Is Your MLM Company In Compliance?

Did you know that a company can develop the most legitimate MLM PROGRAM in the world, but distributors, who have NOT been trained in compliance, by their words or by their activities, can turn it into an illegal PYRAMID! Furthermore it only takes a handful of distributors to do this.

To protect yourself and your company these are some of the statements that you DON'T ever say:

Don't tell people that NO selling is involved (If product sales aren't involved you are looking at a program that is very likely a PYRAMID).
Don't tell prospects that it's ALL about recruiting (doing so could cause a legitimate MLM company to be viewed as a PYRAMID).
Recruiting individuals must come second to selling the company's products.
Secondly, does your MLM company have a PROPER Income Disclosure Statement? If so your MLM company and yourself can make ANY TRUTHFUL income claims. My advise to you would be to use the Income Disclosure Statement EVERY time the compensation plan is discussed.

Once again to protect yourself and your company these are the statements that you DON'T ever say:

Don't make income claims, show tax returns or even a copy of your latest check to your prospects.
Don't make claims for which you have no factual basis.
Does your company offer an AutoShip and or AutoOrder Programs? If so here are some things that you DON'T want to do:

Don't promote it as a way to make sure that you don't lose commissions.
Don't tell people that it is a way to insure qualification for compensation.
Don't mention that it guarantees that you will meet your minimum monthly volume requirements.
Don't promote it as a way to maximize compensation, or as a way to stay qualified.

If you would like to promote the AutoShip program for your company you could inform your prospect about the positive aspects of the AutoShip program which are:

An AutoShip program is a convenient way to get your products automatically, and allows you to have products on hand for your customers. Some of the other benefits include:

Preventing you from running out of products, and can save you time and money.
Build a customer base and increase your sales.

Well there you have it. You now know the essentials of what you can and cannot do according to the law. Now you can build your business, your plans and your dreams on a rock solid foundation.

To your success,

Wanda

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