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Direct Selling Association of the Philippines

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Requirements

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Requirements

How to differentiate a legitimate direct selling company from pyramiding using the 8-point Test


1. Is there a product?
2. Are commissions paid on sale of products and not on registration/entry fees?
3. Is the intent to sell a product not a position?
4. Is there no direct correlation between the number of recruits and compensation?
5. If recruitment were to be stopped today, will the participants still make money?
6. Is there a reasonable product return policy?
7. Do products have fair market value?
8. Is there a compelling reason to buy?
If the answer to all the questions is YES, then the company being evaluated is a legitimate company.  But if the answer is NO, then there is a high probability that it is a pyramid scam.

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The World Federation of Direct Selling Association is non-governmental voluntary organization globally representing the Direct Selling industry as a Federation of National Direct Selling Association

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