Network Marketing
How to Be Successful in MLM, the first time!
By Alan Rothman

By now, the mlm media news has come out indicating that the FTC filed a civil action lawsuit against Skybiz.com on May 30, 2001 in U.S. District Court for the Northern District of Oklahoma.

In its complaint, the FTC alleges that Skybiz.com mislead consumers by exaggerating income potential, made false and misleading representations in its marketing material, failed to disclose that most participants will not make substantial income via their marketing paln and lastly, the company operates a pyramid scheme.

There appears to be a growing list of MLM companies going through a boom-and-bust cycle. The primary investor in Simple2net just pulled the plug on that deal.

After many distributors put their sweat equity in the deal, a short e-mail was circulated, stating the following:

"Subject: Termination of Simple2net Operations


June 12, 2001


Notice of Termination of Simple2net Operations


Dear Independent Associate:

Please be advised, effective immediately, that the Simple2net business with
Incomnet Communications Corporation will no longer be available. This was
not an easy decision to make, but after careful consideration, we feel this
is the best option for all parties involved.

All residuals on existing customers will continue to be paid through the
existing Incomnet compensation plan for the life of those customers on our
service. However, customer development bonuses, power bonuses and web site
sale "quick pays" will no longer by paid by Incomnet, effective immediately.
We regret any inconvenience this decision may have caused you, but wish
you and your families much success in the future.

Sincerely,

George Blanco
President & Chief Executive Officer"

As a writer and advocate for the MLM industry, I am tired of the roadkill when distributors are abused or taken for granted. We would enjoy becoming an information pipeline, so that distributors can avoid the pain of a bad deal and select the right company the first time.

Please send us your information or comments to arothman@fea.net. We are about 60 days away from a syndicated radio show and would like to have your opinions, comments and facts so it can get the exposure it deserves for the good, the bad, and the ugly of MLM.

About the Author:
Alan Rothman (mailto:arothman@fea.net) is an author, nationally
syndicated columnist, speaker, and consultant to Internet
and home-based business opportunities. If you would like
to know the real secrets of creating a seven-figure income
from home, put in your request for a limited advance edition of
E-Network and Grow Rich by co-authors Alan Rothman and
Trudy Hemming. See our website at
http://www.enetworkandgrowrich.com