Are MLM Prelaunches Scams?
The big trend in network marketing the last years especially for those companies with a web presence is the “pre-launches”. A period before the official launch and start of operations in order to attract distributors who can usually sign up for free during that time window. A look at the Internet world today and you can see many of them being in that state, trying to lure new members with endless promises of a bright future for them and huge success and longevity for the start-up company.
The truth however is that the great majority to the tune of 99% and up would fail miserably and close doors shattering the dreams of the individuals that entrusted them with their belief that would become their vehicle to financial freedom. Most would go bust within months while a smaller number would hold for some years. However, a tiny percentage would manage to survive and become the big companies of tomorrow that would set the example for the others.
But what about those that fail, are really scams, or nothing more than bad managed from the beginning?
Actually no one can deny that a big number of them was designed as scams from the beginning. Their only purpose was to take the money from the members and run with them. The nature of the pre launches is such that many con artists can exploit them to their own benefit. And it's not only reserved for the MLM world as there are countless investment scams in the business world targeting inexperienced and gullible investors and many of them are presented as start ups.
A prudent advice for anyone lacking experience in the multi-level marketing industry is to stick with companies which are operating for years and have a spotless record and many happy members. Start-ups are a field better left to distributors with many years on their back and great knowledge of the people who are the movers and shakers of this industry, as well as the necessary connections that would provide them with more information.
The only exception is if you really trust and know well the person who tries to sponsor you into one. But even in that case don't forget that there is always the possibility that he may be wrong.
About the Author: If you are thinking of participating in a new network marketing opportunity you should learn first why companies may do an MLM Prelaunch and how to protect yourself.
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Print Article | Download PDF | 32 views | May 15 2008
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