Home-Based Business Franchising Plans.
MLM plans help their distributors focus on building a sustainable business based on sales of the actual products and services to their customers, not to “down line” distributors. They provide detailed information in writing to new and current distributors, including business plans, marketing information, financial reports, and independent references. In good MLM plans, the parent company should buy back unsold products or unused supplies at no less than 90% of the wholesale purchase price.
The differences between legitimate MLM's and Pyramid Schemes are what makes one a legal business model that works for some consumers, and the other an illegal, money-losing scam.