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303. Is Multi-level Marketing a Scam? w/ Jen Smith, Rachel Richards, and Ken George

Earn & Invest

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The Difference Between Direct Sales and Pyramid Schemes

Cutco is a direct sales company. They pay you for your time, regardless if you sell or not. We confuse the terms m l m and pyramid schemes because they have multiple levels. If you are recruiting and getting paid for the people you recruit then it doesn't take a genius to figure out i can make more money recruiting than selling the product. And so that's the business model.

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