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MLM stands for Multi-Level Marketing. It is also commonly referred to as Network Marketing, Relationship Marketing, One-on-One Marketing, Face-to-Face Marketing and Dual Marketing.

MLM is a way of selling products or services through distributors. In order to become a representative for the company, you sign an agreement and are also usually required to purchase a “starter kit” which contains training materials and a limited amount of full-size and sample-size product so that you can begin getting orders.

The aspect that distinguishes MLM from other businesses is that you make money not only on the sales of the company’s goods or services, but you are also encouraged to recruit others to join the company as a distributor. You then make commissions on the sales of those you recruit.