Business or Pyramid Scheme - How To Tell the Difference

I must admit I have generally filed MLM in the same basket as pyrmaid schemes. So when this one came around - I asked someone I know, who is involved in a genuine MLM business (which sells candles of all things!) 

This is what he said (published with permission) 

"The biggest problem with Empower Network is that the "product" is essentially the business opportunity. Not only that, but the marketing is based on continual "upsell" to those who have already joined. Get someone to sign up for $25 .. but then continually send them emails about all the money they're missing out in, if they don't get the $100 package, or the $300 package, or whatever new and exciting package they decide to add next week. 

I said, I know some people who are making quite a bit of money with this right now. But I can't imagine it will last long. 

And, the main reason I could never do it ... it violates the "mom rule" ... 
ie, would you invite your own mom to join your business (using her own money) ?"
In my case, my mom is a candle of the month club member (for several years now) ... but I wouldn't dream of showing her something like Empower Network. " 

The reason I was suspicious of this "business opportunity" is the person selling it couldn't tell me what the business was about, what it was selling, or if she got all the commissions, how the founders were making any money. In fact she believes they aren't doing this to make money at all - they started the Empower Network - to help other people. In the words of a famous beer ad in my country - Yeah Right. 

Unfortunately there is no free money in the world, or on the Internet. Its certainly possible to make money online, I do it myself, but try to avoid the scams along the way people! Be careful out there! 

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