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Are MLM Companies Bad?

Updated: Feb 11

MLM companies, or multi-level marketing companies, have long been a topic of debate and controversy. While some view them as unethical or even "evil," the reality is more nuanced. MLM companies operate on a business model where participants earn commissions not only for their own sales but also for the sales of others they recruit into the company. This model has both benefits and drawbacks.

First off, it's important to recognize that not all MLM companies are the same. Some operate ethically, providing genuine opportunities for individuals to start their own businesses and earn income through product sales and commissions. These companies often offer high-quality products or services that provide value to customers, and participants can succeed through hard work, dedication, and effective salesmanship.

However, it's also true that some MLM companies engage in deceptive or unethical practices, leading to negative perceptions and experiences for participants. These companies may prioritize recruitment over product sales, make unrealistic income claims, or operate as illegal pyramid schemes.

Is Prosperity Of Life one of those bad MLM companies?

As someone deeply involved in the network marketing industry for over two decades, I'm no stranger to questions about whether certain companies are pyramid schemes or bad MLM companies. So, let's address the big one: Is Prosperity Of Life a pyramid scheme?

First off, let's break down what a

Prosperity Of Life – Are MLM Companies Bad? | Prosperity Of Life MLM Review
Prosperity Of Life Founders: Shane Krider, Rachel Krider, Greg Strom

actually is. It's an illegal setup where folks make money solely by recruiting others, without offering any legitimate products or services. For example, someone recruits 10 people, each paying a joining fee, and then those 10 recruit another 10, and so on. It's a chain of recruitment with no actual value exchange.

But here's the deal with Prosperity Of Life: it's not a pyramid scheme. Far from it, actually. Our business model revolves around legitimate digital education courses and seminars that offer real value to our customers. Nobody earns money just by bringing new folks on board – all profits come from actual product sales to end-users.

Plus, we take compliance seriously. We've got a dedicated compliance department and legal counsel to make sure we're following all the rules and regulations, including anti-pyramid laws. And after more than 20 years in the game, operating globally in over 100 countries, we've never been investigated or determined to be a pyramid scheme.

Sure, our business structure might look similar to a pyramid, but the key difference is that you have the opportunity to start at the top and be the CEO of your own organization. You're not just a cog in the machine – you're in control of your own destiny.

And let's talk about earning potential. With Prosperity Of Life, you have the chance to tip the scales and take home a bigger piece of the pie. Unlike traditional business models where only the bigwigs rake in the profits, our system allows you to directly benefit from product sales and leverage your business for even greater earnings.

So, to answer the question: No, Prosperity Of Life is not a pyramid scheme. It's a legitimate business opportunity that offers real value and real potential for success.

But hey, don't just take my word for it. Do your own research, ask questions, and see for yourself. And if you're ready to take the plunge and start your journey with us, I'd love to chat. Schedule a Q&A call with one of our top leaders and let's make some magic happen.


Great article and explanation. Some MLMs can certainly be a great option to become a business owner. I was in the MLM industry for 15 years and achieved some great results, however, over time I became disheartened with the amount of effort I was putting in, along with frequently needing to restock products to requalify each month just to maintain my level on the compensation plan.

The Prosperity of Life business has been a game-changer for me. It provides an equal playing field: Once qualified, we are qualified for life; we do Not stock products; No home parties, No lists of friends and family; and we do Not share our profits over many levels above us, we keep the full…


I love this article - it's one of my favourites... so many people could benefit from understanding the differences between business models. You're either "fixed minded" or "open minded"! Fixed minded people close off possibilities, complain often about their lot in life; Open minded people are ready to learn, discover, explore possibilities - and usually end up in a business like Prosperity Of Life making a good income, working from home, in a global company of other people who care about them, and you rarely hear them complaining about their life circumstances! Thanks Rachel - appreciate you posting this one again 😀

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