Is Multi-Level Marketing A Scam?

Short answer: Yes

Everything he said was true- It’s also incredibly expensive. For the first couple years, you will absolutely spend more than you make. The products tend to be about 30% to 50% more expensive than similar products on the market , that you are required to buy a certain amount every month to keep your business up

How much did amway pay for this ad lol

There is something evil and wrong with the business when the people on the top of the pyramid sell the dream that you’re going to get rich doing this part time and you know damn well nobody gets rich other than the people at the top.

Ok. He is full time, and wife is full time, and ask if and "MLM" is scam. Dude, you are already in a scam, but you dont know it. Is direct selling marketing. In my opinion, I would consider checking what they sell, and if it's something that people actually need, and benefit from it.

They don't "hire" people.

It's clear Dave has friends who are successful in MLMs.

MLMs are just Time Shares for poor people. They sell you something that sounds great but it’s all just a way for a wealthy company to take advantage of people who don’t know better.

I believe in products... MLM company like tupperware still have unique good products.... Still... Its just how you exhcange money... With good product or garbage like by only recruiting not selling products...

MLM is not a scam. Dave is correct on this one.

lol Ramsey is making it seem like it's possible to be successful in MLMs without explaining that it only works if you get in early. and even those that are "successful" are coming out and showing the predatory practices being used in these MLMs and how they work more hours than an average job and make considerably less money. it's just not worth it

“Better than I deserve”
Lord bless those who admit it

Utterly disappointed in Dave. An MLM is an unethical business model and it destroys lives. Honestly, it sounds like Dave was not prepared for this conversation. Explains why there is 266K views and only 8.7K likes.

I really like the straight-up explanation of what it takes to succeed in this type of business. I think that kind of explanation would go a long way in helping people who are recruiting primarily shift from recruiting tactics that turn people off, to focus on sales and sales training for those that self-identify as wanting to try selling the products. The Amway business in particular could benefit from a more product sales perspective and let the IBOs come more to the top- Im not against recruiting, desperation can lead to manipulative tactics though, and that turns people off. It doesn't have to be that way- sell it and build it the way the founders recommended- by selling products first.

Dave, I know you’re not stupid. You understand what these schemes do to people. This was piss poor advice and I have no respect for you.

now why would Dave not condemn that mess? shame.

the issue is the generally overpriced product that is unsustainable to the business model and difficult to sell

YES IT IS.

Yes. It’s all a scam.

Of all the people to not know how terrible MLMs are... I wouldnt think it would have been Dave. Very disappointing that he hasnt done his research on this so he could lead his listeners properly.

Fun fact if everyone in a down line recruited 6 people each it would only be possible to get to 12 layers of recruitment before it fails. It is mathematically impossible for MLMs and recruitment to be profitable for majority of their people who join

Yes. Saved you 8 minutes.

There’s nothing evil or wrong with the business, Dave? Most people lose money in these cults, Dave. Why don’t you try coming down from your ivory tower and ask some regular folks?

Dave is certainly correct when he says you really can’t expect to do well in MLM only working part-time. I know someone making over a million/year on MLM. However, he’s very talented at what he does and works at least 100 hrs per week. He also is constantly traveling the world recruiting and promoting the business.

MLMs are pyramid schemes without the upfront payment. Really no difference. They are weirds cults, and should be illegal in my opinion.

I’ve been researching for a week straight and this is the most clear concise and helpful advice. I’ve either heard good or bad. This guy gives you the truth fr

Compare how Dave answers this question vs how Ramit Sethi does on "How to Get Rich." I don't understand how Dave can be against leases, debt, and credit cards but have such a soft stance towards a business as predatory as MLMs. Come on Dave.

I don't get how you could not deride people who are setting people up to fail from the beginning. Oh, I guess they're your friends.

Wow, sure didn’t expect to hear Dave say that Amway, and other MLM are a good idea. Please, anyone considering getting into an MLM, do your research. There are plenty of individuals who will explain how people end up ruined after getting involved in these scams.

So for the MLM company to be successful it should then simply have a high-quality and affordable enough product. Since the vast majority is not necessarily going to be business builders but product users that don't care about selling products.

He ain’t gonna find retirement in an mlm company, especially part time 🤣

Anyone knows HGI ?

If you seriously have to ask that question then good luck😂😂😂😂😂

There may be people making money in MLMs but I just don’t like their practices. The overall experience that I and other people I know have had is that the people in these organizations are not honest with people who they are trying to recruit. They will lie, manipulate and do whatever they can to trick you into going to a meeting with them or joining the organization. If the heads of the MLMs cared at all about any of this, they would make it part of their training that these kinds of tactics should not be used but they don’t do this because they don’t care as long as the people at the top are getting their money. Any organization that doesn’t care about how all of their people from top to bottom are representing them is not a respectable organization, IMO.

I got bad feelings that he ended up signing up for the MLM. And he’s regretting to this day

Knowing what I stated below to be a FACT that is impossible to avoid the question... WHY Ramsey would say anything less than that MLMs are NOT EVEN BUSINESSES, they are carefully crafted financial TRAPS that generally ensnare the most vulnerable people? They are PYRAMID SCAMS and the ONLY reason that they continue to operate is due to bipartisan lobbying and heavy campaign contributions.... There's a revolving door between top positions in MLM companies and political offices.....

There’s so much negativity. People don’t have the right mindset. Nothing is ever easy some things have more potential than others. Most people don’t have what it takes to do anything more than a 9-5 their whole lives because it’s “safe” those are the ones that should not be joining.

With all the love and respect I have for Dave Ramsey, calling Amway sales reps "good people" is far streched in my opinion. Ruining peoples lives despite knowing what the business entails to get anywhere close to making good money is not good christian people.

"Nothing evil or wrong about the business." "They are Christians" Talk about soft pedaling and dancing around the subject.

Dave always gives it straight before, now, and in the future. Love it.

I like Dave Ramsay and learnt a lot from his interviews but in a sense his company uses the same techniques as MLM'S...His smart vestor pros are his network and Dave's company makes a small % cut for each member they sign up....

Have some class if you’re gonna do it. And put in the time and effort. Also, have a good heart and be a good person!! You won’t burn bridges, you won’t lose money, you WILL develop new skills and make a lot of other people very wealthy as you do!

mlm is evil

MLMs don't work. Avoid them.

How are all of the anti MLM’ers holding up after we’ve learned who the real predators are? MLM generally does not pay advertising dollars to lying, corrupt, manipulative, gaslighting, fake Mega Media Money Mongers! Enough said.

Strange he said there is nothing evil or wrong with MLMs. They literally prey on people's weaknesses and make financially struggling people even more financially unstable. You can easily look at any MLMs financial disclosures and see what percentage of people make how much money and all of those companies have the tiniest amount at the top of the pyramid. He should be advising his callers against MLMs as much as possible. Their chances of making money is soooooo low, if anything they will probably lose money just to try to stay active in the business.

Im real surprised by Dave's response. I woulda thought based on how he perceives money in general that he would wholeheartedly advise people to not jump into a pyramid scheme. I wonder if he gets paid to speak at any of their seminars?

Come on Dave, you're better than this. MLMs destroy people's lives! I've had friends and family personally harmed by these companies

It is so easy to listen to sweet music but they are not really working to a lot of people
Very few are making it.