The BBB serving Southeast Louisiana is issuing a warning to consumers that may be interested in "management opportunities" that they may find in classified ads, online, or elsewhere. Frequently these offers are not offering exactly what the consumer expects.
One method used by independent distributors to recruit sales people is
the placement of advertisements, in the employment section of
newspapers, job listing sites, etc. under the heading of "Management."
Potential employees should understand these advertised openings are
typically sales positions in which products (magazines, fragrances,
etc.) must be sold by working as an independent salesperson, frequently
in door-to-door situations. Potential salespeople will frequently be enticed with management promotions for outstanding sales performance. Promotion to "management" may simply consist of hiring more recruits to work those same sales positions.
Generally, a seller is often not an actual employee
of the distributor, and therefore would be responsible for securing the
proper business licenses before selling and would also be responsible
for paying all applicable taxes to the various governmental agencies. Sometimes, the potential salesperson may be responsible for buying their products from the company for resale. Lastly, do not rely on verbal promises and get all details regarding an
employment opportunity in writing. A potential salesperson should be well aware of all the terms of their agreement, when it applies to employment, as well as in any other contract situation.
If you have any questions or concerns, please contact your local Better Business Bureau for more information, or to get a BBB Reliability Report on a company you may be considering.