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FTC v. Herbalife Settlement: First Take
This week’s author Jeffrey A. Babener is the principal attorney in the law firm of Babener & Associates. For more than 25 years, he has advised leading U.S. and foreign companies in the direct...
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FTC v. Herbalife: Post-Settlement Legal Guidance for the Direct Selling Industry
This guest post is from Jeffrey A. Babener, the principal attorney in the law firm of Babener & Associates. For more than 25 years, he has advised leading U.S. and foreign companies in the direct...
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Understanding Pyramid Schemes, Ponzi Schemes, and Network Marketing
Many articles have been written on this subject. Despite all this, borders between these three concepts remain fuzzy in many minds. This lack of clarity in general public is important because it leads...
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The FTC’s Perspective and the Key Takeaways
The participants at the U.S. Direct Selling Association’s Business & Policy Conference a few weeks ago listened to an important speech. The speech was given by the Federal Trade Commission’s...
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Fact-Checking the FTC’s New Legal Guidance
Jeffrey A. Babener, of Portland, Oregon, is the principal attorney in the law firm of Babener & Associates. For more than 30 years, he has advised leading U.S. and foreign companies in the direct...
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Search for Certainty in Direct Selling: A Legal and Business Rationale for...
Sponsored by: Guest author Jeffrey A. Babener, of Portland, Oregon, is the principal attorney in the law firm of Babener & Associates. For more than 30 years, he has advised leading U.S. and...
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An Overview of Direct Sellers’ Compensations
Sponsored by: Is it possible to make a six-figure income through network marketing? Do all participants earn substantial amounts? Are high-earners so few? How are companies’ commission payouts...
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FTC and Direct Selling Come to the Table as Stakeholders: H.R. 3409
Sponsored by: Guest author Jeffrey A. Babener, of Portland, Oregon, is the principal attorney in the law firm of Babener & Associates. For more than 30 years, he has advised leading U.S. and...
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10 Common Questions About Compensation Plans
Sponsored by: Throughout my career within the direct selling industry, I have received many questions on one of the main components of any direct sales business: The Compensation Plan. Some of these...
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The New FTC Direct Selling Guidance… Imperfect, But a Good Start
Guest author Jeffrey A. Babener, of Portland, Oregon, is the principal attorney in the law firm of Babener & Associates. For more than 30 years, he has advised leading U.S. and foreign companies in...
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6 Common Reasons Your Startup Is Going to Fail
The initial ideas sounded great so the expectations were set so high. The first reactions from the field were also very promising. Products were moving out and the sales force was happy as the members...
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Pyramid Schemes in 10 Questions
Legitimate direct selling and pyramid schemes have often been confused. While there are clear distinctions between the two, pyramid scheme promoters do everything possible to disguise what they really...
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How Much Do They Really Make?
Some say one can make a fortune in network marketing. Others say direct sellers’ earnings do not cover even those minimal expenses they make. Which one is true? Or truth is somewhere in-between? This...
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What Makes a Good Compensation Plan?
A well-designed compensation plan is vital for a direct selling company’s success. There is no doubt about it. The direct selling industry (at least in general) has learned this lesson so far. A...
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A Page in the History of Direct Sales: FTC vs Amway (1975-1979)
In 1975, the U.S. Federal Trade Commission (FTC) accused Amway of operating as a pyramid scheme. Many people might think this case had lasted a few months at most but actually it took four years until...
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Direct Selling in 10 Questions
This week’s article is a short compilation of questions that are frequently directed to those in the direct selling industry. These questions are asked either because of being less or misinformed or...
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A Comparative Analysis of Cost Multiples at Direct Selling Companies
“Cost multiple” has been a very popular concept in direct selling. For those who are not that familiar with this concept, it is a numerical value showing how much retail sales is to be achieved with...
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The FTC’s Perspective and the Key Takeaways
The participants at the U.S. Direct Selling Association’s Business & Policy Conference a few weeks ago listened to an important speech. The speech was given by the Federal Trade Commission’s...
View ArticleClik here to view.
Fact-Checking the FTC’s New Legal Guidance
Jeffrey A. Babener, of Portland, Oregon, is the principal attorney in the law firm of Babener & Associates. For more than 30 years, he has advised leading U.S. and foreign companies in the direct...
View ArticleClik here to view.
Search for Certainty in Direct Selling: A Legal and Business Rationale for...
Guest author Jeffrey A. Babener, of Portland, Oregon, is the principal attorney in the law firm of Babener & Associates. For more than 30 years, he has advised leading U.S. and foreign companies in...
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