From the last 40 years up till the day present MLM software company or you can refer
it as the marketing company based on network is operating based on the fact that few legal principles are applicable to the multi level marketing software, although these facts may be myth or false belief. It is a myth that MLM Company requires promoters to obtain the kit of sales provided it is given to the promoter at the company costs, but according to the MLM lawyers or according to the law approx 10 different states allowed the essential kit of the distributor at the cost of the company, while a few others permit the purchase of the sales material up till the sum of money does not cross the specific amount irrespective of whether it is at the cost of the company or not.
For becoming a distributor a fee is charged is again a myth since whenever any commission based marketing company charges fee for the distributorship, which means they are selling an illegal sales pyramid scheme or they are offering an investment that is illegal or unregistered under the federal and state law and thereby breaking the federal and state lottery laws.
The last myth which the MLM software company generally faces is that the MLM company by its own nature if working for a long time will exhaust the population available who have a role in the program. According to the federal and state law this is regarded as the deceptive practice of trade since it will be unfair for the late joining promoter unless the company specifically informs each promoter that their success prospects are not more than the people who were involved with the company before them. According to the law in any defined area the people who are ready to become the promoters and who are ready to become the consumers are stable relatively.