By Kevin Grimes, J.D. The short answer is a very precise, lawyer-like,“yes and no”. The long answer depends upon the context of the question. If the question is about compensation plan issues, ranks, and the rights and privileges associated with each rank, the answer is “no”. In a direct selling model, the compensation for which…
5 Ways To Get More Customers
There was a time when network marketing companies sold most of their products to their independent representatives for their personal use, and this was not a problem. Back then, companies didn’t worry about having customers who were not representatives. Network marketing companies focused 99% of their attention on selling products or services to their representatives. …
Compliance Is Necessary
Compliance is never a favored topic. However, in the direct selling industry, it is a necessary one. When the public is provided with a product that is intended to be distributed and may attract high visibility, there needs to be company ownership. In fact, regulation states and legal action sets precedent that the company does…
Why FTC Decisions On Vemma and Herbalife Matter To You
If your direct selling company has a multilevel compensation plan, it is in your best interest to be aware of the recent FTC actions against Vemma (August 2015) and Herbalife (July 2016) because your company and your compensation plan may have some of the same problems. Watch this video now to learn why these FTC actions…
Why You Should Get Into Your Learning Zone
There are two worlds in which you live – the “Performance Zone” and the “Learning Zone.” In his TED talk, Eduardo Briceño talks about these two zones and why you need to spend time in both of them. When we go into the Learning Zone, we decide to spend some time learning so that when…
For Your Success, Remain Teachable
In the world of direct selling, you will always be teaching others. Did you know that students make the best teachers? Always be open to learning more. Never stop learning. The more you know, the smarter you get. What if you could go somewhere fun where you could also learn more about how to build…
Should Party Plan Companies Worry About FTC Actions?
Most of the sales of products by party plan companies are made to people who are not consultants. In 2015 and 2016, the Federal Trade Commission (FTC) filed orders against Vemma and Herbalife, each of which is a network marketing company. One of their concerns was the lack of customers who were not representatives themselves. Another…
The Cooling-Off Rule: How It Applies To Your Company
As a direct selling company, you need to know about the Federal Trade Commission’s Cooling-Off Rule. There are very specific steps you must follow to be in compliance with this federal law. To learn more about how the Cooling-Off Rule applies to your company, watch our video below. How To Comply Most direct…
In Which States Must I Register My Company?
In the USA, most states don’t require that multilevel distribution companies register with them. However, five states require them to file and/or register. If yours is a party plan company, you are still required to file or register if you have a multilevel compensation plan. To be legally compliant in these states, you or your…
Why You Should Read Our Book
What is… a map to get to your gold? a bible for all direct selling companies? a consultant in a book? the most valuable $300 you’ll ever spend on your business? Our “Start Here” book is all of these and more. If you are starting or growing a network marketing or a party plan company,…
Is There A Legal Requirement For Customer Sales?
Party plan companies don’t ask this question, because almost all of their sales are to customers. If your company is a network marketing company, however, this is an important question to which you need to know both the short and the long answer. The Short Answer There is no legally mandated requirement that at least…
Have You Visited Our Vimeo Channel?
Sylvina Consulting is a publisher of great educational content for new and established direct selling and network marketing companies. In addition to their top-rated 250-page book, Start Here: The Guide To Building And Growing Your Direct Selling Company, and their Amazon Kindle e-book MLM Software: What You Need To Know, Sylvina Consulting also has its…