We wish you success and longevity in the New Year!

We wish you success and longevity in the New Year!

Happy New Year from MLMLegal and the Babener & Associates family!

We hope you had a fantastic 2014! Here at our headquarters in Portland, Oregon, we have a lot to celebrate! From our long-standing clients to our new arrivals, thank you for being a part of our team. We wish you success and longevity in the New Year. We pride ourselves in having loyal relationships with our clients and plan on continuing to help forward your success in 2015!

In other news: We’ve added a member to the Babener family! Baby Luka was born in September and his mom (the person who writes all these blog posts) has finally returned to work!

2015 has arrived, so let’s not waste any time, shall we? Our first blog discussion of the New Year will cover common myths in network marketing. Enjoy and Happy New Year!

What Are Some Network Marketing Myths?

We have all heard the following claims in the zeal of promotion and recruitment.

  1. Multi-level marketing (MLM) classes are taught at Harvard Business School.
  2. Network marketing has produced more millionaires than any other type of business.
  3. MLM will dominate the economy in the 21st century.

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And yet another successful network marketing Conference! In our February 2014 MLM Startup Conference we have covered such topics as recruiting, software, legal, technology, capitalization, compensation plans, lead generation, and industry news. Speakers from all across the United States have lectured to entrepreneurs from all over the world. Our attendees have enjoyed learning about the vast and extensive world of starting a network marketing company. For the curious – or perhaps for those who have considered attending in the past – we’ve compiled a few pictures of our 66th national event. Take a look at the venue and check out the room full of MLM entrepreneurs just like you! Enticing? Visit our websites to learn more about the MLM Startup Conference in Las Vegas and to learn how you can attend our next event!

Eager network marketing entrepreneurs listen to industry experts throughout the day.

Las Vegas is a great place for the MLM Startup Conference. Once the attendees are finished for the day, a quick cab ride to the Strip allows for a delicious meal with like-minded entrepreneurs and a few rounds on the slot machines.

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Have you ever wondered what happens in a MLM trial?MLMLegal.com Attorney and Editor presents: An Inside Look into a MLM Trial.

In this presentation, MLMLegal.com gives you a rare, front row seat into the complexities of a MLM trial.

In more than six hours of video, partitioned in more than a dozen 25 minute segments, watch cross examination and direct examination of expert witnesses led by lead trial counsel, Jeffrey Babener, MLM trial attorney and editor of MLMLegal.com.

Consider this a mini trial course on MLM and regulatory enforcement.

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The emergence of online penny auction companies have recently been under analysis in the direct selling industry. The Federal Trade Commission (FTC) has recognized the difficult and complex circumstances of online penny auctions. The FTC offers the following consumer information, stated verbatim, line-by-line, released in 2011 (http://www.consumer.ftc.gov/articles/0037-online-penny-auctions):

How does a penny auction work?

In a penny auction, the site owner posts items and you pay to bid for them. Unlike a traditional auction, where only the winner pays, penny auctions require you to pay before – and as – you bid, win or lose.

You may have to pay a fee just to register for the site, and sometimes, it’s substantial. Then, you have to buy a “bid package.” For example, you may “buy” 100 bids for $50. Additional bids cost more money, often between 50 cents and a dollar per bid.

The price of auction items usually starts at zero, and each bid bumps the price of the item up a penny. Each bid also adds time – from 10 seconds to 2 minutes – to a countdown clock. The goal is to be the high bidder when the clock runs out. But because the clock resets with each bid, the auction process can be unpredictable and take time to complete.

What does “winning” mean?

Winning the auction doesn’t mean you’ve won the auction item: It means you’ve won the right to buy the item at the final price. For example, your $50 winning bid for a camera might seem like a bargain, but if you placed 200 bids that cost $1 each, your cost will actually be $250 – plus shipping and handling, and possibly a transaction fee.

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This blog post is the companion post to the video: Why Choose the MLM Model for Your Business? – A CEO Interview. Find out what makes MLM, direct selling, network marketing, and party plan business plans desirable to so many CEO and executives.

Babener: It’s my pleasure to be speaking with Kris Krohn, he is one of the Founders of Strongbrook (REIC). When www.mlmlegal.com sponsors conferences in Las Vegas, we often have the CEOs of companies attend because it’s important to know what makes MLM companies great. And, of course, my observation is that nobody starts on top.

Kris: That’s right. Everybody starts at the bottom.

Babener: I’m curious, Kris. Tell me about Strongbrook, tell me about its origins, tell me about the triumphs and difficulties you had in creating this company.

Kris: I appreciate that, Jeff. I’ll tell you, Strongbrook is five years in the making. And, in fact, I can tell you that for the first four years we kept tweaking our formula because we have a very complicated product that produces amazing transformations for people who leverage and use it. And, it took a long time to really dial that in. It came down to very humble beginnings where we started with absolutely nothing. We were encouraged to keep formulating our product in helping people achieve success through real estate investment with the feedback we would get from our clients.

Then we would bring them more clients. And then we would tweak our program so more. And then we’d figure out how to help them successfully purchase more real estate. We learned along the way things like sleep-well-at-night accounts. There’s a certain amount of money that people want to have in bank accounts to feel comfortable. And really, it comes down to an amazing team and culture here at Strongbrook; where everyone works together very, very well. We have a culture of being very hardworking and putting the client first. That is a really short answer for our history over the last four years. It was about a year ago when we finally said, “You know? With this product we have helped over 1,000 people experience some pretty powerful principles, concepts and even financial changes. It has been a major influence in their lives and created some very positive changes.” We decided that we were not going to tweak our formula anymore.

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This blog post is the companion post to the video: How to Tell if a Company is a Pyramid or a Legitimate MLM.

You may have been recruited for a network marketing opportunity or you are a recruiter. Inevitably, this question will come up, is the company a pyramid scheme or a legitimate business opportunity?

Although this is a complex legal area, let me share a simple metaphor that draws a clear line in the sand.

The metaphor is about a gentlemen, will call him Party #1, and he sells a case of canned tuna fish to Party #2 for $10. And, Party #2 sells it to Party #3 for $20, and Party #3 sells the case of canned tuna fish until it gets to Party #10, who buys the case of canned tuna for $500. And, Party #10 opens up the case of tuna fish and it’s rancid. It’s inedible.

He goes back to Party #9 and complains, “I bought this case of tuna for $500 and it’s rancid.” Party #9 tells him to take it to Party #8, and Party #8 tells him to take it to Party #7, and so on until Party #10 goes all the way back to Party #1 and says, “You’re the one who started all of this! I have a problem!”

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This blog post was created to bring you all the web pages, videos, and informational material about pyramid schemes vs. legitimate (legal) MLM companies from MLMLegal.com and MLMAttorney.com together in one place, for your convenience. This post is accurate to its publication date. Keep checking www.mlmlegal.com and www.mlmattorney.com for updates on the direct selling industry and pyramid schemes!

Here is a list of all the links within MLMLegal.com and MLMAttorney.com that focus primarily on pyramid schemes.

Videos

Short Course on Network Marketing: Q&A with Jeffrey Babener on Pyramid Schemes

From a Legal Perspective: The Difference Between a Pyramid Scheme and Legitimate MLM

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