Internal Consumption – MLM, Network Marketing, Direct Selling News, Videos, Articles, Legal Updates, and More. https://mlmlegal.com/MLMBlog From Multilevel Marketing Attorney and Business Consultant, Jeff Babener. Run, Learn & Get Lost at MLMLegal.com Sat, 07 Mar 2020 15:31:49 +0000 en-US hourly 1 https://wordpress.org/?v=4.9.25 Most Requested Video of the Month – How Many Levels Deep is it Legal to Go? https://mlmlegal.com/MLMBlog/most-requested-video-of-the-month-how-many-levels-deep-is-it-legal-to-go-2/ Mon, 08 Apr 2019 16:01:14 +0000 http://mlmlegal.com/MLMBlog/?p=1394 MLMLegal.com’s most requested FAQ this month answered in a video by MLM expert Attorney, Jeff Babener: How Many Level Deep (in the compensation plan) is it Legal to Go? The issue of depth of levels seemed to be a major … Continue reading

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MLMLegal.com’s most requested FAQ this month answered in a video by MLM expert Attorney, Jeff Babener: How Many Level Deep (in the compensation plan) is it Legal to Go?

The issue of depth of levels seemed to be a major focus prior to the internet and other non-postal (mail) means of communication. In the late 1980’s, the U.S. Postal service examined the numbers of compensation plan levels to make a determination, whether or not, in its opinion, the depth of levels created a “lottery” element under U.S. Postal lottery laws, that forbid payment based on chance.

Various cases and consents sorted out a safe harbor (at least from the U.S. Postal Office standpoint) for at least four levels (not necessarily agreed to by the direct selling industry). Separately, the Postal Service looked for evidence of “supervisory requirements.” Most companies adopted specific supervisory requirements of sponsors to demonstrate some managerial activity by distributors.

For the past 25 years, little recruitment activity is conducted by U.S. mail and it has been a long time since the U.S. Postal Service has expressed a serious interest in this subject. The issue of levels in a company’s compensation plan has not been the focus of the FTC or state attorneys general in the enforcement of pyramid laws. Instead, the focus for the last two decades has been on the whether or not product/service is purchased in reasonable amounts, the presence of anti-inventory loading and “buyback” rules and an emphasis of sale of product/service to the “ultimate user” as opposed to an emphasis on mere recruitment of new distributors whose primary motivation to make payments or purchases is to qualify in the income opportunity.

Watch the video for a detailed explanation by Jeff Babener, Editor of MLMLegal.com. View all of our new videos and more on our new and improved website: MLMLegal.com!

MLMLegal.com is bustling with educational content for direct sellers and startup/existing MLM companies! Be sure to visit us often!

If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

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FTC Offers Guidance: Business Guidance Concerning Multi-Level Marketing https://mlmlegal.com/MLMBlog/ftc-offers-guidance-business-guidance-concerning-multi-level-marketing/ Fri, 06 Jul 2018 01:58:20 +0000 http://mlmlegal.com/MLMBlog/?p=1298 Do you have questions about multi-level marketing? The FTC staff has guidance to help members of the MLM industry apply core consumer protection principles to their business practices. Multi-level marketing is a diverse and varied industry, employing many different structures … Continue reading

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18 Questions Answered by the FTCDo you have questions about multi-level marketing? The FTC staff has guidance to help members of the MLM industry apply core consumer protection principles to their business practices.

Multi-level marketing is a diverse and varied industry, employing many different structures and methods of selling.

Although there may be significant differences in how multi-level marketers sell their products or services, core consumer protection principles are applicable to every member of the industry. The Commission staff offers this non-binding guidance to assist multi-level marketers in applying those core principles to their business practices.

The FTC offers 18 common questions about MLM and running a direct selling business.

1. What is direct selling? What is multi-level marketing?

Direct selling is a blanket term that encompasses a variety of business forms premised on person-to-person selling in locations other than a retail establishment, such as social media platforms or the home of the salesperson or prospective customer.

Multi-level marketing is one form of direct selling. Generally, a multi-level marketer (MLM) distributes products or services through a network of salespeople who are not employees of the company and do not receive a salary or wage. Instead, members of the company’s salesforce usually are treated as independent contractors, who may earn income depending on their own revenues and expenses. Typically, the company does not directly recruit its salesforce, but relies upon its existing salespeople to recruit additional salespeople, which creates multiple levels of “distributors” or “participants” organized in “downlines.” A participant’s “downline” is the network of his or her recruits, and recruits of those recruits, and so on.

2. Under Section 5 of the FTC Act, what is an MLM with an unlawful compensation structure, which is sometimes called a pyramid scheme?

The most widely-cited description of an unlawful MLM structure appears in the FTC’s Koscot decision, which observed that such enterprises are “characterized by the payment by participants of money to the company in return for which they receive (1) the right to sell a product and (2) the right to receive in return for recruiting other participants into the program rewards which are unrelated to the sale of the product to ultimate users.” In re Koscot Interplanetary, Inc., 86 F.T.C. 1106, 1181 (1975).1

1 This document is focused specifically on MLM practices that may violate the FTC Act. It does not address other types of unlawful structures that do not involve the right to sell a product or service, such as chain referral schemes (sometimes called “chain letters”) and Ponzi schemes.

3. How do MLMs with unfair or deceptive compensation structures harm consumers?

READ MORE.

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The New FTC Direct Selling Guidance… Imperfect, But a Good Start – New Article https://mlmlegal.com/MLMBlog/new-ftc-direct-selling-guidance-imperfect-good-start-new-article/ Mon, 29 Jan 2018 02:51:00 +0000 http://mlmlegal.com/MLMBlog/?p=1261 by Jeffrey A Babener (First Published in World of Direct Selling) Ring the bells that still can ring Forget your perfect offering There is a crack in everything That’s how the light gets in Leonard Cohen… Anthem The new FTC Direct Selling … Continue reading

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The New FTC Direct Selling Guidance...by Jeffrey A Babener
(First Published in World of Direct Selling)

Ring the bells that still can ring

Forget your perfect offering

There is a crack in everything

That’s how the light gets in

Leonard Cohen… Anthem

The new FTC Direct Selling Guidance arrived in January, 2018. It built on the goodwill dialogue between the FTC and the direct selling industry that was ushered in by a well-received DSA presentation of acting Chairperson Maureen Ohlhausen in November, 2017.

Was it helpful to the conversation on “personal use” and “pyramid?” Yes. Was it perfect? No. There are two major ambiguity flaws (likely inadvertent) in the Guidance that must be discussed. Are these “cracks” in this Faberge Egg? Yes, but, that’s how the light gets in.

1. Did the FTC recognize that this area should be governed by 40 years of case authority rather than FTC administrative fiat? Absolutely. Did it miss a major characteristic of this well established industry? Yes. Even in this friendly guidance, the FTC was tone deaf to the reward tracking model used by leading direct selling companies (including Amway, Mary Kay, Shaklee, Tupperware) for more than 50 years, and never questioned by the courts, that follows wholesalemovement of product with an underlying assumption that companies are capable of mandating, incentivizing and encouraging that product is accounted for: resold to ultimate users, personally used by distributors as ultimate users or returned under liberal one year buyback/refund programs. Should a successful half century model be upended…if the idea is to support an established industry, probably not.
2. The Guidance employs the term “driven by consumer demand” multiple times. The inadvertent implication is “driven by retail sales.” This semantic term is at odds with actual detailed Guidance discussion that concurs with the industry position that the pyramid test is “driven by sales to the ultimate user,” meaning that sales to distributors in reasonable amounts, for either personal use or resale, should be placed in the category of “sales to the ultimate user.” Perhaps the simple fix is a document global search and replace of “driven by consumer demand” with “driven by ultimate user demand.”

 

Is more FTC/Industry dialogue and adoption of H.R. 3409 (anti-pyramid bill) a good next step? For sure.

How we arrived at this dialogue…

The direct selling industry search for certainty in proposed H.R. 3409 has some real basis in the vacillating positions of the FTC. After the initial success of a MLM structure, by Amway, Mary Kay and Shaklee, in the 1950’s and 1960’s, the appearance of a true pyramid in Koscot and Dare to be Great, prompted the FTC to challenge the entire MLM concept, and specifically Amway, as being a pyramid. In 1979, an FTC administrative law judge rebuked the FTC, holding that Amway was a legitimate business opportunity, principally because it adopted what has come to be known, in all subsequent cases, as the Amway Safeguards:

Read the full article at MLMLegal.com.

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PRWeb (PR) – MLMLegal.com Presents the E-Newsletter: MLM News Global – April 15, 2016 https://mlmlegal.com/MLMBlog/prweb-pr-mlmlegal-com-presents-e-newsletter-mlm-news-global-april-15-2016/ Tue, 19 Apr 2016 21:49:45 +0000 http://mlmlegal.com/MLMBlog/?p=1104 Welcome to the Newsletter: MLM News Global, an industry e-newsletter originating from one of the most trusted and respected direct selling websites, MLMLegal.com. Portland, Oregon (PRWEB)April 15, 2016 MLM News Global newsletter offers recent news, videos, company profiles, and timely … Continue reading

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Welcome to the Newsletter: MLM News Global, an industry e-newsletter originating from one of the most trusted and respected direct selling websites, MLMLegal.com.

MLM News Global newsletter offers recent news, videos, company profiles, and timely articles. The e-newsletter contains the top news stories from the network marketing industry, the most recent MLM scam alerts, timely articles on the direct selling industry, and so much more. Keep up-to-date on top MLM news headlines or to hear about the latest MLM scam alerts and pyramid scheme accusations. The timely headline reporting will keep subscribers up-to-date on stories that affect everyone in the network marketing industry. In addition, important press releases, directly from MLM/network marketing/direct selling, party plan companies, keep subscribers current on trends and direct selling company developments.

Subscribe and look forward to exclusive videos that laser-focus on industry-educational topics, such as distributor education, industry Q&A, direct selling executive interviews, MLM startup, and pyramid schemes.

The MLM News Global newsletter features industry-related articles in every issue, featuring MLMLegal.com’s perspective on FTC rulings, Burnlounge, Herbalife, Vemma cases, and more.

MLM News Global also highlights featured articles, from industry experts, on MLM industry-related topics, such as pyramid schemes, compensation plans, recruiting, lead generation, consulting, legal analysis, software, and more.

The MLM News Global Newsletter is presented by industry educator, MLM legal expert, and network marketing business consultant and lawyer, Attorney Jeff Babener.

Sign up today to receive valuable MLM, network marketing, direct selling content, an imperative to anyone in the direct selling industry.

Unsubscribe at any time. We guarantee a NO SPAM POLICY!

Check out our Archives for past issues.

The Starting and Running the Successful MLM Company conference will be held May 20, 2016.

How do you find out more information?

Visit the new website:

http://www.mlmlegal.com

Visit the blogs:

http://mlmlegal.com/MLMBlog/

http://mlmattorney.com/blog/

Contact MLMLegal.com: 503-226-6600 or 800-231-2162

Conference Information: The day will begin at 9:00AM and end at 5:30PM, then from 5:30PM-8:30PM there will be one-on-one time with the speakers. For more information visit our website or call 800-231-2162/503-226-6600. Registrations are taken exclusively by phone and questions are always welcome.

Presented by one of the most trusted individuals in direct selling and MLM, Jeffrey Babener, Editor of http://www.mlmlegal.com.
About Attorney Jeffrey Babener: Conference Host and Chairman, Editor of http://www.mlmlegal.com, as well as the leading direct selling attorney in the United States – With over 30 years of experience as a direct selling attorney, Jeffrey Babener has advised leading companies in the MLM/Direct Selling industry, ranging from Avon to Nikken, to Herbalife, to Melaleuca, to USANA, and to Excel Communications, Nerium International, plus many more. He has been published in national magazines such as Money, Inc., Atlantic Monthly, Entrepreneur magazine, Direct Selling News, Direct Sales Journal, Success magazine, Money Maker’s Monthly, among countless others. He’s authored several books, including his most popular Network Marketing: What you should know. Mr. Babener has chaired more than 70 national conferences on direct selling.

Learn how to receive two COMPLIMENTARY tickets to attend the next Starting and Running the Successful MLM Company Conference by visiting the MLMAttorney.com.

View the press release at PRWeb.

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New Video: Why Do I Need an Experienced Network Marketing Attorney? https://mlmlegal.com/MLMBlog/new-video-why-do-i-need-an-experienced-network-marketing-attorney/ Tue, 28 Apr 2015 16:41:38 +0000 http://mlmlegal.com/MLMBlog/?p=945 An experienced and seasoned direct sales attorney can be the single most valuable resource that a MLM company can ever utilize. Look for a professional who has represented leading direct selling companies as well as startup companies. As industry experts, … Continue reading

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At the very least, a direct sales company should not enter the marketplace without legal review of its marketing program. Hiccups caused by having to respond to regulatory agencies, consultant complaints, vendor conflicts, etc. can be bad for any MLM business and its reputation.

At the very least, a direct sales company should not enter the marketplace without legal review of its marketing program. Hiccups caused by having to respond to regulatory agencies, consultant complaints, vendor conflicts, etc. can be bad for any MLM business and its reputation.

An experienced and seasoned direct sales attorney can be the single most valuable resource that a MLM company can ever utilize. Look for a professional who has represented leading direct selling companies as well as startup companies.

As industry experts, they commonly know more about multilevel marketing and direct selling than most of their clients. In fact, more than half of our conversations with clients involve discussions about the MLM industry, rather than the mere legal aspects of running a direct sales company. And over time, such an experienced “consigliere” (see the movie The Godfather) may become the most trusted business advisor to a company and a vital member of the business team.

Apart from tremendous insight into the business, an experienced network marketing attorney can answer in five minutes what would take a business attorney five hours to research. And, the business attorney would likely still not completely understand the issue, let alone the solution.

The direct sales industry has – for better or for worse – provoked vast amounts of legislation and regulatory control that network marketing attorneys must navigate.

A brief list of regulations, legislation and legalities that experienced MLM attorneys, such as Jeff Babener of Babener & Associates, must commonly appraise include:

– Pyramid statutes

– MLM statutes

– Business Opportunity Rule

– Securities

– FTC regulations

– Postal regulations

– FDA rules and regulations

– Distributor relationships

– Vendor relationships

– Distributor discipline

– Trademark

– IRS and tax regulations

– International expansion

– Sales tax

– Marketing

– State law and registration

– And, legal review of sales kit contents, which include:

1) Consultant agreements

2) Policies and procedures

3) Product brochures

4) Compensation plan

5) Marketing plan presentations

6) Forms, from receipts to multiple owner applications, etc.

At the very least, a direct sales company should not enter the marketplace without legal review of its marketing program. Hiccups caused by having to respond to regulatory agencies, consultant complaints, vendor conflicts, etc. can be bad for any MLM business and its reputation.

Click here to watch the full video!

For more information, watch the video The Legal Issues of Starting and Running a MLM Company.

For more information about the importance of hiring a network marketing, visit Attorney Jeff Babener’s websites: www.mlmlegal.com and www.mlmattorney.com.

In addition, our next Starting and Running the Successful MLM Company Conference takes place October 22 and 23, 2015 in Las Vegas. View our conference flyer and speaker list online. Participate in our Innovation Campaign for your chance to receive TWO FREE TICKETS to attend our next conference.

Visit us at www.mlmlegal.com to learn more.

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Are you ready to start your MLM company in 2015? Watch this motivational video: Since You Are a MLM Attorney, Why Would You Host the MLM Startup Conference for the Executives of Startup and Existing Companies? https://mlmlegal.com/MLMBlog/are-you-ready-to-start-your-mlm-company-in-2015-watch-this-motivational-video-since-you-are-a-mlm-attorney-why-would-you-host-the-mlm-startup-conference-for-the-executives-of-startup-and-existing-c/ Thu, 09 Apr 2015 20:21:46 +0000 http://mlmlegal.com/MLMBlog/?p=925 We have hosted more than 70 national conferences on starting and running a direct selling, network marketing, MLM or party plan company. We host the original MLM Startup Company that many try to imitate. We have started and advised many … Continue reading

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We have hosted more than 70 national conferences on starting and running a direct selling, network marketing, MLM or party plan company. We host the original MLM Startup Company that many try to imitate. We have started and advised many of the leading companies in the industry. We have a “big picture” approach that is difficult to find elsewhere. We are big believers in education and our website, www.mlmlegal.com, is hopefully evidence of this, with hundreds of articles, cases, statutes, and scores of videos. We take a particular satisfaction in helping entrepreneurs pursue their dreams and the consequence is often the creation of thousands of jobs and opportunities. And at our conferences, we have started many companies that are, today, household names. It has been a pleasure and honor to assemble professionals in these conferences to assist individuals to create “something from nothing.”

Join us at the next MLM Startup Conference in Las Vegas!

The Original MLM Startup Conference – Starting and Running the Successful MLM Company Conference in Las Vegas

The MLM Startup Conference is perfect for executives who have a lot of questions that need answered by a broad range of experts. It is also perfect for those who need general knowledge about the network marketing industry, by www.mlmlegal.com..

The MLM Startup Conference is perfect for executives who have a lot of questions that need answered by a broad range of experts. It is also perfect for those who need general knowledge about the network marketing industry.


The Starting and Running the Successful MLM Company Conference is just around the corner! For over 30 years we have hosted over 70 national conferences to educate startup and existing MLM company executives. All executives/owners of MLM, direct selling, network marking, and party plan companies are welcome to attend. This is the original MLM Startup Conference, hosted and perfected by direct selling industry expert, MLM Attorney Jeff Babener.

The MLM Startup Conference is held three times per year in February, May and October. For current dates, click HERE.

Still unsure? Our MLM Startup Conference is incredibly popular and well-attended. Visit this page for statistics on our last event (i.e. attendance count, company count, countries and states represented).

Did you miss the February MLM Startup Conference? In attendance were over 100 people, representing 65 companies from 20 states and five countries (Canada, South Africa, Mexico, Brazil, and the United States). The companies in attendance represented the entire spectrum of company ages, from startups to established companies. All attended to learn more about the network marketing industry, to grow their companies, to meet experts in the industry, and to educate themselves on the MLM industry, by www.mlmlegal.com..

Did you miss the February MLM Startup Conference? In attendance were over 100 people, representing 65 companies from 20 states and five countries (Canada, South Africa, Mexico, Brazil, and the United States). The companies in attendance represented the entire spectrum of company ages, from startups to established companies. All attended to learn more about the network marketing industry, to grow their companies, to meet experts in the industry, and to educate themselves on the MLM industry.


WHO ARE THE SPEAKERS?

Direct Selling Attorney, Jeff Babener, Founder of Babener & Associates and Sponsor of the MLM Startup Conference, has over 30 years of experience in the industry, representing companies such as Avon, Nikken, Melaleuca, Discovery Toys, Usana, and NuSkin.

MLM Industry Consultant, Mike Sheffield, with The Sheffield Group and Co-Sponsor of the MLM Startup Conference, has helped launch over 800 companies over the last 27 years.

Over the course of two days, you will hear from many leaders in the direct selling industry, who include:

Expert, Experienced MLM Attorney, Jeff Babener, www.mlmlegal.com.

Expert, Experienced MLM Attorney, Jeff Babener

Jeffrey A. Babener, of Portland, Oregon, Conference Chair and Sponsor, www.mlmlegal.com, is the principal attorney in the law firm of Babener & Associates. He represents leading U.S. and foreign companies in the direct selling industry. He has been a key advisor to such companies as Avon, Herbalife, Discovery Toys, Nikken, Shaklee, NuSkin, Excel, Usana, Fuller Brush, Cell Tech, Enagic, Sunrider, Melaleuca, Nerium International, etc. He is a frequent lecturer and has been interviewed on the industry, and published, in such publications as Money, Inc., Atlantic Monthly, Success, Entrepreneur, Kiplinger’s Personal Finance, Home Office Computing, Business Start-Ups, Direct Selling News Magazine, and Money Maker’s Monthly. He is editor of the industry publication, Direct Sales Legaline. Mr. Babener is also the author of the books; Tax Guide for MLM/Direct Selling Distributors, Network Marketer’s Guide to Success, The MLM Corporate Handbook, Network Marketing: Window of Opportunity, and Network Marketing: What You Should Know (used as the college curriculum textbook at Utah Valley State course on network marketing). He is editor of one of most frequented network marketing educational web sites, www.mlmlegal.com. He has served as Chair of more than 70 national conferences on starting and running the direct selling company. He serves on the Lawyers Council and Government Relations Committees of the Direct Selling Association (DSA), and he has served as General Counsel and on the board of the MLMIA (Multilevel Marketing International Association). He has lectured at major industry trade meetings and at such educational institutions as the Univ. of Illinois, University of Texas, University of Houston, etc.  He is a graduate of the University of Southern California Law School where he served as an editor of the USC Law Review, followed by the appointment as a law clerk to Hon. David Williams, U.S. District Court for the Central District of California.

A number of Babener & Associates client companies have been success stories over the last several decades, including several billion dollar and NYSE companies such as Avon, Herbalife, NuSkin, Usana. Other successful companies, to which the law firm has provided varying level of advisory, have included Melaleuca, Nikken, Enagic, Discovery Toys, Amazon Herbs, TriVita, Nerium International, Shaklee, PrePaid Legal, Tupperware, Primerica,  Arbonne, Longaberger, Excel Communications, ACN, etc.

Mr. Babener has served as lead trial counsel for multiple cases on direct selling throughout the U.S. Further background material on direct selling will be found at the website, www.mlmlegal.com, where he is editor.

Mike Sheffield, by www.mlmlegal.com.

Mike Sheffield

Michael L. Sheffield is Chairman and CEO of The Sheffield Group Inc., a full service direct sales consulting firm and Chairman Emeritus of the Multi Level Marketing International Association. The Sheffield Group (www.sheffieldnet.com) specializes in startup operations, compensation plan development, distributor recruiting systems, and sales tools. The firm also consults on new product concept development including positioning, pricing strategies, marketing, and product sales strategies. The Sheffield Group has assisted in over 800 direct selling company start-ups, including 23 of the top 100 MLM/Party Plan companies in the world. In addition, Mike has assisted in numerous special projects for many of the industry’s most prestigious direct selling, MLM and party plan companies. He has been a frequent lecturer on launch strategies for MLM companies at various industry conferences as well as the Schools of Business at Arizona State University, UC Berkley, University of Cincinnati, California Lutheran University,
Anderson University and others. He was selected to make a special presentation on behalf of MLM at the Harvard Business School Association symposium. Mike is nationally respected as a leading compensation plan design expert and on the special staff teaching the subject at the University of Illinois at the Chicago Network Marketing Seminar. He has co-authored numerous academic papers on MLM presented at various academic conferences. He has served as sponsor and chief coordinator of various academic/corporate MLM conferences at the University of Texas, El Paso (UTEP). His contributions to these academic conferences earned him the honor of being the subject of a feature article in Success Magazine. Mike has been the MLM Expert for Entrepreneur Magazine and a contributor to the Entrepreneur Magazine training manual teaching how to start a successful MLM company. He can be contacted at www.sheffieldnet.com.

Clifton Jolley, Ph.D., of Dallas, Texas, is President of Advent Communications and has provided communications products and consulting to leaders in network marketing for more than 15years, in addition to teaching communications at the university level both in the United States and abroad. His innovation and skill have been heralded in the Atlantic Monthly, Success Magazine, Wave 3, and numerous other national publications and broadcasts. He has been a frequent contributor to leading magazines and has acted as media spokesman for such major companies as A.L. Williams, Home Shopping Network, Nokia, Sunrider, Quorum, Nikken, Oxyfresh, Network 2000, and dozens of others. His skill in crisis intervention and media relations has been credited with rescuing dozens of Advent clients from media scrutiny. Dr. Jolley’s company is known for state-of-the art graphics production, including distributor kits and manuals and Web site production. Advent Communications also provides its clients award-winning video production, executive communications and distributor programs.

Robert Proctor is President of MultiSoft Corporation, a veteran provider of MLM Software to the Network Marketing Industry for over 25 years. With offices in the USA, Europe and Asia, MultiSoft Corporation provides turn-key and custom MLM software packages from start-ups to mature companies with a focus on “Internationalized” MLM software. Robert has worked with hundreds of companies around the globe and has been involved in nearly every aspect the network marketing industry for 16 years as a developer, designer, distributor, owner, operator, and provider to the industry. Robert has built down-line organizations exceeding 50,000 customers and 6,000 distributors. Robert has a diverse background that includes public speaking, radio & television, advertising and marketing, business law, accounting & finance, banking, sales, customer service, compensation plan evaluation, network operations, programming, design, and management.

Robert Butwin, of Santa Rosa, California, is the consummate MLM professional. He has built and led large distributor organizations. He is highly respected in the MLM corporate community and juggles his distributor schedule with duties as a mentor on recruiting to corporate management of many leading companies. He is the author of the highly acclaimed “Street Smart Networking,” available in bookstores everywhere.

Garvin DeShazer, Executive Consultant, Sheffield Group, has nearly 30 years experience as an entrepreneur. With 26 startups or acquisitions of his own, in industries ranging from alternative fuels to network marketing to fine arts, he has extensive experience in corporate and marketing management and driving sales. Included in his past corporate experience is the founding of a major direct selling company in the home security arena. He has served as a Senior Consultant for more than 60 network marketing companies where he focuses on strategic planning, key distributor development programs, creative writing, and project management.

Alfred White is a Senior Management Consultant for Hamilton LaRonde & Associates of San Diego, California and Vancouver, Canada. Mr. White has extensive international experience. For the last twenty-two years, Mr. White has been a management and marketing consultant to the direct selling, multilevel marketing and network marketing industries. Mr. White’s experience includes more than 200 assignments with a wide range of companies both domestic and international. He is highly regarded for his expertise in operations management and compensation plans. Mr. White designed the PDX computerized system for structuring new MLM companies. The PDX system is a very effective system that can bring a company from concept to fully operational at considerable savings in time and money. Above all Mr. White has a love for the MLM/Network marketing industry and devotes time and energy developing systems for the entrepreneur to be the owner of their own network marketing company. He is a featured writer of articles in national journals on the subject of network marketing.

Rod Cook is most commonly known as the MLM WatchDog of the industry. He studies the good of the MLM industry and at the same time tries to stomp out pyramid schemes. Part time he is a consultant who helps people start up new companies so they are a credit to the industry. At MLMWatchdog.com, editor in chief Rod Cook and his field reporters handle hundreds of questions or complaints a week about MLM companies. Rod jokingly says, “I live in the middle of the MLM Information Highway and get run over by trucks twice a day!” Rod is considered the ultimate MLM “marketing” inside information source! His articles have been published in over 30 different publications.

Sandy Elsberg, of Orange County, California, is one of the most successful and admired distributors in the MLM world. She has led huge sales networks over the years. She is sought out frequently by MLM companies and distributor groups to speak and train. She is the author of the best seller, Bread Winner, Bread Baker.

Wayne Hinkle is V.P. of Sales of Trinity Software of Dallas, Texas. Trinity is a leading technology solutions provider to network marketing companies. Prior to becoming V.P. of Sales, Hinkle served 20 years at Nortel Networks where he was responsible for customer service and satisfaction for the entire eight-state region of the SBC operator services division. He is a specialist in customer support and service as well as technical support, training and project management.

Greg White of Vancouver based Hamilton LaRonde has a twenty five year career in meeting management and coordination of MLM sales materials design and production. He has managed every single Starting and Running Conference since the 1980’s, more than 50 conferences, and supervised all of the art work for the conference.

Scott Fitzpatrick, Marketing Director of Pivotal Payments of Montreal, Canada. Pivotal is one of the leading merchant account processors for the Direct Selling/MLM industry, providing solutions for e-commerce online processing as well as traditional credit card, debit card and other processing for sales by direct selling companies and their sales force.

Sean Eggert is Director of National Sales with Hanna Shea Consulting, Scottsdale, Arizona, which provides Executive Search, Recruitment Process Outsourcing and International Staffing services for Fortune 500 clients. Additionally, Hanna Shea has a specialized search service that is dedicated to MLM and Direct Sales Organizations to identify and recruit top talent as members of the leadership management team.

Jeffery Boyle, of Nampa Idaho, is the CEO of Boyle Network, a focused industry resource specializing in empowerment of distributors and companies through multimedia production on the web and social networking. In addition, he is editor-in-chief of www.networkingstar.com, an educational and informative website profiling the people and issues of the network marketing industry.

Rosann (Ro) Shales, of The Sheffield Group, Scottsdale, Arizona, is a long time Party Plan expert. Ro is a veteran direct seller with multi-faceted experience, both in the sales field, having built her own $1.3M organization, and as a corporate executive working with companies like Tupperware, PartyLite and Jafra Cosmetics. This has served her well in working with start-up, established and mature-market companies. As a strategist and connector, Ro brings ideas and people together for increased recruiting, leader development, and retention to drive revenue and success. Roseann is the author of “RECRUIT! Connecting with People to Change Your Business and Your Life,” available in English and Spanish. RECRUIT is a valuable resource to everyone in MLM and Party Plan, both field and corporate, plus everyone who recruits volunteers or develops teams.

Patti Lamb, of Santa Barbara, California, is President of Alexandria Services. On behalf of startup and established MLM companies, Alexandria specializes in searching out multiple resource options for merchant account processing with established banking and processing financial organizations.

WHY?

The information you will gain and relationships that you will build by attending the conference are invaluable. You’ll receive information on how to:

– Structure your compensation plan
– Legalize your company
– Recruit key employees and top-ranking distributors
– Develop a business model
– Generate leads
– Fund your business organization
– Establish your website and technology platforms
– Better understand the direct selling industry
– And, so much more

Read why network marketing executives have consistently attended the MLM Startup Conference for over twenty years:

– [I] Launched [the company] Federal Chamber of Commerce in 2002, after attending your Conference. Contracted with Mr. Alfred White to consult on our Compensation Plan. Recruited 10,000 Reps and $5,000,000 volume in 9 months. Cashed out stock in 2003. Back again in 2013 with new partners and a new concept…

– We want to get the fundamentals and the basics down… get a good review of what needs to be done to be successful…

– We have a traditional business at the moment and we are looking to take it into the realm where it’s more personalized, it’s more about building people and an experience. It has been absolutely worth our trip. We are
looking to take our business to the next level and build relationships.

– [I’ve] been in network marking for 30 years [but] we are learning a lot of things about how to launch, how to reach the people we need to have, and again, the things that are required to make a successful company, not only for us but especially for our customers and for our affiliates.

– I want to teach other people how to run their own clothing business and have fun doing it. I have a distribution plan. I have a unique product that I need to take nationwide in a couple of months.

– I’m here because I want to know more about multi-level and I can replicate that experience in my country (Columbia) … It’s worth it to be here.

– The reason I came to the show was to learn more about how to launch my direct sales company. I’m very comfortable and accustomed to selling through more traditional networks; however, I believe that the product that I’m launching is more suitable for direct sales; to get direct-to-consumer faster and in greater sales.

– I have a huge to-do list… Once I know what I’m supposed to be working on I won’t spin my wheels.

(Additional testimonials can be seen in the following video: MLMlegal Releases New Film on MLM Startup Conference – Produced by Networkingstar.com.)

WHERE WILL THE MLM CONFERENCE BE HELD?

The MLM Startup Conference will be held in Las Vegas. Call 1-800-231-2162 for the exact location. Why don’t we advertise the exact location? Since our conference is solely educational (no selling or vending allowed!), we don’t allow vendors, distributors and other solicitors to attend the event. This enables us to maintain the conference’s high standards. Therefore, only registered guests are given the address after they’ve registered. However, if for some reason you cannot attend after registering, we will refund 100 percent of your attendance cost.

WHEN DOES THE MLM CONFERENCE TAKE PLACE?

February, May and October – Las Vegas, Nevada. Click HERE for current dates.

HOW MUCH DOES IT COST TO ATTEND?

The price to attend is $195 for the first person and each additional attendee is $150. We accept all major credit cards. Reservations must be made via phone, prior to the event. 503-226-6600 or 800-231-2162.

Want to attend the MLM Startup Conference in Las Vegas on a budget? Save $345 in registration fees!

WHAT ELSE DO I NEED TO KNOW?

 

FREE to all attendees - "How To" Manual, by www.mlmlegal.com.

FREE to all attendees – “How To” Manual

Each attendee will receive a FREE copy of the Starting and Running the Successful MLM Company Manual. Some of the chapters include:

Legal Issues
MLM Law in 50 States
FDA Health Claims: The Final Rules
The Snail that got Mugged: FTC v. Direct Selling
Start-up  Issues
Incorporating the Network Marketer
Five Dynamics that Drive An MLM Company Product
Creating Your Next Million Dollar Product
Treasure Hunting for New Products
Compensation Plans
Comp. Plan Conversion: Direct Sales to MLM
Your Compensation Plan’s Competitive Edge
Communications and Media
Focus on the Mission…Not the Commission!
When the Media Calls… Who Answers the Phone?

Attendees receive over 30 consulting hours with an array of industry experts – all in one location.

HOW CAN I FIND OUT MORE INFORMATION?

Visit our main website:
www.mlmlegal.com

Read our blogs:
http://mlmlegal.com/MLMBlog/ and http://mlmattorney.com/blog/

Watch the videos:
MLMlegal Releases New Film on MLM Startup Conference – Produced by Networkingstar.com

The MLM Startup Conference in Las Vegas

MLM Startup Conference – A Must for Executives of Startup and Existing MLM Companies

Since You Are a MLM Attorney, Why Would You Host the MLM Startup Conference for the Executives of Startup and Existing Companies?

BEST BET?

Call us to register: 503-226-6600 or 800-231-2162

CAN’T MAKE IT?

As mentioned, our conference has taken place consistently over the last thirty years. We hold each conference three times per year. Join us in February, May or October. Check MLMLegal.com for the most current conference dates.

Don’t get fooled by copycat conferences! We host the original MLM Startup Conference – – responsible for launching many industry-leading companies — perfected over the course of a quarter of a century to ensure the highest quality of information, most knowledgeable experts, and most practical advice from qualified consultants.

Join us at our next conference! Over the course of two days, attendees will hear from scores of industry experts, and if they choose, can sign up to meet with the speakers for individual one-on-one time. A full list of speakers and their biographies/credentials can be found at http://www.mlmlegal.com/bio.html.

Lastly, learn how you can receive two FREE tickets to attend the May 2015 Starting and Running the Successful MLM Company Conference by visiting our Innovation Campaign page.

 

Visit us at www.mlmlegal.com to learn more.

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Gifting Club? Run the Other Way! In Fact, Run and Watch this New Video: What about Gifting Clubs? https://mlmlegal.com/MLMBlog/gifting-club-run-the-other-way-in-fact-run-and-watch-this-new-video-what-about-gifting-clubs/ Thu, 02 Apr 2015 18:36:50 +0000 http://mlmlegal.com/MLMBlog/?p=922 A gifting club usually begins unintentionally between friends, family and neighbors. Unlike the traditional pyramid scheme, gifting clubs are not promoted as an investment by fraudulent financial advisers. Gifting clubs are usually home-grown. Those involved believe that they are genuinely … Continue reading

Visit us at www.mlmlegal.com to learn more.

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A gifting club usually begins unintentionally between friends, family and neighbors. Unlike the traditional pyramid scheme, gifting clubs are not promoted as an investment by fraudulent financial advisers. Gifting clubs are usually home-grown. Those involved believe that they are genuinely helping one another. However, there is no exchange of merchandise and someone always ends up on the losing end.

Those who join usually do so by investing anywhere from $2,000 to $5,000 and then recruiting others to join. As more people join beneath them, their “investment” grows. Cash flow is passed from new recruits to those higher up in the pyramid. Those at the top of the gifting club pyramid usually leave with roughly eight times the amount they originally invested, while those on the bottom lose their money as new recruits decline and cash ceases to drive the pyramid. All gifting clubs eventually die because they run out of people (and therefore cash) to continue to “feed” the pyramid.

Unfortunately, and to the surprise of the founders and participants, they are engaged in an unintentional cash, pyramid, headhunting, recruitment scheme. Such practices violate consumer protection laws and criminal laws in most states. And also, unfortunately, the end-game sometimes is a criminal prosecution for the participants, all of whom might be your next door neighbors and “charismatic” people under most circumstances. Basic greed has blinded their judgment, however, and the price to pay is often very expensive.

Watch the video: What about Gifting Clubs?

For more information on any topic on network marketing that comes to mind, please visit www.mlmlegal.com and www.mlmattorney.com.

In addition, our next Starting and Running the Successful MLM Company Conference takes place May 14 and 15, 2015 in Las Vegas. View our conference flyer and speaker list online. Participate in our Innovation Campaign for your chance to receive TWO FREE TICKETS to attend our next conference.

Visit us at www.mlmlegal.com to learn more.

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Looking Forward to 2015 – 63 New Videos Being Launched at MLMLegal.com https://mlmlegal.com/MLMBlog/looking-forward-to-2015-63-new-videos-being-launched-at-mlmlegal-com/ Thu, 12 Mar 2015 20:41:43 +0000 http://mlmlegal.com/MLMBlog/?p=914 Teenage Mutant Ninja Turtles (depicted here in true Babener-fashion by Jeff Babener’s grandson, Sammy) are famous for battling petty criminals, evil overlords, mutated creatures, and alien invaders. MLMLegal.com is famous for squashing MLM myths, spreading knowledge about the network marketing … Continue reading

Visit us at www.mlmlegal.com to learn more.

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MLMLegal.com is famous for squashing MLM myths, spreading knowledge about the network marketing industry, and distributing resources to anyone who visits our website.

MLMLegal.com is famous for squashing MLM myths, spreading knowledge about the network marketing industry, and distributing resources to anyone who visits our website.

Teenage Mutant Ninja Turtles (depicted here in true Babener-fashion by Jeff Babener’s grandson, Sammy) are famous for battling petty criminals, evil overlords, mutated creatures, and alien invaders. MLMLegal.com is famous for squashing MLM myths, spreading knowledge about the network marketing industry, and distributing resources to anyone who visits our website.

Every year MLMLegal.com adds a comprehensive project to its website. Whether it is videos on network marketing, well-researched articles, library of legal cases, or a video miniseries, each year our website is expanded upon. This year is no different.

In 2014, MLMLegal.com committed the highly-regarded article “BurnLounge Appeal Decision: Guidance on Pyramid v. Legitimate MLM and the Role of Personal Use in Pyramid Analysis” to the website.

In 2015, we plan to add 63 new videos to our website and Youtube Channel on the topic of MLM education. Below are some of the topics to be discussed by MLM Attorney Jeff Babener in this new video series:

  • What’s the Difference between MLM, Network Marketing, Party Plan and Direct Sales?
  • What Is a “Pay to Play?”
  • How Much Does It Cost to Start a MLM Company?
  • How Do I Raise Capital to Start My MLM Business?
  • What Is the Benefit of Recruiting Experienced Distributors?
  • What about Gifting Clubs?
  • Why Do I Need an Experienced Network Marketing Attorney?
  • What Do I Do with Distributors Who Go Passive (for MLM Executives)?
  • What Do I Do with Distributors Who Go Passive (for MLM Distributors)?
  • What Key Factors Determine the Growth of Network Marketing Companies?
  • Do You Have Some Tips for Generating Network Marketing Leads?
  • Do You Have Some Tips to Become a Successful Network Marketing Distributor?
  • Are There MLM Companies That Have Achieved Success on a Low Budget?
  • Since You Are a MLM Attorney, Why Would You Host the MLM Startup Conference for the Executives of Startup and Existing Companies?
  • If I’m a New Distributor Then Should I Focus My Selling In Areas Where Other Distributors Are Successful Or Should I Focus On Untouched Territory?
  • I Own a MLM Company. How Can I Determine Cost of Goods? In Other Words, How Do I Price My Products for Retail, Distributor and Direct-To-Consumer Sales?
  • Do I Need To Worry about Merchant Account Processing? Should I Have Just One Merchant Account?
  • If a Sales Kit or Startup Fee Is Several Hundred Dollars, Then Is This Considered “Frontloading”?
  • How Do I Create a Compensation Plan That Guarantees That I Am Legal?
  • I’m Starting a MLM Company. I Am Going to Have Distributors Earn Income by
    Referring Others, Is This Legal?
  • What Should I Look for When Hiring a Vice President of Marketing?
  • What Is the Typical Price of an at-Cost Starter Kit in the Industry?
  • Can I (as a MLM Executive) Pass the Costs of Website Development, Marketing Materials, Etc. Down to Distributors?
  • How Do I Find Top Distributors?
  • In an Absolute Nutshell, What Are the Two Main Causes of a MLM Company Failing?
  • As a Distributor, Can I Use Display Booths to Sell My Company’s Products? Is There a Limit on the Time I Can Spend Selling at a Booth?
  • In Regards to Event Sales, Such as Fairs, Kiosks, Vending Machines, Etc., Am I Authorized to Sell My Company’s Products at Such Events?
  • Why Do MLM Companies Require Distributors to Use Replicated Websites Rather Than Distributor-Created Websites?
  • What about Raising Capital to Start Your Network Marketing Company?
  • How Many People Would I Need in My Organization to Make Over $10,000?
  • Are Network Marketing Companies Mostly Moving to All-Digital/All-Online Starter Kits? Can It be Done in a Way That Ensures a High Perceived Value?
  • What Regulatory Changes Are Affecting Network Marketing Companies?
  • What Should I Look for in a Company When Choosing Back Office Software?
  • How Important Are Celebrity Endorsements? Do They Help Marketing or Is It a Double-Edged Sword?
  • How Often Should Companies Renew Their Policies and Procedures to Make Them Relevant in Today’s Marketplace?
  • Do You Want to Attract MLM Professionals or MLM Junkies into Your Direct Selling Company?
  • How Have Raiding Rules Evolved in Direct Selling Contracts and Policies and Procedures?
  • What Happens if Consultants Raid Anyway?
  • What Are the Most Important Things to Remember When You Host a Distributor Recognition Event?
  • Do Incentives Increase Sales? How Worthwhile Are Consultant Incentives?
  • What Do Startup Companies Think about Long Term Professional Relationships?
  • What Is the U.S. and International Trend in Recognizing the Validity of Personal Use by Distributors in Pyramid Cases?

So, keep your eyes on MLMLegal.com this year. We will have a lot of new content added to our website and we want you to be a part of it! Run, learn and get lost at MLMLegal.com!

For more information on any topic on network marketing that comes to mind, please visit www.mlmlegal.com and www.mlmattorney.com.

MLMLegal.com is bustling with educational content for direct sellers and startup/existing MLM companies! Be sure to visit us often!

If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

Our next Starting and Running the Successful MLM Company Conference takes place October 27 and 28, 2016 in Las Vegas. View our conference flyer and speaker list online. Participate in our Innovation Campaign for your chance to receive TWO FREE TICKETS to attend our next conference.

If you’re reading this blog post and the conference dates above have passed, check our website for the current conference dates.

Sign up for the MLM News Global newsletter for top headlines, news stories, scam alerts, videos, articles, and more information on the network marketing industry.

Visit us at www.mlmlegal.com to learn more.

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New Press Release: MLMLegal.com and Babener & Associates Announces Its 69th National Starting and Running the Successful MLM Company Conference https://mlmlegal.com/MLMBlog/new-press-release-mlmlegal-com-and-babener-associates-announces-its-69th-national-starting-and-running-the-successful-mlm-company-conference/ Tue, 06 Jan 2015 21:38:24 +0000 http://mlmlegal.com/MLMBlog/?p=904 The Network Marketing Conference Will Be Held February 26 & 27, 2015, Which Is Quickly Approaching LAS VEGAS, NV — (Marketwired) — 01/06/15 — For more than 28 years, leading industry experts have educated the executives of starting and existing … Continue reading

Visit us at www.mlmlegal.com to learn more.

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The Network Marketing Conference Will Be Held February 26 & 27, 2015, Which Is Quickly Approaching
Join us for the first MLM Startup Conference of 2015!

Join us for the first MLM Startup Conference of 2015!

LAS VEGAS, NV — (Marketwired) — 01/06/15 — For more than 28 years, leading industry experts have educated the executives of starting and existing MLM, direct selling, network marketing, and party plan companies on how to structure their compensation plans, legalize their companies, recruit key employees and top-ranking distributors, develop business models, generate leads, fund their business, establish their website and technology platforms, better understand the direct selling industry, and so much more.

The next MLM Startup Conference takes place February 26 & 27, 2015 in Las Vegas. View the conference flyer page at http://www.mlmlegal.com/srs2.html to learn more. 

This is the original MLM Startup Conference — responsible for launching many industry-leading companies — perfected over the course of a quarter of a century to ensure the highest quality of information, the most knowledgeable experts, and the most practical advice from qualified experts.

Over the course of two days, attendees will hear from scores of industry experts, and if they choose, can sign up to meet with the speakers for individual one-on-one time. A full list of speakers and their biographies/credentials can be found at http://www.mlmlegal.com/bio.html.

The educational information gained by attending this event is invaluable. Here are just a few of the testimonials from past attendees:

“We have a traditional business at the moment and we are looking to take it into the realm where it’s more personalized, it’s more about building people and an experience. It has been absolutely worth our trip. We are looking to take our business to the next level and build relationships.”

“The reason I came to the show was to learn more about how to launch my direct sales company (via james). I’m very comfortable and accustomed to selling through more traditional networks; however, I believe that the product that I’m launching is more suitable for direct sales; to get direct-to-consumer faster and in greater sales.”

“[I’ve] been in network marking for 30 years [but] we are learning a lot of things about how to launch, how to reach the people we need to have, and again, the things that are required to make a successful company, not only for us but especially for our customers and for our affiliates.”

If you don't start it right, you can't expect to get it right.

If you don’t start it right, you can’t expect to get it right.

Each attendee will receive a FREE copy of the Starting and Running the Successful MLM Company Manual.

How do you find out more information?

Visit our website:

www.mlmlegal.com

Visit our blogs:

http://mlmlegal.com/MLMBlog/

http://mlmattorney.com/blog/

Watch the Conference videos:

MLMlegal Releases New Film on MLM Startup Conference — Produced by Networkingstar.com

The MLM Startup Conference in Las Vegas

MLM Startup Conference — A Must for Executives of Startup and Existing MLM Companies

Contact Us: REGISTER TODAY! 503-226-6600 or 800-231-2162

Each day will begin at 9:00AM and end at 4:00PM, when the one-on-time will begin and end around 7:00PM. For more information visit: http://www.mlmlegal.com/srs2.html or call 800-231-2162/503-226-6600. Registrations are taken by phone and questions are always welcome.

Presented by one of the most trusted individuals in direct selling and MLM, Jeffrey Babener, Editor of www.mlmlegal.com.

About Attorney Jeffrey Babener: Conference Host and Chairman, Editor of www.mlmlegal.com, as well as the leading direct selling attorney in the United States — With over 25 years of experience as a direct selling attorney, Jeffrey Babener has advised leading companies in the MLM/Direct Selling industry, ranging from Avon to Nikken, to Herbalife, to Melaleuca, to USANA, and to Excel Communications, plus many more. He’s been published in national magazines such as Money, Inc., Atlantic Monthly, Entrepreneur magazine, Direct Selling News, Direct Sales Journal, Success magazine, Money Maker’s Monthly, among countless others. He’s authored several books, including his most popular Network Marketing: What you should know. Mr. Babener has chaired more than 64 national conferences on direct selling.

Visit us at www.mlmlegal.com to learn more.

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Did You Miss IT?! Next MLM Startup Conference is February 26 & 27, 2015! https://mlmlegal.com/MLMBlog/did-you-miss-it-next-mlm-startup-conference-is-march-5th-6th-2015/ Wed, 22 Oct 2014 18:49:18 +0000 http://mlmlegal.com/MLMBlog/?p=895 The MLM Startup Conference for Executives of Startup and Existing Direct Selling Companies takes place February 26 & 27 in Las Vegas. This is the 70th annual, two-day conference, featuring industry experts and invaluable tools for the MLM startup entrepreneur. … Continue reading

Visit us at www.mlmlegal.com to learn more.

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If you don't start it right, you can't expect to get it right.

If you don’t start it right, you can’t expect to get it right.

The MLM Startup Conference for Executives of Startup and Existing Direct Selling Companies takes place February 26 & 27 in Las Vegas. This is the 70th annual, two-day conference, featuring industry experts and invaluable tools for the MLM startup entrepreneur. Call our office to register or for additional information: 503-226-6600 or 800-231-2162.

HOW CAN I FIND OUT MORE?

Visit the website:

www.mlmlegal.com

Or, read visit our blogs:

http://mlmlegal.com/MLMBlog/ and http://mlmattorney.com/blog/

Extensive information about the conference can be found here.

Watch the MLM Startup Conference videos:

MLMlegal Releases New Film on MLM Startup Conference – Produced by Networkingstar.com

The MLM Startup Conference in Las Vegas

MLM Startup Conference – A Must for Executives of Startup and Existing MLM Companies

BEST BET? Call:

503-226-6600 or 800-231-2162

Visit us at www.mlmlegal.com to learn more.

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