Is this MLM or illegal?

Discussion in 'General Marketing' started by penumbra, Oct 14, 2009.

  1. #1
    I want to hire a lot of sales people for my product, but i didnt think i could do all the hiring myself.

    So i figured i would hire people to do the hiring, and pay them out of the commission that the people they hire make.

    So basically i hire a few people (regional managers) to hire sales people who will sell my product directly to applicable parties.

    This is legal, right? And also, is this MLM? The sales people cant hire, their only job is to sell.

    Is it MLM because im paying the regional managers out of the commission that their underlings make? Or is still not MLM?

    Thanks!
     
    penumbra, Oct 14, 2009 IP
  2. hardjoko

    hardjoko Active Member

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    #2
    The problem with MLM is the operator makes money solely from "workers"

    But yea laws about MLM is tricky.
     
    hardjoko, Oct 14, 2009 IP
  3. dcitelecom

    dcitelecom Peon

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    #3
    Sound fishy to me.
    It's not quite MLM but I think
    if you hire people you actually have to pay them a real salary.
     
    dcitelecom, Oct 14, 2009 IP
  4. Steve Powers

    Steve Powers Peon

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    #4
    Why can't you do all the hiring yourself?You manage a big company and have no time on recruiting?Or you
    purposely use MLM way to get more men working for you?I don't think it's a good choice since I like do such
    things by myself.
     
    Steve Powers, Oct 14, 2009 IP