Okay, multi-level marketing (MLM) falls into a separate category because they'll disguise themselves with other ads. Some will tell you straight out that they are MLMs others claim they are not MLMs.
You will only discover the truth after you read the fine details. Although some people will tell you that multi-level marketing (MLM) are complete scams, the concept behind it is legitimate. Multi-level marketing is a system of selling in which you sign up other people to assist you, and they, in turn, recruit others to help them. Sounds like a pyramid scheme, right?
Well, in order for it to be considered a pyramid "scheme" the offer needs contain these three elements:
Frequently, the entrance fee into the pyramid is very high. In many cases, the money spent for such an entrance fee can often be considered lost the moment you pay. To protect yourself against falling victim to a multi-level marketing scheme, note whether the basis of the promotion is the sale of a product at the retail level, as opposed to an emphasis on recruiting more and more distributors to help you increase your income.
Still not sure they are scams? Check out these links for more information. Note, these are not links to "legitimate" companies. These are links to articles by the BBB, FTC and new organizations exposing the frauds.Multi-Level Marketing