Thursday, December 7, 2017

Spotting a Direct Sales Scam


Spotting a Direct Sales Scam

There are a handful of ways to tell if a direct sales opportunity is legitimate or if you should run the other direction. Two in particular serve as very useful litmus tests – the compensation plan and the inventory policy.


Compensation Plans
The primary compensation in a direct sales scam is from recruiting more participants, not from the actual sale of a product or service. Often, there is an up-front fee required by new members which feeds the up-line. The primary compensation of a reputable organization should be the sale of products or services, not recruitment fees. If the products or services are being sold between reps and not to the outside public, that’s also a major cause for concern.


Southwestern Advantage is a wholesale distributor of educational products and one of the oldest in the U.S. (est. 1855).  As a wholesale distributor, our only method of making money comes from our product sales.​ No money is made by recruiting. 

The primary compensation for our Student Reps comes from selling our products to third-party consumers. Experienced Student Reps often recruit personal teams but are not required or paid to do so. New recruits do not pay any sign-up fees. In fact, Southwestern Advantage provides all initial sales supplies and training free of charge. 

If both the team leader and their team do well in sales, the team leader can receive a rebate on their personal wholesale purchases. This is a rebate, not primary compensation, and comes out of the company's profits. Student Leaders are never paid a portion of the sales that their recruits make. 


Inventory Policies
Participants in direct sales scams often find themselves stuck with piles of inventory and piles of debt. Inventory loading is the practice of requiring or stiff-arming reps into buying inventory up-front before sufficient customer orders or payments have transpired. Is there an inventory buy-back policy? Is it simple and swift or is it a complex process filled with vague requirements?


Southwestern Advantage Student Reps have no up-front inventory requirements, no sales quotas, and our company immediately accepts back and credits any unsold inventory at the end of the selling season. 





The fact is, there are many legitimate and trustworthy direct sales and multilevel marketing opportunities that benefit millions of participants and millions of consumers. Common sense and some simple awareness can go a long way in preventing yourself or someone you care about from ending up in an unfortunate situation.

For more consumer protection information, visit http://www.dsa.org/consumerprotection/code-resources



Thursday, August 31, 2017

Sex Trafficking Hoax


Fake rumors circulate social media warning that students knocking on doors selling educational products are part of a child abduction and human trafficking operation. Media & law enforcement across the country have stated the warnings are a web hoax. The students are in fact part of the Southwestern Advantage entrepreneurial program and carry their credentials. See the list of over 130 police and media statements here: 


BBBhttps://www.bbb.org/nashville/news-events/bbb-in-the-news/2017/08/bogus-human-trafficking-rumors-continue-to-create-panic/
Snopeshttp://www.snopes.com/crime/warnings/booksellers.asp
Snopeshttp://m.snopes.com/2015/06/05/interview-for-trafficking/
Nashvillehttp://www.wsmv.com/clip/13661463/bbb-says-child-abduction-rumors-are-not-true
Daily Mailhttp://www.dailymail.co.uk/news/article-2413133/Rumors-Alaska-Russian-mobsters-kidnap-children-Estonian-salesmen-sell-books.html
Hoax Slayerhttp://www.hoax-slayer.com/russian-door-to-door-booksellers-false-warning.html
ALABAMAhttp://whnt.com/2013/09/04/police-facebook-rumors-about-russian-kidnapping-ring-not-true/
ALASKAhttp://www.frontiersman.com/for_the_record/crime_briefs/troopers-booksellers-are-not-child-abductors/article_3deeb504-1129-11e3-8866-0019bb2963f4.html
ARKANSAShttps://www.facebook.com/conwaypd/posts/10153347701599320
ARKANSAShttps://www.facebook.com/permalink.php?story_fbid=873918506018576&id=221829174560849
ARKANSAShttps://www.facebook.com/SWTimesRecord/posts/10151449505040882
ARKANSAShttp://www.swtimes.com/sections/news/fort-smith-police-door-door-saleswoman-not-sex-trafficker.html
ARKANSAShttp://thecabin.net/news/local/2013-08-26/door-door-salesmen-legitimate-fcso-says#.UhzC7GRxvr8
ARKANSAShttp://fcso.ar.gov/press_view.php?id=20&PHPSESSID=54a8527975c75a2cc8fc9dc74ff70c80
ARKANSAShttp://katv.com/archive/faulkner-county-sheriffs-department-responds-to-door-to-door-salesman-rumors
ARKANSAShttp://5newsonline.com/2013/08/29/sheriffs-office-sees-no-threat-in-exchange-students-selling-books/
ARKANSAShttp://5newsonline.com/2013/08/28/police-dispel-rumors-of-human-trafficking-in-the-area/
ARKANSAShttps://www.facebook.com/KNWAnews/posts/10151656356722336
ARKANSAShttps://www.ktbs.com/news/facebook-rumors-of-child-sex-trafficking-ring-not-true-authorities/article_6311a374-a15c-50d9-8ab6-11a42dfcbf99.html
ARIZONAhttp://archive.azcentral.com/community/gilbert/articles/20130801gilbert-police-dismisses-facebook-post.html?nclick_check=1
ARIZONAhttp://www.azfamily.com/story/23032511/gilbert-police-say-no-truth-to-facebook-post-on-solicitors
CALIFORNIAhttps://www.facebook.com/BBBSanDiego/posts/900103100056074
CALIFORNIAhttp://www.dailydemocrat.com/breakingnews/ci_26165845/worries-about-russian-woman-selling-books-door-door
CALIFORNIAhttp://www.dailydemocrat.com/ourtown/ci_26222787/fear-and-rudeness-dont-speak-well-woodlands-reputation
CALIFORNIAhttp://www.chicoer.com/20130730/officials-rumor-on-facebook-of-child-trafficker-in-butte-county-is-unfounded
CALIFORNIAhttp://www.mantecabulletin.com/archives/84404/
CALIFORNIAhttps://www.facebook.com/EastCountyToday/posts/414052648717229?comment_id=2147713&comment_tracking=%7B%22tn%22%3A%22R9%22%7D
CALIFORNIAhttp://hanfordsentinel.com/news/local/crime/door-to-door-child-trafficking-claims-raise-concerns/article_52f2b89c-15bb-11e3-b3b1-001a4bcf887a.html
CANADAhttps://www.facebook.com/photo.php?fbid=1644120345870650&set=a.1615872708695414.1073741835.100008181009103&type=1&theater
CANADAhttps://www.facebook.com/kennebecasisregionalpolice/posts/1002355973157561?fref=nf&pnref=story
FLORIDAhttps://www.facebook.com/BBBNEFLASEA/posts/879763155450865?comment_id=879859875441193
FLORIDAhttp://www.plantcityobserver.com/article/online-rumors-kidnapping-ring-unfounded
FLORIDAhttps://www.facebook.com/PlantCityObserver/posts/578102078920497
IDAHOhttps://www.facebook.com/BBBSnakeRiverRegion/posts/665285090149318
IDAHOhttps://snakeriverbbb.wordpress.com/2013/08/21/are-booksellers-in-your-neighborhood-to-steal-your-kids-urban-myth-or-truth/
ILLhttps://www.facebook.com/pontiacpolice/posts/1016561175064503
ILLhttp://patch.com/illinois/joliet/joliet-solicitors-are-not-coming-take-your-kids
ILLhttps://www.facebook.com/permalink.php?story_fbid=10153573649858489&id=165981193488
ILLhttp://www.mywebtimes.com/news/local/police-estonia-door-to-door-book-solicitors-legit/article_0c636674-4776-5e01-8073-b2ab1c5f2dc3.html
ILLhttp://www.pantagraph.com/news/local/postings-prompt-police-to-assure-public-about-sales-program/article_38c384ce-80c0-5b89-a5bc-3fedcbca795c.html
ILLhttp://www.wandtv.com/story/23129996/rumors-fuel-parents-concerns-over-door-to-door-booksellers
INDhttp://www.thebraziltimes.com/story/2215245.html
INDhttps://www.facebook.com/permalink.php?story_fbid=1170335916317257&id=160788333938692
INDhttp://wibqam.com/news/articles/2015/jul/23/door-to-door-salesman-causes-concerns/
INDhttps://www.facebook.com/LindseyYatesWTHI/videos/vb.1467889930103464/1871936679698785/?type=2&theater
INDhttps://www.facebook.com/WTHITV/posts/10153398989736343
INDhttps://www.facebook.com/WTHITV/posts/10153412186571343
INDhttp://thepostandmail.com/content/police-stay-vigilant-not-alarmed
INDhttps://www.facebook.com/permalink.php?story_fbid=509602092466337&id=147698951989988
INDhttp://www.newhavenbulletin.com/?p=14684
INDhttps://www.facebook.com/permalink.php?story_fbid=10151610580935823&id=92957620822
INDhttps://southbendpolice.wordpress.com/2013/08/30/european-bookselling-kidnappers-hoax-comes-to-south-bend/
INDhttp://www.heraldbulletin.com/news/local_news/police-door-to-door-book-saleswoman-not-dangerous/article_e208e502-d574-52cd-ade2-d955fbd53045.html
INDhttps://local.nixle.com/alert/5055813/
INDhttps://www.facebook.com/permalink.php?id=34875345170&v=wall&story_fbid=10153268044795171
KANSAShttp://www.leaderandtimes.com/index.php?option=com_content&view=article&id=13060:area-salesman-falsely-accused-of-trafficking&catid=12:local-news&Itemid=40
KANSAShttps://www.facebook.com/cityoftopeka/posts/10151743354651236
KANSAShttps://twitter.com/Topeka_Police/status/370249295154270208
KANSAShttp://cjonline.com/news-local/2013-08-21/book-saleslady-not-stealing-kids-cops-say
KANSAShttps://www.facebook.com/TopekaCapitalJournal/posts/10153153618050541
KYhttps://www.facebook.com/permalink.php?story_fbid=955864444471448&id=841896169201610
KYhttps://www.facebook.com/Shelbycountycrimebusters/posts/1007024216014456
KYhttp://www.local12.com/news/features/top-stories/stories/Police-Booksellers-are-legitimate-178884.shtml
KYhttps://www.facebook.com/WKRCTV/posts/10153850439071992
KYhttp://www.wkyt.com/home/headlines/Facebook-post-is--320360541.html?ref=541
KYhttps://www.facebook.com/WKYTTV/photos/a.147898035765.124598.33684860765/10152933572945766/?type=1&theater
KYhttps://www.facebook.com/permalink.php?story_fbid=1177664632250164&id=220596207957016
Minnhttp://www.winonadailynews.com/news/article_630229da-ff0d-11e2-a56d-0019bb2963f4.html
Minnhttps://www.facebook.com/winonadailynews/posts/10151628931858049
Minnhttps://patch.com/minnesota/invergroveheights/inver-grove-heights-police-facebook-reports-of-abduction-attempts-are-misleading
Minnhttp://www.grandrapidsmn.com/news/article_4e221f40-2d37-11e3-b1b4-0019bb2963f4.html
MISSOURIhttps://www.facebook.com/berniepolicedepartment/photos/a.727917137246672.1073741828.142313722473686/1509430175762027/?type=3&theater
MISSOURIhttps://www.facebook.com/kfvs12/photos/a.127263417601.105734.76229602601/10154939433597602/?type=3&theater
MISSOURIhttp://www.kfvs12.com/story/36101948/bernie-police-student-selling-childrens-books-not-part-of-a-russian-child-trafficking-scheme
MISSOURIhttps://www.facebook.com/KSPRNews/photos/a.70311950406.96946.68059960406/10153451942195407/?type=1&theater
MISSOURIhttp://fox4kc.com/2013/08/07/company-sets-the-record-straight-amid-kidnapping-rumors/
NEBRASKAhttp://nebraska.tv/archive/suspicious-door-to-door-sales-calls-reported
NMhttp://www.artesianews.com/755300/book-salesmen-raise-unfounded-human-trafficking-fears.html
NMhttps://www.facebook.com/artesianews/posts/10151792453040020
OHhttps://www.facebook.com/RussellvillePoliceDepartment/posts/1106636866076045
OHhttps://www.theodysseyonline.com/young-woman-falsely-accused-human-trafficking-while-selling-educational-books-children
OHhttp://www.local12.com/news/features/top-stories/stories/Police-Booksellers-are-legitimate-178884.shtml
OHhttp://www.cincinnati.com/story/news/local/northern-ky/2015/08/03/book-sellers-legit-say-police-northern-kentucky-bbb/31049027/
OHhttps://www.facebook.com/permalink.php?story_fbid=184832288358998&id=147556702086557
OHhttps://www.facebook.com/permalink.php?story_fbid=568284369897177&id=173884152670536
OKLAHOMAhttps://www.facebook.com/PryorPolice/posts/1657711594252566
OKLAHOMAhttp://www.newson6.com/story/22797670/online-claims-of-human-traffickers-going-door-to-door-in-ba-unfounded
OKLAHOMAhttps://www.facebook.com/NewsOn6/posts/10152587218887837
OKLAHOMAhttps://www.facebook.com/OBNDD/posts/378697885564621
OKLAHOMAhttps://www.facebook.com/OATHCoalition/posts/10151712011416858
OKLAHOMAhttps://www.facebook.com/permalink.php?story_fbid=490057934408199&id=102352536512076
OKLAHOMAhttps://www.facebook.com/EnidPolice/posts/577834035602350
OKLAHOMAhttps://www.facebook.com/permalink.php?story_fbid=515448015174920&id=221425524577172
OKLAHOMAhttp://kfor.com/2013/07/11/salesman-legitimate-amidst-human-trafficking-concerns/
OKLAHOMAhttp://www.kswo.com/story/22846968/lawton-police-book-solicitors-are-legitimate
OKLAHOMAhttp://www.news9.com/story/22707067/door-to-door-saleswoman-tied-to-human-trafficking-parents-say
PENNhttp://nycrpd.org/?p=8565
PENNhttp://www.pennlive.com/midstate/index.ssf/2013/07/no_validity_to_facebook_rumor.html
PENNhttp://fox43.com/2013/07/11/york-co-police-debunk-facebook-child-abduction-ring-rumors/#axzz2YmPExsas
PENNhttp://www.nj.com/hunterdon-county-democrat/index.ssf/2013/07/book_sellers_were_cause_of_rob.html
PENNhttp://www.lehighvalleylive.com/hunterdon-county/express-times/index.ssf/2013/07/holland_township_police_echo_s.html
PENNhttp://www.lehighvalleylive.com/warren-county/express-times/index.ssf/2013/07/nj_state_police_dispel_rumors.html
S Carolinahttp://www.kingstreenews.com/news/sheriff-s-office-verifies-company-as-legitimate/article_e8f6d064-732a-11e7-b374-db6fcb4bce10.html
S Carolinahttps://www.facebook.com/Williamsburgsheriff/posts/820657108103486
S Carolinahttp://www.foxcarolina.com/story/23152598/deputies-reports-of-door-to-door-kidnappers-unfounded
S Carolinahttp://www.aikenstandard.com/news/door-to-door-salesmen-concern-county-residents/article_bb8792f6-d564-5720-8b52-fc37f6b64bc6.html
S Carolinahttps://www.facebook.com/permalink.php?id=567362359&v=wall&story_fbid=10151823280262360
S Dakotahttp://rapidcityjournal.com/news/local/police-verify-door-to-door-book-sales/article_ac53dd95-69de-5b26-a7d3-c3018b33ec03.html
S Dakotahttp://www.keloland.com/news/article/news/police-company-legit-in-door-to-door-book-sales
S Dakotahttps://www.facebook.com/permalink.php?story_fbid=297976200346064&id=118627508280935
TENNhttps://www.facebook.com/HamblenCountySheriffsOffice/photos/a.1406376826317454.1073741828.1399235890364881/1600107953611006/?type=1&theater
TENNhttps://www.facebook.com/BBBMidTN/posts/789428174512249
TXhttp://www.kiiitv.com/news/local/companie-reacts-to-sex-trafficking-hoax/464152984
TXhttp://www.kcentv.com/news/local/verify/verify-no-the-guy-selling-books-at-your-door-is-not-a-predator/463776568
TXhttps://www.facebook.com/kcentv/posts/10154625303601510
TXhttp://www.kbtx.com/content/news/Online-rumors--441046853.html
TXhttps://www.facebook.com/113294815466538/photos/a.122129424583077.17608.113294815466538/512507835545232/?type=1&permPage=1
TXhttps://www.facebook.com/LubbockPD/posts/10151557543862104
TXhttp://www.kcbd.com/story/22868341/kcbd-investigates-facebook-kidnapping-rumors?utm_source=buffer&utm_campaign=Buffer&utm_content=buffer67e64&utm_medium=facebook
TXhttp://kfyo.com/lubbock-police-say-door-to-door-salesman-kidnapping-rumor-unfounded/
TXhttp://lubbockonline.com/crime-and-courts/2013-07-17/police-no-credibility-behind-kidnapping-scheme-reports#.UegCJmRxvr8
TXhttp://www.newswest9.com/story/23200415/midland-door-to-door-book-salesmen-trying-to-clear-their-names
TXhttp://www.mrt.com/news/article/Unfounded-rumors-follow-Baltic-book-salesmen-7449269.php
TXhttps://www.facebook.com/TheReporterTelegram/posts/10152134384463012
TXhttps://www.facebook.com/permalink.php?id=342385191132&v=wall&story_fbid=10151854227791133
TXhttps://www.facebook.com/pg/CorpusChristiPD/photos/?tab=album&album_id=657856937572991
TXhttp://www.kiiitv.com/news/ccpd-says-estonian-solicitors-legal-not-dangerous/274042391
TXhttps://www.facebook.com/permalink.php?id=194613727223447&v=wall&story_fbid=655925357758946
TXhttps://www.victoriaadvocate.com/news/2013/sep/03/doortodoorsales_jrp_090413_218800/
TXhttps://www.facebook.com/VictoriaAdvocate/posts/10153157627540134
Utahhttps://www.facebook.com/UtahValleyDailyHerald/posts/10151589738324366
Utahhttp://www.heraldextra.com/news/local/utah-co-police-respond-to-facebook-furor-over-saleswoman/article_58bf54ec-c3de-5e09-ab3f-d82c9d96e9b0.html
Utahhttps://www.facebook.com/permalink.php?story_fbid=641965542481973&id=212822542062944
Washington http://keprtv.com/news/local/solicitors-were-raising-money-for-college--learning-english-11-14-2015