Why are MLMs/ Network Marketing 'businesses' a scam?

[Spongebobette]

This is the 44th thread in a long series about the dangers of network marketing/ MLMs such as Forever Living, Ariix, NuSkin, Arbonne, Younique, Valentus, TS Life, and MANY MANY more!
Posts here will give examples of the lies told by 'top bots' who portray luxury lifestyles in order to lure in new victims and of the other techniques and brainwashing used by MLMs
Over 90% of people who join an MLM end up LOSING money. Always bear that in mind when considering paying money to join!

Just listened to part of a piece on Inteletravel on Radio4's You and Yours. Mainly about how reps are poorly trained and unable to get any deals due, among others, to lack of ABTA registration. Most are out of pocket and unable to sell as much as a bus ticket.

I didn't catch the whole piece, so I don't know if they touched on the MLM aspect.

I say MLM, but if you can make money purely by recruiting, without any sales being made, that would be a Ponzi scheme, would it not?

SSDGM - I'm sure she'll go regardless, she had such a great time at the last one!

She must have given up this year as she is looking for recruits from January.
Still prepared to con poor souls out of their money when she knows they will not make a penny, and will in fact lose money spending on crap products and events.
She is a vile individual. Can not wait to see the whole pyramid collapse.

Still no news from Mrs stickman. Really hoping she did see the light. Wonder how yawn took that if she did.

what job is Yawn's husband doing?

I think he works with bffs ex husband. Something techy I believe.
Obviously they like keeping that under their hat. Not only does yawn have to continue in bizniz (even tho she pretends she doesn’t need to), her husband also has to secretly work.
Can you imagine the toll it must take trying to keep up with all of her lies and bullshit.

I just saw a post from Lanzabot about Yawn’s BFF congratulating her on have qualified for an extra level of Global Rally - additional spending money? As far as I know, Yawn has qualified for the basic package so far... is that right? Are we expecting a repeat of last year with Yawn in the cheap seats/no cheque and BFF qualifying for VIP & a cheque?

I find it interesting how well BFF seems to do as she doesn’t do the hard sell like yawn.

Maybe BFF has been lucky with a handful of hardcore recruiters in her downline?

But yes, it’s fascinating how different their social media profiles are.

Can anyone remind me what the hierarchy is? Is Lanzabot BFF’s upline? Who is Yawn’s?

I think lanza is bff's downline and nothing to do with Yawn. I wonder if bff had family I her downline. Does anyone know who bff had in her downline who keeps her in chairman's bonus cheques?

Is it actually possible to create enough income to have a ‘dream lifestyle’ by flogging Forever Living products and recruiting? Or do the Chairman’s bonus cheques make all the difference?

I think bff is in Yawn's downline which keeps Yawn qualifying, but not recruiting enough new business is what meant Yawn missed out last year. Hopefully Dora knows!!

@Doratheexplorer knows it ALL

So, comparing it to a real world J.O.B., you can be a manager/boss but one of your employees that you manage can actually earn loads more than you?

Well she’s been recruiting like crazy for months @Doratheexplorer, so maybe the bonus is in the bag.

I think the recruits need to achieve more than just buying the business in a box and then slip off the radar.

Thanks Dora - very interesting!

I honestly think if there's no cheque at Global Rally then next year the company will be dissolved. I just looked back at her latest accounts. Their biggest debtor is Yawn herself from her director loan which I doubt she can repay but they need to settle with their creditors - tax, VAT, bank loan perhaps? The accounts make bleak reading.

While I agree that @Doratheexplorer does present us with interesting information she fails in so many other ways.

Needs a map to get anywhere, spends her days talking to a Monkey and needs help to answer simple questions. I also have concerns with her family situation. Only 7 years old and goes wandering off alone into dangerous situations. What are her parents thinking? She gets followed around by a fox and her parents just don't care.

Is it possible that this year Yawn may have helped one of her team to get to where they need to be to get that cheque?

I agree about her accounts, she is going to need to find any awful lot of money to repay that loan while business is decreasing. FL is dying in the UK, and new recruits just buying the business in a box is not going to keep the upper bots going for much longer.

Are Stella and Dot and Me and Em MLMs?

Stella and Dot is, I've not heard of the other one.

@whiterangey wow I'd never thought of Dora that way...dios mio!

One of Yawn's downline did make manager so it isn't beyond the realms of possibility but I bet the pot to be shared is smaller again this year so cheques won't be at 2016 levels ever again.

Re. Stella & Dot - yes 100% mlm. Avoid like the plague.

Just looked up Me & Em and, despite the grammatically ambiguous name, it appears to be a rather nice clothes line with no mlm element. I would go so far as to say it is actively distancing itself from the mlm model with this statement on their website:

"Full disclosure: we take our designs directly from supplier to your wardrobe through our own stores and website. With nothing in-between that could bump up the price unnecessarily, you can be sure that the only thing you’re paying for is quality, design and a great fit."

I went to a school Xmas fayre yesterday. For the first time ever there were no signs of MLM's, just lovely small independent traders selling there wares. It was wonderful.

How lovely @Paddy1234.

I tend to dread fairs because the MLM stalls depress me