You don't have to tell us.

> There is so many people think because they did not make money in a MLM
> before that they are all scams

But an MLM opportunity doesn't have to be a scam for people to lose money in it.

The truth is, over 90% of all people who join an MLM, with a monetary investment will quit within a year. And the majority of those will never receover the money they invested.

With front-loading of products, the numbers only get worse.

When MLM distributors are rewarded for recruiting, some will attempt to recruit anyone that has a pulse, regardless of whether it is a good opportunity or garbage. Some don't care whether their prospect can afford to lose the money they pay to get in.

No matter how many individuals lose money, there is always someone upline from them who is making money, which explains how some of these continue for years, without having a good product at prices comparable to the local markets.

When 90% of the products are sold to distributors for gifts or consumption, it indicates the products aren't worth the prices charged. The over-pricing is required to pay all the multiple layers of upline who get a piece of the profits from 3 to 12 levels up from the purchasing distributor.

In addition to people losing more often than not, MLM recruiting within warm markets has destroyed many friendships and family relationships. Not exactly a great recommendation for the industry.

There are a lot of other opportunities for home-based business that don't operate under the MLM method and don't require endless recruiting by distributors who need to recruit others who will recruit others to create the downline of 200 to 1500 necessary to reach a good monthly income.

Many MLM companies are merely a distribution model in search of a product line to fulfill the need of the corporation to have a product so as to avoid being identified as a pyramid. When the selling of products becomes secondary to selling the opportunity, that company is pyramid building. At some point in time, the dropout rate will exceed the recruiting rate, and it can all tumble down in a very fast avalanche, with many being stuck with the products they have in their garage.

Others grow to where they require more recruits each month than is likely or even possible. That too can cause a pyramid to collapse almost overnight.

In addition to the 90% failure rate across the industry, many have only 1% reaching the income goals that are hyped endlessly. All the trappings of the big mansions, yachts, families able to take endless vacations-having more quality time together, driving all those Cadillac Escalades and Hummers, are used as bait to suck in more recruits. But, when the average incomes for the MLM companies are posted, the number earning more than a couple hundred monthly for a sustained period is very small.

Many will get bit by the MLM bug, and jump from one company to another always searching for that ground-floor, one-of-a-kind miracle product that is the sure-thing to catapult them to financial independence. But in reality, most MLMs create more capital losses than gains.

Certainly, everyone needs to do their "Due Diligence" before joining any bizopp, MLM or otherwise. But, the recruiters ought to downplay the hype and explain the work and investment of time and capital that may be required to generate the money they are claiming is possible.

Just my opinion.