Clauses

Deadly MLM Policies and Procedures (Part V) – Are You Being Blackmailed?

by Wayne Wu on January 4, 2010

in MLM Business Models & Legal

It never ceases to amaze me that some network marketing companies distrust their distributors so much that they want to control aspects of a distributor’s life that have nothing to do with the company. They want control that is far beyond reasonable.

They want to control their distributors far more than any employer would control their employees. Controlling your actions is not enough. Some MLM companies even want to control the actions of your family. It’s truly amazing – companies actually want to control people who are not even in the business.

Not only that, some of them want to control your actions after you have left them too! They actually have policies that govern your interactions with other distributors after you leave. They want to suppress your right of free speech. My question is WHY?! Why would you want to work with a company can limit your rights in such a way? [click to continue…]

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Will Your Network Marketing Company Allow You to Retire?

by Wayne Wu on December 23, 2009

in MLM Business Models & Legal

The entire philosophy of the network marketing industry is financial freedom – the ability for you to do whatever you want, wherever you want, whenever you want with whoever you want.

A network marketing business is supposed to be something that you work hard for a few years to build once, then you should be able to retire to enjoy the fruits of your labour and your business should still grow autonomously.

So with that in mind, I want to share with you a little experience I had. A while ago, I thought about joining a relatively new MLM company. I was attracted to the company’s business philosophy and its products. But thanks to training I had received from my mentor, I made a wise decision not to join this company – as good as its products were and all.

As I read the policies and procedures of this company – that is, the contract between you, the distributor, and the company – I realised that I could build this company, but I wouldn’t be able to retire, ever. That’s because the company had “ongoing” activity clauses in its contract. [click to continue…]

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