The SEC suggests that the investors should use common sense, and the following five tips when making their investment decisions:
· Avoid any plan that includes commissions for recruiting additional distributors. It may be an illegal pyramid.
· Beware of plans that ask new distributors to purchase expensive inventory.
These plans can collapse quickly, and can be thinly-disguised pyramids.
· Be cautious of plans that claim you will make money through continued growth of your down line (commissions on sales made by new distributors you recruit), rather then through sales of products you make your self.
· Beware of plans that claim to sell miracle products or promise enormous earnings.
· Beware of shills – “decoy” references paid by a plan’s promoter to describe their fictional success in earning money through the plan.
These Tips are Suggested by SECP Securities and exchange commisions of Pakistan about Joining Any Network Marketing Company In Pakistan
YOu can Read this On SECP official Site Here is the link
http://www.secp.gov.pk/news/PDF/apr_01_04_PyraqmidMLM.pdf
· Avoid any plan that includes commissions for recruiting additional distributors. It may be an illegal pyramid.
· Beware of plans that ask new distributors to purchase expensive inventory.
These plans can collapse quickly, and can be thinly-disguised pyramids.
· Be cautious of plans that claim you will make money through continued growth of your down line (commissions on sales made by new distributors you recruit), rather then through sales of products you make your self.
· Beware of plans that claim to sell miracle products or promise enormous earnings.
· Beware of shills – “decoy” references paid by a plan’s promoter to describe their fictional success in earning money through the plan.
These Tips are Suggested by SECP Securities and exchange commisions of Pakistan about Joining Any Network Marketing Company In Pakistan
YOu can Read this On SECP official Site Here is the link
http://www.secp.gov.pk/news/PDF/apr_01_04_PyraqmidMLM.pdf
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