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The truth about MLM car bonuses and rank incentives

My company offers a $600 per month car bonus when you hit a certain rank. Sounds amazing right? Here is what they do not tell you: 1) You have to maintain that rank every single month to keep the bonus. 2) If you drop rank even one month, you lose the bonus and might owe money on the lease. 3) The car must be a specific brand and color for marketing purposes. 4) Many people lease luxury cars they cannot actually afford, banking on maintaining their rank. I have seen people lose their car bonus and be stuck with a $900/month car payment they cannot afford. The car bonus is a retention tool for the company, not a genuine perk.

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My company offers a $600 per month car bonus when you hit a certain rank. Sounds amazing right? Here is what they do not tell you: 1) You have to maintain that rank every single month to keep the bonus. 2) If you drop rank even one month, you lose the bonus and might owe money on the lease. 3) The car must be a specific brand and color for marketing purposes. 4) Many people lease luxury cars they cannot actually afford, banking on maintaining their rank. I have seen people lose their car bonus and be stuck with a $900/month car payment they cannot afford. The car bonus is a retention tool for the company, not a genuine perk.

What would you say to someone who is 3 months in and has not made any money yet? At what point should they evaluate whether to continue or cut their losses?

To everyone who lost money in MLM - it is okay. You are not a failure. You took a risk and it did not work out. That makes you braver than all the people who criticize from the sidelines. Dust yourself off and apply what you learned to your next venture.

I am a current distributor and I have to admit everything here is accurate. I still believe in my products but the business model has serious flaws that the industry needs to address.

I was a top earner making $15K per month. I walked away from it 2 years ago because I could not handle the guilt anymore. Watching people I recruited lose money while I profited from their purchases was eating me alive. I now have a regular job and sleep much better at night.

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