Legit opportunity, or pyramid scheme?
Before you join (or recruit anyone into) a direct-sales or network-marketing opportunity, walk this short, honest decision tree. The questions follow the same logic regulators use: does the money come from selling real products to real customers, or mainly from recruiting? Answer plainly and you'll get a candid read — with next steps either way. Nothing you enter leaves your device.
⚑ Classic pyramid-scheme red flags
- You're pushed to recruit far more than to sell an actual product to real customers.
- You have to buy a large amount of inventory upfront or keep buying to stay "active."
- Income is shown as typical, easy, or guaranteed — with no published income-disclosure statement.
- The product is overpriced, vague, or something almost no one would buy without the income offer attached.
- Pressure to decide now, plus claims that "anyone can do it" and "you can't lose."
Educational only — not legal or financial advice. This tool gives general information based on widely published FTC guidance on the difference between legitimate multi-level marketing and illegal pyramid schemes; it does not evaluate any specific company and is not an endorsement, accusation, or income promise. Results are not typical; most participants earn modest or no income. If something feels off, consult a licensed attorney or review the FTC's guidance at ftc.gov before joining or investing money. No earnings are implied or guaranteed.
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