Side Hustle School
Ep. 3062 - Q&A: “Are there any ‘good’ MLMs?”
May 20, 2025
The discussion tackles the controversial world of multi-level marketing (MLM). It examines the ethical issues and risks posed by MLM structures. Sobering statistics reveal how many participants lose money. The conversation advocates for seeking more empowering and sustainable entrepreneurial opportunities instead. Tune in for insights on making smarter side hustle choices!
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Quick takeaways
- Multi-level marketing (MLM) is rarely a smart choice for a side hustle, often leading to financial losses for 99% of participants.
- Participants in MLMs lack control over their businesses, as they do not own vital aspects like brand and customer relationships, limiting entrepreneurial autonomy.
Deep dives
The Truth About Multi-Level Marketing
The podcast delves into the realities of multi-level marketing (MLM) and highlights its predatory nature, asserting that it is rarely a smart choice for a side hustle. It emphasizes that MLMs often operate in a fashion similar to casinos, where the majority of participants lose money—99% of those involved in MLMs reportedly see financial losses. This failure stems from the industry’s focus on recruitment rather than legitimate product sales, making it difficult for individuals to achieve sustainable profits. As a result, prospective participants, like the listener from Phoenix, should be aware that engaging in MLMs typically leads to reliance on personal connections for income rather than building a successful business model.
