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FIB - Scams 101 - Ye Olde Archives

Re: Yeah, but they're still *LEGALLY* MLM

Posted By: Dennis Bevers <bassco2@bellsouth.net>
Sunday, 6 August 2006, at 4:38 p.m.

In Response To: Yeah, but they're still *LEGALLY* MLM (Nathan Haines)

Just like any legit MLM company such as Watkins, TupperWare, or Pampered chef. MLM programs originally compensated people chiefly for direct sales. You could make money just selling their products. Your downline was supposed to be an expansion of your own sales efforts.

>Unfortunately it didn't take long before some yo-yo figured out that he could >make big $$$ is a short period of time, just recruiting dealers. Afterwards >mlm erroded into a ponzi type scheme, gained a bad reputation and the rest is >history.

But the difference with K & B, as well as the others you named, is that they all have real products, that have a proven demand. In a Ponzi scheme, the opportunity is the product - No real product whatsoever.

Watkins, TupperWare, Pampered Chef, Mary Kay, Kaeser & Blair, all sell products to end users. For the most part, our users are business, industry, and government, while the others are direct sales products to consumers.

No reason for these companies to erode into a Ponzi when they are selling real products to real buyers.

Kaiser & Blair can not legally claim not to be MLM. Read through the sales material, the website, the videos, everything. They never, ever, ever deny being MLM. It's the dealers making that claim, because they are ignorant of the law.

Kaeser and Blair, Inc. doesn't make any statement about Multi-Level Marketing in their materials for the simple reason that when you are promoting your business or opportunity, you sell what you have to offer. A real business, with real products, that are in demand. You don't put negatives in your sales materials, no matter what you are selling.

I will agree that Kaeser and Blair falls under the description you posted earlier. But, it is still far removed what typical MLMs are about.

Kaeser and Blair, Inc. has been operating under the K & B name since the 1920s. The "Authorized Dealers" are Independent Agents according to the definitions of the IRS, Social Security, and the FTC. I haven't seen any rulings by them that specifically cover whether they are of the opinion that K & B is operating as an MLM.

Ninety percent of the dealers have no associates they have sponsored. So, recruiting is not mandatory for either remaining a dealer, or generating an excellent income.

Why are you so worried about whether or not K & B is MLM. I earn direct commissions for selling the products, Bic Pens, Titleist golf balls, Hanes shirts, as well as lots of generic products. I earn a good income from my $200K+ annual sales. I also enjoy a second income stream from sponsoring and training additional dealers in their own dealership.

I receive no compensation for any additional recruits who my associates may sponsor. In my eyes, I'm benefitting from a dual-income opportunity.

No one can sit back, recruit a mass of dealers, never sell the first products and expect to receive override compensation. Every dealer has to remain actively selling in order to continue receiving the override payments.

One level of commission. One level of overrides. Two income streams with no 3 to 12 layers of upline, downline, etc.

Dennis Bevers

My no-cost, low-overhead, home-based bizopp that works.

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You'll find great information in this "Read Only" Archive, but remember..... things change.
Be sure to visit the Current Message Board when you're finished here.

We're very friendly, so don't be shy... just jump right in and post your question.
Scams outnumber legitimate biz ops about a bzillion to one, so it's well worth your time.



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