It has come to The Successor’s attention that a handful of bad apples are making outrageous income claims. These are people who have been in or around the industry for many years and who should know better than to be telling people they are making $xx,xxx a week and have only been in the business for 2 months. This is an egregious income claim one person was making in addition to photos and videos of driving exotic cars.
If you want to be the target of the SEC, FTC or your local Attorney General – all you have to do is keep taking pictures of your checks and posting them on social media or sending them to people in a private message that ends up getting forwarded to someone at one of these agencies and both you and the company you’re representing will find themselves answering to charges in court.
For those of you who don’t understand the seriousness of this, legitimate companies have been shut down and wiped out years of work by GOOD people simply because a few bad apples were making income claims.
Back in October, 2016, FTC Chairwoman Edith Ramirez took the stage at the Direct Selling Association’s Business & Policy Conference in Washington, D.C. and publicly slammed the widespread use of inappropriate earnings claims as a means of recruitment in the MLM industry.
“Multi-level marketers should stop presenting business opportunities as a way for individuals to quit their jobs, earn thousands of dollars a month, make career-level income, or get rich because in reality, very few participants are likely to do that. Although it may be true that a very small percentage of participants do have success of this type, testimonials from these rare individuals are likely to be misleading because participants generally do not realize similar incomes.”
Making income claims can be as overt as showing off a check, but it can be as subtle as showing pictures standing in front of a nice house or an exotic car. You might think that showing off a $1,000 check is no big deal. The FTC doesn’t care about the amount of the check as much as they care about the “average” person being able to that kind of money. The picture in front of the car you just earned from your company can also be interpreted as an income claim.
When you have success in a company, I know it can be tempting to tell everyone how great you’re doing. If you want the opportunity to be around for others, I implore you to stop and think about everything you’re saying and doing. That private message can be shared. That private meeting can be recorded. The post in the private group can be screen captured. Nothing you say or do is guaranteed to be kept private. And if it ends up being seen by the wrong person, it could cost everyone in a major way.
If you know of anyone making income claims – PLEASE – refer them to this post. And if that doesn’t stop it, comment below and I’ll make sure they get the message.