Want to Work From Home? 3 Simple Ways to Tell If It's a Pyramid Scheme

So here's 3 simple ways to tell if you are looking at a pyramid scheme, or not:

1) Its not a pyramid scheme if the home business you are looking at has products and/or services involved.

Sounds incredibly simple I know. But the majority of pyramid schemes have no products or services. They are based on the passing of money upline. Once you have a product or service involved that could be marketed to a third party. Then its not a pyramid scheme.

2) It is Network Marketing. These are not a pyramid schemes. The title gives a big clue. Because you are marketing something. A product or a service. And when working from home in network marketing you are marketing direct to a consumer.

Also a good network marketing company will be structured so someone at the bottom who's brand new, has the potential to earn more then the person who introduced them to the business.

This can not happen in a pyramid scheme. So just ask! If I start now can I earn more than the person who introduced me into the business? If the answer is no. Then look for another home business quickly.

3) If the work from home company you are looking at is a public company. Obviously then its legal and hence not a pyramid scheme. Many work from home businesses are registered on the stock exchange.

One thing not to judge on is the structure of the business. Every business whether a home business or not is structured like a pyramid. Boss at the top, workers underneath in various levels.

Following these simple 3 criteria won't guarantee you success in a work from home business. But at least it will mean you are involved in a legitimate legal business whether internet based or party plan!

You can contact the author Louisa Farthing through her web site http://www.globalhomebusiness.com.au

Louisa works at home in Sydney, Australia as a speaker, mentor and author part time around her daughter, dogs and horse.

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