Never Make an Income Claim! Illegal!

It is everywhere online today…Income Claims by companies and individuals.  Regardless, as a professional network marketer, conduct your business in an ethical manner with integrity.

An online business is no different than a traditional brick and mortar business. There are State or Provincial Laws as well as Federal Laws to adhere to and obey.

Stepping into the Network Marketing Arena there are also MLM Laws which you must obey. It’s your duty at all times to conduct your business according to the laws of the land and the MLM industry.   There are certain things you just can not do. The law of any state/province states you are breaking the law when you assault someone, you are breaking the law when you claim to be making a certain amount of money, you have recruited x amount of people into your opportunity. You are breaking the law when promoting videos of stacks of money or pay pal sites of your company back office to show your income history. THIS IS BREAKING THE LAW!

I have probably just blown your socks off.  I am not surprised.  The person who does not take the time to educate themselves about this industry would not know this information.  However, ignorance of the law will not stand up in a court room.  Most of us just jump right in before becoming a critical thinker. Income claims by companies and individual distributors are for one reason only…that is to entice and trap YOU! It is presented to your emotions.  Your emotions take over and you then not able to think critically.

We all want to change our lives and our financial future. We unfortunately believe that these companies are legitimate in making these claims. “All companies are doing this, it has to be legal”, is what I hear all the time.  The fact is that there are so many MLM companies that the FTC (Federal Trade Commission) just can not keep up and be over the shoulders of these companies and the distributors every minute of every day to regulate what is said and produced to entice you.

As you searched for opportunities to join, I am sure that you have seen advertisements that look like this… “Be a Medical Distributor…Make Over $200,000 a Year, No Selling, Our Option To Surgery Changes Lives”.  Another income claim is overwhelming the internet these days which is this one… “An investment of $25 can bring you over $5,000.00 monthly (residual) income.” Another…"How I Make $74,000 a Month in Cash Flow!" Every single one of these advertisers are breaking the law.

I was sent a video by someone encouraging me to join his opportunity. His claim was that he could prove he makes $12,000.00 a month with his opportunity.  He exposed his back office in the video but I found it very curios that the name in the back office was not his.  So I had to ask myself, “does he go by more than one name or does he have access to someone else’s account or is he just a creative graphics artist?

THERE ARE PEOPLE WHO ARE PROMOTING ILLEGAL PRACTICES. This video is on the web, along with others just like it. Officials can see it and will use it against this gentleman if necessary.  I hope that he is claiming the income that he says he is making online.  If he has not done so the IRS will be looking to collect on the claims he just made in this video.  Another good reason to keep your income statements to yourself, don’t you think?

The thing is..it is not impossible to be making this kind of income and more, it is  however, ILLEGAL to be making the claim.

What makes making an income earnings claim illegal is simple? It’s enticement. When you make an income claim, you are enticing your prospect into a deal. Reporting that you or another in your company is making X amount per month (it does not matter if you are claiming to be making $1000.00 or $1,000,000.00 either) in your deal, your prospect assumes he can do this as well and that a lot of other distributors are doing the same. The truth is that very few ever achieve this level of success and income.

Typically making an income claim or producing a video to provide proof of your income is down right deceitful and unethical.

"Experience your 1st $1000 internet check in 30 Days…"

As a critical thinker you will realize that any income claim could be a blatant lie. There is a lot of technology that will allow you or I to put a few extra zeros on a company  commission check. Some people do not mind being unethical and can lie their way to the top.  Greed and ego allows them to promote themselves as being a top leader and income earner.  Ask yourself, would you want to be associated with a company or an individual who has these morals and does not mind sucking you and your wallet dry? As a critical thinker you would learn to ask “are they telling the truth?”

Rod Cook of MLM Watchdog, says the only way you can legally publish your earnings is if you also fully disclose the incomes of every single person participating in the business opportunity. I know that I would not want the whole world knowing what I am making.  I don’t want people knowing what I make in my day job.

The moral of this story…never make an income claim, especially on the internet. The internet has a long memory and many law officials are watching company websites, YouTube and Facebook to mention a few favourite hang out locals.

To Your Success

Dave and Darlene Mills
Leadership with a vision

If you enjoyed this post, make sure you subscribe to my RSS feed!

Published by

Dave and Darlene Mills

Welcome and thank you for visiting our blog. We are Mentors with "Mentoring for Free". A community of volunteers who believe in the value of education, personal development, and in sharing what we know that works to build a solid online business. We use this system to build our business and can be used with any MLM/Network Marketing company. We devote much of our time mentoring ANYONE in ANY company to build THEIR personae so they too acquire the skills they need to be successful. We will be more than glad to give you 100% of our effort and support. Today, Life is Grand!! We will never look back!! Darlene and Dave Mills "Be a Mentor With a Servant's Heart"

Leave a Reply

Your email address will not be published. Required fields are marked *


*