Is this a scam? Please help.
09-17-2009, 09:59 AM
#16
http://www.jobvent.com/companyBrowse.php?CompanyID=317
It looks like it's not a total scam, but a company that relies on a different kind of business model. I bet if she asks her recruiter "Is this a pyramid scheme?" They have an entire pre-written speech explaining why their business model isn't a pyramid scheme.
It's similar to cutco, where new employees rely on their personal networks to get more sales. Then if they recruit people, they get a % of their sales, and so on. Once a new employee's primary networks get tapped out (friends, family, friends of friends and family), then it becomes tougher to expand sales.
If your wife's cousin is good at sales and pro-actively networking, it could be lucrative. If not, stay away. I was recruited for this too during my last year of school, but backed out when they were asking me to pay for my own license and asked me to sell products to my family.
It looks like it's not a total scam, but a company that relies on a different kind of business model. I bet if she asks her recruiter "Is this a pyramid scheme?" They have an entire pre-written speech explaining why their business model isn't a pyramid scheme.
It's similar to cutco, where new employees rely on their personal networks to get more sales. Then if they recruit people, they get a % of their sales, and so on. Once a new employee's primary networks get tapped out (friends, family, friends of friends and family), then it becomes tougher to expand sales.
If your wife's cousin is good at sales and pro-actively networking, it could be lucrative. If not, stay away. I was recruited for this too during my last year of school, but backed out when they were asking me to pay for my own license and asked me to sell products to my family.
Last edited by LGT Mark; 09-17-2009 at 10:07 AM.
09-17-2009, 11:36 AM
#21
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If they are selling junk bonds and mutual funds, she will need to get her securities licenses, most likely either the Series 6 and 63, or the Series 7 and 63. If those are the licenses she got, tell her to bail, because those are worth something on her resume. If she leaves now, she will leave on top. If she hasn't gotten those yet, or they are offering to sponsor her for others, tell her to hold on until she has completed those exams. Get as much out of them as possible, and then jump ship.
09-17-2009, 01:29 PM
#23
Its the typical commission only sales job scheme: Theyll hire almost anyone, you pay for your own startup and setup, you assume any legal liability since you are an independent contractor, and they pay you only if you make them money by selling something. In other words, there is no way for them to lose, but reading the article by Time above, it looks like First Investors deceived people too.
09-17-2009, 04:54 PM
#25
Thats what I was gonna say. I have a few friends who joined it, and a few friends who went with them to see what it was about. The friends who did join acted as if they had been brainwashed, they became completely changed. The ones who didn't end up joining said it was like a huge cult and everyone there was really creepy.
One of my friends who joined Usana left after a while and almost joined Cutco
One of my friends who joined Usana left after a while and almost joined Cutco
09-17-2009, 05:00 PM
#26
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My wife's cousin just graduated from college in June with a double major in philosophy and classics, and got a job within a month of graduation.
The company is called "first investors" and she is a "financial representative." Since getting the job she's been studying day and night for her certification. She was interviewed twice in less than a week before being told she got the job.
My wife and I first became concerned when she started saying how she can earn six figures/year within a year.
She's not being paid a base pay since starting (it's comission), and had to pay for her own certification test which she just completed last Thursday ($600).
As soon as she became certified, she began calling everyone in the family for a "consultation appointment," which will be monitored by her supervisor.
My wife is concerned that this might be a pyramid-type scheme, but doesn't know how to break it to her cousin. Have you guys heard anything about this? My wife looked up some articles online where people were giving negative reviews, saying it was a scam, but we're not positive.
The company is called "first investors" and she is a "financial representative." Since getting the job she's been studying day and night for her certification. She was interviewed twice in less than a week before being told she got the job.
My wife and I first became concerned when she started saying how she can earn six figures/year within a year.
She's not being paid a base pay since starting (it's comission), and had to pay for her own certification test which she just completed last Thursday ($600).
As soon as she became certified, she began calling everyone in the family for a "consultation appointment," which will be monitored by her supervisor.
My wife is concerned that this might be a pyramid-type scheme, but doesn't know how to break it to her cousin. Have you guys heard anything about this? My wife looked up some articles online where people were giving negative reviews, saying it was a scam, but we're not positive.
09-17-2009, 08:22 PM
#30
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Thats what I was gonna say. I have a few friends who joined it, and a few friends who went with them to see what it was about. The friends who did join acted as if they had been brainwashed, they became completely changed. The ones who didn't end up joining said it was like a huge cult and everyone there was really creepy.
One of my friends who joined Usana left after a while and almost joined Cutco
One of my friends who joined Usana left after a while and almost joined Cutco