How can I tell if it's a scam

As of late my father's been going to me telling me about this "multilevel marketing" plan I could hop in on, and at first I told him it might be a bullshit pyramid scheme, to which he responded with an explanation of what mlm is and then decided to not tell me the rest of his pitch.

But basically here's the question
>How can I tell if an mlm is a pyramid scheme?
I know these answers might be easy as shit but I'm asking for the sake of knowing what I'm talking about so I can hopefully get my dad out of it before anything stupid happens.

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MLM is usually, if not always, a pyramid scheme.

How to tell the difference between a real company/franchise and a pyramid scheme:
In a real franchise you will focus on and earn money on the products you sell to customers.
In a pyramid scheme you will focus on and earn money on the products you sell to your network.

Also, friends don't get friends into pyramid schemes. Let alone dads?

I'm sure that he's under the guise thst it's a "get rich quick" trick and he wants to tell me about it, I'm not sure. I just want to make sure I can convince him its bullshit

If he wants to get rich quick, tell him about Monero. And if he starts talking about Herbal Life, slap him out of it.

100% scam

You won't be able to convince him. He will learn when he loses a bunch of money and finds himself with a garage full of unsold stock.

Legit MLM/network marketing companies are not legally classified as pyramid schemes, in the sense that they sell real products... but they operate pretty much like one in every other sense.

Is it Ambit energy?

A good way to tell if something is a scam is if it uses the words "multi level marketing"

Every MLM is a scheme, no exception. the business model is inherently flawed

MLM is always a pyramid scheme.

>it's not a pyramid scheme if someone is buying something
i bet he told you that kek

Mlm by definition is essentially a pyramid scheme

I went to a few events and while its disgusting and pointless I wouldnt necessarily say its a scam.

I kind of admire the genius they put into their marketing and scare tactics, really, its impressive how they can play a room full of grown adults like a god damn fiddle.

Basically what they do is tell a bunch of people that "the free lunch" exists and then hook in the people who do want to believe in the free lunch as they are indoctrinated by hollywood that every bob and timmy in this world DESERVES a beautiful woman or riches or whatever and then belittle the people who dont buy that shit as NON BELIEVERS and people who will NEVER MAKE IT and LOSERS for not trying (even though selling your goodwill to your network can be hardly described as trying very hard).

Because nobody believes themselves to be the bad guy everyone else who does not believe your MLM crap automatically becomes a NEGATIVE person

Because nobody believes they can be conned they cling onto that shit and buy more and more because they could never admit to making bad decisions after cutting their social ties

All that while knowing full fell their amway herbalife shit is absolute overpriced garbage and that better alternatives can be bought in grocery stores for less.

Its ethically and morally reprehensible but I wouldnt say its a scam, still.

They sold you 28 dollar detergent and said it was detergent and it was detergent just detergent with shit inherent value. Thats it

You can tell its a pyramid scheme if you're forced to buy something, like books, or some other product in order to join up with the company. You should never have to buy anything to join a company.

you have to own Vanguard ETFs to be a part of Vanguard

It's not a requirement for getting hired there, they simply place a certain allocated percentage of your employment into their own ETFs but you choose which ones. Stop trying to justify buying into a fucking pyramid scheme ya dumb cunt.

any time you have to sell anything for someone else is a scam, cuck

Its possible to make good money in some mlms. I know some people who sell arbonne. They made enough money to quit their full time jobs and just sell arbonne products. You really have to put the time and effort into it though. Otherwise you'll just buy a bunch of product and not be able to sell it. It s a lot of work

UPDATE.
Dad finally got around to explaining me the entire thing.
>You buy a product from and then you sell the product, then you get other people to do the same thing and (insert motivation to earn alot of money per week)
Immediately I called it bullshit, he doesn't believe me, I tell him that it seems like your profit is coming from having to recruit people to sell more product, to which he replies "No I'm not".
He then tries to convince me again by saying that "it's a product people will buy because it helps with backpains and sleep and such" and that's when I just about gave up on trying to get him out of it now.

I'll try at it again later because I honest to God don't want him scammed out of his money, but who knows, it might be too late.

Fuck

Im also open to any suggestions on how to set it straight but I've a feeling it's already too late.

>your dad will never try to get you involved in a pyramid scam
feels good man

I agree...
This, if you have to give THEM any of YOUR money it's a scam for any reason.

If you divert some of what you earn to, say, health insurance through them, that's different.

People like MLMs because we are greedy and see so much potential, but it's not worth the time.

Make it a game with him that ends after, say a month... set the rules and track what he makes against what he spends and compare to your situation.

Abstracting the argument to cold hard numbers should hopefully convince him... Numbers are hard to argue against, but if he does, play the game again. You'll consistently win and hopefully he'll learn.

In my experience, you cant really get them out of it.

I had a friend from high school who got into one bad. Amway or something like that. He called up everyone and their mom trying to get them to join his "team."

I smelled bait immediately, and told him as such. 2 years later, he was still doing it. I thought that maybe I was wrong, and he was worming his way to the top of the pyramid or something. For some reason, he was still doing it.

So I called him up and asked him to do his little shill speak thing for me. It was totally a scam. At the end of his little presentation, I asked him how much he made in a month usually. He told me he usually makes 200 dollars doing it, but thats only after a year of hard work.

I asked him how many hours he spent selling his little pyramid scheme. Usually 30 a week.

That was years ago, and to this day he is still doing it. He simply wont listen to reason, and has it in his mind that someday he'll be at the top of the pyramid.

Reason doesn't work with these people. I'm not sure what would, but showing your Dad that hes better off doing a different business would be a good start.

Tell him that if he threw the money hes going to blow on his MLM business, and threw it into bonds every month, he'd make more money.

He needs to understand the returns he can expect from selling his baubles, and the returns he can get from real investments. Nine times out of Ten, the investments will beat his MLM bullshit.

The product is always shit nobody in their right mind wants too

UPDATE 2
Found out what the company was, some supplement company called Vasayo. I tried using some of his words against him by using his description of a pyramid scheme in comparison with what he told me how the MLS worked, to which he immediately scoffed at me for. He then says that they're the only company with these liposomal supplements, to which he clarifies is actually how you take it.(Which from what I read on the site, doesn't seem to describe it at all)
I asked him what would stop me from just using some other medicine instead of their magic pill brand and he just brought up the same answer.

He then goes on about how his friends/coworkers who make much more than he does say this is something that works so it makes it all right.
I still think it's a sham and I won't stop until I pop this shit wide open in front of him, but for now, it seems like I'm too late. He already made his purchases for their products to resell and now he most likely has to go and recruit more people for this shit, and he told me that he may as well try to make his money back before leaving.

Welp, that's all I gotta say for now. I think this company/product he brought up might just be another magic pill thing and I'll try to do some research to make sure I can prove this shit to him.

Another thing to note, I think he's one of those people that don't think Amway, Herbalife, etc. are pyramid schemes so this just adds more shit to plow through

I forgot to mention that I'll also try 's suggestion so I can have some cold hard numbers to throw at him

>Vasayo

It's a scam

hotmlmcompanies.com/vasayo-review/