A friend of mine join a network marketing organization by investing 10,000 because his girlfriend is in it. He introduced his handler/manager and he gave a speech about how easy it is to earn by only investing 10,000 and his main selling point was that its possible to earn 2-4 million in a year. And my job is to just get my left and right node(of the tree).
The product the company is selling is some online tutorial/course which is totally useless(esp to me).
I have done some online research on it and got mixed reviews regarding the company hence I am really skeptical about joining it. Additional reason for being skeptical are:
- I find the whole 1:2 and 2:1 ratio rubbish. Its more reason for not getting paid.
- And that I will get paid 2700 when I get that 1:2 and 2:1.
- By my calculation I(or my child nodes) have to get 18 people to join to break-even my investment.
- Every year I have to deposit 3500 to remain active in the company, else my account gets expired.
I think I should not name the company here. And I know Company name/brand/goodwill plays a major factor in deciding whether to invest in it or not.
I need advice, should I invest? Is the probability of getting returns in network marketing good?
What are the chances that I will get a good return in investing in this network market compared to investing in some other places like SIP?