Franchises

How do you distinguish a legitimate networking company from a scam?

Guest Writer
Opinions expressed by Entrepreneur contributors are their own.
There are three main components to this question, and they would be 1. who are the people involved, 2. what is the product and 3. what is the plan?

Is the company a member of the Direct Marketing Association? How long has the company been in business? How many people are in the company? How many customers does the company have?

Can you speak to the executives about their background, the product and the compensation plan? All of these are key in your due diligence with any network marketing company, and you should have good answers to these before moving forward with any opportunity.

All the best.
Brad Sugars
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