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Is MLM so bad?

ScottRams

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Hello everyone. An old colleague of mine just approached me with a business opportunity to work for World Financial Group / Transamerica. Does anyone have experience with these companies or this opportunity? He's doing extremely well (18k last month) and has been at it for a little less than 2 years. I am trying to decide whether or not to start my own business (service based business in the Auto industry) or let him take me on as a mentee and try my hand at selling life insurance and financial products. It is a MLM business model, sell the products and sign up others under yourself. I've seen mixed reviews on the company.. I know people aren't too MLM friendly around here so let me disclaim, I am not promoting their products or company, just asking for honest feedback. Thanks!
 

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rollerskates

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I'm really anti-MLM, but think of it this way, what's your big goal? Work for yourself? Just do something to pay the bills? Is this part of your big life plan? Will you resent the bigger earnings your friend makes for putting you in his downline? Is this company something you believe in?

I have gone through times where I'm dead broke, and not once have I considered selling candles or tacky clothing or oils or all that other stuff my friends peddle. It's a terrible way to make money, and mostly you are working to increase other people's income when you do this. Consider how it would affect your friendship as well.

If you're doing it solely for the money, I recommend going a different route. You don't have to actually answer my questions but it's something to think about.
 

Scot

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selling life insurance and financial products. It is a MLM business model, sell the products and sign up others under yourself.
Do you have friends and family?

A decent number of friends on Facebook?

Are you the kind of person that cares about what others think of him?

Then... be prepared to piss off everyone you like. Can you honestly say that you've ever wanted to talk to someone trying to sell you Life Insurance or Retirement? Or did you avoid them like the plague.
 

MJ DeMarco

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Is MLM so bad?
Yes. It's that bad.

Does anyone have experience with these companies or this opportunity? He's doing extremely well (18k last month)
I wouldn't call that extremely well, but yes, extremely well in an MLM.

I'd guess your friend would kill it if he put Fastlane principles to work instead of subordinating himself in a hierarchical control structure.

And if you think MLM is great, try declining your friend's offer and see what direction your friendship goes.

Now extrapolate that to all your friends and family.

You don't want to be the annoying guy at the party, on Facebook, at the picnic, or at the ballgame -- but eventually all MLMs will do that to you-- they turn you into the "no, don't invite him!" annoying guy.
 

garyfritz

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See my previous MLM response here: Anyone involved in Worldwide Dream Builders/Amway?

If your buddy is making $18k/month -- are you SURE that is $18k NET PROFIT?? -- then he is incredibly exceptional. Probably 99.9% (or more) of the people entering the company don't succeed like that. And he's probably alienated a whole lot of his friends and remote acquaintances to get there.

Apply your energy to your OWN business and you'll almost certainly better than you would by trying to build an MLM organization.
 

DrunkFish

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I have literally never in my life liked being around someone who 'does' mlm for a living. Family or not, successful or not.
 

GoGetter24

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If you get in at ground level, and the particular scam MLM you're in takes off, and you're sure they've fully skirted anti Ponzi scheme laws, and you're happy getting wealthy primarily off other people's stupidity and desire to piss on their reputations for a few bucks, then yes it's not so bad.
 

Bhanu

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Run..Run as fast as you can from anything MLM .
I have been a member of a MLM and believe me it started affecting my relationship with friends,family .Plus pressure from member above you was so stupid . I felt like a slave working in MLM .Never going there ever .
 

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Kak

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Yes.

Unless you are on the hundredaire fastlane where you make minimum wage or less with 20x the effort.
 

Bennu

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I was involved in a couple of MLM's over the years, and there are two reasons I will never touch them again:

1. You are constantly working and will never be able to stop. It's worse than a job. You literally have to make it everything you think about and do 24/7 to get anywhere and not just for a couple of years, but for as long as you do it. Those top people who have all that money? They didn't make it through the MLM. They're the ones selling it to people like you. They're shills, stand-ins, fakes. It's like the cups and balls game or three card monty on the street. A couple of friends of the guy act like "customers" and they "win", showing how easy it is to win. Then the dupe tries and they get played. You may as well give all your money to a televangelist for all the ROI you'll get.

2. It forces you to look at everyone you know and everyone you meet as a prospect. It will make people avoid you. You'll never be able to have any kind of normal relationship with anyone because everything is filtered through whether or not they'll get on board with the MLM. MLM's will take the most well-meaning, earnest people and turn them into annoying douchebags. Stay away!
 

Rabelo

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MLM is not bad at all... what matters is...which side are you on? Founder or the other ? Most people fall under the "other" and that's what makes it bad.
In summary...build one ..if not...just stay away from that industry
 

garyfritz

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In summary...build one ..if not...just stay away from that industry
If you can successfully build and run an MLM company (which requires all the same "skills" as a lowly distributor building his organization from scratch, in addition to company-running skills), and if you don't mind using people and lying to people (you have to sell everybody on the dream, even if you know 99% of them will fail), etc, then yes, you might make good money.

But I would say "stay away from that industry" anyway. Go build something that doesn't take advantage of gullible and desperate people.
 

Rabelo

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if you don't mind using people and lying to people (you have to sell everybody on the dream, even if you know 99% of them will fail), etc, then yes, you might make good money.
it depends what product you are selling. there are some good MLM companies that sells good product but rare,this industry has been saturated by crappy MLM Companies aimed to trick people and deliver 10 times less than expected
 

garyfritz

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it depends what product you are selling. there are some good MLM companies that sells good product but rare,this industry has been saturated by crappy MLM Companies aimed to trick people and deliver 10 times less than expected
If the PRODUCT you are selling is the MLM's actual PRODUCT, then fine. But you'd be better off to sell your own product without the overhead, stigma, etc of the MLM.

If the PRODUCT you are selling is, in reality, the MLM ITSELF and its "opportunity" -- then not fine. Refer back to my earlier posts.

And yes, I agree with @Vig. This topic has been beaten to death many times before. You're not likely to convince anyone here.
 

HackVenture

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People run away from you as soon as they hear that you are into MLM.

Friends and relatives look at you with pity and dread in their eyes.

That should be enough to turn anyone away from any MLM, even if it makes you money, which it often doesn't.
 
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ScottRams

ScottRams

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Dec 4, 2017
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Wow, it seems pretty unanimous! Thanks to everyone who offered some advice. Real Real Denver, that was the best info I have been able to find on WFG so far, I really appreciate you posting the link. It's safe to say I will be moving in a different direction.....
 

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