How it works.
Multilevel marketing (MLM, also known as network marketing) is atype of business opportunity that is very popular with some peoplelooking for part-time, flexible businesses. Some of the best-knowncompanies in America, including Avon, Tupperware, and Mary KayCosmetics fall under the MLM umbrella.
MLM programs feature a low upfront investment, usually only afew hundred dollars for the purchase of a product sample kit, andthe opportunity to sell a product line directly to friends, familyand other personal contacts. Most multilevel programs also askparticipants to recruit other sales representatives. These recruitsconstitute a rep's "downline," and their salesgenerate income for those above them in the program.
Excerpted from Start Your Own Business: The Only Start-Up GuideYou'll Ever Need