We are a mail-order company that today has decided to start a new MLM program. If you would like more details call me:
The Gift Card Club Inc.
A Dun And Bradstreet Registered Company
Since we are not international, we will not have a website at the beginning. We will continue to do everything for now using the mail-order industry and are only for U.S. members at this time. Once you become a member of the program, you can order our gift cards at a 25% discount. We have $25, $50, and $100 gift cards available and can be redeemed at our product display website. We have over 10,000 different products to choose from. The products range from novelty type items to special occassion gifts and electronics. We also have aromatherapy products along with bed and bath. Basically something for everyone. Members could even resell the gift card and pocket the difference. Example: reselling the $100 cards can make you $25 each and you get paid up-front! We as a company will handle all the products, you only focus on getting new members or reselling the cards. Call me for more details thanks.
I'd recommend looking at this long and hard, if you haven't already, Michael. Selling giftcards redeemable later for a company's merchandise is awfully close to coupon marketing which has been part of the shut down reasons for a few companies like International Heritage and others.
A company with no website in this day and age, despite the reasoning of not being international would make me nervous on two fronts. Why wouldn't a company automate part of its operation to reduce cash outlay and second, not having the ability to handle at least a portion of my business online increases my own costs and minimizes my profits. Do you follow my thinking?
No admin site but a product display site? Doesn't sound right to me. The only other thing that would make me more concerned would be if you were registered off shore. Maybe I'm being overly cautious, Michael, but it seems I've seen these set up with good intentions in the past and run into legal problems which can be and do get rectified but the cost of doing so cripples the company, reps bail and things fold with a bunch of people left holding unredeemable cards.
Have you had your plan reviewed by MLM legal experts or had any input on setting up a software program to administrate your business? It would be worth it in the long run.