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1,357 Ways to Make a More Money than in MLM

*MLM includes multi-level or network marketing, pyramid or direct (chain) selling, 2-ups, etc.

Unmask the Truth about MLM

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Consulting and Expert Witness Services
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Welcome to MLM - the Truth

You came to the right place for authoritative answers to your questions and reliable guidance in making decisions about MLM participation and/or help with recovery. This information is based on the most extensive research ever done on MLM compensation plans and profitability, on distinguishing characteristics separating legitimate direct selling from pyramid or chain selling, and on the deceptions used to sell product-based pyramid schemes. Some of the features (referred to on this page) that you may find helpful include:

- A do-it-yourself 5-step quiz to evaluate any MLM
- 1,357 ways to make more money than in MLM
- Typical deceptions used in MLM recruiting
- Expert witness resources for legal cases related to MLM
- Translations of reports on MLM into foreign languages
- Important new reports and developments reported on this web site →
- Consumer guides for deciding about MLM participation, average earnings, red
   flags to watch for, income tracker, actions victims can take, & more →
- Research backing up the startling conclusions on this web site (below) →
- Special markets, such as world markets and religious groups affected (below) →

 

Jon M. Taylor, Consultant & Expert Witness

Jon M. Taylor

Dr. Jon M. Taylor (MBA, PhD) has founded over 40 home businesses, focusing on sales and marketing, and consulted on many others. He has taught college classes on entrepreneurship, ethics, management, and personal finance. Also, his experience in MLM; communications with top MLM executives, law enforcement, and thousands of inquirers; consumer advocacy; and wide-ranging research on MLM - network marketing make him the premier consultant and expert witness on all forms of MLM, pyramid/chain selling, and product-based pyramid schemes.

 

Review Jon Taylor's bio and Vita.

More on consulting and expert witness services offered by Dr. Taylor to assist attorneys, law enforcement agencies, investment advisors, etc.

Key Legal Issues related to MLM

Law enforcement, regulations, and new legislation affecting MLM

DSA vs. Consumers

Abandoning consumer protection, the FTC yielded to DSA/MLM pressures to exempt MLMs from having to disclose information that might help prospects decide whether or not to  participate. Dr. Taylor submitted comments vigorously opposing this exemption. (item #7)

 

Consumer Awareness Institute

Our mission is to seek and share the truth about MLM (endless chain or pyramid selling schemes), through research, analysis, and feedback from participants who do real world market testing. Our numerous research studies and reports are posted on this web site, which has received visitors from over 140 countries. Our evaluations of over 350 MLMs and of their profitability has guided thousands of consumers to make better decisions regarding home income opportunities.

We have responded to thousands of inquiries from all parts of the world. We have also worked to discourage unwise legislation that would weaken laws against pyramid schemes – and to encourage 2nd and 3rd world nations to enact laws to protect consumers from the worst schemes coming from supposedly enlightened industrialized nations. In conducting his research, Dr. Taylor did not act alone, but consulted with top experts from government, MLM firms and the “direct selling” industry, universities, and non-profit consumer advocacy groups.

 

Research Portfolio

Opinions abound. Learn the truth about MLM based on objective research on success and loss rates, legality, ethics, etc. - for determining whether or not a particular MLM is a viable income option - or just another scam. Consumer protection agencies, attorneys, educators, and researchers will also benefit. This research – the most extensive ever done on MLM as a business model – includes:

  • Evaluations of over 350 MLM programs, based on analyses of their compensation plans
  • Surveys of over 300 tax professionals in four states (those who handle the taxes of MLM participants)
  • Court records for actions against numerous MLM companies
  • Review of actions by the FTC (Federal Trade Commission)
  • Surveys of consumers in areas of intense MLM participation
  • Surveys of presidents of leading MLM's and communications with other top MLM officials
  • Analyses of MLM companies' reports of average incomes of distributors, as well as published financial reports
  • Marketing and training materials of MLM companies
  • Correspondence & meetings with officials from the FTC & other federal & state agencies
  • World-wide feedback and blog entries from thousands of MLM participants, ex-participants, and families of victims
  • Insider documents, including interoffice memos of MLM officials
  • Surveys of current and past MLM distributors from dozens of MLM programs
  • Experiential one-year test of a prominent MLM program, including tracking of costs and income
  • Research on hundreds of packaged (non-MLM) home business options
  • Comparative analysis of identifying characteristics of direct selling, no-product and product-based pyramid schemes (MLMs)
  • Comparative analyses of odds of profiting from no-product and product-based pyramid schemes, and games of chance in Las Vegas
 

New Reports & Developments


See reports translated into Spanish, German, Finnish, Russian, Hebrew, and Dutch.

See recent feedback from visitors to this web site

New – The Case for and against Multi-level Marketing - 

New – MLMs Smoking Guns: Critics say MLM as a business model is flawed, uneconomic, & fraudulent. MLM promoters disagree. What the evidence shows. 

Typical Misrepresentations Used in MLM Recruitment  – at least 40!

New – Prevent losses: If joining an MLM, use MLM income (profit or loss) TRACKER 

New –  The odds of profiting at MLM  - Amazing!    

Consumer Alert: The FTC is yielding to DSA/MLM pressures to exempt MLMs from having to disclose information to protect consumers. (See item #7)

 

Consumer Guides, Media

Frequently Asked Questions & Straight Answers - MLM

1,357 Ways to Make More Money than in MLM

5-step Do-it-yourself MLM Evaluation - Surefire tool for avoiding schemes with a 99% loss rate

Shocking MLM Statistics – Compares MLM to games of chance in Vegas

Free e-book: "FIVE RED FLAGS" How to recognize MLMs that are a losing proposition – except founders & for those at the top of the pyramid. (44 p.).

Beware of 5 Red Flags - Summary Report

Unmask the deceptions - Typical
Misrepresentations
Used in MLM Recruitment

MLM Income (profit or loss) TRACKER

Summary of Key Conclusions, Based on Over 350 MLMs and 15 Years Worldwide Feedback 

Actions Victims Can Take

12 Steps to Deprogram & Rehabilitate Victims

Other consumer guides to help protect against losses, including 12 Tests for Evaluating an MLM

Podcast of Jon Taylor on MLM - Interviewed by Rob McNealy, Startup Story Radio

The Downline - a documentary about MLM recruitment

Humor & Satire, -- "How to Start a Pyramid Scheme & Get away with it," "Parable of the Missing Children," Cartoons

 

Research, Presentations


MLMs Smoking Guns
: Critics say MLM as a business model is flawed, uneconomic, & fraudulent. MLM promoters disagree. What the evidence shows.

Taxes Tell Who's Profiting – It's not new recruits!

High Cost of MLM Products

Revealing MLM Statistics: Average Earnings of MLM Participants – or - as the case may be - average losses.

Pay Plans Analyzed – List of over 350 MLMs analyzed

MLM as a flawed business model - If so, why?

 

Special Markets

Direct sales persons & business opportunity seekers

Asian countries, and worldwide markets

Utah - and LDS

Translations into foreign languages

 

Over 350 MLMs Evaluated

Below are a few samples of MLMs evaluated by Dr. Taylor: (Place curser over name for applicable links.)

 

See the full list of over 350 MLMs evaluated to the date below.

 
 Last updated March 11, 2010