Even an MLM scammer says MLMs are scams…

Who do you trust? That’s an issue that often arises in my work with  Barry Minkow. Barry is most well-known for the fraud he committed through his carpet cleaning company ZZZZ Best. He is much less known for his work helping the FBI uncover fraud since he’s been out of prison. Barry has been responsible [...]

The continuing Mary Kay Cosmetics con

My most popular post on this blog is Mary Kay Cosmetics: Destroying half a million women a year, and with good reason. Each day, thousands of women are searching for information on the Mary Kay “opportunity.” Until a few years ago, the only information they could find was produced by the Mary Kay Spin Machine. [...]

Consumers looking for the “good” MLM

Robert FitzPatrick of Pyramid Scheme Alert is bombarded every week by consumers who want to ask him, “What about this MLM?” You see, the marketers of multi-level marketing companies have gotten very savvy. They know that plenty of us have figured out their con game. They now have consumers convinced that theirs is “one of [...]

Does this describe your MLM?

Kevin Thompson hires himself out to multi-level marketing companies to give them legal counsel. Supposedly he knows his way around the legality of MLMs, just like my buddy Gerry Nehra supposedly does. So I was perusing Kevin’s website and came across this interesting diatribe about what separates “legitimate” MLMs from illegal pyramid schemes. I’ve written [...]

Mary Kay Cosmetics is suing another product liquidator

Times must be tough over at Mary Kay. Instead of focusing on “enriching women’s lives” as the company is so fond of saying, they’re instead busy running around suing all kinds of people . A couple of weeks ago, Mary Kay filed suit against Yahoo for including advertisements with Mary Kay keywords in their email [...]

Interesting develoments in case of Mary Kay Cosmetics trying to stop liquidators from buying and selling their products

In the world of Mary Kay Cosmetics, recruiting new victims into the multi-level marketing (MLM) system and frontloading them with large inventory packages is critical to the survival of the company. The company and the upper levels of the pyramid rely on repeated ordering of products by beauty consultants, and little attention is paid to [...]

Consumers easier to scam during tough economic times

The Los Angeles Times did an article this week on consumer scams thriving during difficult economic times. I think their observations and comments were right on the money! If the searches consumers are using to get to my site are any indication, they’re researching scams more than ever. It seems to me that when consumers [...]

Searching for Shop to Earn scam

There are still plenty of people searching for “Shop to Earn scam,” ShopToEarn fraud, “is Shop to Earn legitimate,” Shop To Earth scam, and the like. The company has, for the most part, avoided negative commentary on the internet. It seems important, therefore, to go over some of the finer points of this newer multi-level [...]

Ufirst Money Merge Account: Resistance is futile

One of the most common forms of “training” offered to members of multi-level marketing companies (also known as direct sales, pyramid schemes, dual marketing, networking marketing, etc) is Overcoming Objections. Why is that such a key? Because all of the ones that I’ve seen have overpriced, underperforming products, and consumers are usually pretty quick to [...]

Usana Health Sciences and recruiting distributors in churches

If you’ve ever been involved in a multi-level marketing (MLM) company of any kind, you know that one of the favorite recruiting grounds is churches. Especially with companies that supposedly promote “Christian” values (like Mary Kay), the church is the logical place to find recruits. Sadly, many pastors have no idea how abusive the MLM [...]

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