Business Opportunities
How To Spot SCAMS - The Law
Because so many people over the years have lost money on so called "business opporunity programs", a number of protections have been put in place, to protect the public. In particular it is now enacted in law that any program which encourages people to make a payment on the basis of which they can get other people i.e. referrals to also make a payment, is classed automatically as an illegal scheme. In simple english this means if a program advertises itself as "a business", and that someone can/will make money by joining, then if all the "business" involves is paying a membership fee and getting others to do the same in some kind of downline structure, then this is probably an illegal scheme
The reason the law takes such a strict view of these kind of arrangements is that the primary purpose of these "business opportunities" is to defraud the public, by offering a trading scheme which is totally unviable in the longer term. This is no accident - the program owners know this perfectly well. The program will soon collapse leaving the members with nothing to show for their money. This is why such programs come and go with mind numbing regularity. Pyramid schemes with downlines which get larger the further you go down the pyramid, are unethical and unsustainable, since it is impossible to recruit enough people to keep the downline system going. These programs will not provide you with any income and by promoting them you are involving yourself in the same fraud as the owners
Why Many Business Opportunity Programs Are Unsustainable
To illustrate how growing downline pyramid systems will not work, consider how long it would take to turn $1 into $1,000,000 or $1m simply by doubling. In other words suppose you started with $1 and doubled your money every day, how long would it take before you became a millionaire? The answer is as little as 20 days!! Obviously these kind of schemes have no hope whatsoever of working, and the people that run such "enterprises" know this as well. Therefore to take momey from people on the basis of "false promises", which can never ever be kept, is purely and simply a deliberate fraud
Is There A Real Product??
The real key to spotting deliberate SCAMS is to always look for the product - i.e. what are you actually getting for your monthly membership fee? If the answer is nothing or virtually nothing, then this program is almost certainly a SCAM or fraud of some kind. In such circumstances - do not part with your money!!
Always remember, as a guide, the best programs always have a real product or service you are selling. Any program which doesnt have a real product but is simply passing around membership fees and where you only earn by referring other people, who must refer other people etc, is very unlikely to make you anything
For this reason concentrate on those programs like
The FreeStore Club
where there is a real product you can sell from day one and earn without a downline. Obviously you will grow your downline in time, but at least you will be earning simply by selling the products. I can assure you I make alot more from these product based opportunities than all the other "get rich quick" type schemes you see online - most of which are actually illegal in any event
Network Distribution
Network Distribution is a system of marketing used by many product based opportunities. The idea is that everyone retails a small amount of product per month in their local area, so that the total sales of the "network" are significant and growing - e.g. if you had a network of 1,000 people distributing say just $50 a month, then the total sales for the network would be $50,000. The fact that there is a downline system built into this netwwork is not a problem because people do not need to get involved in the downline aspect if they dont want to. Distributors can simply sell the products and collect their commissions and therefore they are making money immediately
The once company I would personally recommend, which has made money for me week after week, and always pays on time, is
The FreeStore Club.
It provides people with their own website and hundreds of products they can sell from day one and keep all the profits. I have never come across a home business before which actually allows people to keep all of the profits from the sales of the items themselves. If you are looking for a genuine home business, then there is no better place to start then with a real "bricks and mortar" business, which has its own warehouse, customer service staff, mail order distribution system etc. You can take a look at the details at the site below
www.FreeStoreClub.com
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