John Oliver: Multilevel Marketing Is Not a Good Path to Entrepreneurship Don't get sucked into these businesses that promise big profits for just a small investment.

By Stephen J. Bronner Edited by Dan Bova

HBO

It sounds so promising: For a small investment, companies will send you products, which you can then sell to make a profit. Then you can recruit your friends to do the same and make even more money. Eventually, you'll earn enough to quit your job.

But things usually don't work out like the scenario above. Instead, people who get sucked into these multilevel marketing companies, which Last Week Tonight host John Oliver points out are quite "pyramid shaped," are stuck with unsold products that will eventually expire, and in the worst cases, tens of thousands of dollars in debt.

Related: What You Can Learn From the Viral Shenanigans of Last Week Tonight With John Oliver

This is not the right path to entrepreneurship.

Check out the Last Week Tonight segment below (a version for Spanish speakers can be found here).

Stephen J. Bronner

Entrepreneur Staff

News Director

Stephen J. Bronner writes mostly about packaged foods. His weekly column is The Digest. He is very much on top of his email.

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