Difference between network marketing and ponzi schemes

A network marketing business can be very lucrative and there are many legitimate companies out there. These companies employ a business model that allow their distributors to earn a substantial part-time or full-time income. This business model has often times been associated with the less desirable pyramid or ponzi scheme. The negative association has caused many people to shy away from running their own businesses and miss exciting opportunities. So what are the differences between a legitimate network marketing opportunity and a pyramid scheme? Here’s what to look for in a good network marketing opportunity:

1. Network marketing opportunities and companies provide tangible products. These products can be marketed and sold to other consumers as a means to generate income.

2. Signing others up is not the only way to earn money.

3. Network marketing business owners have the opportunity to earn more income than their sponsor.

4. Worthy network marketing companies do not compete with their distributors. In other words they should not be selling the products that the distributors are marketing directly to the public. If they do than earning income becomes next to impossible.

5. Products are priced to sell. Companies that overprice their products make it very difficult for their distributors to make sales.

A ponzi or mlm scheme on the other hand may not have any of the above qualities and be especially mindful of number 2 on the list. If the only way to earn money is by signing others up, don’t walk away, run!

FirstFitness Nutrition is a 24 year old network marketing company with a wide range of products and a solid business opportunity. If you would like to run your own business where you become the go-to person for nutrition and weight loss products then this opportunity is for you. For more information and to discuss your options give us a call at (415) 562-5489.

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