Question
What should an MLM income disclosure show?
What to do next:
- Find who is included and who is excluded from the figures.
- Look for the median and the share of participants who earned nothing.
- Ask whether the numbers subtract ordinary business costs.
Why this matters
Look for medians, percentiles, no-earnings participants, inactive participants, tenure, and clear definitions.
If a disclosure reports only people who reached a rank, it may not describe the outcome for most people who joined.
See what companies actually disclose
These are companies' own published figures, before expenses, with sources on each page:
- What MLMs pay — every company’s own headline figure, side by side
- Median vs. average in MLM income disclosures
- Who is counted in MLM income disclosures
Questions to ask before joining
- Who is included and excluded from the disclosure?
- Does it show net income after expenses?
- How are inactive participants, discount buyers, and short-tenure participants counted?
Related recruiting phrases
Helpful next pages
- Someone pitched me an MLM. What should I do?
- Before You Join an MLM
- Before You Pay
- Documents to request before joining an MLM
- MLM expense worksheet
- Scripts you can use
Sources
-
Regulator guidance
Multi-level Marketing Businesses and Pyramid Schemes
-
Regulator guidance
Business Guidance Concerning Multi-Level Marketing