With a reported increase in businesses closing and about 40% of South Africans now being unemployed, people are desperately looking at alternatives to make ends meet. Those with an entrepreneurial spirit may look at starting a business, but more people are taking to the streets to beg. Investors are also looking at alternative opportunities as markets crash and returns dwindle.

One of the biggest mistakes one can make is to take meagre household money to buy into an MLM at this stage. The promises are big and who does not dream of working for yourself and in your own time? MLM distributors are promising new investors big returns and an opportunity to work from home. Some even claim that their products can kill the Corona virus!

Truth is, its 99% easier to win the Lotto than to make money on MLM! The Consumer Awareness Institute in the USA (from where most MLM's emerge) has found that 99% of people lose money on MLM schemes. This research was posted on the website of the Federal Trade Commission. The FTC has sent letters to 16 MLM's, warning them about the claims they are making. 30 cases have been filed against MLM's in the past, alleging that they were pyramid schemes. 28 of those have either settled or were found guilty in court.

There is no such thing as a free lunch!