LOVE THIS VIDEO!!! Over 20 years ago I joined Primerica, because a customer convinced me to go to a meeting and I loved personal finance. Huge mistake! After spending $200 on start up costs (on a credit card at that), I attended 3 meetings. All of the meetings focused on recruiting people. I still don't remember what products I was supposed to sell. After the third meeting ended, one of the top members came in fashionably late from their Hawaiian vacation. The lady shook my hand, never asked what my name was, but asked "Are you working on recruiting?". I left and NEVER looked back! Thankfully, it was only a $200 loss. Now, I'm debt free and a Ramsey Coach teaching people the right way to manage their finances.
that's an amazing story. So you went to 3 whole meetings !?!? You never got life licensed (the only way to get paid) and you didn't make any money !?!? Crazy, that does sounds like a scam...... Now you're on the internet blasting a company that you have zero understanding of and convincing others to stay away in their most vulnerable state when they don't understand what they are getting into. Also I knew a guy that made $250,000 a year at Primerica all off his own pen and didn't recruit a soul. Btw.... I don't work for Primerica, I didn't like calling my friends because they read complete BS like this on the internet and got scared its a scam.
We did an MLM back in the late 90's. We went into it with the mindset that we would NOT sell/recruit friends and family. We're both hard-working, intelligent people who were doing well at our full-time jobs, and we applied a good effort toward the MLM for about two years. Bottom line, two smart people who don't slack and "invested" about $14K over the whole two-year period made about $12K...so we invested a lot of time and effort to lose about $2K. The only silver lining, we stayed true to the no family and friends commitment and didn't destroy any relationships. Never again and we poo-poo any MLM talk whenever it comes up with anyone.
Just because you failed doesn’t mean it doesn’t work. Idk what in god name you spent $12k on but it’s obvious you guys weren’t looking at profitability early on
Wow! Got it all figured out there just from my comment, eh? You sound like someone about to pitch us all on an amazing opportunity that everyone is talking about.
First Ramsey personality that I've seen actually be so aggressive and honest about MLMs. Love it, but I have a feeling this video is gonna end up getting taken down lol
Yep, some of the jerks Dave Ramsey befriends on the golf course are at the top of a pyramid of boss-babe momtrepreneurial skulls. They might not be so nice to Dave out on the green when they learn this video exists.
It doesn't really matter how hard you go against an MLM company. They can change their name in a jiffy or start just another brans. It's more important to educate people on the evil mechanics behind it and this video did just that.
My college roommate messaged me a few years after he graduated, wanting me to attend a meeting in a nearby town for a "business opportunity". I asked him, repeatedly, what was the opportunity? He said I'd find out at the meeting, but I was like "Nah I'm not going without more info." I didn't go. Turns out the thing he was in was "Quixtar", a predatory MLM. Another example: One of my wife's friends hit her up about "grabbing coffee" randomly, and my MLM radar went off. I told her she should not go, but the guy convinced us he just wanted to "practice" his pitch on us. Only reason we went was because my wife told him we "100% would not buy anything". Sure enough, not only did he waste 1.5 hours of our time, but he seemed pissed when we politely declined. I don't remember what he was involved in, but it was some sort of MLM. I genuinely feel bad for these people - they get suckered in with promises of "early retirement" and making 5 figures a month from home, but it's all a sham.
One of my good for nothing acquaintances from high school hit me up about eight years after graduation with the exact same thing he was to grab some dinner I want to talk about something and I was like where are we going and he wouldn’t tell me and then I said no I’m OK and then i never heard from him again
Glad you touched on the social effects of MLMs. I feel like the true problem about MLMs is that they sell the dream of small business without ever going into the real requirements of small businesses (inventory, marketing, product knowledge). People who start traditional small businesses often know enough to research that sort of thing which increases their success rate; MLM consultants are just told both that it’s easy money (it’s not) and that all their failures in selling are just their not working hard enough (they probably weren’t cut out to be a salesperson or entrepreneur).
Church is the perfect place to perpetrate mlm recruiting for the socially vicious ladies so adept at gossip & reputation destruction. It's like shooting fish in a barrel.
I have so many MLM stories of recruitment attempts. Never joined one. This one takes the cake. It was 1998-1999 first year of studying landscape architecture. I was walking on campus to go somewhere. A lady approaches me and tells me about a job opportunity. She tells me a place and time to be. Days later I get there and there are about a dozen of us seated on the floor. This guy comes in and proceeds to demonstrate knifes (cutco). Shows us how to use them etc. After 30-45 minutes he takes us each one by one into a room. He told me that he thought I would be great at this job. How he could just tell that I am a very motivated, hardworking person. I just had to spend a couple of grand (forgot how much) to buy the knifes etc. I told him that I did not have the cash so he suggested that I could borrow from my father. 😐 My father was already paying for college, so asking him to give me a couple of grand to buy knifes was never going to happen. Also at the time I was living on campus. Imagine having several grand worth of weapons oh I mean knifes in my room. 🤣
I had no idea what MLMs were, and ended up joining Arbonne. At the time (about 9 years ago) I actually loved the products but I felt SO uncomfortable in all social situations because of the pressure & 'training' provided by my upline to sell to and enlist people. Looking back, I feel frustrated that noone around me took the time to talk to me about these types of businesses in a respectful and loving way so that I might've ve avoided wasting a lot of time, money and stress. If only I'd found a video like this back then. I think part of the allure is the community it appears to create. People are desperate for community, but I dont think MLMs are the place to find your tribe.
Join an MLM today if you'd like to lose your friends, wierd out your family, and gather a new set of 'friends' that are part of the cult. Pay to hang out with them, repost the same non-sense, burn out and then have no one, cause after you leave mlm friends are only mlm for life, not friends.
So glad you put this out there George! I’m ashamed to say I’ve been involved with probably more like 9 mlm companies. It’s just not worth it, I lost so much money and time. I’m still trying to get over the brainwashing in their “trainings”, you are right they are so manipulative and prey on women and from what I’ve seen and experienced moms. They want you to feel unworthy of just being a mother or homemaker, it’s disgusting. So this not only derailed any financial progress for our family, it also consumed so much time for nothing, so many wasted hours and severed relationships and friendships over this nonsense pushing products and trying to recruit. It makes me sick to think what I did and what I was learning. I was told to reach goals by any means, sign people up and pay myself, to give up sleep and time with my family, to put off housework. Basically being a slave to the company. I think I most regret the time wasted, I had a hard time communicating with people once I left for good because of all the sales pitches I didn’t know how to talk to people anymore. It really goes much deeper than finances. So glad to say I will never fall for one again and we are on the baby steps working on a side job selling on eBay and Poshmark.
@@user-hd8ej8yx9p I kept believing the lie that this company was better, was different. Once you are brainwashed into thinking a certain way it’s really hard to see it fit yourself and come to terms with reality. I thought at the time if I was with a company with products I believed in more than I’d have more success. It was over the course of 10 years. I’m just glad I finally realized it.
The thing i hate mist about MLMs is how they so often target stay-at-home moms who are struggling to make ends meet. They make these huge, empty promises that they can earn so much money while still caring for their family. Sometimes it's through just slanting the truth, but often it's through blatant lies. But since the lies are told by the "independent contractors" the business itself can't be held accountable. It's so sad that these people could simply find a minimum wage paying job and they would be 10x (or more) better off.
This clinches George's spot as my favorite Ramsey personality. Thank you for making this video! I appreciate you holding yourself back a touch on the Smart Money Happy Hour podcast out of respect for Rachel, but I couldn't wait to get your full take.
I got into one in college, convinced me to drop out to make better money to buy more products. 3 years later I’m in regret, I lost some money, but more importantly I lost a lot of friends. I wish I could go back and not meet that person, I wish I could have stayed in school, full ride and all.
Same thing happened to me in 2002 with Quixtar / Amway. Was tricked my freshman year of college. I feel for you. It took me a few years to get back on track but i worked hard, learned a hard lesson, and everything worked out great in my life.
I was a hair stylist for 15 years or so. Of course, a salon is not a pyramid scheme, but I still felt like everyone I knew was a potential customer, and when anyone chose someone else for their hair services, I felt bad. If I choose to have a small business again, it has to be one where my friends and family are not my target market!
I've been approached by a lot of MLMs, but I only actually signed up with one: Affordable Luxuries - of which they were neither "affordable" nor necessarily "luxurious." It was an MLM candle company that was a competitor to Party Lite. The candles were soy-based and *were* actually a nice product, but they were so expensive no one wanted to buy them. It was so long ago that I don't remember what I spent to maintain a decent inventory, but I ended up owning a lot of candles I couldn't sell.
Thank you for making this video. Many people who are considering joining an MLM look to Dave Ramsey and his personalities for advice. After watching your Smart Money Happy Hour segment on MLMs, I was hoping that you’d post a video regarding the sleazy business model. Well done, and keep spreading the word!
I admire and appreciate all the research and fact-finding George does to prepare for these presentations! So helpful to have the details and not simply generalizations.
My mom did The Pampered Chef for 17 years and sold over $700,000 worth of products. She traveled the world and even had dinner with my Dad in the Eiffel Tower on their 20th wedding anniversary because she earned a trip to Paris and it happened to be over their anniversary! She was very successful in her business and earned over 10 trips with the company. Our family went to Disney twice with the Pampered Chef. Their products are incredible and built to last. George, I definitely can understand why you don’t like MLMs, but for the 1% of people that are truly successful at them, they’re pretty great. My mom said she started in the company because she wanted to pay off her car, buy a computer, and stop babysitting. She did all 3 of those things within the first month with the Pampered Chef. Sometimes she brought in $10,000+ a month. I get MLMs are bad for most, but definitely not all!
A few years back a friend's mom decided to bother me while I was working my small business and interrupted me taking to a customer to sell me a straight up honest pyramid scheme. I called her out several times, my customer called her out and we had to shame her out of my store with her yelling "it's not a pyramid, look" while drawing a pyramid
Love You George !!!!! Congratulations to and your wifey on your baby !!! I knew you were destined for greatness when I seen your Dave Ramsey country song, all of your Starbucks & Chipotle money hacks and your atrium visitor interviews hundreds of times !!! Great Job George !!!!
My best friend sells Paparazzi. I've bought from her to support her "business" but I never ever ever had any intentions of becoming a "consultant." I ran the math quickly in my head and there's no way she's making much, if any, money. I researched the company and the only ones making any moolah are the ones at the top. It's not about the jewelry. It's about recruiting more consultants under you and then you earn off their sales AND their purchased jewelry. Oh, and they HAVE to buy so much product to be "active." I wouldn't even consider this.
Sad thing about that MLM is the jewelry isn’t lead and nickel free like they state. Some people have stock piles of it in their home and are getting sick.
Hello George, I doubt you will read this but you asked to comment. I love all your content by the way. I personally tried 2 MLMs and lost money. I joined Melaleuca 13 years ago and have not lost money, part of it is because it is not an MLM. Even according to the definition that you give in this video, Melaleuca does not fall within those guides. Sadly at times people join others who have no clue what they are doing and therefore fail. I believe you need to always have someone in your corner with the results you are looking for and follow their steps, that’s what I’ve done and thankfully I’m not part of the ones losing money. Thank you for sharing and have a blessed day brother.
George, your MLM video was excellent. I would like to see you do a video on "Successful Side Hustles". Talk to people who have a successful side hustle and contrast that with things like MLMs and crypto. What are the characteristics of a good side hustle? How much money is needed to start one? How much work is needed per week? How many people have one? How much money do they make? Is it more common in middle-aged people than in young people or old people, more common in females than males, educated than uneducated, etc.?
I almost got into this MLM crap one time and so glad I didn’t. I had some friends do it and it fizzled FAST. They made no money and couldn’t convince ANYONE to sign up under them.
i’m in high school and this past week a bunch of my friends got sucked into the cutco mlm. i can’t help but laugh because this video came out at the perfect time. everytime i bring it up i tell them to “sell me this knife”
My BFF of 30 years has fallen for the travel MLM, I agreed to listen to the sell for her and left the Zoom meeting saying I have to do further research. I told her what I found out and its not for me and you will be spending time trying to recruit people and that is where you will be making money if you lucky enough to get someone to join.
I'm surprised not one mention of the big dog Amway. They are the biggest and have been around since 1958. Maybe because there is already millions of video's about it on TH-cam.
Roughly £120k in my portfolio are in tech/TSLA stocks, can I get an advice on any other stocks that I can acquire to diversify my reserve across multiple markets while creating a comprehensive portfolio allocation that balances my concerns of risk aversion and returns that meet yearly inflation.
@@finleysterling562 Thanks for this tip. His handle and website popped up on the first page immediately I searched Ethan’s name, I read through his resume and it seems pretty tight. So, I dropped a message & hopefully he replies soon.
I was hoping he’d address how some folks out there accuse the Ramsey financial coaching thing as being an MLM…thought he’d at least touch on that to debunk it or explain it a bit, etc.?
Yaaaas thank you for saying this as a Ramsey personality!! I recently became anti-mlm when I learned of all the things you listed in this video. And I also love Dave Ramsey so I looked up his opinion on them. Unfortunately, most of what I found was pro-mlm from Dave bc he knows a couple millionaires from Amway or something. Disappointing when you think about how many people those millionaires had to scr*w over. Anyway. Still a Ramsey fan, definitely a Kamel fan! 🐫
We had a couple at a former church who invited us over to talk about their plans to start their own Christian counseling business. It was a ploy move to get us ( and a dozen others) to join a MLM that would lead to profits to roll into their psychology efforts. One senior consultant to them even sat a chair right in front of the exit door. NEVER again! The subterfuge was ominous.
Same thing happened to me met a friend at the gym and he got a group hike together and it was nothing more than a ploy to sell Isagenix MLM products. I was super offended I was looking to make a friend but he had a totally different agenda. Was so blatantly obvious too
@@benjaminhough8804 back in his early videos here on TH-cam. He even mentioned that he knew the family that owned Amway and they were good god fearing people. 🙄 now let me clarify, he wasn’t promoting them outright like an endorsement, but he said they were good side gigs and the people that owned the company were nice people. There was a distinction.
I have not heard of him "promoting" them, and I've watched hundreds of his videos. What I did hear, at least once, was something along the lines of "You *can* be successful with an MLM, but you have to realize these are high-stress recruiting/sales jobs. It's not like what they advertise. But it is possible, if you put a ton of work in."
Sure MLMs (sometimes) sell a legitimate product, but if you don’t pay your monthly dues, you don’t get a paycheck. What other job requires you to buy their product to get paid? If you applied to a grocery store and they required you to buy $50 of their inventory each week before you got paid, you would laugh in their face. So why do we let MLMs get away with the same thing?
As I like to say to potential recruiters who stress recruiting over sales. it's like I go into the local pizza place. Now let's say they operate like a MLM (they don't, thank God). Instead of taking my order for a pepperoni pizza they try to sell me a franchise opportunity. I say no, all I want is a pepperoni pizza thank you. But we really have this fabulous franchise opportunity. That's all they are interested in selling. Not pizza. Pizza franchises that only sell more pizza franchises. That is how MLM's operate. My local pizza place, on the other hand, although they do advertise that there are franchise opportunities available, is primarily interested in selling pizza and other food items. Big difference.
I’ve had different experiences. Complete opposite of this video. Like anything in life it’s the person running the business. Do they have the skills? Are they willing to work hard. I’ve built my business to the top 3% and have found tax strategies to lower my liabilities. Setting things up properly and making your money flow through proper channels is incredible. It’s not for everyone but for me it’s given me so much.
One question I would have for you though is whether or not it bothers you that the money you're making is coming at the direct expense of people in your downline. To me that's exploitation, and so even if people are able to make it to the top 1% who earn good money, there are still ethical and moral problems with that. At least in normal retail and corporate structures those at the bottom don't have to LOSE money for those at the top to profit.
I'm so glad this video exists! But I would take it even a step farther. Even if you do have what it takes to make it into the top 1% who earn good money, I would still never recommend that anyone join (or buy products from) and MLM because in order for the top to earn money, the people at the bottom have to lose. That means any money that's being made is being made through exploitation, and as a Christian, I can't condone that morally or ethically. There are just so many better, more legitimate ways to make money. MLM companies with their current structures shouldn't exist, period.
I have a friend who did well in two different MLMs (one after the other). She never reached out to me, even though I was an active friend on her page. She just sometimes shared what the products were doing for her. And she had a lot of friends, including a lot she’d never met, and she built a following of people who wanted to see if the products would help them the way they helped her. Eventually, she quit the second one to spend more time working on her coaching career (but still uses the products$. I am a member of a business network group that meets weekly. One of our members is into Doterra. She doesn’t push, just shares about this or that thing she’s doing, or how you can buy this blend she put together. So she focuses more on direct sales than on signing up customers. A few members do get monthly orders, and the chiropractor member of the group has some of her products in his office for resale. I have bought a few things from her directly, such as these cough drops that help keep my allergy-based asthma at bay (it’s peak allergy season here). She is strategic with her internet marketing and never pesters friends and family. So yeah, there are ways to do it and be successful without being a pain, but one has to be more like a social media influencer than a typical MLM-er.
I used to love Bodi formerly beachbody however if you try to post on socials it’s not long before someone DMs you about their “coaching” opportunity. Can’t stand it plus their supplements that they attempt to sell you are twice as much as products from 1st phorm or other reputable supplement companies
I got conned by a digital marketing MLM still hoping I get a refund as I will be down $400 I won’t get sucked into this again they pray on the weak and vulnerable people that makes me so mad!! Learnt a lot
good lesson to learn when you're single and 18. Imagine if you were 28 with 2 kids and was depending on actually MAKING money and then you lost all that time and money and friends. They usually prey on stay home moms. They have more leverage in convincing them to join. Use the "don't you want to create a better lifestyle for your kids" line.
I've been in an MLM for about 3 months and haven't purchased a cent of pruduct but have made a couple of $100 in commissions with mostly customers and some associates. I have full-time work and have only spent a couple of hours on this per week. Only today i'm purchasing my first products with my earnings. What's more is im already making more than most people in my direct upline due to the effort i have put in and the structure of the compensation plan of the company(that rewards effort rather than position). George, MLM is fine as long as you have a high-quality product, well thought out compensation plan, and a reputable company. The criticisms MLMs apply to basically all companies, businesses, and work out there. They can scam, cheat, and exploit you in various ways. So, not everything is a hard rule of thumb.
25 years ago, I sold Pampered Chef for about a year. I think my startup cost was $100. We didn't buy inventory, as all customer purchases were shipped directly from the company. As a mom of two small children, I did it primarily for the adult interaction. I did NOT recruit anyone for my "downline." I averaged $400/month. I really enjoyed doing it (I loved the products), but it started taking too much time. I got more bookings for parties than I wanted or had time for, so I stopped doing it. I referred everyone requesting to book a show to my upline manager.
I was telling my son just today how I feel like pampered chef was the only at home party type stuff I’ve ever felt like was really worth it. I still use several items I got in the early 2000s. Today we used the pans from the checkered cake set. We use the chopper and a few other things often.
@@helenasantos-collins6400 I got so many free items because of my sales. They far outpaced the $100 I spent for startup costs. They were worth probably about $500 retail. I still use all my products daily.
Great Video! Mary Kay is a Pyramid Scheme...they make their money off of newbies who buy the 'starter package'. No one is selling MK. The consultants are only buying product they don't need. Front loading inventory they cannot possibly sell. Quesion tho: Why can't those in Pyramid/ MLM see the truth? Do you think those that buy into MLM /Pyramid are a certain type of person? They need friends, or need the 'likes'?
My in-laws joined a MLM and have ruined family relationships. I'm a professional and told me I've done nothing with my life just because I refused to sign up as a seller working under them.
I just found out what an MLM was yesterday from this week’s Ice Coffee Hour guest. He was hyping up MLMs saying he made so much money. And it definitely sounded like a pyramid scheme 😅
YES! I knew I liked you, George. MLM's just need to go away. If any part of your income is based on recruiting people to do exactly what you do, it's a scam.
Yep. I fell for that scheme. I mean, I made SOME money but never enough to make it worth all the time and hassle it cost me. Much better to start my own business and make WAY more money and more satisfaction. Oh yeah, and I keep ym friends 😂
Yeah it's not worth losing people you love. I did 3 MLM's and I quit all of them cause I wasn't really interested in the products, wasn't making any sales and it got to a point I was pissing people off I was advertising bullshit on my social media. And people stopped talking to me and ignoring me. My family did give me an intervention cause they were tired of me sounding like a commercial. I didn't want to hear it and left. About 2 months later I thought about what they said and thought about everything. So one day I told my upline I'm done. I don't want to do this anymore. No one likes me or wants me around. And these business partners aren't your friends. Once you quit they stopped talking to you because you're not part of their cult anymore. So I quit my bullshit "online business" and went back to my family and apologized. I told them I quit cause I don't want to lose you guys. They are so much more important than money will ever be. Of course they forgave me and they had the old me back again. It really didn't feel good treating people like just a number. They are human beings not money signs. I feel stupid for falling for the hype.
My poison was Avon-three times! I’ve finally decided that the only Avon in my life is going to be purchased, instead of sold, since I’m better at buying it than selling. And yeah, I know that other ladies do sell, but I ended up buying more as a sales rep than I ever did as a customer.
A Ramsey personality finally telling it like it is about mlms? Say it ain't so! I just always thought that some Ramsey family member was a boss babe and y'all didn't want to upset her. 😂
A huge target with many of these MLM's is the immigrant community, specifically the Chinese immigrants. They sell them on the whole "American Dream/Be your own boss" story line.
I worked an MLM years ago (they claim they aren’t, and they do put some safeguards in place that make them better than the average MLM, but they are one). Anyhow, I no longer run the business, but I love the products. I make about $9/month in commissions from the 3 or 4 people still under me, and I buy the products every month because I use them. For real. The cleaning products are cheap and work well. I take the vitamins. My son uses one of the drink powders in his water before breakfast every day (he doesn’t like plain water). I use their electrolyte powder when I work out on hot days. Sometimes I buy their makeup; my kids use their shampoo (I used to, but now I almost never shampoo-that’s a whole other story). I like their toothpaste and lip balm and other stuff. So I never have trouble making the minimum monthly order. Once I put it on hold for a month when I was gone for a while and couldn’t afford the order, but that is once in over a decade. All in all, I love the products, and if anyone wanted to sign up under me, I’d be happy to help them do it. But I do other stuff now that is guaranteed to make me money quickly (like sewing and Uber).
Okay, I wasn’t going to say the name, but since he mentioned it… it is Melaleuca. But my start-up cost was like $20 for the membership and an order of stuff I needed anyway. The point of buying the $250 or $1,000 packs would be to be able to get extra bonuses, but they aren’t necessary. Any member can work the business starting at any time, and the entry for a customer and a business builder is exactly the same unless the business builder wants to build faster and get extra bonuses. Oh, and if the pure customer wants to buy a starter pack for themselves, they can do that too. Anyone who has customers signed up under them gets a monthly commission check, even if it was just because you put your mom under your sister who is under you, and your sister gets $2.50 per month on what mom orders. So I take issue with how he represented the company. It doesn’t have that high entry point as mandatory.
Kinda sounds like you are lying about not being in it anymore "I no longer run the business" "I still have 3 to 4 people under me" "if anyone wants to sign up under me, I'd be happy to help them do it".
@@trevorwallace7934 Your misunderstanding is logical. Allow me to explain. I am not actively promoting my business. I order them because I love them; the tiny bit of money I get every month doesn’t even pay the shipping. If someone said, “I love this company’s products; how can I sign up,” I’d be happy to tell them-same as I might encourage them to get a Costco membership if they were considering it. Of course, the difference is that I would make $3-5 a month on what they order, but that’s not motivation enough for me to recruit. Back when I was working the business, I recruited almost 10 people. 3 or 4 are left now who, like me, love the products and continue to order. So I get a few bucks. That’s not working a business. That’s just getting not enough to pay shipping on my own order. I don’t talk about the company (notice I didn’t even mention the name here; that was on purpose). I think the odds of signing up someone are about .1% in my lifetime.
Technically the corporate world is an MLM most people work 30-40 years at and also never reach the "top". Which also most definitely has a pyramid hierarchy. You could make money at most any MLM -- but I agree with George, you really shouldn't. There are many "side hustles" that are much better and actually help you to learn how to be self-employed and/or business ownership skills. Make sure to get a good tax resource who has a mindset for entrepreneurship.
My parents did an MLM called Shaklee nutrition product back in the 80's and it didn't work out. I tried an MLM company that changed products every two years (it was at first a health supplement drink, then information/education CD's,) Then a few executive members broke off and started their own company. They sell various kinds of products, including skin care. The people are good people but I know 90-99% of the people that start the business quit. So why don't more people tell the truth about how financially unwise it is? Is it a good retirement plan? Probably not.
Theology Tip:
If there's an MLM table in your church foyer, John 2 justifies you in flipping the table over
HAHAHA This one is good! 😂
LOVE THIS VIDEO!!! Over 20 years ago I joined Primerica, because a customer convinced me to go to a meeting and I loved personal finance. Huge mistake! After spending $200 on start up costs (on a credit card at that), I attended 3 meetings. All of the meetings focused on recruiting people. I still don't remember what products I was supposed to sell. After the third meeting ended, one of the top members came in fashionably late from their Hawaiian vacation. The lady shook my hand, never asked what my name was, but asked "Are you working on recruiting?". I left and NEVER looked back! Thankfully, it was only a $200 loss. Now, I'm debt free and a Ramsey Coach teaching people the right way to manage their finances.
Isn't Ramsey Coaching just another MLM?
Clever how you used a "bash one MLM to promote another"!
that's an amazing story. So you went to 3 whole meetings !?!? You never got life licensed (the only way to get paid) and you didn't make any money !?!? Crazy, that does sounds like a scam...... Now you're on the internet blasting a company that you have zero understanding of and convincing others to stay away in their most vulnerable state when they don't understand what they are getting into.
Also I knew a guy that made $250,000 a year at Primerica all off his own pen and didn't recruit a soul. Btw.... I don't work for Primerica, I didn't like calling my friends because they read complete BS like this on the internet and got scared its a scam.
We did an MLM back in the late 90's. We went into it with the mindset that we would NOT sell/recruit friends and family. We're both hard-working, intelligent people who were doing well at our full-time jobs, and we applied a good effort toward the MLM for about two years. Bottom line, two smart people who don't slack and "invested" about $14K over the whole two-year period made about $12K...so we invested a lot of time and effort to lose about $2K. The only silver lining, we stayed true to the no family and friends commitment and didn't destroy any relationships. Never again and we poo-poo any MLM talk whenever it comes up with anyone.
Just because you failed doesn’t mean it doesn’t work. Idk what in god name you spent $12k on but it’s obvious you guys weren’t looking at profitability early on
Wow! Got it all figured out there just from my comment, eh? You sound like someone about to pitch us all on an amazing opportunity that everyone is talking about.
Right, under the best effort its just not worth the time. Its one of the greatest time wasters, professional "wheel spinning".
@@AlexPerazaTV Just because it can work, that doesn't make it right or ethical.
@@AlexPerazaTVThat’s always the excuse: you didn’t put enough effort, you used the wrong strategy. 🤣
First Ramsey personality that I've seen actually be so aggressive and honest about MLMs. Love it, but I have a feeling this video is gonna end up getting taken down lol
Just stating facts!
Yep, some of the jerks Dave Ramsey befriends on the golf course are at the top of a pyramid of boss-babe momtrepreneurial skulls. They might not be so nice to Dave out on the green when they learn this video exists.
i ripped it using a youtube ripper just in case!
Maybe this is a sign that Dave is giving up more control of the company.
It doesn't really matter how hard you go against an MLM company. They can change their name in a jiffy or start just another brans. It's more important to educate people on the evil mechanics behind it and this video did just that.
The people never ask why they have to BUY the product from the MLM first in order to sell it… I only buy things I’m keeping.
I hope this is the generation where mlm's die.
I hope so to but until the government doesn't make them illegal, a new one will always rise. Naive people are born everyday.
My college roommate messaged me a few years after he graduated, wanting me to attend a meeting in a nearby town for a "business opportunity". I asked him, repeatedly, what was the opportunity? He said I'd find out at the meeting, but I was like "Nah I'm not going without more info." I didn't go. Turns out the thing he was in was "Quixtar", a predatory MLM.
Another example: One of my wife's friends hit her up about "grabbing coffee" randomly, and my MLM radar went off. I told her she should not go, but the guy convinced us he just wanted to "practice" his pitch on us. Only reason we went was because my wife told him we "100% would not buy anything". Sure enough, not only did he waste 1.5 hours of our time, but he seemed pissed when we politely declined. I don't remember what he was involved in, but it was some sort of MLM.
I genuinely feel bad for these people - they get suckered in with promises of "early retirement" and making 5 figures a month from home, but it's all a sham.
One of my good for nothing acquaintances from high school hit me up about eight years after graduation with the exact same thing he was to grab some dinner I want to talk about something and I was like where are we going and he wouldn’t tell me and then I said no I’m OK and then i never heard from him again
Glad you touched on the social effects of MLMs. I feel like the true problem about MLMs is that they sell the dream of small business without ever going into the real requirements of small businesses (inventory, marketing, product knowledge). People who start traditional small businesses often know enough to research that sort of thing which increases their success rate; MLM consultants are just told both that it’s easy money (it’s not) and that all their failures in selling are just their not working hard enough (they probably weren’t cut out to be a salesperson or entrepreneur).
Friends pushing MLM’s caused me to reduce social media presence….thank you very much!
God did
Bravo for calling out these scammy business practices! Bring MLMs down!
This video is fire. Short, to the point, hits on all the downsides and important facts.
Thank you for making this. We need to get these things out of colleges and churches
This is gonna ruffle a lot of feathers in the evangelical community
Good. MLMs are a plague.
I’m glad
😂😂
Church is the perfect place to perpetrate mlm recruiting for the socially vicious ladies so adept at gossip & reputation destruction. It's like shooting fish in a barrel.
And you are?!?
I have so many MLM stories of recruitment attempts. Never joined one. This one takes the cake. It was 1998-1999 first year of studying landscape architecture. I was walking on campus to go somewhere. A lady approaches me and tells me about a job opportunity. She tells me a place and time to be. Days later I get there and there are about a dozen of us seated on the floor. This guy comes in and proceeds to demonstrate knifes (cutco). Shows us how to use them etc. After 30-45 minutes he takes us each one by one into a room. He told me that he thought I would be great at this job. How he could just tell that I am a very motivated, hardworking person. I just had to spend a couple of grand (forgot how much) to buy the knifes etc. I told him that I did not have the cash so he suggested that I could borrow from my father. 😐 My father was already paying for college, so asking him to give me a couple of grand to buy knifes was never going to happen. Also at the time I was living on campus. Imagine having several grand worth of weapons oh I mean knifes in my room. 🤣
I had no idea what MLMs were, and ended up joining Arbonne. At the time (about 9 years ago) I actually loved the products but I felt SO uncomfortable in all social situations because of the pressure & 'training' provided by my upline to sell to and enlist people. Looking back, I feel frustrated that noone around me took the time to talk to me about these types of businesses in a respectful and loving way so that I might've ve avoided wasting a lot of time, money and stress. If only I'd found a video like this back then.
I think part of the allure is the community it appears to create. People are desperate for community, but I dont think MLMs are the place to find your tribe.
Join an MLM today if you'd like to lose your friends, wierd out your family, and gather a new set of 'friends' that are part of the cult. Pay to hang out with them, repost the same non-sense, burn out and then have no one, cause after you leave mlm friends are only mlm for life, not friends.
So glad you put this out there George! I’m ashamed to say I’ve been involved with probably more like 9 mlm companies. It’s just not worth it, I lost so much money and time. I’m still trying to get over the brainwashing in their “trainings”, you are right they are so manipulative and prey on women and from what I’ve seen and experienced moms. They want you to feel unworthy of just being a mother or homemaker, it’s disgusting. So this not only derailed any financial progress for our family, it also consumed so much time for nothing, so many wasted hours and severed relationships and friendships over this nonsense pushing products and trying to recruit. It makes me sick to think what I did and what I was learning. I was told to reach goals by any means, sign people up and pay myself, to give up sleep and time with my family, to put off housework. Basically being a slave to the company. I think I most regret the time wasted, I had a hard time communicating with people once I left for good because of all the sales pitches I didn’t know how to talk to people anymore. It really goes much deeper than finances. So glad to say I will never fall for one again and we are on the baby steps working on a side job selling on eBay and Poshmark.
I'm sorry that this happened to you. Prayerfully your relationships will be restored.
@@DakarVictoria thank you! That’s so appreciated!
Completely agree. Exactly the same for me!
9?!?! Why was # 9 the one to make you quit MLMs and not like #2 or 3???
@@user-hd8ej8yx9p I kept believing the lie that this company was better, was different. Once you are brainwashed into thinking a certain way it’s really hard to see it fit yourself and come to terms with reality. I thought at the time if I was with a company with products I believed in more than I’d have more success. It was over the course of 10 years. I’m just glad I finally realized it.
The thing i hate mist about MLMs is how they so often target stay-at-home moms who are struggling to make ends meet. They make these huge, empty promises that they can earn so much money while still caring for their family. Sometimes it's through just slanting the truth, but often it's through blatant lies. But since the lies are told by the "independent contractors" the business itself can't be held accountable.
It's so sad that these people could simply find a minimum wage paying job and they would be 10x (or more) better off.
A struggling mother get a part time minimum wage job? Wow, amazing financial advice. 👍🏻
It needed to be said… way to go George! 🎉
"It's not a pyramid scheme, it's a reverse funnel system."
They told us that😂😂😂
LOVEEEEE you pointing out all of this. Most mlms claim not to be pyramid schemes but when you actually look at compensation plans they are!
Someone kept trying to get me to join Amway a few years back. Glad that I avoided that.
This clinches George's spot as my favorite Ramsey personality. Thank you for making this video! I appreciate you holding yourself back a touch on the Smart Money Happy Hour podcast out of respect for Rachel, but I couldn't wait to get your full take.
Does Rachel like mlms or what?
@@newp848 No, she just doesn't like offending people.
@@jessicatheriault4189 she doesn't like offending her coworkers and daddy's friends, from what I saw in the podcast. Ridiculous
@nix8834 I don't know, I think she just tries to be respectful. She's not afraid of her dad though, she's the only one who ever challenges him.
@@jessicatheriault4189 yeah bc she's a nepo hire that wont face consequences. The rest of them literally can't do that.
I got into one in college, convinced me to drop out to make better money to buy more products. 3 years later I’m in regret, I lost some money, but more importantly I lost a lot of friends. I wish I could go back and not meet that person, I wish I could have stayed in school, full ride and all.
Same thing happened to me in 2002 with Quixtar / Amway. Was tricked my freshman year of college. I feel for you. It took me a few years to get back on track but i worked hard, learned a hard lesson, and everything worked out great in my life.
Bro I'm so sorry about that. Dropped out of a full ride? These MLMs really destroy lives out here.
I was a hair stylist for 15 years or so. Of course, a salon is not a pyramid scheme, but I still felt like everyone I knew was a potential customer, and when anyone chose someone else for their hair services, I felt bad. If I choose to have a small business again, it has to be one where my friends and family are not my target market!
I've been approached by a lot of MLMs, but I only actually signed up with one: Affordable Luxuries - of which they were neither "affordable" nor necessarily "luxurious." It was an MLM candle company that was a competitor to Party Lite. The candles were soy-based and *were* actually a nice product, but they were so expensive no one wanted to buy them. It was so long ago that I don't remember what I spent to maintain a decent inventory, but I ended up owning a lot of candles I couldn't sell.
Thank you for making this video. Many people who are considering joining an MLM look to Dave Ramsey and his personalities for advice. After watching your Smart Money Happy Hour segment on MLMs, I was hoping that you’d post a video regarding the sleazy business model.
Well done, and keep spreading the word!
I admire and appreciate all the research and fact-finding George does to prepare for these presentations! So helpful to have the details and not simply generalizations.
I felt for this crap back a few years ago thank God I left really quickly before I lost all my friends lol.
My mom did The Pampered Chef for 17 years and sold over $700,000 worth of products. She traveled the world and even had dinner with my Dad in the Eiffel Tower on their 20th wedding anniversary because she earned a trip to Paris and it happened to be over their anniversary! She was very successful in her business and earned over 10 trips with the company. Our family went to Disney twice with the Pampered Chef. Their products are incredible and built to last. George, I definitely can understand why you don’t like MLMs, but for the 1% of people that are truly successful at them, they’re pretty great. My mom said she started in the company because she wanted to pay off her car, buy a computer, and stop babysitting. She did all 3 of those things within the first month with the Pampered Chef. Sometimes she brought in $10,000+ a month. I get MLMs are bad for most, but definitely not all!
I think George touched that 1%. The issue is, “how about the 99%?”
@@thepinayminimalist the unique problem with American optimism is that we look around the room and say “HA sucks to be you guys, 99%’ers!!”
And a lot of that money was made off of other people, often times struggling moms, losing money
I hosted a CATALOG PARTY and earned a few hundred dollars in products 😊
So she was in the 1% taking money from the 99% - feel good about that?
A few years back a friend's mom decided to bother me while I was working my small business and interrupted me taking to a customer to sell me a straight up honest pyramid scheme. I called her out several times, my customer called her out and we had to shame her out of my store with her yelling "it's not a pyramid, look" while drawing a pyramid
Love You George !!!!! Congratulations to and your wifey on your baby !!! I knew you were destined for greatness when I seen your Dave Ramsey country song, all of your Starbucks & Chipotle money hacks and your atrium visitor interviews hundreds of times !!! Great Job George !!!!
My best friend sells Paparazzi. I've bought from her to support her "business" but I never ever ever had any intentions of becoming a "consultant."
I ran the math quickly in my head and there's no way she's making much, if any, money. I researched the company and the only ones making any moolah are the ones at the top. It's not about the jewelry. It's about recruiting more consultants under you and then you earn off their sales AND their purchased jewelry. Oh, and they HAVE to buy so much product to be "active." I wouldn't even consider this.
Sad thing about that MLM is the jewelry isn’t lead and nickel free like they state. Some people have stock piles of it in their home and are getting sick.
I fell into this trap and was in debt. I then started a babysitting side hustle and my net worth is now close to a million. MLMs are the worst.
Getting rich is evil and bad 😅
Hello George, I doubt you will read this but you asked to comment. I love all your content by the way. I personally tried 2 MLMs and lost money. I joined Melaleuca 13 years ago and have not lost money, part of it is because it is not an MLM. Even according to the definition that you give in this video, Melaleuca does not fall within those guides. Sadly at times people join others who have no clue what they are doing and therefore fail. I believe you need to always have someone in your corner with the results you are looking for and follow their steps, that’s what I’ve done and thankfully I’m not part of the ones losing money. Thank you for sharing and have a blessed day brother.
Smile. You speak like a Wiseman
Truth be told we only have 2 investment company that are really.
George, your MLM video was excellent. I would like to see you do a video on "Successful Side Hustles". Talk to people who have a successful side hustle and contrast that with things like MLMs and crypto. What are the characteristics of a good side hustle? How much money is needed to start one? How much work is needed per week? How many people have one? How much money do they make? Is it more common in middle-aged people than in young people or old people, more common in females than males, educated than uneducated, etc.?
i second this
Thank you so much for sharing this! I wish more people would see this. I teach a personal finance class to teens and will be sharing your video.
I almost got into this MLM crap one time and so glad I didn’t. I had some friends do it and it fizzled FAST. They made no money and couldn’t convince ANYONE to sign up under them.
Thank you for this! Having this video to share with a baby steps support group will prevent a lot of people from getting hurt!
i’m in high school and this past week a bunch of my friends got sucked into the cutco mlm. i can’t help but laugh because this video came out at the perfect time. everytime i bring it up i tell them to “sell me this knife”
As a Brit who now lives permanently in the US, I appreciated the random Cilla Black clip from Surprise Surprise. Distant childhood memory unlocked.
George Kamel is on a roll 💯🔥
My BFF of 30 years has fallen for the travel MLM, I agreed to listen to the sell for her and left the Zoom meeting saying I have to do further research. I told her what I found out and its not for me and you will be spending time trying to recruit people and that is where you will be making money if you lucky enough to get someone to join.
It’s Always Sunny in Philadelphia:
“It’s not a Pyramid Scheme it’s a reverse funnel system”
“Turn it upside down”
“Aaahhhhh Dang it”
Yo! Give the video guy a raise, 😁 this stuff is great.
I'm surprised not one mention of the big dog Amway. They are the biggest and have been around since 1958. Maybe because there is already millions of video's about it on TH-cam.
Roughly £120k in my portfolio are in tech/TSLA stocks, can I get an advice on any other stocks that I can acquire to diversify my reserve across multiple markets while creating a comprehensive portfolio allocation that balances my concerns of risk aversion and returns that meet yearly inflation.
Look up "Ethan Grayson"
@@finleysterling562 thanks i also find myself in the same situation
@@finleysterling562 Thanks for this tip. His handle and website popped up on the first page immediately I searched Ethan’s name, I read through his resume and it seems pretty tight. So, I dropped a message & hopefully he replies soon.
Get out of here with those scams! 😂
Lol george ur videos are the best!! The whole show is so great! Much respect.
I was hoping he’d address how some folks out there accuse the Ramsey financial coaching thing as being an MLM…thought he’d at least touch on that to debunk it or explain it a bit, etc.?
Another Snow White reference: the broke people I know from work come in singing "I owe, I owe, it's off to work I go..."
Yaaaas thank you for saying this as a Ramsey personality!! I recently became anti-mlm when I learned of all the things you listed in this video. And I also love Dave Ramsey so I looked up his opinion on them. Unfortunately, most of what I found was pro-mlm from Dave bc he knows a couple millionaires from Amway or something. Disappointing when you think about how many people those millionaires had to scr*w over. Anyway. Still a Ramsey fan, definitely a Kamel fan! 🐫
Somebody tried to recruit me for a MLM insurance company.
2 things I despise more than a used car salesman.
We had a couple at a former church who invited us over to talk about their plans to start their own Christian counseling business. It was a ploy move to get us ( and a dozen others) to join a MLM that would lead to profits to roll into their psychology efforts. One senior consultant to them even sat a chair right in front of the exit door. NEVER again! The subterfuge was ominous.
Same thing happened to me met a friend at the gym and he got a group hike together and it was nothing more than a ploy to sell Isagenix MLM products. I was super offended I was looking to make a friend but he had a totally different agenda. Was so blatantly obvious too
I lost one of my best friends for a few years over her involvement in MLM. We have reconnected, but it was a lot. I hate MLMs
I am very happy to hear this 😊
Ironically, Dave Ramsey loved promoting MLM’s like Amway on his programs.
When has he ever promoted an MLM? You mention Amway, where did he ever mention that? Genuinely curious.
@@benjaminhough8804 back in his early videos here on TH-cam. He even mentioned that he knew the family that owned Amway and they were good god fearing people. 🙄 now let me clarify, he wasn’t promoting them outright like an endorsement, but he said they were good side gigs and the people that owned the company were nice people. There was a distinction.
I have not heard of him "promoting" them, and I've watched hundreds of his videos. What I did hear, at least once, was something along the lines of "You *can* be successful with an MLM, but you have to realize these are high-stress recruiting/sales jobs. It's not like what they advertise. But it is possible, if you put a ton of work in."
Sure MLMs (sometimes) sell a legitimate product, but if you don’t pay your monthly dues, you don’t get a paycheck. What other job requires you to buy their product to get paid? If you applied to a grocery store and they required you to buy $50 of their inventory each week before you got paid, you would laugh in their face. So why do we let MLMs get away with the same thing?
As I like to say to potential recruiters who stress recruiting over sales. it's like I go into the local pizza place. Now let's say they operate like a MLM (they don't, thank God). Instead of taking my order for a pepperoni pizza they try to sell me a franchise opportunity. I say no, all I want is a pepperoni pizza thank you. But we really have this fabulous franchise opportunity. That's all they are interested in selling. Not pizza. Pizza franchises that only sell more pizza franchises. That is how MLM's operate. My local pizza place, on the other hand, although they do advertise that there are franchise opportunities available, is primarily interested in selling pizza and other food items. Big difference.
Keep up the good work! Lovin' these videos
I’ve had different experiences. Complete opposite of this video. Like anything in life it’s the person running the business. Do they have the skills? Are they willing to work hard. I’ve built my business to the top 3% and have found tax strategies to lower my liabilities. Setting things up properly and making your money flow through proper channels is incredible. It’s not for everyone but for me it’s given me so much.
You were just lucky to get in at the top of the pyramid it seems.
One question I would have for you though is whether or not it bothers you that the money you're making is coming at the direct expense of people in your downline. To me that's exploitation, and so even if people are able to make it to the top 1% who earn good money, there are still ethical and moral problems with that. At least in normal retail and corporate structures those at the bottom don't have to LOSE money for those at the top to profit.
I'm so glad this video exists! But I would take it even a step farther. Even if you do have what it takes to make it into the top 1% who earn good money, I would still never recommend that anyone join (or buy products from) and MLM because in order for the top to earn money, the people at the bottom have to lose. That means any money that's being made is being made through exploitation, and as a Christian, I can't condone that morally or ethically. There are just so many better, more legitimate ways to make money. MLM companies with their current structures shouldn't exist, period.
I have a friend who did well in two different MLMs (one after the other). She never reached out to me, even though I was an active friend on her page. She just sometimes shared what the products were doing for her. And she had a lot of friends, including a lot she’d never met, and she built a following of people who wanted to see if the products would help them the way they helped her. Eventually, she quit the second one to spend more time working on her coaching career (but still uses the products$.
I am a member of a business network group that meets weekly. One of our members is into Doterra. She doesn’t push, just shares about this or that thing she’s doing, or how you can buy this blend she put together. So she focuses more on direct sales than on signing up customers. A few members do get monthly orders, and the chiropractor member of the group has some of her products in his office for resale. I have bought a few things from her directly, such as these cough drops that help keep my allergy-based asthma at bay (it’s peak allergy season here). She is strategic with her internet marketing and never pesters friends and family.
So yeah, there are ways to do it and be successful without being a pain, but one has to be more like a social media influencer than a typical MLM-er.
I used to love Bodi formerly beachbody however if you try to post on socials it’s not long before someone DMs you about their “coaching” opportunity. Can’t stand it plus their supplements that they attempt to sell you are twice as much as products from 1st phorm or other reputable supplement companies
Amway has a very well documented 99.7% loss rate.
I got conned by a digital marketing MLM still hoping I get a refund as I will be down $400 I won’t get sucked into this again they pray on the weak and vulnerable people that makes me so mad!! Learnt a lot
someone reached out to me for NM , glad I found out what this BS really is
got sucked into an mlm right when I turned 18 by a trusted person in my life. lost $800 I did not have. still salty about it 😤
good lesson to learn when you're single and 18. Imagine if you were 28 with 2 kids and was depending on actually MAKING money and then you lost all that time and money and friends.
They usually prey on stay home moms. They have more leverage in convincing them to join. Use the "don't you want to create a better lifestyle for your kids" line.
I didn't know this was still around. I lost money doing MLM about 30 years ago.
Best video to date George!
My sister is considering joining Amway and she said I can send her a video to convince her not to. Fingers crossed that this helps her understand.
Great video George!
I've been in an MLM for about 3 months and haven't purchased a cent of pruduct but have made a couple of $100 in commissions with mostly customers and some associates. I have full-time work and have only spent a couple of hours on this per week. Only today i'm purchasing my first products with my earnings. What's more is im already making more than most people in my direct upline due to the effort i have put in and the structure of the compensation plan of the company(that rewards effort rather than position).
George, MLM is fine as long as you have a high-quality product, well thought out compensation plan, and a reputable company.
The criticisms MLMs apply to basically all companies, businesses, and work out there. They can scam, cheat, and exploit you in various ways. So, not everything is a hard rule of thumb.
Thanks for letting us know about these.
thanks for the info. Yes you raise a lot of good points.
25 years ago, I sold Pampered Chef for about a year. I think my startup cost was $100. We didn't buy inventory, as all customer purchases were shipped directly from the company. As a mom of two small children, I did it primarily for the adult interaction. I did NOT recruit anyone for my "downline." I averaged $400/month. I really enjoyed doing it (I loved the products), but it started taking too much time. I got more bookings for parties than I wanted or had time for, so I stopped doing it. I referred everyone requesting to book a show to my upline manager.
I was telling my son just today how I feel like pampered chef was the only at home party type stuff I’ve ever felt like was really worth it. I still use several items I got in the early 2000s. Today we used the pans from the checkered cake set. We use the chopper and a few other things often.
@@helenasantos-collins6400 I got so many free items because of my sales. They far outpaced the $100 I spent for startup costs. They were worth probably about $500 retail. I still use all my products daily.
I hosted a CATALOG PARTY and earned a few hundred worth of products 😊
Hey George, grumpy is good. I like being grumpy. Works well for Mr Ramsey too.
How sad that we didn’t get a Edward Scissorhands Avon reference 😂
I have a friend who has bought into Amway hook line and sinker and idk how to tell him he’s wasting his time.
Great Video! Mary Kay is a Pyramid Scheme...they make their money off of newbies who buy the 'starter package'. No one is selling MK. The consultants are only buying product they don't need. Front loading inventory they cannot possibly sell.
Quesion tho: Why can't those in Pyramid/ MLM see the truth? Do you think those that buy into MLM /Pyramid are a certain type of person? They need friends, or need the 'likes'?
Probably ought to include time shares and vacation clubs. Better to save up and pay as you go!
98% of MLMs give the rest a bad name
My in-laws joined a MLM and have ruined family relationships. I'm a professional and told me I've done nothing with my life just because I refused to sign up as a seller working under them.
Everybody in the crew's gotta "kick up" to the Boss.
George, love your channel, I have kids they play instruments wondering if you can investigate the rent to own instrument. Thanks
I just found out what an MLM was yesterday from this week’s Ice Coffee Hour guest. He was hyping up MLMs saying he made so much money. And it definitely sounded like a pyramid scheme 😅
They are. I used to work in head office of a mlm. No way would I have ever sold the product. I left the company because it turned out to be shady.
They pretty much are.
YES! I knew I liked you, George. MLM's just need to go away. If any part of your income is based on recruiting people to do exactly what you do, it's a scam.
Yep. I fell for that scheme. I mean, I made SOME money but never enough to make it worth all the time and hassle it cost me. Much better to start my own business and make WAY more money and more satisfaction. Oh yeah, and I keep ym friends 😂
Yeah it's not worth losing people you love. I did 3 MLM's and I quit all of them cause I wasn't really interested in the products, wasn't making any sales and it got to a point I was pissing people off I was advertising bullshit on my social media. And people stopped talking to me and ignoring me. My family did give me an intervention cause they were tired of me sounding like a commercial. I didn't want to hear it and left. About 2 months later I thought about what they said and thought about everything. So one day I told my upline I'm done. I don't want to do this anymore. No one likes me or wants me around. And these business partners aren't your friends. Once you quit they stopped talking to you because you're not part of their cult anymore. So I quit my bullshit "online business" and went back to my family and apologized. I told them I quit cause I don't want to lose you guys. They are so much more important than money will ever be. Of course they forgave me and they had the old me back again. It really didn't feel good treating people like just a number. They are human beings not money signs. I feel stupid for falling for the hype.
Thank you for this!
5:04 "great-great-great-great-grand recruits" I burst out laughing at that 😂😂😂
5:00 This part was so funny, your great great,great,great grand recruits 😂😂😂
My poison was Avon-three times! I’ve finally decided that the only Avon in my life is going to be purchased, instead of sold, since I’m better at buying it than selling. And yeah, I know that other ladies do sell, but I ended up buying more as a sales rep than I ever did as a customer.
A Ramsey personality finally telling it like it is about mlms? Say it ain't so! I just always thought that some Ramsey family member was a boss babe and y'all didn't want to upset her. 😂
A huge target with many of these MLM's is the immigrant community, specifically the Chinese immigrants. They sell them on the whole "American Dream/Be your own boss" story line.
I worked an MLM years ago (they claim they aren’t, and they do put some safeguards in place that make them better than the average MLM, but they are one). Anyhow, I no longer run the business, but I love the products. I make about $9/month in commissions from the 3 or 4 people still under me, and I buy the products every month because I use them. For real. The cleaning products are cheap and work well. I take the vitamins. My son uses one of the drink powders in his water before breakfast every day (he doesn’t like plain water). I use their electrolyte powder when I work out on hot days. Sometimes I buy their makeup; my kids use their shampoo (I used to, but now I almost never shampoo-that’s a whole other story). I like their toothpaste and lip balm and other stuff. So I never have trouble making the minimum monthly order. Once I put it on hold for a month when I was gone for a while and couldn’t afford the order, but that is once in over a decade. All in all, I love the products, and if anyone wanted to sign up under me, I’d be happy to help them do it. But I do other stuff now that is guaranteed to make me money quickly (like sewing and Uber).
Okay, I wasn’t going to say the name, but since he mentioned it… it is Melaleuca. But my start-up cost was like $20 for the membership and an order of stuff I needed anyway. The point of buying the $250 or $1,000 packs would be to be able to get extra bonuses, but they aren’t necessary. Any member can work the business starting at any time, and the entry for a customer and a business builder is exactly the same unless the business builder wants to build faster and get extra bonuses. Oh, and if the pure customer wants to buy a starter pack for themselves, they can do that too. Anyone who has customers signed up under them gets a monthly commission check, even if it was just because you put your mom under your sister who is under you, and your sister gets $2.50 per month on what mom orders.
So I take issue with how he represented the company. It doesn’t have that high entry point as mandatory.
I agree with you, I’ve been with Melaleuca for 13 years and have not lost money. Actually it’s been a great side income and a blessing for my family.
Kinda sounds like you are lying about not being in it anymore "I no longer run the business" "I still have 3 to 4 people under me" "if anyone wants to sign up under me, I'd be happy to help them do it".
@@trevorwallace7934 Your misunderstanding is logical. Allow me to explain. I am not actively promoting my business. I order them because I love them; the tiny bit of money I get every month doesn’t even pay the shipping.
If someone said, “I love this company’s products; how can I sign up,” I’d be happy to tell them-same as I might encourage them to get a Costco membership if they were considering it. Of course, the difference is that I would make $3-5 a month on what they order, but that’s not motivation enough for me to recruit.
Back when I was working the business, I recruited almost 10 people. 3 or 4 are left now who, like me, love the products and continue to order. So I get a few bucks. That’s not working a business. That’s just getting not enough to pay shipping on my own order. I don’t talk about the company (notice I didn’t even mention the name here; that was on purpose). I think the odds of signing up someone are about .1% in my lifetime.
Melaleuca does have good products 👍
thank you for doing this video!!!!
Technically the corporate world is an MLM most people work 30-40 years at and also never reach the "top". Which also most definitely has a pyramid hierarchy. You could make money at most any MLM -- but I agree with George, you really shouldn't. There are many "side hustles" that are much better and actually help you to learn how to be self-employed and/or business ownership skills. Make sure to get a good tax resource who has a mindset for entrepreneurship.
There are crypto and forex MLMs too. 💀
I want to hear your thoughts on PHP Agency
I fell for this once. 😮
You forgot Market America. The founder was the 2nd pyramid level of Amway so he started he own pyramid but says it’s a “pyramid spelled backwards”.
My parents did an MLM called Shaklee nutrition product back in the 80's and it didn't work out. I tried an MLM company that changed products every two years (it was at first a health supplement drink, then information/education CD's,) Then a few executive members broke off and started their own company. They sell various kinds of products, including skin care. The people are good people but I know 90-99% of the people that start the business quit. So why don't more people tell the truth about how financially unwise it is? Is it a good retirement plan? Probably not.
The Mormons are gonna be so mad they might take a drink
Of tea.
No No No No Never Never Never Never