Question
What should I ask before buying MLM inventory?
Short answer: Do not buy inventory until you understand customer demand, qualification rules, refund terms, buyback rules, and realistic resale value.
Why this matters
Inventory that remains unsold is money spent, not profit.
If product purchases affect rank or compensation, ask whether the purchase is based on customer demand or qualification pressure.
Questions to ask before joining
- Do I already have customers for this product?
- Does buying inventory help me qualify for compensation or rank?
- What can I return, by what deadline, and at what refund percentage?
Related recruiting phrases
Helpful next pages
Sources
- Multi-level Marketing Businesses and Pyramid Schemes, Federal Trade Commission . Accessed 2026-06-14. Support type: Regulator guidance.
- Business Guidance Concerning Multi-Level Marketing, Federal Trade Commission , 2024 . Accessed 2026-06-14. Support type: Regulator guidance.