Today I am going to put an end to some of the myths and the reality about pyramid schemes. Since the early 1900’s people have been involved in many different types of business ventures. There was and still are several different types of pyramid scams posing as legitimate businesses. The get rich scheme better know today as the pyramid works in a few different was, but I only going to discuss the most popular one today. This is the one that most people are familiar with. What traditionally happens is, someone or a company with set up a dummy firm or group. Let’s call our group XXX. What happens next is the hook, the intrigue or lure which draws people in and that is the promise of large payoffs posing as profits.

The main object of a pyramid scheme is to get in first or very early. Then each person must bring in a certain amount of people let keep it simple and say 10. Each of those people including you will pay for example $100 dollars to group XXX. Now prior to collecting any money at all the group has already outlined a payout format to determine what each person will receive and when. So let me help paint a picture for you, I want you to imagine a huge ladder. This ladder can hold 100 people, no more no less. So every time one person gets on the ladder someone moves up and it’s based solely on when you get in. O.k. we know that a ladder has steps and at the top can only be one person. This is the money guy. So when you reach the top of the ladder you will get paid $1000. But you must then vacate your spot so the next person can move up when someone joins at the bottom and get paid their $1000.

What is supposed to happen? Never does and this is how people get ripped off? The person who got paid at the top is supposed to start all over. Some will most do not. Therefore if you did not get in early it’s a good chance that the pool of people joining in will dry up and the people at the bottom of the ladder will never get paid. Company or group XXX will normally fade away leaving people high and dry and wondering why? And then they set up again under a different name and start the whole process over again. Now my example was relatively simple, lots of these pyramid schemes get people for hundreds and even thousands of dollars. Pyramids are just have no foundation which is why they always fall apart. Most are no different than rolling dice with strangers in an alley, maybe you will get paid and maybe you won’t!

I know you wanted to know if MLM’s are pyramid schemes, and the answer is no. MLM stands for multi-level-marketing. There are thousands of them all over the place. Now I am not going to lie to you an say that every single company is legit. The world isn’t made up that way, we have good and evil, left and right, up and down, that’s just the way it is. However Network Marketing through a legitimate MLM is probably the quickest way for any person regardless of education or skill level to achieve financial freedom. A true MLM is set up so that you provide a service or product to people. So you are fulfilling a need and you get paid for that. When a customer likes your product or service, and continues to buy every month that’s residual income. Network Marketing is designed though so you can maximize what you make through various sales funnels and/or by teaching others to do what you do.

Both of these examples are pretty simple for the purpose of keeping the article from being ten pages. Now pyramids are bad, and you should use good judgment and common sense before spending you money. Research the company, how long have they been in business? Who are the CEO’s or founders? What is the company payment plan? The list can go on and on. The bottom line is do your homework and you won’t get scammed.

Don’t fall victim to a scam or pyramid, I can show you exactly what you need to know in order to run any legitimate MLM. Click on the link now to find out exactly how real Network Marketers are building MLM empires and living the lifestyle that you may be just dreaming of. Come work with me and learn the true secrets starting today. Put your name, email address and phone number in the box to the right and let’s get you plugged into some real MLM training & success.

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