BizTerm Definition
Multi Level Marketing (MLM) Plans
Full Definition

A way of selling goods or services through distributors. These plans promise that if you sign up as a distributor, you will receive commissions -- for both your sales of the plan's goods or services and those of other people you recruit to join the distributors. Be careful of plans that offer to pay commissions for recruiting new distributors. This is called "pyramiding" and is illegal in most states.


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