How to spot your friend(s) in a Multi-Level Marketing company.

Most of us have heard of Multi-Level Marketing (MLM) or Network Marketing or Pyramid Marketing. It’s very commonly heard and it’s been around for quite some time. Even ‘Rich Dad Poor Dad’ author, Robert Kiyosaki speaks about it in his book and says that MLM will be business in the future or so it seems.

So, this post is dedicated to all those who are wondering how to spot if your friend(s) is involved in one!

  1. It starts with a pitch by the ‘agent’ on the possibility or opportunity to make more money without revealing what or how it’s done OR asking you if you wanted to be their business partner. (No one becomes a business partner easier than MLM)
  2. To learn or know more about it, you’d have to attend a specific function.
  3. At the event, you will see highly enthusiastic people with so much positive energy. Not that it’s bad, it creates the ‘culture shock’ effect for the new faces. For those unfamiliar with such environments, it is a fresh one for them since most of the time in their life, they would have been pretty miserable.
  4. The products, in the past 10 – 15 years have remained fairly consistent, health and wellness products. In the past, they said it’s to serve the baby boom who have since grown old. Now, it’s about you wanting to give a better life to your family.
  5. Once you’ve attended the ‘seminar’, your friend will pull you to the side, sit you down and ask you a few questions…..
  • “What do you think about it?”
  • “Do you think it’s something that will benefit you/your family?”

If you answered ‘POSITIVELY’ to both, you’re an easy kill.

If you didn’t, a bit more probing will be done through some careful leading questioning techniques which you will eventually find yourself convincing yourself that it’s good, regardless how sceptical you are about it.

Once that’s done, depending on prior information that your friend has supplied to his ‘upline’, seating positions takes place. If you’re right handed, the upline will seat on your right and your friend will take his place on your left. It’s actually a really good sales strategy, ‘cornering’.

Then the closing techniques will take place.


“Why not?”

It’s throwing the curve ball back at you basically if your response initially was positive but turned negative since you decided that you needed a bit more time to think about signing up. (Good to keep your wallet elsewhere when you attend their events or to request time to do more research on it. These days, with a smart phone, just Google ‘Company XYZ Scam’. You should get a few hits if it’s not legitimate)

But here’s THE BEST PART ABOUT KNOWING that your friend is in an MLM company.


Your friend will take photo of him/herself with a stack of money and pose with it with some very positive and energetic words! Now, who doesn’t love and want more money right?

So, how does MLM work?

The sales and recruitment strategies have remained the same, get a few downlines to form your own pyramid and receive overriding commission based on sales by your downline. It’s a multiplier effect and to such point whereby you no longer have to recruit or sell, because it then becomes passive income and that’s the keyword that every single person wants to hear.

Some companies require a ‘membership’ fee and if they’ve got products, some will require that you buy these products as your inventory to sell. Whether or not you can move your products will depend on how desperate you are to recover your ‘invested’ money and to make a commission. For those that don’t require product sales, it’s all purely based on recruitment fees. So, once the recruitment stops, that’s when the whole thing fails.

Product training is provided but for what I’ve seen and observed before, the products/services are never registered or legally approved by the local government and therefore, it is often sold as a revolutionary product that is currently seeking its credentials in the market and you don’t want to miss out on it or miss out on benefitting your loved ones. Or they’ll tell you that it’s a really popular brand in some XYZ country and trying to open a new market here but doesn’t want to go over the counter, prefers personal sales touch.

I’m not doubting on the products but if the company really has confidence in the product, shouldn’t it be registered and checked by the governing bodies to certify it safe for use.

I’ve always enjoyed attending to such MLM seminars or attend the trainings provided because they do provide pretty good sales training strategies and you will get the energy boost you are looking for!

In some cases, you might get a cult-like feeling with some cool and fancy handshakes or cheers!

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