Pyramid Schemes

mlm business vs pyramid scheme
Investment Scams

Multi-Level Marketing (MLM) vs. Pyramid Scheme: Know the Difference!

A distinguishing factor between MLM and a pyramid scam is how the businesses run. MLM is a marketing strategy. MLM consultants, contractors, or distributors are compensated by selling the goods to other multilevel marketing participants. You enroll them if they aren’t already a part of your MLM business.

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Investment Scams

The Famous Pyramid Schemes in Modern History

The fact that the early investors receive these substantial returns prompts them to endorse the program to others. Returns to investors are paid from fresh capital coming in. When there are no more investors left, the pyramid eventually falls.

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