Discussion

What questions should you ask before joining ANY MLM company?

Before joining any MLM company, demand answers to these questions: 1) What is the total cost for the first year including all purchases and events? 2) What percentage of all distributors earn more than they spend? 3) Can I see the official income disclosure statement? 4) What happens if I want to return unsold products? 5) Is there a mandatory monthly purchase? 6) How many active distributors are in my area already? 7) What is the average monthly income for distributors at my level? 8) Can I sell products without recruiting anyone? 9) Are there any lawsuits or FTC actions against this company? 10) What happens to my account if I miss a monthly purchase? If the person recruiting you cannot or will not answer these questions, walk away.

5 Replies

Before joining any MLM company, demand answers to these questions: 1) What is the total cost for the first year including all purchases and events? 2) What percentage of all distributors earn more than they spend? 3) Can I see the official income disclosure statement? 4) What happens if I want to return unsold products? 5) Is there a mandatory monthly purchase? 6) How many active distributors are in my area already? 7) What is the average monthly income for distributors at my level? 8) Can I sell products without recruiting anyone? 9) Are there any lawsuits or FTC actions against this company? 10) What happens to my account if I miss a monthly purchase? If the person recruiting you cannot or will not answer these questions, walk away.

How long did it take you to build your team to that level? And what percentage of your team members are actually active versus just maintaining autoship?

The best advice I ever got was to spend 80% of my time on customer acquisition and 20% on recruiting. Most new distributors do the opposite because recruiting has bigger potential payoffs. But without customers, you are just building a house of cards.

Thank you for your vulnerability in sharing this. The shame and embarrassment after leaving an MLM is real and not talked about enough. You are not stupid for joining - these companies spend millions on making their opportunity look irresistible. You were targeted by professional marketers.

My biggest piece of advice - never recruit someone who cannot afford to lose their investment. If a person is living paycheck to paycheck, you are potentially putting them in a worse financial position. Be ethical about who you bring into the business.

I tried 3 different MLM companies over 5 years. Total invested: about $15,000. Total earned: about $3,500. Total friendships damaged: at least 10. Would I do it again? Absolutely not. But I do not regret the lessons I learned about myself.

Want to join the discussion?

Create a free account to reply and participate in conversations.

Back to all discussions