Evaluating an MLM Opportunity Before You Join

1. 1.Is there a published Income Disclosure Statement showing average distributor earnings?
   Yes; published openly; median is meaningful (>$1,000/month).Published; median is under $500/month.Published; median is under $100/month or shows that 70%+ earn nothing.No published statement; recruiter avoids the question.
2. 2.How are income claims made in recruitment conversations?
   Earnings discussed only in terms of the published median; no individual stories used as proof.Some 'success story' framing but with disclaimers.Heavy 'top earner' narrative; '$X/year is achievable for anyone'.Income claims with no relation to the published Income Disclosure Statement; lifestyle marketing.
3. 3.What's required to maintain 'active' or commission-eligible status?
   Recruit retail sales above a threshold customers actually want to buy.Modest monthly purchase quota; can be retail or personal.Substantial monthly autoship purchase regardless of whether you sell.High monthly purchase + recruitment quotas; falling behind costs you commissions on prior recruits.
4. 4.What proportion of revenue comes from retail customers vs. distributor purchases?
   The company publishes external retail-customer numbers showing >70% retail.Likely majority retail but not fully transparent.Most product moves through distributor 'autoship'; retail is rare.I am not sure anyone outside the distributor network buys the product.
5. 5.How is criticism of the company framed?
   Critics are taken seriously; the company addresses concerns publicly.Some defensive framing; mostly handled professionally.Critics are labelled 'haters' or 'losers who didn't put in the work'.Negative-thinkers / dream-stealers framing; loaded language about 'the haters'.
6. 6.How is your social network treated as a sales asset?
   There's no expectation that I'll recruit my friends and family.Mild encouragement to introduce the product to people I know.I'm coached to make a 'list of 100' from my close circle and pitch to them systematically.My recruiter has explicitly asked about specific friends and family by name.
7. 7.What's the upfront and ongoing financial commitment?
   Low entry cost (<$100); minimal ongoing commitment.Moderate entry cost; reasonable monthly purchase requirement.Substantial entry kit ($500+) plus monthly autoship plus mandatory event travel.Entry kit + autoship + multiple regional 'rallies' I'm expected to fund myself.
8. 8.How is exit treated in the upline community?
   People come and go; ex-distributors are still respected.Some friction at exit; mostly civil.Leavers framed as 'quitters' who 'gave up before the breakthrough'.Cutting off contact with leavers is normal in my upline community.
9. 9.What's the in-event culture at company conventions, rallies, or 'celebrations'?
   Professional sales conferences with reasonable production values.Pep-rally atmosphere but bounded.Worship-service-intensity emotional manipulation; tears and 'breakthroughs' on stage.Charismatic-leader cult atmosphere; founders treated with religious veneration.
10. 10.When you read the FTC's published guidance on multi-level marketing, how does this opportunity match?
    It clearly differs from the high-risk pyramid pattern the FTC describes.Some overlap, but defensible differences.Significant overlap with the FTC's pyramid criteria.It matches the FTC's pyramid-scheme criteria almost point-for-point.

Answer all 10 questions to see your result.