regulations as food or drug providers in other industries.


This is one MLM business that is seriously committed to being eco-friendly…the company’s headquarters is powered by the power of the wind!  This company is looking only one way, and that’s to the future my friends. They use the internet to their advantage and use a very interesting innovative strategy by utilizing social marketing with their reps.  No one really likes or hopes to be bothered by non-friends on Facebook, but this company’s social media game plan is very effective and it’s better than throwing home parties (that no one may show up to…don’t judge me, I’m just stating the obvious).
It seems to me that in your assessment of the top 25 MLM that you had a preference for one essential oil company (Young Living) over the other (doTERRA) which outranked YL. You give a glowing review of YL and state that they “set the standard” & are a “solid pick”. While you seem to question why people could possibly like doTERRA with comments like “Users swear by the oils, and for whatever reason, people (and not just people in Utah) are strangely passionate about telling their friends about them.” For “whatever reason”??? “Strangely passionate”??? You come across as bias. You also incorrectly state that YL set the standard for quality, while they may have been the first legit EO Co. they didn’t set the standard. Infact their lack of wanting to find the purest most potent EO available (which comes from the country the plants are indigenous to) and having strict testing to ensure the purity and potency is why doTERRA was founded, doTERRA set the standard because YL didn’t want to. And that is why doTERRA is the #1 EO company and why Young Living is not. Not to mention how well doTERRA takes care of the suppliers through Co-Impacting and how they’re improving their lives through The Healing Hands Foundation. The foundation builds wells, schools, provides personal care products as well as many other things. doTERRA is changing lives for the better all around the world so that is one of the “reasons” we’re “strangely passionate” about spreading the good news of doTERRA essential oils. Not only are doTERRA EO more potent and purer making the the “solid pick” they are literally saving peoples lives.
Although emphasis is always made on the potential of success and the positive life change that "might" or "could" (not "will" or "can") result, it is only in otherwise difficult to find disclosure statements (or at the very least, difficult to read and interpret disclosure statements), that MLM participants are given fine print disclaimers that they as participants should not rely on the earning results of other participants in the highest levels of the MLM participant pyramid as an indication of what they should expect to earn. MLMs very rarely emphasize the extreme likelihood of failure, or the extreme likelihood of financial loss, from participation in MLM. MLMs are also seldom forthcoming about the fact that any significant success of the few individuals at the top of the MLM participant pyramid is in fact dependant on the continued financial loss and failure of all other participants below them in the MLM pyramid.
Diets…fad diets, new diets, old diets…it’s an endless story especially in the 2000’s, and this company is one of those companies.  The FDA had a run-in with these guys and they are not in the greatest standings with the BBB either, which seem to be the norm with weight loss pills of the “magical results” variety.   Well the good news for this business is that they’ve managed to keep trending for 5 years (that’s a pretty good streak), and the company reps are earning a colossal 50% in commissions.
One of the earliest critics of Amway, former insider Stephen Butterfield, wrote about how its conservative economic policies actually helped bolster Amway’s ranks in his 1985 book, Amway: The Cult of Free Enterprise. “In alliance with the religious right, Amway (which stands for American Way) has spent more than three decades building an authoritarian, pro-business movement in the American middle class,” according to a promotion blurb for the book. “Amway preaches devotion and obedience to its leaders, hard work and sacrifice for the Company, contempt for the poor and worship of the rich.”
But MLMs can get away with this because of the second big difference between a traditional franchise and an MLM “franchise”: In a traditional franchise, the end customer is the consumer, whereas again, the primary way you make money in an MLM is by recruiting other sales people and making commissions off the product they’re required to purchase from the parent company
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.

I agree with Jeannie. You can build a solid foundation from your warm market & then it snowballs. It is hard work & not a get rich industry. I to am with dōTERRA which is such a product driven company that 80% of wholesale customers are just customers because the products work. I love how everyone I have interacted with in my Upline are so driven by a purpose much bigger than amassing wealth! After almost 20 years of business experience (corporate sales & real estate), I can proudly say that I’ve never worked in such an edifying & encouraging environment. I can’t remember even 1 of my former bosses sitting down with me to chart a plan to bring me up to their level or even to take their current spot on the corp ladder – too much insecurity in that world & after all only 1 person makes it to the top of that pyramid. I love that in Network marketing you can easily surpass the rank & income of the person above you if you work with great purpose. The mentoring available & the personal development which happens in this environment is incredible!
One of the earliest critics of Amway, former insider Stephen Butterfield, wrote about how its conservative economic policies actually helped bolster Amway’s ranks in his 1985 book, Amway: The Cult of Free Enterprise. “In alliance with the religious right, Amway (which stands for American Way) has spent more than three decades building an authoritarian, pro-business movement in the American middle class,” according to a promotion blurb for the book. “Amway preaches devotion and obedience to its leaders, hard work and sacrifice for the Company, contempt for the poor and worship of the rich.”
MLMs have been made illegal in some jurisdictions as a mere variation of the traditional pyramid scheme, including in mainland China.[10][11] In jurisdictions where MLMs have not been made illegal, many illegal pyramid schemes attempt to present themselves as MLM businesses.[7] Given that the overwhelming majority of MLM participants cannot realistically make a net profit, let alone a significant net profit, but instead overwhelmingly operate at net losses, some sources have defined all MLMs as a type of pyramid scheme, even if they have not been made illegal like traditional pyramid schemes through legislative statutes.[4][19][20]
Question your recruiter. When you've found a company you're interested in, you'll likely meet with a recruiter or another representative. Be skeptical during the recruitment process. Remember that your sponsor makes more money if you sign on, so he may not be as open with you as he could be. Don't get distracted by promises of how much money you'll make and really think about what you're about to do.[4]
I agree with Jeannie. You can build a solid foundation from your warm market & then it snowballs. It is hard work & not a get rich industry. I to am with dōTERRA which is such a product driven company that 80% of wholesale customers are just customers because the products work. I love how everyone I have interacted with in my Upline are so driven by a purpose much bigger than amassing wealth! After almost 20 years of business experience (corporate sales & real estate), I can proudly say that I’ve never worked in such an edifying & encouraging environment. I can’t remember even 1 of my former bosses sitting down with me to chart a plan to bring me up to their level or even to take their current spot on the corp ladder – too much insecurity in that world & after all only 1 person makes it to the top of that pyramid. I love that in Network marketing you can easily surpass the rank & income of the person above you if you work with great purpose. The mentoring available & the personal development which happens in this environment is incredible!
In April 2006, the FTC proposed a Business Opportunity Rule intended to require all sellers of business opportunities—including MLMs—to provide enough information to enable prospective buyers/participants to make an informed decision about acquiring/joining a business venture with information disclosed about the average likelihood of monetary profitability (and the extent of monetary profitability, if any) of acquiring/joining the business venture. In March 2008, however, the FTC removed "Network Marketing" (i.e. MLM) companies from the proposed Business Opportunity Rule, thus leaving MLM participants without the ability to make an informed choice of entering or not entering MLMs based on the disclosed likelihood of success and profitability:
Consultants make up the vast majority of MLM jobs. However, The Direct Selling Association (DSA) reports that the average annual income for consultants is about $2,400; in addition, roughly 90 percent of all consultants earn less than $5,000 annually. Not exactly the stuff through which marketing careers are made—although it could prove to be valuable entry-level experience.
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