In this article, MLM attorney Gerry Nehra explains one of the first and most important aspects to a network marketing or MLM program for it to pass legal scrutiny and laments the seeming decreasing percentage of the good plans.
Please take the time to understand it and follow his advice.
by Gerald P. Nehra, Attorney-at-Law
I am tired of the wrong idea for starting a company – and I do not mean “To make money.” That will always be at the core of a new company launch. But how will the company make money? By selling something. Great. That is also proper planning. Something people want and are willing to pay for. We are still on the right track. But now the train is about to get derailed.
What do people want the most? A way to make lots of money with little effort. So we will sell them a way to do that! WRONG – TILT – STOP! Start over. Income opportunities CANNOT be sold. A company that is in business to provide income opportunities CANNOT survive. Distributors who believe their mission is to provide income opportunities to everyone they come in contact with, and who will sign the always ready application, CANNOT, long term, survive. Products or services that no one will buy, unless an income opportunity is attached, DO NOT a company make. Let me explain.