Short note on network marketing

Network marketing is a powerful system for generating income, it has also been abused by many companies. Most of them provide a type of product or service in exchange for money. That money is paid as a commission to the person that signed you up and the person that signed up that person ect. Many companies have designed the compensation structure so the people at the top of their company make allot of money, (founders, shareholders)

No matter how good the recruiting presentation is do not get involved until they show you the income disclosure statement. The government forces companies to publish this and many of them try to hide it. One of the largest MLM companies pays 1.9% of their people more than $10,000 a year. Why would anyone try to beat those odds? 20-30% of the people making that kind of money is probably a good company and someone that is motivated will succeed.