Friday, August 24, 2007

[MLM Survivors Club] Re: Is World Ventures Travel an MLM? Help

> Please feed me the questions!

It's difficult to feed you the questions, since I was not involved in
the same company. In fact, that will be one of the defenses she is
coached to offer: "Our business is different than the ones they talk
about on those Internet forums. Ours doesn't engage in many of the
abuses you see there."

One of my questions for her would be to find out from her upline how
many unaffiliated customers she has. In other words, in order for any
business to be legitimate, the vast majority of the customers must be
consumers who are not expecting any sort of income from their
purchases. The more money she makes from her downline, the more
likely it will be a scam.

You don't see regular retail stores making the lion's share of their
income from employee purchases. Most of their cash flow is generated
by sales to outside customers. That's a HUGE distinction, and one
that can be a red flag if you're looking for a pyramid scheme.

How much time does her upline actually spend promoting her business?
Doing bookkeeping? Making sales and follow- calls?

All of that counts towards a calculation of an hourly income. It's a
good measure of what her time is actually worth. Even doctors and
lawyers with 6-figure incomes can determine how much their hourly
income is and whether a certain activity is worth their time based on
that. (My wife hates spending time filling in school physical forms
that the parents left incomplete when she should be in the exam room
with patients. Her time in the office is too valuable for clerical
work. Often she does it anyway because of the hassle it creates when
left undone.)

Another inquiry might be to look at the upline's business tax return.
Many MLMers will claim that asking to see someone's tax return is
rude and "none of their business." It IS her business. She would not
be requesting a look at anyone's PERSONAL tax return, only the
business. That is standard practice whenever someone is investigating
the viability of a business proposition, especially something
resembling a partnership. Hiding financial information from a
potential business associate should be considered suspect.

As you can see, there is a lot to question. Without specific details
about World Ventures Travel, giving specific questions is very
difficult. Still, I have given you a few questions that may get you
started in a general way. It's going to be up to you to keep your
ears open and your mind working to find inconsistencies in their story
that you can exploit. Getting her to break down the logic is the most
likely way to get her to doubt her involvement in it. If YOU do it
for her, she'll find ways to break down YOUR logic. So it has to be her.

Best of Luck to you.

PW

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