Team Mlm
 

A few not-so-bright members of my wife's extended family were all ready to make money on the RE boom as soon as it spread to the UP (of MI). It never did...

(You can still buy a decent house for $10,000 up there...)

Now they are involved in some multi-level marketing scam called TEAM. So far, I have politely declined any participation. A cousin of my wife, in particular, is getting more and more persistant. I'm at the point where I'd like to debunk the whole MLM scam and dash his hopes if he sits down next to me with his folder and starts talking about "unlimited growth potential" again.

I have no issues debunking the math. What I do want is some background on the TEAM organization. Is it an offshoot of Amway? (The families that control Amway often create their own side scams.) I usually find that these scams are either controlled by the high-ups in Amway or con-men with long rap sheets. The capstone to my debunking is always showing who exactly is really getting rich...

For some background, the TEAM scam has you buying products through something like an online version of Costco or Sam's Club. You get a rebate on each product that is deposited into an "account". I'm not sure if there are restrictions on accessing that money or not (not like my wife's cousin knows or would tell me). Where the MLM thing comes in is you also earn a percentage of the rebates of each person you sign up...

Unlimited growth potential, right? ;)

Yes it's Amway, well actually Quixtar (their iBrand). It's the same old crap, this time with an energy drink I believe:rolleyes:

Here's all the ammo you'll ever need:

http://www.mlm-thetruth.com/team_national.htm

Just do a google search on "multi level marketing", "network marketing", "Utah based scams :)" , etc. but don't hold your breath for them to come to their senses. Barnum would be proud to know that your relatives make him a wise man :)

Chris, Your relatives have my sympathy. I feel sorry for those who constantly search for the big score. I have an old high school friend who does that. He once suckered for one of the day trading scams...a "formula to get rich quick" thing. Poor guy lost all he had, and was actually pissed when a bank turned down a home equity loan so he could plug even more in.

This friend once said he couldn't understand why Cindy & I didn't wish to join in with this "sure thing". I responded that over time, we'd gained a comfortable net worth, that we didn't want to risk it.

The response: "Well, it's not fair! You worked for over 30 years to do this. I don't have the time left!"


I had trouble keeping a straight face...

But really, it's sad...

Yep. My recently-acquired brother-in-law is frothing at the mouth to get in on it.

In the two years he's been dating my wife's sister, he has been a (in order):

1) Diesel mechanic
2) Admissions advisor for an online college
3) Bike shop repair tech
4) Automotive performance shop tech
5) Diesel mechanic

When his job doesn't pay off big after a few months, he quits and finds something else. He's 4 years older than me and doesn't have a clue about money management or working your way up in a business.

Dude, just say "Its a scam. I don't want in, I hope you come out ok. Good luck."

Thats it. Move on. They have to lose their money and THEN think. If they wanted it debunked, they could do it with 5 minutes of thinking.

I went to a pretty damn good college. Surrounded by supposedly smart people. A pyramid scam guy came to our house and I was SHOCKED. A guy in our house actually bought in. I was asked to leave because I was hecking. I got really pissed because it was my damn house, and I wanted to get into it with the guy (alcohol may have been a factor in my vigor). But everyone else wanted to hear the guy.

When you are saying something people want to hear, I guess they will suspend logic. Amazing.

I'd venture that he's found his niche in MLM...a perfect fit imo :)

I haven't said anything yet, but the persistance is getting to me.

I took some liberties and will predict the future:

That is hilarious. Sad, but hilarious.

Wife's cousin is the guy pushing TEAM. Bro-in-law wants in but doesn't have the cash for the "signup fee" or whatever it's called.

He wouldn't do telemarketer, no promise of a big payoff.

But yes, I fully expect to learn he is selling cars (new or used) at some point. He's full of him self, full of $h!t, and is a know-it-all to boot. (I used to LOVE it when he worked at the performance shop and he would tell me things like a 911 Turbo had a higher static compression ratio than a 911 Carrera and that the Turbo got better gas mileage too.)

It's a "membership fee". You can't get in to anything good without first paying a membership fee, now can you?

"You want in a Country Club? Country Clubs have membership fees.

"You want in Sam's Club? Sam's Club has a membership fee.

"Any club has a membership fee. TEAM is no different. The TEAM membership fee goes to cover administrative costs...."

I can hear the "talk" now...

There was a similar scam running around here a few years ago. A woman I was dating, relatively intelligent (electrical engineer), fell for it and invested. I looked up the company SEC(?) filing and showed it to her. Their largest asset? A 110' motoryacht. I heckled her relentlessly and she eventually lost her "investment"...hated to see her go, she was a wild one!

If you were opening a McD's there would be a fee, and you'd do things 'By their book'

I actually heard that one...

I went to a 'Vector Marketing' presentation (they called it an interview) out of morbid curiousity. The way they ran it, the main guy would ask people to leave if they didn't seem into the presentation. He kicked out guy #1 about 1 minute in, and from then on everyone really stared at him and laughed and acted interested. I did the same, because I was really enjoying it. But then, this jackass started explaining how the heirarchy worked, and on the dry erase board he DREW A PYRAMID. I laughed, and was asked to leave. Dammit- I never did get to see the end.

I felt bad for some of the people in there, I think they thought they had found salvation. When I left, there was a woman in a decrepit old wagon, and she asked if the meeting was over. I told her no, but that it was a scam and NOT to let her husband spend any money or get involved.

I hope she listened.