How To Identify A Scam Network Marketing Company

If you are on the look out for a extra income opportunities or trying out making money online this article will show you how to identify a scam network marketing company to save you from being cheated off your money before you even get paid your first dollar.

scam mlm company

First thing you need to do is to know the truth that is, there is no push-button to riches. These companies often target on people’s weak emotional points and it usually involves money. Here are some of the ways to tell if the company is legit or a scam.

They operate without proper setup

Many a times, you will find that these MLM companies operate without any proper license & legal formalities. They don’t have address in your city. They particularly run from a single address & operates all business from that address only.

You don’t even find a proper method of payment. Either you will be asked to pay someone & get the PIN & when you want to withdraw your income, they will ask you to sell the PIN to someone & collect payment from them.

Their concept is illogical

Many of the companies in India operates without any logical concept. One of the common thing in these concepts will be pay money & get monthly income by doing useless things.

Its too good to be true. So beware of such concepts that looks like investment plan.

Ask for money before the job offer

You will find that it is strange that in order to get a job, you need to pay a sum of money to get that position. First, you don’t know them and secondly, you don’t give your money to someone you don’t know.

A job can be found for free and if you are really desperate, then go to the offices or stores and ask if there’s any vacancies. Getting a job needs effort and if you are expecting someone to get the job for you without lifting your finger but to pay a sum of money for a position, you may as well, purchase the position of the CEO of that company.

Vague and no information about their company business

I’ve the experience of attending a conference by a company that held for four hours and not tell what is their business is about. All I got out of the conference was to join them and to help them get more people to join.

If they are recruiting you, it means that you are part of the company. However, even being part of the company, your employer here is withholding the information about what business are they doing. It is not safe to join a company that you know nothing about.

Promise fast track to riches

In many cases, scam network marketing company often tells you the story about the profits and the riches you will get within a few months. It all seem so easy without much effort, which is what many people dream of. After all, many people hated work and putting in effort to earn lots of money.

Well, take a look around and check if the person or many of the existing employees of the company are driving expensive sports car and living life like a king. The key here is, without effort, money is not going to come to you and even if they seem like nice people giving you money like waterfall, wouldn’t they give it to themselves first?

Now that you know some basics on how to identify a scam network marketing company, hopefully you can prevent it at all cost. If there are some things that you are unsure of that I’ve not covered it here, then do make sure you check and research around first.


  1. It’s easy, if their concept is not so easy to understand then it is a scam. I mean concept is their logic.

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