MLM Destroys Families: What You Should Know

Today, I’d like to discuss the topic: MLM Destroys families. This is a common search term online. My goal is to provide my thoughts on the topic to give you a better perspective.

Here at Online MLM Community, we like to keep our outlook positive. But in the same breath, we must always face and confront the negatives that seem to cloud many opinions about MLM.

Just Google MLM and you will find a “mixed bag” of negatives and positives. One of most common statements from the negative corner is: MLM destroys families.

Is it true? Does it really destroy families?

Or, let’s ask this from what would seem, a positive approach… Does MLM help families?

I could probably put a comment section here and start a debate that could “rage” for years to come. But instead, I am going to enlighten readers with a perspective that is seldom mentioned. But first, let me explain why I can write about this from the “middle ground.”

My Story: Has MLM Harmed My Family?

Throughout my years, I have tried various MLM businesses and failed miserably.

Why? Because I tried to “do it my way.”

My sponsors would explain a tried and true system, but I was young and thought I knew it all. In each of these cases, never did the MLM itself harm my family… But!

I had given up on multilevel marketing and worked normal jobs. We now lived in a suburb of St Louis, Missouri… My first wife (RIP) and I.

I went to work for a construction company where I operated heavy equipment and landscaped some of the nicest homes in the area.

The owner of the company started “pushing” a MLM business on me and it actually started feeling almost threatening… Join or lose your job (without his actually saying it). So I “coughed up” the $90 some odd dollars and joined what seemed to be a “shaky” MLM system called FHTM. Yep… FHTM which was shut down by the Federal Government for running a pyramid scheme.

My wife had issues with me “donating” that money which could have been better used, but even FHTM did not destroy my family.

I now own a MLM business that I have shared with friends and family. It has not destroyed my family, which leads to my next point.

MLM And Guns

I equate this whole debate on the same level with the gun debate. Guns are just a tool… It is the person handling that gun that determines the bad or good.

MLM is just a business structure… It is the person who owns that particular business that destroys or builds relationships. Do you see the point?

There are many MLM business owners who have great family relationships. And there are a plethora of gun owners who have never used their gun in an evil way.

It is the person, not the tool!

So let’s look at some of the negatives found on the worldwide web on why MLM destroys families and dig in to see if it is actually MLM or the person.

MLM Destroys Families – Negatives

I just used that term… MLM destroys families, to see just what people are saying:

# 1: MLMs Are Pyramid Schemes And Predatory

First, I will agree with one part… MLM Companies are pyramids. All businesses, organizations and even the government operates on a pyramid structure. But to say that all are pyramid schemes is false. The courts have determined that time and time again.

As long as there are physical or digital products being sold and the aspect is on sales and not just getting recruits, it is not a pyramid scheme.

One of the reference links I installed here had the writer claiming that some of the major MLM Companies are all pyramid schemes and she is actually committing libel in the fact that courts have determined the opposite for the majority of the companies she named.

And predatory… We could use that word for nearly any business if we really wanted to. I mean, isn’t McDonald’s somewhat predatory or Coca Cola? Or we walk into Walmart and Walgreen’s and there are candy and toys at the child’s level… Predatory!

So when your 3-year old throws a bag of candy in the cart, will that destroy your family?

In defense of MLM, I have never once seen a MLM representative try to use the children of prospects as their way to sell or recruit.

# 2: MLMs Rely On Recruiting, Not Selling

I want to quote the person that stated this…

“The reality is that almost no MLM reps actually make a net profit from personal, direct retail selling. Instead, they rely on recruiting.”

Actually, the majority of MLM reps make great commissions off retail sales. The idea is though, to recruit so you are not just being a retail seller but your team is too.

# 3: MLM Reps Pester Their Friends And Family

Okay… Now we are getting down to the true reason why so many people say that MLM destroys families.

Maybe your sponsor or upline is telling you to keep “bugging” family members. If they are, they are wrong!

Just simply tell them about the new business. Allow them to see the products and business opportunity and let them decide for themselves. But do not be the pest!

If you opened a new restaurant, you would invite family, but you hopefully wouldn’t pester them over and over.

# 4: MLMs Leads to Financial Hardship

It could, but it shouldn’t. If you build your business the RIGHT way, and maintain a solid customer base of 5-10 customers, you should never lose one penny. More importantly, you should never go into debt to build your business. If you are going into debt because of your business, you (1) are not being a good steward of your money and (2) you probably don’t have enough retail customers.

Because of the low cost to start, and small monthly overhead, no one should LOSE money in their business, even though many people do.

On the flip side of the coin, some people have gone bankrupt because of our industry. However, many entrepreneurs go bankrupt. Many normal people not doing MLM go bankrupt. It’s up to you to be a good steward of your own money.

# 5: Participating in MLM Leads to Divorce

I’ve heard that MLM can lead to divorce. With a divorce rate in America of approximately 50%, you could blame some of that on MLM. But, not all people who get divorced are MLM Reps. Most aren’t. Relationships fail for a number of reasons. I know people who joined our industry and ended up divorcing. Their “participation” in our industry might have played a role in their divorce, but the truth is, you never know what is going on behind closed doors in someone’s home.

Also, I know of many families that have BENEFITED because of our industry. The extra money gets mom home or enables people to pay off debt or improve their quality of life. The experience will vary from person to person.

Blaming our industry for divorce is nothing more than a scapegoat.

# 6: MLMs are Cultish

Some people will argue that MLMs are cults. I can see why some people think that. However, not all MLMs operate that way.

We have all been “programmed” by our parents, schools, and the media to think a certain way. You could argue that religions are cults, but no one seems to have a problem with that.

I’ve been in many MLM Companies. Only once did I feel like I was being “programmed” to think a certain way. In all other opportunities, I was encouraged to work on my personal development, learn new skills, improve my attitude, and become the best version of myself possible. If that’s a cult, sign me up for it.

Network marketers are the most goal-oriented, positive people I have ever been around. They do think differently from the average person. They have hopes and dreams and they are willing to step out of their comfort zone to pursue them. If you think that’s a “bad” thing, I can’t help you.

MLM Can Actually Help Families

As I see it, MLM helps families.

Whether it’s a new side hustle, a new career, tax deductions, new friends, access to great products, the personal development, or a new life experience, I believe the benefits of our industry greatly outweigh the drawbacks. No, it’s not for everyone, but after 18-years of searching for a better alternative, I still have not found one!

Final Thoughts

What are your thoughts? Do you think MLM Destroys Families or are you a fan of the industry? Leave a comment below to let me know what you think. I look forwar to hearing from you. Thank you for visiting our website and please share this with both MLM haters and lovers everywhere.

4 thoughts on “MLM Destroys Families: What You Should Know”

Kara Hatfield
March 26, 2020 at 11:28 am

The MLM Business has worked for me personally. However, I have seen it not work for people. Let me rephrase that, they did not work the business and so they quit. People either do not fully understand what an MLM is and/or they do not choose a company that suits them and their needs. Or, they don’t do the work and do it consistently.
You can’t simply wake up one day quit your 9-5 and start your business. The business should be started while there is income coming in from another source. Like anything it takes time to build a successful business of any kind.
1. chuckholmes
  March 26, 2020 at 11:58 am
  
  Yes, most people who join our industry do not have an entrepreneur mindset nor do they put in the work. It takes a committed, dedicated person to succeed with any type of business. Entrepreneurship, sales and network marketing are not for the feint at heart.
Brandy
February 9, 2019 at 2:32 pm

I’ve seen good and bad things in the MLM Industry. I’ve had friends who did MLM and it definitely put a strain on their finances and relationships. I’ve also had friends who have done MLM and succeeded with it. They earned extra money, took more vacations and increased their standard of living. I think the experience is different for everyone involved. A lot of it has to do with the company you represent and the culture of your team. A lot of it also has to do with the person involved and how they communicate with their friends, family and spouse about the business.
1. chuckholmes
  February 9, 2019 at 7:10 pm
  
  I don’t think MLM destroys families myself. I think ignorant and uneducated reps destroy their family when they do MLM the wrong way. It should not take over your life. It should not be a burden on your finances. It should not strain your relationship with your spouse. It will only do those things if you let it. When done the right way, this business is like a dream business. When done the wrong way, it’s more like a nightmare.