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Meds4real

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Since Amway started 51 years ago and used network marketing as their method of production distribution, there have been thousands of MLM companies with different products and services. Along with these new companies came many new types of compensation plans for their agents.

 

At The Hemp Network, we are fortunate to have a group of advisors who have combined 100’s of years of networking experience and have seen just about every compensation plan offered.

 

We also have licensed a very powerful MLM back office software program that is being customized to fit into our new compensation plan. Our compensation plan is revolutionary, dynamic and offers tremendous motivation to our IHC’s (International Hemp Consultants) around the world.

 

The overview of how it works is as follows… This hybrid pay plan is a Unidirectional Global Power Leg on the front end where everyone who signs up goes under each other on a first in basis, with a Unilevel pay plan on the back end.

The mathematics: why MLM pyramid schemes cannot work!

 

In the classic "pyramid" scheme, participants attempt to make money solely by recruiting new participants into the program. The hallmark of these schemes is the promise of sky-high returns in a short period of time for doing nothing other than handing over your money and getting others to do the same.

 

The fraudsters behind a pyramid scheme may go to great lengths to make the program look like a legitimate version of a multi-level marketing program. But despite their claims to have legitimate products or services to sell, these fraudsters simply use money coming in from new recruits to pay off early stage investors. But eventually the pyramid will collapse. At some point the schemes get too big, the promoter cannot raise enough money from new investors to pay earlier investors, and many people lose their money. The chart below shows how pyramid schemes can become impossible to sustain:

pyramidscam.gif

 

For the sake of this example, let's assume that the scheme depends on each participant recruiting 6 new members into the scheme. The figure below shows how many people will need to have joined the scheme at each level, in order for those above to be paid. Since the current total population of the world is approximately 6 billion people, after only 13 levels there are not enough people on the planet to keep the scheme going! this means if there are 11 or 12 levels of "distributors" or "representatives" (or whatever they call the participants) above you, you can not possibly make a profit!

 

The Pyramid Structure of Multi-Level Marketing - Why it IS a Scam

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