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I. What is a pyramid? * A pyramid scheme is an unsustainable business model that involves promising participants payment or services, primarily for enrolling other people into the scheme, rather than supplying any real investment or sale of products or services to the public.[1][2] * Various forms of pyramid schemes are illegal in many countries including Albania, Australia,[3][4] Austria,[5] Brazil, Canada, China,[6] Colombia,[7] Denmark, the Dominican Republic,[8] Estonia,[9] France, Germany, Hong Kong,[10] Hungary, Iceland, Iran,[11] Italy,[12] Japan,[13] Malaysia, Mexico, Nepal, the Netherlands,[14] New Zealand,[15] Norway,[16] the Philippines,[17] Poland, Portugal, Romania,[18] Russian Federation, South Africa,[19] Spain, Sri Lanka,[20] Sweden,[21] Switzerland, Taiwan, Thailand,[22] Turkey,[23] Ukraine,[24] the United Kingdom, and the United States.[25] * These types of schemes have existed for at least a century, some with variations to hide their true nature. Multilevel marketing plans have also been classified as pyramid schemes.[26][27][28][29] II. What is Multi-Level-Marketing?

* Multi-Level Marketing really isn’t something that is bad. Some MLM companies have given the home business industry a bad name. Many companies will tell their associates to only take care of those that chose to be associates with the company and not just customers * Associate based companies will never survive and in a way they are more of a illegal pyramid company. The reason I say this is most companies only make money when they sale their products to consumers and not to the associate. * Consumers are what real honest companies focus on. Think about it …If you take a 100 percent of a companies earnings and break it down * You will realize that only 20% are sales associates and 80% are consumers. * Now with that said how can a company

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