|
Pyramid schemes a no-win game |
|
|
Your neighbour, who has become very friendly, invites you to a party
where you'll have a chance to learn about an exciting new sales
opportunity. She can't say more, but all will be revealed at the party.
The scam: Your "friend" is trying to recruit you to become an investor in a pyramid selling scheme.
Pyramids, no matter what the product that is ostensibly being sold, work this way – earlier investors make their money from the investments of a new layer of people who come after them. Once no more investors can be found, the last investors at the bottom of the pyramid lose their investment.
They also risk prosecution because pyramid selling is illegal.
Advice: Talk to a lawyer or accountant before investing in any multi-level selling opportunity. It might be a pyramid.
|
Features 
